A study on working capital management in Visaka Industries Limited
Summary :
Table of Contents
- Introduction
- Objectives of the study
- Nature of working capital
- Methodology of the study
- Review of literature: Working capital theory
- Concept and definition
- Need for working capital
- Importance of adequate working capital
- Factors influencing working capital requirements
- Company profile
- Analysis
- Comparitive balance sheet
- Statement of changes in working capital
- Ratio analysis
- Findings and suggestions
- Conclusion
- Bibliography
Abstract
The company was incorporated under the Indian Company's Act 1956 on 18th June 1981 as visaka Asbestos Cement Product ltd and promoted by Dr.G.Vivekananda with investment of Rs 4 crores to set up cement asbestos plant in Medak district of Andhra Pradesh. It has grown in to multiple folds and now has a turnover of Rs 195 crores and asset of about Rs 98 crores by April 2009. In 1991 the company started working on synthetic yarns. Today the company is one of the leading manufacturers in asbestos cement sheets and synthetic yarns. The company is also regular in paying the dividends to their shareholders every year in their annual general meeting. Asbestos cement products industry in India comprises of about 13 players with about 41 manufacturing plants situated in different parts of the country. The products are marketed under their respective brand names mainly through dealers for the retail market and directly for products and government departments. The retail market is expected to grow significantly due to its semantic advantage over the other substitutes in the form of cost fire and heat resistant and durability. Many state governments are encouraging AC sheet to thatched roofs, which will help in the industry due to the continuous innovations, and the bottle necking efforts coupled with penetrative marketing efforts productions and sales are continually growing over the years. The capacity at the Patancheru plant has been increased by 25% during 2001-2002 with appropriate investment in the equipments.
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