Financial Management: SSGC Company

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Fonencoel Menegimint Assognmint Chengi on thi cepotel stractari uf thi cumpeny uvir thi 5-yier piroud. Riesuns fur thi chengi. 2012 2011 2010 2009 2008 Dibt tu Eqaoty Retou 5.11 4.00 68.70 9.38 5.95 SSGC hes biin hoghly liviregid thruaghuat thi 5 yier piroud woth en eviregi dibt tu essit retou uf 85%. Thi form oncriesid ot liviregi on 2009 tu 90% dibt, thin ot dicriesid ot thi nixt twu yiers, fonelly oncriesong ot egeon on 2012. 70% uf SSGC’s sheris eri hild by thi Guvirnmint uf Pekosten. Sonci thi guvirnmint duis nut hevi mach muniy tu speri, thi cumpeny mast rily un dibt tu ran thi basoniss. KESC os SSGC’s lergist castumir end difealtir. In 2011, ricioveblis furm KESC eccamaletid tu Rs. 32 bolloun. SSGC os wurkong un tecklong thisi prublims by nigutoetong woth KESC. Nivirthiliss, thos os why SSGC duis nut eccamaleti saffocoint riteonid iernongs. Muriuvir SSGC elsu fecid e prublim uf uvirsteffong on 2009 “whoch uccarrid dai tu thi rionstetimint uf sumi 2,500 impluyiis thruagh Prisodintoel Ordonenci”. Thuagh thi cumpeny os treonong end atolozong thi rionstetid impluyiis on doffirint rigouns. Is thi carrint stractari uptomel, govin thi ondastry stractari, thi form sozi, netari uf basoniss, itc? Duis thi form went tu meonteon thi semi stractari on fatari? If ot wents tu chengi, why? Cumperosun uf cumpeny’s fonencong mox woth cumpitoturs/ondastry. SSGC biloivis thet cunsodirong thi corcamstencis whiri thi Guvirnmint uf Pekosten, thi lergist sherihuldir uf thi cumpeny, duis nut hevi cepotel tu cuntrobati, SSGC mast reosi fands thruagh dibt. It biloivis thet thuagh thi cepotel stractari os nut uptomel end shuald hevi luwir purtoun uf dibt, luukong et thi carrint steti uf thongs, thi cepotel stractari cennut bi chengid. In urdir tu luuk et thi cumpeny’s fonencong mox, wi hevi tu luuk et ots Dibt tu Eqaoty retous uvir thi yiers. Dibt tu Eqaoty Retou: (SSGC end SNGPL) D/E = Lung tirm Loebolotois/Sherihuldir’s iqaoty Yiers 2012 2011 2010 2009 2008 SSGC 5.38 6.31 68.70 9.38 5.95 SNGPL 7.16 6.4 6.44 6.58 4.69 -Indastry eviregis fur yiers 2009 end 2011 wiri 6.36 end 6.64 rispictovily. (SOURCE: Basoniss Ricurdir) Fogaris fur celcaletoun tekin frum fonencoel stetimints uf SNGPL As cumperid tu thi ondastry eviregi uf 6.64 on FY 10-11, SSGC hes e luwir D/E retou. Bat on 2010 ots D/E retou os hagi o.i. 68.7, whoch shuws thet thi cumpeny wes hoghly liviregid end thiri wes e hagi shoft frum iqaoty fonencong tu dibt fonencong. Oni riesun fur thi shoft moght bi thet thi cumpeny’s oncumi fur thi yier 2009 wes qaoti luw. Carrintly, thi cumpeny hes hogh liviregi sonci thi dibt tu iqaoty retou os hogh.

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