Beximco Pharmaceuticals Ltd. is the largest pharmaceutical company in Bangladesh. It was established in 1976 and began operations in 1980 by manufacturing and marketing imported drugs under licensing agreements. In 1983, Beximco began producing its own formulations and launched exports in 1992. Today, Beximco manufactures over 500 generic drug products and has over 2,700 employees. It has received several national awards for export excellence. The report analyzes Beximco's financial performance based on ratio analysis using data from its annual reports and interviews.

1. 1
Introduction:
Beximco Group is supposed to be Bangladesh’s largest private sector industrial enterprise. It
has targeted the industries the country needs most for progress and improved living standards.
Beximco is also focused on those industries, which make the most of Bangladesh’s
competitive advantages in the international market. Through its ongoing growth, it has
created industrial and management capabilities that will serve the country for generations.
BEXIMCO’s industrial sector includes jute, textiles, basic chemicals and pharmaceuticals
and marine foods. Non-industrial undertakings are focused on real estate and construction,
engineering, media, information technology, trading and financial services.
BEXIMCO Group is the largest private sector industrial conglomerate in Bangladesh
engaged in diverse business areas. BEXIMCO comprises of five publicly listed companies
and sixteen private companies. The Group turnover in 2014 was BDT 18.5 billion.
BEXIMCO employs 35,000 people and has 230,000 shareholders. BEXIMCO’s shares
constitute 4.84% of the market capitalization of DSE.
1.1 Backgroundof the study:
The report is originated to make a study on the financial statement, Investment Decision,
Financial Decision, Working Capital Management and Dividend Decision of Beximco
Pharmaceuticals Limited.
The study has been carried out with the following objectives:
1. To illustrate Function of corporate financial manager of Beximco Pharmaceuticals ltd.
2. To identify the different types of financial decision of corporate manager of Beximco
Pharmaceuticals ltd.
3. To make some recommendations to overcome the problems.
1.2 Objective of the study
In Bangladesh now different public ltd. organizations are operating there business. And every
organization now involved attracting the retail customers that means the middle income
group people of the country. To draw their attention the sells persons of different
organization try to knock every possible door. These activities of different organization
increase the interest about this sector. This report helps us to understand performance of a
financial manager.
1.2.1 Broadobjective:
By following on board question/objective the report is completed, to know overall about the
company’s “Financial performance based on ratio analysis” of Beximco pharmaceuticals Ltd.

2. 2
The report is generated for knowing about the financial condition of the Beximco
pharmaceuticals Ltd.
To develop self-knowledge.
To develop skill.
To develop work experience.
1.2.2 Specific objective:
To take Investment Decision.
To take Financial Decision.
To take dividend decision
To manage working capital
To get information about present condition of their finance
To guess about their future financial condition
1.3 Methodologyof the study:
The study uses both primary data and secondary data. The information of the report was
collected from secondary sources like books, published reports and web site of the BFL. For
general concept development about the BFL short interviews and discussion session were
taken as primary source.
1.3.1 Sample Size:
For any research sample size is the most important factor and this research is also not an
exception. For analyzing this research we talk with two person of Beximco
1.3.2 Sample Design:
A sample design is the framework, or road map, that serves as the basis for the selection of a
survey sample and affects many other important aspects of a survey as well. In a broad
context, survey researchers are interested in obtaining some type of information through a
survey for some population, or universe, of interest. One must define a sampling frame that
represents the population of interest, from which a sample is to be drawn. The sampling

3. 3
frame may be identical to the population, or it may be only part of it and is therefore subject
to some under coverage, or it may have an indirect relationship to the population
1.3.3 Sourcesofdata collection:
A Primary Sources:
The data collectedfora purpose orwhenthe researcherinvestigatesa particularproblemathandis
knownas primarydata.
Sources of Primarydata:
The necessarydata andinformationwasgatheredbyfollowingsources-
Examiningdocuments
Takingin-depthandface toface interviews
Making observation
B) Secondary sources.
Whenan investigatorusesdata,whichhave alreadybeencollectedbyothersforanotherpurpose,
such data iscalledsecondarydata.
The majorparts of informationarecollected fromthe secondarysuch as:
Annual reportof BPL.
Office filesandDocuments.
Studyrelatedbookanddifferenttextbooks.
Website.
Internal Sources:
For my projectthe internal secondarysourcesof informationwasthe brochures,medical bookand
annual reportof 2012, 2013 & 2014 of BeximcoPharmaceuticalsLtd.BesidesIhave alsotakensome
otherunpublishedinformation fromthe staffsof MRC dept.
External Sources:
As an external secondarysource of informationIhave takendatafrom some otherreportsand
unpublishedinformationwhichcollectedbypersonal contactof otherpharmaceuticalscompanies.

4. 4
Discussionwith ConcernedPerson:
As studyrelatedcurrentdataare notavailable,Ihadto discusswithconcernpersonsforgettingup
to data information.
1.3.4 Survey Instrument:
Ms word,Ms Excel,Table,Questionnaire
1.4 Scope of the Study:
There are lotof Publiclimitedfirminourcountry.Soit’sveryeasyfor me to selectone companyto
start my research. Thisstudy will coverFinancial Manager’sActivitiesof BeximcoPharmaceuticals
Ltd. Andit’sone of the largestPubliclimitedcompanyinourcountry.
1.5 Limitation ofthe study:
There may some limitationsbehindthisReport.Theseare –
There are lacksof sufficientprimaryandsecondaryinformationsource.
Companywill notgive us the total informationasitisverysensitive issue,whichwasneededto
explore the currentposition.
There will be notenoughinformationonthe Internet.
The probable cause of the mistake maybe because of the communicationgapbetweenthe
interviewerandinterviewee due todifferencesinmymaturitylevel andunderstanding.
The study hassufferedfromanumberof barriers-
All the employeesare verybusywiththeirwork,Ihadto wait more than one hour fora piece of
information.
Time isalsoa bigconstraintfor myresearch.I have to submita broaderdeal ina shorterformof
outcome.If I couldgetfewmore time to spendincollectingdataforpreparingmyreport
Constrainof resources.
Nonavailabilityof upto date data.
Sufficientbooks,publications,facts&figureswere unavailable

5. 5
1.6 Gantt chart:
Description of
the project
Time
Week
One
Week
Two
Week
Three
1.Assigning the report
2.Data Collection
3.Data analysis
4.Report Submission

6. 6
Chapter-2
Organization Profile:
Beximco Pharmaceuticals Ltd. (BPL):
Beximco Pharmaceuticals Ltd. (BPL) is a member of the Beximco Group – the largest
private sector business conglomerate of Bangladesh. Beximco Pharma, the largest
pharmaceutical as well as bulk drug manufacturer of Bangladesh started its journey back
in 1980 with manufacturing and marketing of licensee products of Bayer AG, Germany
and Upjohn Inc. of USA. After its initial years of struggle, it broke ground with the
launching of its own products (Aristovit-B Complex, Napa, Lactameal, Tycil etc.) in
1983. The journey continued and barrier after barrier were crossed, challenges were faced
and overcome to transform BPL into what it is at present. It went for public issue of shares
in 1985. The shares of the company are listed with the Dhaka and Chittagong Stock
Exchanges of Bangladesh.
Today, BPL holds 10.0% of share in the domestic market after competing with such
Multinational Giants as Novartis, Hoechst, Rhone Poulenc Rorer, Glaxo SmithKline,
Fisons etc. The total numbers of shareholders are 47,811 and the total numbers of
employees are 1,328. BPL manufactures and markets a high quality and cost-effective
range of about 80 formulations covering all major therapeutic groups.
BPL is the first company to receive National Export Trophy (Gold) in 1994-1995, which
was the very first year of introduction of such award by the government of Bangladesh.
This is the highest national recognition for excellence in Export .Beximco
Pharmaceuticals Ltd. Has also been awarded National Export Trophy (Gold) recently for
two consecutive years 1998-1999 & 1999-2000.It is the only company to be the record 3
times winner of this award for its outstanding export performance.
BPL has transformed its activities, culture, style and philosophy to meet the demands of
the new millennium. Business diversifications that are strategically important for sustained
growth are results of its vision of the future. A multi-million dollar pharmaceutical
formulation plant which will be fully up to the USFDA standard is being built. On
completion, this plant would be one of the most modern plants in this region. Several new
bulk drug facilities are being developed to backward integrate their high volume products.
BPL’s commitment to its customers is to always offer them the best both in product
quality and services.

7. 7
Philosophy of BEXIMCO
“We firmly believe that in the final analysis we are accountable to each of the constituents
with whom we interact; namely, our customers, our employees, our suppliers, our
shareholders, and fellow citizens”.
Vision of BEXIMCO
The vision of BEXIMCO reflects in the Chairman following statement (Groups Annual
Report 2000).
“If there is one characteristic that has typified the BEXIMCO approach it is Vision to be the
best of our nature and human resources. A vision to establish our group and country as a
respected and valued regional presence.”
Missionof BEXIMCO
“Each of our activities must benefit and add value to the common wealth of our society. We
firmly believe that, in the final analysis we are accountable to each of the constituents with
whom we interact; namely; our employee, our customer, our business associates, our fellow
citizens and our shareholders.”
Board of Directors
A S F RAHMAN CHAIRMAN & MANAGING DIRECTOR
SALMAN F
RAHMAN
VICE CHAIRMAN
IQBAL AHMED DIRECTOR (NOMINATED BY NEW DACCA INDUSTRIES LTD.)
M A QASEM DIRECTOR (NOMINATED BY NEW DACCA INDUSTRIES LTD.)
O K CHOWDHURY DIRECTOR (NOMINATED BY BEXIMCO HOLDINGS LTD.)

8. 8
A B SIDDIQUR
RAHMAN
DIRECTOR (NOMINATED BY NEW DACCA INDUSTRIES LTD.)
MD. ALAUDDIN
KHAN
DIRECTOR (NOMINATED BY INVESTMENT CORPORATION OF
BANGLADESH)
2.1 Historical background of Beximco Pharmaceuticals Ltd:
Beximco Pharmaceuticals Ltd. belongs to Beximco Group, the largest private sector business
conglomerate in Bangladesh. Bangladesh Export Import Company (BEXIMCO). The company
was incorporated in 1976 and commenced operations in 1980 with the manufacturing and
marketing, importing products from global MNCs like Bayer AG, Germany and Upjohn Inc.,
USA under licensing arrangements. In 1983, the company started manufacturing its own
formulations and it launched export operation in 1992. In 1985 BPL was listed in Dhaka Stock
Exchange (DSE) as a Public Limited Company. While the very beginning, the company was
highly successful in generating increased demand for its products which eventually justified local
production. Since then, the journey continued, and today, Beximco pharma is a leading
manufacturer and exporter of pharmaceuticals in the country, winning National Export Trophy
(Gold) a record four times. Beximco Pharma’s manufacturer facilities have been attributed by
major global regulatory bodies, and it has expended its geographic footprint across four continents.
As a public limited company, its shares are actively traded in Dhaka Stock Exchange and
Chittagong Stock Exchange, and Beximco Pharma has the unique distinction of being the only
company in the country listed on AIM of London Stock Exchange. Today Beximco Pharma
manufactures and markets its own branded generics for several diseases including AIDS, cancer,
asthma, hypertension, and diabetes for both national and international markets, having a broad
portfolio of more than 500 products and a dedicated team of around 2,700 employees.
It manufactures a range of dosage forms including tablets, capsules, dry syrup, powder, cream,
ointment, suppositories, large volume intravenous fluids, metered dose inhalers etc. in several
world-class manufacturing plants, ensuring high quality standards complying with the World
Health Organization (WHO) approved current Good Manufacturing Practices (cGMP). Beximco
also contract manufactures for major international brands of leading multinational companies.
Beximco has a strong market focus and is anticipating continued future growth by leveraging
business capabilities and developing superior product brands and markets. In particular it is very

9. 9
interested in developing a strong export market in USA and Europe. To meet the future in 2015
demand it has invested over US 150 million dollar to build a new state-of-the-art manufacturing
plant, confirming to USFDA and UK MHRA standards.
Shares of Top Ten Pharma Companies:
Ten companies are occupying more than 60 % of market share, where there are more than 250
(registered and unregistered) companies in Bangladesh Pharmaceutical Market. Out of these top
ten pharmaceutical companies in Bangladesh, eight are local companies, while only two are
multinational companies (MNCs). The top two domestic manufacturers, namely Square and
Beximco Pharmaceuticals are having a combined market share of about 25% of the total
pharmaceutical market of the country.
Pharmaceutical
Companies
Market Share in
Terms of Sales
Square Pharmaceutical Ltd. 17.46%
Beximco Pharmaceuticals Ltd 9.93%
Incepta 8.03%
Acme 7.09%
Opsonin 5.23%
SK+F 5.44%
ACI 5.44%
Aristo Pharma 5.70%
Orion 3.42%
Drug International 3.78%
Other 28.52%
Top Ten Pharmaceutical Companies in Bangladesh

10. 10
2.2 Present sister concerns of the company:
 Industry Verticals
 Textiles
 Pharmaceuticals
 Ceramics
 Trading CT
 Hospitality
 Financial Services
 Energy
Public Listed C
 Bangladesh Export Import Co. Ltd.
 Beximco Pharmaceuticals Limited
 Shinepukur Ceramics Limited
 Beximco Synthetics Limited
Products of BPL:
Blockbuster Products of BPL
Napa Highest selling drug in Bangladesh Pharmaceutical Market in terms of
unit.
Neoceptin-R Highest selling drug in Bangladesh Pharmaceutical Market in terms of
value.
Bextrum / Bextrum Gold Emerged as the most admired & highest selling nutritional supplement
in Bangladesh Pharmaceutical Market in just one year.

11. 11
Demandable Products of BPL
Products Therapeutic class
Napa Paracetamol
Amdocal Angina & ischaemic
Tycil Antibacterial
Arixon Antibacterial
Intracef Antibacterial
Neoflox Antibacterial
Atrizin Antibacterial
Pedemin Antibacterial
Filmet Antiprotozol
Neoceptin-R Antiulcerant
Bronkolas Bronchodilator
Neosten Skin
Aristovit-M Vitamin
Hi- Tech Products of BPL
Inhalation Aerosol Suppository Nasal spray
Aeronid inhaler Napa 125 suppository Nazolin Nasal spray
Azmasol Inhaler Napa 250 suppository Decomit Nasal spray
Amdocal Highest selling cardiovascular drug in Bangladesh Pharmaceutical
Market in terms of value.
Tofen Highest selling oral anti-asthma drug in Bangladesh Pharmaceutical
Market in terms of value.
Azmasol Highest selling Metered Dose Inhaler brand in Bangladesh
Pharmaceutical Market in terms of value.

12. 12
Azmasol Refill can Napa 500 suppository
Bexitrol Inhaler Ultrafen 12.5 suppository
Decomit 100 Inhaler Ultrafen 50 suppository
Decomit 200 Inhaler
Ipramid Inhaler
2.3 Financial Performance Analysis of Beximco Pharmaceuticals Limited:
A financial statement (or financial report) is a formal record of the financial activities of a
business, person, or other entity. In British English—including United Kingdom company law—a
financial statement is often referred to as an account, although the term financial statement is also
used, particularly by accountants.
For a business enterprise, all the relevant financial information, presented in a structured manner
and in a form easy to understand, are called the financial statements. They typically include four
basic financial statements, accompanied by a management discussion and analysis:
1. Statement of Financial Position: also referred to as a balance sheet, reports on a
company’s assets, liabilities, and ownership equity at a given point in time. This financial
statement provides information about the nature and amounts of investments in enterprise
resources, obligations to creditors, and the owners’ equity in net resources.
2. Statement ofComprehensive Income: also referred to as Profit and Loss statement (or a
“P&L”), reports on a company’s income, expenses, and profits over a period of time. A
Profit & Loss statement provides information on the operation of the enterprise. These
include sale and the various expenses incurred during the processing state. The income
statement, often called the statement of income or statement of earnings. The business and
investment community uses this report to determine profitability, investment value and
credit worthiness. It provides investors and creditors with information that helps them
predict the amounts, timing, and uncertainty of future cash flows.
3. Statement of Changes in Equity: explains the changes of the company’s equity
throughout the reporting period. Its related transaction with the shareholders, profit of the
year.
4. Statement of cash flows: reports on a company’s cash flow activities, particularly its
operating, investing, cash receipts, cash payments, and net change in cash resulting from
operating, investing, and financing activities of an enterprise during a period, in a format
that reconciles the beginning and ending cash balances.

13. 13
Balance Sheet
As At 31st
December 2014
SHAREHOLDERS’ EQUITY & LIABILITIES Shareholders’ Equity
2.4 Overall performance:
HRD is the innovative impression now days for an organization. HRD obviously deals with the
working people. It works to develop employee’s behavior, personal skills, abilities organizational
and individual goals and encouraging People to be productive and satisfied employee.
Some of the companies in Bangladesh doing HR activities smoothly, Beximco Group is one of
them. Beximco Group is a big organization having 8 divisions all over the country covering all the
important locations. Beximco Pharmaceutical Ltd which is under Beximco Group has almost 3000
employees.
2014 Tk. Change
%
2013 Tk. Change
%
ASSETS
Non – Current Assets 15,884,877,780 69 15,180,731,678 71.03
Property, Plant And Equipments – Carrying
Value
15,745,492,625 68.3 15,123,306,298 70.76
Intangible Assets 135,933,879 0.06 51,126,854 0.24
Investment In Share 3,451,276 0.01 6,298,526 0.03
Current Assets 7,148,462,753 31 6,191,667,831 28.97
Inventories 2,291,844,631 9.95 1,983,809,444 9.28
Spares & Supplies 325,881,244 1.41 276,520,188 1.30
Accounts Receivable 978,224,317 4.24 821,356,439 3.84
Loans, Advance & Deposits 840,320,705 3.64 779,129,620 3.65
Short Term Investment 2,193,423,560 9.52 859,403,704 4.02
Cash & Cash Equivalent 518,768,296 2.24 1,471,448,436 6.88
TOTAL ASSETS 23,033,340,533 100.0 21,372,399,509 100

14. 14
HR activities are necessary for BPL, as a pharmaceutical organization- BPL deals with the
different employees with the various departments, and many people working there. That’s why
successful implementation of HR activities is very much needed.
The objective on HRD are-
 The organization has right number and kinds of people.
 Effectiveness of procedure for recruiting, placement, career planning, training and
development, and promoting all level of employee.
 Appropriateness of reward system for motivating and changing employee.
 A work environment that minimize absenteeism and keep turnover at a desirable level.
 Implications for the future demand of HR.
Beside these activities HRD also conducts some other important tasks which are given below:
HRD performs administrative function (maintenance and protocol services).
HRD can take legal action for misconduct (theft, fraud, dishonesty, habitual late attendance,
habitual negligence or neglect to work) of employee.
Major Functions of HRD in BPL:
BPL new accomplishes their HR functions splendid way. The major functions are briefly stated
below-
5.4.1 Acquisition:
BPL management clearly exquisites right number of people at the right placement in the right
times. So that, the people will be able to complete their tasks in the most effective and efficient
manner.
5.4.2 Development:
BPL must ensure employees job involvement by providing various types of training and
development programs, internal and external workshop, seminars, conferences, etc. the recent days
job become more dynamic so that employees should be proper skilled match with the present
environment. BPL arranges the development programs for fulfillment of top level vacancy.
5.4.3 Motivation:
BPL wants to create motivation by improving personal skills and abilities, compensates people by
fulfillment of their needs. The employees may be self motivated by taking BPL’s social welfare
activities.
5.4.4 Maintenances:
BPL ensures employee’s job assurance, providing various types of benefits, and also wants to
retain experience personnel in a proper way.

15. 15
Cost of Production:
In Beximco Pharma, they use normal historical costing for determining cost of production. Also in
some cases they use the standard costing method. They have standard cost sheet for every
components of the manufacturing cost. They also use standard cost sheet for proper control and
measure their performance. They also calculate variance from standard and actual. For doing the
costing early they use predetermined factory overhead. For using normal historical costing systems
they determine the over applied or under applied factory overhead and dispose this over applied or
under applied factory overhead through cost of goods sold statement. They also do the variance
analysis. They generally does the Spending variance and Idle capacity variance. They compare
their budgeted and actual amount for calculation of spending variance
Inventory valuation methods and Beximco Pharma’s Practices:
The major inventory valuation methods are
discussed as follows: The Direct or
Variable Method
In the direct (or variable) method, only the variable manufacturing
costs are capitalized, or charged to the inventory.
The Full Absorption Method Full absorption costing (also referred to as full costing and
absorption costing) is a traditional method where all manufacturing
costs are capitalized in the inventory, i.e., charged to the inventory
and become assets.
The Activity Based Method Activity based costing is a relatively new type of procedure that
can be used as an inventory valuation method. The technique was
developed to provide more accurate product costs. This improved
accuracy is accomplished by tracing costs to products through
activities. In other words, costs are traced to activities (activity
costing) and then these costs are traced, in a second stage, to the
products that use the activities.
The Throughput Method The throughput method was developed to complement a concept
referred to as the theory of constraints. In this method only direct
material costs are charged to the inventory. All other costs are
expensed during the period

16. 16
Chapter 3
Work Responsibility of team members:
Sl No Name Work Responsibility
01 S.M. Al-Shahriar
Prepare Findings and analysis
part, assign group members with
different part of report and editing
total report
02 Md. Momin Mia Collect all necessary information
from secondary sources
03 Amit Hasan Prince Prepare Introduction Conclusion
and Recommendation part
04 Subha Saha Prepare Title fly to Executive
Summery

17. 17
Chapter 4
Findings and Analysis
4.1 Investment decisions offinancial manager
The most important decision. It begins with the firm determining the total amount of assets
needed to be held by the firm. There are 2 types of investment decision:
a) Capital Investment Decision – Involves large sums of money. The impact is critical.
Examples acquire a new machine or to set up a new plant.
b) b) Working Capital Investment Decision – a more routine or schedule form of
decision. Examples are determination of the amount of inventories, cash and account
receivables to hold within a certain period.
4.1.1 Investment rules
CAPM operations and investment activities are regulated by following rules and
regulation:
Bangladesh Securities and Exchange Commission (Mutual Fund) Rules, 2001
Guidelines on Prevention of Money Laundering & Combating Financing of Terrorism for
capital market intermediaries.
The income Tax ordinance, 1984
The trust ACT, 1882 (ACT No.11 of 1882)
The stamp ACT, 1899 (ACT No.11 of 1899)
Amendment of Securities and Exchange Commission (Merchant Bank and Portfolio
Manager) Rules, 2006.

18. 18
4.1.2 Decisioncriteria
An investment decision revolves around spending capital on assets that will yield the highest
return for the company over a desired time period. In other words, the decision is about what
to buy so that the company will gain the most value.
To do so, the company needs to find a balance between its short-term and long-term goals. In
the very short-term, a company needs money to pay its bills, but keeping all of its cash means
that it isn't investing in things that will help it grow in the future. On the other end of the
spectrum is a purely long-term view. A company that invests all of its money will maximize
its long-term growth prospects, but if it doesn't hold enough cash, it can't pay its bills and will
go out of business soon. Companies thus need to find the right mix between long-term and
short-term investment.
The investment decision also concerns what specific investments to make. Since there is no
guarantee of a return for most investments, the finance department must determine an
expected return. This return is not guaranteed, but is the average return on an investment if it
were to be made many times.
The investments must meet three main criteria:
It must maximize the value of the firm, after considering the amount of risk the company is
comfortable with (risk aversion).
It must be financed appropriately
If there is no investment opportunity the cash must be returned to shareholder in order to
maximize shareholder value.
4.2 Financing Decision
The important decision which finance manager has to take is deciding source of finance. A
company can raise finance from various sources such as by issue of shares, debentures or by
taking loan and advances. Deciding how much to raise from which source is concern of
financing decision.
4.2.1. SourcesofFund
Mainly sources of finance can be divided into two categories:
1. Owners fund.
2. Borrowed fund.
Share capital and retained earnings constitute owners’ fund and debentures, loans, bonds, etc.
constitute borrowed fund.

19. 19
The main concern of finance manager is to decide how much to raise from owners’ fund and
how much to raise from borrowed fund.
While taking this decision the finance manager compares the advantages and disadvantages
of different sources of finance. The borrowed funds have to be paid back and involve some
degree of risk whereas in owners’ fund there is no fix commitment of repayment and there is
no risk involved. But finance manager prefers a mix of both types. Under financing decision
finance manager fixes a ratio of owner fund and borrowed fund in the capital structure of the
company.
4.2.2 Priority of specific sources
While taking financing decisions and give priority of specific sources BFL’s
finance manager keeps in mind the following factors
1. Cost
2. Risk
3. Cash Flow Position
4. Control Considerations
5. Floatation Cost
6. Fixed Operating Cost
7. State of Capital Market
4.3 Working Capital ManagementDecision
Management will normally use a combination of policies and techniques for the management
of working capital. These policies aim at managing the current assets (generally cash and
cash equivalents, inventories and debtors) and the short term financing, such that cash flows
and returns are acceptable.
4.3.1 Cashconversion cycle:
The cash conversion cycle is a cash flow calculation that attempts to measure the time it takes
a company to convert its investment in inventory and other resource inputs into cash.
4.3.2. CashManagement:
The average Collection Period indicates the firm’s efficiency, in the collecting on its sales. It
may also reflect the firm’s credit. If customer take more time to pay, then the collection

20. 20
period will generally be greater. A long collection period is not necessarily bad, since a
stringent credit policy regarding customers its pay faster may lead to a reduction on sales.
Average Collection Period = Accounts receivable / Average Credit Sales per Day
Average Collection
Period Ratio
41.84 50.01 44.90 51.33
The average collection period should lower which will better. From the above calculation we
can see that the average collection period of BPL decreases 2009-20013 year. BPL credit
sales collection period is not so bad. So it means BPL their credit should be collected. It
shows the good firm efficiency.
4.3.3 Inventory Management:
A low inventory turnover implies a large investment in inventories relative to the amount
needed to services sales. The high inventories turnover shows that inventories are too small
and it may be that the firm is constantly running short of inventory, thereby losing customers.
We informed that the Inventory Turnover Ratio of BPL is decrease gradually from 2009-
2013 which is better for the firm. Because it does mean they prefer to storage their products
for appropriate or limit times. So the activity or liquidity of BPL is satisfactory. And
inventory turnover of BPL has the large investment in inventories relative to the amount
needed to service sales.
4.3.4. Marketable securitiesmanagement
Marketable securities are securities that can be easily liquidated without any delay at a
reasonable price. It is the part of a company's short term investment. Firms will maintain
levels of marketable securities to ensure that they are able to quickly replenish cash balances
and to obtain higher returns than is possible by maintaining cash.
4.3.5. AccrualManagement
Accrued revenue
Accrued revenue (or accrued assets) is an asset, such as unpaid proceeds from a delivery of
goods or services, when such income is earned and a related revenue item is recognized,
while cash is to be received in a later period, when the amount is deducted from accrued
revenues.

21. 21
Accrued expense
Accrued expense is a liability whose timing or amount is uncertain by virtue of the fact that
an invoice has not yet been received. The uncertainty of the accrued expense is not significant
enough to qualify it as a provision.
4.4 Dividend Decision:
We found that beximco provide both cash and stock dividend
4.5 Overall Findings:
From the overall findings we can say BFL use all necessary techniques to maintain the firm
financially fit. They easily use all financial derivatives to keep their financing efficiency.

22. 22
Chapter-5
Conclusion:
In Bangladesh, Pharmaceutical sector is one of the most developed hi-tech sectors which
are contributing in the country’s economy. Pharmaceutical sector is one of the fast
growing and most developed scientific sector in Bangladesh. There are about 265
registered pharmaceutical companies operating in Bangladesh pharmaceutical industry.
The market is highly competitive. BPL succeeded in gaining trust and confidence of the
doctors and patients all over the country.
Beximco Pharmaceuticals Ltd. is a leading edge pharmaceutical company and is a member
of the BEXIMCO Group, the largest private sector industrial conglomerate in Bangladesh.
Beximco Pharma is also the largest exporter of pharmaceuticals from Bangladesh,
spreading its presence in many developing and developed countries across the globe.
Recently, BPL has successfully made its footmark in the global market when it made its
debut on the London Stock Exchange as the first Bangladeshi company to be listed in the
world’s most prestigious bourse. This milestone event has widened the responsibility,
accountability and transparency of the company beyond geographical border. This was an
added challenge to all the accounting staffs as the listing the accountability of the
organization has gained a global reach. The ever expanding export trade also indicates
greater responsibility to the world. The Finance and Accounts department took the
challenge and prove their mettle by the timely publication of 2011 Annual Financial
Reports globally. Each and every section in the department deserves to be complemented
for their endeavor. From raw material import to the bringing of smile for the society, on
every level, professionalism and dedication is the key to this success.
Beximco Pharma is the largest exporter of pharmaceuticals in the country and the only
company to win National Export Trophy (Gold), the highest national accolade for export,
for record Four times. The company is the largest producer of Metered Dose Inhalers
(MDIs) in the country, and the first to produce CFC free inhalers. BPL is also the first
company to produce anti-retroviral drugs (ARVs) locally.
In this report, we have tried my level best to identify Financial analysis is helpful in
assessing the financial position and profitability of a concern. This is done through
comparison by ratios for the same concern over a period of years; or for one concern
against another; or for one concern against the industry as a whole (called inter firm
operation); or for one concern against the predetermined standards; or for one department
of a concern against other departments of the same concern (called intra firm comparison).
Accounting ratios calculated for a number of years show the trend of the change of

23. 23
position. The trend is upward or downward or static. The ascertainment of trend helps us
in making estimates for the future.
Thus we can say that there is lots of application of financial analysis in the modern days of
business. To assess any business condition financial analysis gives a clear financial picture
of any business organization. This helps to evaluate the trend and condition of
organization.
From small to big business organization financial analysis helps a great deal in decision-
making process. As it helps to give idea about the financial condition, thus it helps in
future financial projection and decision making process of any business house.
If there is no doubt Beximco Pharma is a leading pharmaceutical company in Bangladeshi
pharmaceutical industry, but there some lacking to Finance and Accounting department.
Because there financial position not so much good compare their competitive leading
company. In this situation they should be careful there costing sector. In today’s complex
yet highly competitive business environment management needs quality information for
decision making purpose. Beximco believes that quality and control should be ensured and
these can be ensured by using proper cost accounting information. Relevant and reliable
cost information can be ensured by implementing by using effective cost accounting
methods. There unproductive assets should invest productive sector and minimize their
liability. And they do the best one fit in the context of Bangladesh. I trust that Beximco
Pharma go ahead day by day galaxy.

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Chapter-6
Recommendation of the Report:
The overall performance of BPL shows a satisfactory position although they are suffering last few
years. It is not easy to recommend some suggestion to enhance the performance level of the
organization during two month practical experience in BPL. I have observed some shortcoming
regarding operational and other aspects. On the basis of my observation I would like to present the
following recommendations:
 Though BPL has qualified employee in Finance and Accounting department, but the
organization should recruit some new employee to run this department smoothly.
 BPL should increase their equity capital in their capital structure, because debt capital is
already higher.
 BPL should utilize their assets properly by investing them in more profitable projects as
there liquidity is higher than actual need.
 They should increase dividend per share that will serve as a promotional tool.
 Contribution analysis for each of the product lines to optimize profit in light of demand
factors.
 Effects to bring selling prices in line with costs having regard to competition and other
market factors.
 They should minimize their financing expenses to make higher net profit. They should
maximize the average collection period and average payable period.
 They should be careful about the market price of share, because the price of share would
decrease in future.
 Standard set-up for staff and officers to minimize administrative overhead.
 Provision for the training of officers and employees in modern management techniques.
 Necessary measures to be taken for the prompt seminars, advertisement and promotional
activities by the representatives.
In the face of today’s global competition with open market operation, BPL must develop and
retain the high achievers and motivated work force and equip them with the latest skills and
technologies

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References and Appendix
 Booklets published by Beximco Pharmaceuticals Limited
 BeximcoPharmaceuticals Limited web site(www.beximcopharma.com/)
 Annual Report 2015 - Beximco Pharmaceuticals Limited
 Dhaka Stock Exchange (DSE)
 en.wikipedia.org/wiki/Beximco_Pharma
 Prospectus of Beximco Pharmaceuticals Limited
 www.google.com
 Bangladesh Pharmaceutical Society.
 Beximco Pharma's Profile on Pharma Mirror Magazine
 Peter S. Rose - Corporate Finance (Book)
 Jeff Madhura - international financial management (Book)