Ratio Analysis and Interpretation: Yamaha

• Yamaha made its initial foray into India in 1985. Subsequently, it entered into a 50:50 joint-venture with the Escorts Group in 1996.

• However, in August 2001, Yamaha acquired its remaining stake becoming a 100% subsidiary of Yamaha Motor Co., Ltd, Japan (YMC).

• In 2008, Mitsui & Co., Ltd. entered into an agreement with YMC to become a joint-investor in the motorcycle manufacturing company "India Yamaha Motor Private Limited (IYM)".

Current scenario

Yamaha continues to soar high, domestic sales up by 35.2 % in september.sep 06, 2011 -yamaha zips ahead with the launch of the yzf-r15 version 2.0 sep 05, 2011 fourth leg of yamaha yzf-r15 one make race - season 2011 rounds off in style. sep 01, 2011yamaha upbeat about upcoming festive season, registers a domestic sales growth of 32% in august. aug 01, 2011 yamaha continues to ride high on sales in july 2011.

The relationship between current assets and current liabilities is called current ratio. It is a measure of general liquidity and is most widely used to make the INTERPRETATION for short term financial position or liquidity of a firm.

The ideal figure should always be greater than 1.The Company has a current ratio of 0.8 and it should look to improve it. The higher the better.

Net profit ratio is the ratio of net profit (after taxes) to net sales. It is expressed as percentage. The two basic components of the net profit ratio are the net profit and sales. The net profits are obtained after deducting income-tax and, generally, non - operating expenses and incomes are excluded from the net profits for calculating this ratio.

Gross profit ratio (GP ratio) is the ratio of gross profit to net sales expressed as a percentage. It expresses the relationship between gross profit and sales.