dc.description.abstract | The objective of this report is to find out the financial performance of Ranks Motors Limited. To do so, I used performance measurement technique of ratio analysis for the report, and the findings were very promising. Four key categories, including the liquidity ratio, leverage ratio, asset management ratios, and profitability ratios, constitute the foundation of the analysis.
Based on the findings, the performance of RML is not good as they are facing losses. Over the studied periods, Ranks Motors Limited's liquidity situation has declined. It has not been able to produce constant profits since it was unable to consistently use its assets in the business. As there is a negative value on their net profit margin. However, it was found that Ranks Motor Limited has increased the level of dept over the past four years, which increases their risk factor.
I may assume from the ratio study that Ranks Motor Limited has not able to maintain a consistent profitability from its business operations throughout the years, considering its inability to accelerate its overall performance. | en_US |