Financial Analysis of Industrial Finance Corporation of India Limited

Journal Name: 
Journal of Banking, Information Technology & Management
Volume: 
Vol. 13 - No. 1
Authors: 
Author Name Designation Organization
Amit Kumar Nag
Abstract: 

Financial analysis is actually a process that evaluates projects, budgets, businesses and entities for analysis purpose. Usually, the main purpose of financial analysis is to analyze the profitability, liquidity, solvency and stability of a business. The process of financial analysis is carried out by professionals who work by preparing reports with the help of ratios containing information from financial statements and other similar reports. The present research work has been undertaken to analysis the financial position of Industrial Finance Corporation of India Ltd (IFCI Ltd) with the help of its income and position statement so that detailed analysis of the performance of the institution can be made and proper suggestion could be given in order to improve its performance in future. The study adopted ratio analysis particularly profitability ratios, solvency ratio and liquidity ratios to measure the financial position of the institution. Since IFCI aims at providingĀ  financial assistance to business units which plays a vital role in the economic development of a country, the analysis of its financial position is very much justified.
Keywords: Financial Analysis, Net Profit Ratio, Operating Profit Ratio, Debt Equity Ratio, Solvency Ratio & Current Ratio.