1. FIN30Ms. Mahtab Faruqui

2. Group II~~ ~~~Section 03 Lamisa Manzoor 11304072 Protiti Khan 11304018 Upeksha Abeysekara 11204098 Fariha Ahmed 11204035 Samiya Yesmin 11304043 3. BEXIMCO Pharmaceuticals Ltd. (BPL) BPL was founded in 1976 and started operations in 1980 It started exporting in 1992 It is the largest pharmaceutical exporter, to over 45 countries. BPL is the only company to win National Export Trophy (Gold)Square Pharmaceuticals Ltd. (SPL) SPL was established in 1958 and went public 1991 Mr. Samson H. Chowdhury is the founder SPL is Bangladeshs largest pharmaceutical It has been continuously in the 1st position among all national and multinational companies since 1985. 4. Industrial Outlook OPPORTUNITIES: Advancing technologically Research and development Export opportunities have increased Low operational costs Government benefitsTHREATS: Indian companies Bangladeshi government does not have the right policy Small and new firms Large scale manufacturers from multinational companies Neighboring countries may enter our market illegally In the long run there might be shortage of raw materials Fluctuations in raw material prices 5. 2. Acid-Test/ Quick Ratio1. Current Ratios 32Quick Ratio=Current Assets Inventories Current Liabilities2.5 2RatioRatio1.5 10.5 0 2010201120122 1.8 1.6 1.4 1.2 1 0.8 0.6 0.4 0.2 0Years 1Current Ratio=Current Assets Current Liabilities2010 BPLSPL20112012 Years 6. 4. Debt-to-Total Assets Ratio3. Debt-to Equity Ratio 0.454Debt-To-TotalAssets=Total Debt Total AssetsRatio0.4 BPL0.35SPL0.350.30.30.250.25 Ratio0.2 0.150.20.10.150.050.10 2010 3Debt-To-Equity=2011 2012 Years Total Debt Shareholders Equity0.05 0 201020112012 Years 7. 6. Receivables Turnover Ratio5. Interest Coverage Ratio 12Receivable Turnover (RT)=610BPL8Annual Net Credit Sales ReceivablesSPLRatioRatio256204 15 2 10 0 20102011 Years20125 05Interest Coverage=EBIT Interest Expense201020112012 Years 8. 50 45 40 35 30 25 20 15 10 5 08Inventory Turnover (IT)=BPLCost Of Goods Sold InventorySPL2.5 21.5 1201078. Inventory Turnover RatioRatioRatio7. Receivables Turnover in Days Ratio2011Receivable Turnover In Days (RTD) =2012 Years 365 RT0.5 0 20102011Years 2012 9. 9. Inventory Turnover in Days Ratio10. Asset Turnover Ratio35010Asset Turnover=300 250BPLNet Sales Total AssetsSPL0.8Ratio200 Ratio150 1000.7 0.60.5500.402010201120120.3 0.2Years0.1 9Inventory Turnover In Days (ITD)=365 IT0 20102011 Years 2012 10. 11. Net Profit Margin Ratio 20 18 Net Profit After Taxes1611Net Profit Margin= Net Sales14 Ratio12 10 BP L8 6 4 2 0 201020112012 Years 11. 12. Return on Investment Ratio13. Return on Equity Ratio 251 2Return On Investment (ROI)=Net Profit After Taxes Total Assets2016 15Ratio14 1210Ratio10 58 604201022011Years 2012020102011 Years132012 BPLReturn On Equity (ROE)=Net Profit After Taxes Shareholders Equity 12. Sector Market Analysis SPLtk.240 BPL tk. 52 Price: SPL is x5 BPL Share Volume: SPL is double of BPL 13. Conclusion SPL: higherperformance higher market share higher profitability lower liquidity than BPL lower risk BPL: smaller market share lower profitability higher risk greater liquidity than SPL. Defensive Investment SPL:0.53 < BPL:0.88 14. Recommendations SPL needs to increase liquidity. Benchmarking for BPL. Research & Development for increased growth. Both companies need to look for new market segments. 15. Questions?~The End~