An Evaluation of Financial Indicators Influencing the Performance of DCW Wimited, Thoothukudi

P.M. Jagatheep; V. Darling Selvi

doi:10.34293/management.v13iS1-i1-May.10982

P.M. Jagatheep II MBA, Department of Management Studies, St. Xavier’s Catholic College of Engineering (Autonomous), Chunkankadai, Nagercoil, Tamil Nadu.
V. Darling Selvi Professor and Head, Department of Management Studies, St. Xavier’s Catholic College of Engineering (Autonomous), Chunkankadai, Nagercoil, Tamil Nadu.

DOI: https://doi.org/10.34293/management.v13iS1-i1-May.10982

Keywords: Financial Indicators, Financial Performance, Liquidity, Profitability, Ratio Analysis, Solvency, DCW Limited, Altman Z-Score

Abstract

The issues in this study are to analyze the financial performance measures affecting the performance of DCW Limited, Thoothukudi, which is one of the leading chemical conglomerates in India. The study is based on secondary data which is taken from the published annual report and financial statements of the company for the last 10 years from FY 2015-16 to FY 2024-25. Descriptive research approach is used. Data analysis uses financial tools such as ratio analysis, trend analysis, comparative analysis, cash flow analysis and the Altman Z-Score model. The result shows that, for the period of study, DCW Limited experienced a massive financial metamorphosis from distress to relative stability. The company generated positive operating cash flows in all 10 years, and had a significant amount of deleveraging as well as reaching a landmark Safe Zone Z-Score classification in 2022–23. But the problems include a quick ratio below benchmark, cyclical profitability and a return to the Grey Zone Z-Score in recent years, which suggests that financial discipline is important for long-term stability.