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Author(s):

Gokul Raj T | Amaresh S
Keywords:

Profitability, Ratio Analysis, Financial Statement Analysis, ROA, ROCE, Baba Things India Pvt Ltd
Abstract:
Profitability Analysis Is A Key Financial Tool Used To Assess The Operational Efficiency And Financial Stability Of A Business Enterprise. This Study Evaluates The Profitability Performance Of Baba Things India Private Limited, A Textile And Soft-goods Manufacturing Company Based In Puducherry. Using Secondary Data Extracted From Audited Financial Statements For The Period 2021–2025, The Analysis Examines Major Profitability Indicators, Including Gross Profit Ratio, Net Profit Ratio, Return On Assets, Return On Capital Employed, And Asset Turnover Ratio. Statistical Tools Such As Mean, Standard Deviation, And Coefficient Of Variation Were Applied To Measure Stability And Variability. The Results Indicate Consistent Gross Profit Margins But Fluctuating Net Profitability, Mainly Due To Variations In Operating Costs And Asset Utilization. ROA And ROCE Displayed Significant Fluctuations, Reflecting Inconsistent Capital Efficiency. Overall, The Findings Highlight The Need For Improved Cost Management, Better Capital Allocation, And Enhanced Operational Strategies For Sustainable Profitability.