A STUDY ON THE ROLE OF RATIO ANALYSIS IN FINANCIAL PERFORMANCE OF CPRIME TECHNOLOGIES INDIA PVT. LTD

Financial performance evaluation is a cornerstone of effective corporate governance and strategic decision-making, particularly in emerging and rapidly scaling organizations. Ratio analysis serves as a fundamental analytical framework that transforms financial statement data into interpretable indicators of organizational health. This study investigates the role of ratio analysis in assessing the financial performance of Cprime Technologies India Pvt. Ltd., a newly incorporated IT service company, over two financial periods: FY 2023–24 (partial year) and FY 2024–25 (full operational year). The research adopts a quantitative, descriptive approach using secondary data derived from audited financial statements. Key financial ratios—covering liquidity, profitability, efficiency, and return dimensions—are computed and analyzed using comparative and graphical techniques. Additionally, hypothesis testing is employed to determine the significance of ratio analysis in reflecting financial performance and identifying year-on-year improvements. The findings reveal substantial growth in profitability and return ratios, improved liquidity management, and efficient operational performance. The results validate that ratio analysis is a reliable and effective tool for financial evaluation in service-based firms. This study contributes to the limited empirical literature on newly established IT support companies and provides insights into financial performance assessment during early growth stages.