Financial Analysis of Lucky Cements & Attock Cements.

A Report Submitted to Sir Raghib Zafar

By: Vishal-6774 Avinash-6356 Engineer Lal-5938

A Report By VISHAL & Group

Financial Analysis of Lucky Cements & Attock Cements.

Table of contents

A Report By VISHAL & Group

Financial Analysis of Lucky Cements & Attock Cements.

Acknowledgement
Raghib Zafar

First of all we would like to thank Almighty GOD who enabled me to work on this report. Then, we would like to show gratitude to my Teacher Raghib zaidi who guided me in every phrase and help me out to prepare this report and also want to thank all of my friends and group members who support me to complete this report on time.

Sir. Raghib zafar we tried our level best to fulfill the requirement of course Introduction to Business Finance, throughout during this report we learned how we can find out the financial position of company & also we come to know the standard format & steps. We hope this report fulfill the requirements of course INTRODUCTION TO BUSINESS FINANCE.

Sincerely, VISHAL-6774 Avinash-6356 Engineer Lal-5938

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Financial Analysis of Lucky Cements & Attock Cements.

Letter of Transmittal

May 09, 2012

Introduction to Business Finance Raghib Zaidi KASBIT (S.M.C.H.S campus) Karachi

Dear sir Raghib Zafar, Subject: Group project on financial analysis We feel enormous pleasure in presenting to you, the project report which is a part of our course. We found this report truly challenging in many aspects, indeed very interesting in relation to the various interpretational and engrossing exercises. Writing this report is absolute learning experience for us. This report is based on financial ratios of two companies comparing with the industry average in which we have elaborate it in three levels profitability liquidity & long term Solvency. We have tried our best to complete this report to fulfill the course requirements. Still, any explaining is needed, we would like to indebted. Kindly accept this manageable effort of bringing forward our final project report and Data on the above subject. Yours Sincerely, VISHAL-6774 Avinash-6356 Engineer lal-5938

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Financial Analysis of Lucky Cements & Attock Cements.

Introduction

Company profile:

Lucky Cement Limited has been sponsored by Yunus Brothers Group (YB Group) which is one of the largest business groups of the Country based in Karachi and has grown up remarkably over the last 50 years. The YB Group is engaged in diversified manufacturing activities including Textile, Spinning, Weaving, Processing, Finishing, Stitching and Power Generation.

Company profile: Attock Cement Pakistan Limited (ACPL) is a public limited company, listed on the Karachi Stock Exchange since June 2002. Main business of the company is manufacturing and sales of cement. ACPL, is part of the Pharaon Group, which in

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Financial Analysis of Lucky Cements & Attock Cements.

addition to investment in cement industry has diversified stakes in Pakistan mainly in the oil and gas sector, power and real estate sector.

Balance sheet of attock cement ltd

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Financial Analysis of Lucky Cements & Attock Cements.

Common size income statement of attock cement ltd

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Financial Analysis of Lucky Cements & Attock Cements.

Common-size Income Statement of Attock Cement Pakistan ltd.

Balance sheet of attock cement ltd

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Financial Analysis of Lucky Cements & Attock Cements.

Common size income statement of attock cement ltd

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Financial Analysis of Lucky Cements & Attock Cements.

BALANCE SHEET OF LUCKY CEMENT LTD.

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Financial Analysis of Lucky Cements & Attock Cements.

Common size Income statement of lucky cement ltd.

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Financial Analysis of Lucky Cements & Attock Cements.

Balance sheet of Lucky cement Ltd.

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Financial Analysis of Lucky Cements & Attock Cements.

Common Size income statement of lucky cement ltd.

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Financial Analysis of Lucky Cements & Attock Cements.

RATIOS OF attock CEMENT LTD

LIQUIDITY: A Report By VISHAL & Group

Financial Analysis of Lucky Cements & Attock Cements.

Attock Cement Pakistan Limited
RATIOS Current Ratio Quick Ratio 2008 1.5 1.09 2009 2.43 1.89 2010 2.62 2.278 2011 1.7 1.31

In these the current ratio show how much companys assets can be quickly convert in cash to pay current liability and in Quick ratio stands that if we deduct inventory from current assets then how it can be easily can be cash to pay current liability. LONG-TERM SOLVENCY:
Attock Cement Pakistan Limited
RATIOS Debt-equity Ratio Debt to Assest Equity to Assest Average Collection Period Inventory Turnover Fixed Asset Turnover 2008 66.24% 39.84% 60.15% 3.63 9.49 1.15 2009 45.94% 31.48% 68.52% 1.99 9.44 2.05 2010 30.83% 23.53% 90.47% 2.63 15.59 1.82 2011 33.53% 25.12% 74.88% 2.16 12.61 1.6

These ratios are showing how much the company is taking risk and gearing the business, and average collection period is showing in what time company collect its credit sale amount and inventory turnover is showing how many times company has sold its total inventory.

RATIOS OF ATTOCK CEMENT LTD.

PROFITABILITY:

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Financial Analysis of Lucky Cements & Attock Cements.

Attock Cement Pakistan Limited
RATIOS Gross Profit Margin Operating Profit Margin Net Profit Margin Return on Asset Return on Equity 2008 22.28% 16.57% 8.69% 7.41% 12.32% 2009 31.83% 24.77% 17.54% 21.41% 31.25% 2010 25.53% 19.12% 13.09% 12.96% 18.60% 2011 20.23% 12.38% 8.00% 8.84% 11.80%

These ratios showing that if sales increase/decrease by certain percentage so how much it affect on profits of company.

RATIOS OF LUCKY CEMENT LTD

LIQUIDITY:

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Financial Analysis of Lucky Cements & Attock Cements.

LUCKY CEMENT LIMITED
RATIOS Current Ratio Quick Ratio 2008 1.09 0.99 2009 0.86 0.73 2010 0.71 0.65 2011 0.88 0.77

In these the current ratio show how much companys assets can be quickly convert in cash to pay current liability and in Quick ratio stands that if we deduct inventory from current assets then how it can be easily can be cash to pay current liability. LONG-TERM SOLVENCY:
LUCKY CEMENT LIMITED
RATIOS Debt-equity Ratio Debt to Assest Equity to Assest Average Collection Period Inventory Turnover Fixed Assest Turnover 2008 45.51% 45.51% 54.49% 15.29 17.76 0.86 2009 39.43% 39.44% 60.56% 1.26 13.8 0.65 2010 34.49% 34.49% 65.50% 11.45 27.15 0.78 2011 32.61% 32.61% 67.39% 8.59 13.86 0.82

These ratios are showing how much the company is taking risk and gearing the business, and average collection period is showing in what time company collect its credit sale amount and inventory turnover is showing how many times company has sold its total inventory.

RATIOS OF LUCKY CEMENT LTD.

PROFITABILITY:

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Financial Analysis of Lucky Cements & Attock Cements.

LUCKY CEMENT LIMITED
RATIOS Gross Profit Margin Operating Profit Margin Net Profit Margin Return on Assest Return on Equity 2008 25.69% 18.14% 15.79% 7.82% 14.35% 2009 37.26% 27.41% 17.45% 11.97% 19.77% 2010 32.56% 17.31% 12.80% 8.18% 12.50% 2011 33.48% 19.84% 15.26% 9.64% 14.29%

These ratios showing that if sales increase/decrease by certain percentage so how much it affect on profits of company.

Reference

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Financial Analysis of Lucky Cements & Attock Cements.

www.lucky-cement.com/financialreports.htm

www.attockcement.com/accounts/AttockAnnualRep2011.pdf

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