A Study On Cost Volume Profit Analysis On Medistark Biotech Pvt.ltd

• Author(s):

  S.Jaya Preeethy | Ms.S.Visalakshi

• Keywords:

• Abstract:

  This Project Study Analyses The Financial Performance Of Medistark Biotech Pvt. Ltd. Using Cost-Volume-Profit (CVP) Analysis As The Primary Evaluation Tool. The Study Is Based Entirely On Secondary Data Collected From The Company’s Financial Statements For The Period 2020–2024. Key CVP Techniques Such As Break-even Analysis, Contribution Margin, Profit-volume (P/V) Ratio, Margin Of Safety, And Profitability Ratios Were Applied To Understand The Relationship Between Cost, Sales Volume, And Profit. The Results Indicate That The Company Achieved Its Strongest Performance In 2021, With The Highest Levels Of Revenue, Profit, And Operational Efficiency. However, From 2022 Onwards, Profitability Declined Due To Rising Fixed Costs, Decreasing Contribution Per Unit, And Reduced Operating Margins. The Break-even Point Increased Consistently, Indicating Higher Sales Requirements For Achieving No-loss Conditions. Although Gross Profit Margins And P/V Ratios Remained Relatively Stable, Net Profit Ratio, Return On Assets (ROA), And Return On Equity (ROE) Exhibited Downward Trends. The Margin Of Safety Showed Improvement In The Later Years, Demonstrating The Company’s Ability To Maintain Operations Above The Break-even Point. Overall, The Study Concludes That CVP Analysis Is An Effective Managerial Tool For Assessing Financialstability, Guiding Pricing Decisions, Controlling Costs, And Supporting Strategic Planning. The Findings Emphasize The Need For Improved Cost Efficiency, Enhanced Sales Strategies, And Periodic Review Of Pricing Policies To Strengthen The Company’s Long-term Financial Sustainability.

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Other Details

• Paper id:

  IJSARTV11I12104421

• Published in:

  Volume: 11 Issue: 12 December 2025

• Publication Date:

  2025-12-06

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