Vol.3 (1), January (2013)
Online available at zenithresearch.org.in
PROFITABLITY PERFORMANCE ANALYSIS OF INDIAN PHARMA
SECTOR
T.NARAYANA GOWD*; DR.C.BHANU KIRAN**; DR.CH.RAMA PRASADA RAO**
* Research Scholar (Part-time), SKIM, S.K.University, Anantapur &Associate Professor,
Srikalahastiswara Institute of Information and Management Sciences,
Kapuganneri (village), Srikalahasti( Mandal),
Chitoor (District), Andhrapradesh , Pin:517641 India.
** Associate Professor & Placement Officer,
Anantha Lakshmi Institute of Technology & Sciences,
Itukalapalli (v), Anantapur, Pin:515721, Andrapradesh, India.
*** Professor, Sri Krishanadevaraya Institute …show more content…
Ho3: Operating Profit positively affects profitability.
Ho4: Return on Total Assets (ROA) positively affects profitability.
Ho5: Earning Per Share (EPS) positively affects profitability.
RESEARCH DESIGN AND SCOPE OF THE STUDY
In this research paper Analytical research design is used as it uses already available facts and which critically evaluates available facts of the sample concern. In Pharma sector of India
Dr.Reddys Laboratory’s Limited as selected as sample concern. This study investigate the affect of selected profitability ratios on ROE, for this analysis data is gathered from the annual financial statements of Dr.Reddys Laboratory’s Limited, India from 2002-03 to 2011 -12.
RESEARCH METHODOLOGY & TOOLS FOR ANALYSIS
In this study principal tool is used are selected profitability ratios such as Gross Profit, Operating
Profit, Net Profit , Earnings Per Share, Return on Assets and Return on Net Worth Ratios. The model is build based on selected profitability ratios (Gross Profit, Operating Profit, Net