Empirical Study of Profitability Analysis in Post –Acquisition of Ultra Tech Cement and Jaypee Groups
Pushpalatha B N, Dr. Manoj Kumara N V
Mergers, Acquisitions, profitability, efficiency
The paper investigated profitability analysis with Mergers and acquisitions are transactions in which the ownership of companies, other business organization, or consolidated with other entities. This paper conducts a study of the influence of company mergers on the financial performance of the merged company, the purpose of this research is to test the efficiency of market with respect to announcements of mergers and acquisition using an event study methodology. Specifically, this study analyzed effects of company mergers the main purpose of company unit is make profit. This study examines the statistical tool and financial tool are being used in this study limited period is 3 years. The profitability analysis is done to throw light on the current operating performance and efficiency of business firm. It should be duly noted that net income figure alone is not very helpful in determining the efficiency and performance of the business firm unless it is related to some other figure such as sales, cost of goods sold, operating expenses, capital invested etc.