Hello, This is presentation is about heritage foods limited financial statement analysis.

1. FINANCIALSTATEMENTANALYSIS
A STUDYWITH REFERENCETO HERITAGE
FOODS LIMITED, HYDERABAD

2. COMPANYPROFILE & OBJECTIVES
 The Heritage Group, founded in 1992 by Sri Nara Chandra Babu
Naidu, is one of the fastest growing Private Sector Enterprises in
India, with three-business divisions viz., Dairy, Retail and Agri
 Turnover has increased by 14.84% as compared to the previous year
i.e. from Rs.2072.97 Crore to Rs.2380.58 Crores.
 Presently Heritage’s milk products have market presence in Andhra
Pradesh, Karnataka, Kerala, Tamil Nadu and Maharashtra and its
retail stores across Bangalore, Chennai and Hyderabad.
OBJECTIVES
 To provide fresh and healthy food products
 Maintain quality standards
 To achieve customer satisfaction
 To providing innovative avenues for enhanced employee prosperity.

3. Mission:
Bringing prosperity into rural families of India through
co-operative efforts and providing customers with hygienic,
affordable and convenient supply of " Fresh and Healthy "
food products.
Vision:
To be a progressive billion dollar organization with a
pan India foot print by 2020.

4. OBJECTIVES
 To bring out the results of financial statements
through ratio analysis.
 To study the financial position of the
company
 To study on the financial performance of the
company for the past 4 years.
 To study about the Heritage company
limited, Hyderabad in general.

5. METHODOLOGY
Methodology is the systematic method, which is used to collect the
information required to complete this project work.
The data is collected by 2 methods:
 1. Primary data
 2. Secondary data.
 Primary data is collected through collecting information from
company officers, from external guide.
 Secondary data, which is secondary in nature i.e. already, collected
information this secondary data is collected through Company’s
Annual Report and discussion with them.
Interpretation of:
 Balance sheet
 Profit and loss Heritage Milk
 Annual reports

6. RATIO ANALYSIS
 Financial Ratios are used in the evaluation of the financial condition and
profitability of a company.
 The ratios are calculated from the financial information provided in the
balance sheet and income statements.
 Ratio Analysis is one of the techniques of financial analysis where ratios
are used as a yardstick for evaluating the financial condition and
performance of a firm.
 Analysis and interpretation of various Heritage Milk counting ratios gives
a better understanding of the financial condition and performance of the
firm.
Following are the uses of ratio analysis:
 Liquidity position
 Long term solvency
 Operating efficiency
 Overall profitability
 Inter firm comparison
 Trend analysis.

7. INTERPRETATION & CONCLUSION
 The current ratio of last four years is less than ideal ratio 2:1, i.e.
fluctuating. This indicates that firm’s commitment to meet its short
liabilities was not so good. In 2015-16 and 2014-15 the current ratios
are good compare to 2014-13, 2013-12.
 The ideal ratio is 1:1. The quick ratio is also fluctuating. It is also
good in 2014-15 and 2014-13, because it is more than 1.But it has
decreased in 2013-12 and 2010-11 i.e., 0.96 and 0.99 respectively.
Overall, liquidity position of the company is good.
CONCLUSION
 Financial statement are very much in consideration for decision
making in deciding what to do and what not to do? They are required
to analyze the data as per their requirement.
 In my project I tried to give brief outline of ratio analysis like how to
analyze the Heritage Milk and figures given in the financial
statements form all the stake holders side.
 I tried to give my findings and suggestions for the company as per
my best knowledge based on the analysis and interpretation

8. SUGGESIONS
 Advertisements are required to increase the sales
 Social responsibility activities are to be
performed to get free promotion of the company
 Heritage Foods India Ltd must provide some
rewards to the sales persons to encourage them
 Company should try to maintain its current ratio
at the standard 2:1.
 It is suggested to maintain sufficient amount of
cash & bank balance to pay its quick liabilities,
which will increase its credit worthiness &
goodwill.

9. BIBLIOGRAPHY
 http://www.indianmirror.com/indian-industries/dairy.html
 Annual reports of the Heritage Pvt Ltd.
 Source : Dion Global Solutions Limited
 www.moneycontrol.com
 www.Heritage.com
 www.google.com,
 www.en.wikipedia.org/wiki/dairymarketsreportsonline.com
/311702.html
 M.Y.KHAN, P.K.JAIN (1981), Financial Management, and
cost Heritage Milk (third edition) New Delhi: McGraw-Hill
Publishing Company Ltd.
 I.M.PANDEY, Financial Management New Delhi Vikas
Publishing House Private Ltd-ninth addition 2014.