Financial Performance Analysis of KCP Cement Limited, Tamil Nadu

Cement is a highly capital intensive industry. The cost of economic size of a plant of four lakhs of installed capacity comes to Rs. 27 Crores. Therefore, cement factories must be cautious in administering and utilizing the available funds. Moreover, they should also buildup their reserves and surplus to an adequate level for the modernization and improvement programmes. It can be achieved only by effective financial management. It may be mentioned that there is a necessity to study the analysis of financial position of the cement industry. When the financial management is sound, units are also sound. But, the improper financial management has led some of the units into sickness and they are declared as sick units. Hence, it is considered worthwhile to study in detail about the financial position of KCP Limited, Tamil Nadu.