A Study on Comparative Financial Performance Analysis of Selected Tyre Companies of India

Financial analysis is the process of evaluating businesses, projects, budgets, and other finance related transactions to determine their performance and suitability. Typically, financial analysis is used to analyze whether an entity is stable, solvent, liquid, or profitable enough to warrant a monetary investment. Preparing Comparative Financial Statements is the most commonly used technique for analyzing financial statements. This technique determines the profitability and financial position of a business by comparing financial statements for two or more time periods. The comparative financial performance analysis study is carried out for the period of five years (2013-2014 to 2017-2018). Secondary data are based on the annual reports of 2013-2014 to 2017-2018 of Govind Rubber Ltd., Equilateral Enterprises Ltd. (Formerly known as Surya Industrial Corporation Ltd.) and Krypton Industries Ltd. Ratio analysis and leverage are used as tools to understand and compare the financial performance of selected tyre companies over the five year period.