The financial position of Nghe An Tate And Lyle Sugar Co Vietnam Spanish Version Financial Analysis can be examined by having a look at its ratio analysis.
We can see in appendix 1 how the revenue has actually been declining over the years after 2005. Nevertheless, the truth that the gross profit margin has decreased as well suggests that the expense of sales have not decreased at the same rate. The declining web success, showing a negative trend from 2006 to 2007 suggests that expenses have actually increased even more than the business is able to manage given its existing resources. With a long term financial obligation contributing to the interest expenditure, Nghe An Tate And Lyle Sugar Co Vietnam Spanish Version Financial Analysis remains in dire need of an alternative income stream.
We can see a major declining trend in the existing ratio too showing a fall in liquidity which is another point of concern for Nghe An Tate And Lyle Sugar Co Vietnam Spanish Version Financial Analysis particularly as it has a long term debt to pay off as well. With the current possessions not in a position to settle the current liabilities, we can see how the company would be in a significant monetary difficulty unless the cash flow improves with additional sources of financing.
We might check out the financial condition of Nghe An Tate And Lyle Sugar Co Vietnam Spanish Version Financial Analysis even more by looking at the company's total debt to total properties ratio in appendix 2. We can see how the overall properties of the company have actually been declining from 2005 onwards. However, the long term financial obligation has stayed at $160 million while the short term financial obligation has increased side by side. Such a circumstance has brought Nghe An Tate And Lyle Sugar Co Vietnam Spanish Version Financial Analysis to a point where its total financial obligation to total properties ratio has increased. A rising total financial obligation to total properties ratio recommends that the risk has increased in terms of the company's possessions not being enough to cover its overall liabilities. This might not be showing the general liquidity position but provides clearness in regards to the general financial position of the company.