CHAPTER V

SUMMARY ,FINDINGS AND SUGGESTION

SUMMARY.
The study gives the overall picture about the financial
performance of kasargod latex factory.The society
researches can propose suggestion and recommendation
to improve the presence of the society.
5.1 FINDINGS
Agriculture is the backbone of Indian economy.The total
geographical area of the country came about 328.8
million hecters.Out of which land devoted to agriculture is
142.9 million hecters .India has substantial shear in the
plantation crops like rubber.the finding from the study are
given below.
1.The KDCRF was formed to protect the interest of rubber
planters in kasargod district.
2.The raw material needed for production of centrifugal
latex is field latex and other chemicals.
3.The centrifugal latex factory got an ISO certified.
4.The products made from centriged latex is
gloves,adhesives,elastic thread,clipped goods and coir
forms.
5.The society market its products through direct selling
and with the help of dealers.
6.The society has well equipped storage facility at
kasargod latex factory.

5.2 FINANCIAL PERFORMANCE.

Financial analysis indicates the efficiency of the
financial management of a company.The financial
performance of kasargod latx factory analysed by using
financial recorded data for the last five years.
The principle financial statement is considered for the
analysis which includes trading and profit and loss
account and balance sheet .the major tools for the use of
the analysis includes ratios,charts and diagrams.it also
used concept like liquidity,solvency,profitability,
Working capital etc.
1.PROFITABILITY RATIO.
a)The society has well gross profit ratio of in 2006-07
then it decreased in the coming two years.but a slight
increase in the last two years .
b)the society earned profit in the first years from 200607.but in 2007-08 and 2008-09 the society,s losses
increased.but it improved in 20092011 years.
2.LIQUIDITY RATIO:
a) The society has a high current ratio which was 97:1 in
2007-08
the year 2006-07 ,2008-09 current less ratio is very
less,compared with

2007-08 current ratio and other years current ratio is not

bad.
b) In the first year quick ratio(2006-07) is very low
0.42%(0.004)but in the coming years show increase in
trend.The decrese in trend is not favourable.
3.ACTIVITY RATIO.
a) The society,s fixed assets turn over ratio in all years
,just same as small ,variance is arised.
b) The society stock turn over ratios show increase in
trend in the first year 2006-2011 except the year 2007-08
.so the societies highest turn over ratio in the last two
years.
4.LEVERAGE RATIO.
a) A societies proprietary ratio shows on unstable trend in
the five years.the lowest proprietary ratio was 14.13 in
the year 2008-09.But increase in trend shown the coming
two years .
b)The society debt equity ratio show an increase in trend
from first year
(2006-07) to 2008-2009. 2008-09 reach the ratio at top
point 0.69:1,but the last two years show a slight
decrease.

SUGGESTIONS:

In order assume the success of kasargod latex

factory,the following recommendation are made:
1.A class share capital should b increased by inviting
more farmers as its members.A class members should
activily participate in the development and
manangement of the society.
2.To popularize and familiarize the products of the
kasargod latex factory effective advertisement strategy
to be introduced.

3.The technical and professional management training

program to manangement and staff of kasargod latex
factory may be conducted in marketing and processing
areas .
4. The society should make more marketing and
processing of all types of agricultural products.
5.Neccessary steps should be taken to provise better
workin conditions to its employes.
6.Introduction of new branches will help the expansion of
society operation.
7. A price fluctuation fund should also be created to meet
the losses by price fluctuation in the market.
8.Supervision.inspection and credit should be stream
lined.

9.The tax department should provide exception in taxes

to strengthen the society.
10. The government should be more favourable in
extending technical assistance and financial support to
the society