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ZENITH International Journal of Business Economics & Management Research
Year : 2018, Volume : 8, Issue : 3
First page : ( 148) Last page : ( 159)
Online ISSN : 2249-8826.

Analysis of Profitability and Liquidity Scenario of Selected Pharmaceutical Companies

Ms. Saini Neetu1, Dr. Bansal Sanjeev2

1Research Scholar, IKG-Punjab Technical University, Jalandhar, India

2Asst. Professor, Department of Commerce, Ikg-Punjab Technical University, Jalandhar, India

Online published on 2 May, 2018.

Abstract

The Indian pharmaceuticals market is the third largest in terms of volume and thirteenth largest in terms of value, and it accounts for 20 per cent in the volume terms and 1.4 per cent in value terms of the Global Pharmaceutical Industry as per a report by Equity Master. Presently over 80 per cent of the antiretroviral drugs used globally to combat AIDS (Acquired Immuno Deficiency Syndrome) are supplied by Indian pharmaceutical firms. The sector is expected to generate 58, 000 additional job opportunities by the year 2025. * The Government of India is planning to set up an electronic platform to regulate online pharmacies under a new policy, in order to stop any misuse due to easy availability. The Government of India unveiled ‘Pharma Vision 2020 ’aimed at making India a global leader in end-to-end drug manufacture. Approval time for new facilities has been reduced to boost investments. The Indian pharmaceutical market size is expected to grow to US$ 100 billion by 2025. Turnover, profit, assets utilization, etc. are the key factors on which the company's performance depends upon with the variables which are found in profit and loss account and balance sheet of a company. Therefore, considering the pharmaceutical market's growth and prosperity, the study aims to analyze the financial performance in terms of profitability and liquidity scenario of selected pharmaceutical companies. The study through exploratory research process and approach, may use ratios and indicators to analysis and measure the identity, performance and growth in particular to liquidity and profitability in pharmaceutical market.

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Keywords

US $, CAGR, IPM, Liquidity, Profitability, Financial Performance.

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