Electroputere is a company in change. It is now a private owned company.

A comprehensive
investment and restructuring program is under implementation such as new production machines
and equipment, refurbishing buildings, a health and safety program, trimming processes, product
development, and much more. All the changes are meant to fulfill the aim to be a global supplier
of innovative power products and efficient solutions. Furthermore, Electroputere is turning to be
a market-driven company with front end sales teams located close to the customers.
Founded in !"!, it is today one of the largest industrial companies in #omania. $uring the time,
Electroputere has produced, for #omanian, %ulgarian, &hinese, 'olish #ailways and others,
more than (")) $iesel locomotives, )*) Electric locomotives, urban vehicles and comple+
equipments.
Electroputere are currently active manufactures of,
Industrial electrical parts - circuit breakers, transformers etc.
Industrial electric motors - &onverters
.eavy duty power transformers
#ailway and /rban vehicles
0hey also have divisions speciali1ing in,
Forging and molding metal
Equipment repairing
0ools moderni1ation
The Initial data for Electroputere is presented below:
Balance sheet ELECTROPUTERE ()2#345 ())2#345 ())!2#345
Assets
Current assets (6)"7")).)) !!89787)).)) )9"*69*6)).))
Fixed assets 9)"")"66*)).)) 97*66)!)).)) "!9878"8)).))
TOTAL ASSETS 432419499! 4"491#$2$! $9%221$!
Lia&ilities and st'c(h'lders) e*uit+
Current lia&ilities (8(")!*9)).)) )79*"8)6)).)) ()78868"7)).))
T'tal current lia&ilities 7))("")).)) ")"!!!)).)) ()78868"7)).))
L'n,-ter. de&t /includes 0inancial leases1 (86969867)).)) (999)*99()).)) ())9)9"7)).))
TOTAL L2AB2L2T2ES 4393#$3! 3%342331! 4%#1#92!
St'c(h'lders) e*uit+ 6!6)7)).)) 8"!"6)).)) 86!"8"7)).))
'aid-in capital in e+cess of par on common stock 9987)(!)).)) 9987)(!)).)) ).))
T'tal st'c(h'lders) e*uit+ 34"$#3%! 1$92239! 1%#94%4"1!
TOTAL L2AB2L2T2ES A34 STOC56OL4ERS)
E7U2T8 4%44333%! $24322$%! $#"293$3!
()2#345 ())2#345 ())!2#345
:A;E: ((6!!87(*)).)) 99("679!!)).)) (6(*(9*6))).))
&3<: (88)7*!")).)) 99!88!)*")).)) 9(()*(97)).))
E%I0 -"6)79!7!)).)) -8(!(7**)).)) -9!*(686)).))
4et 'rofit -"6)79!7!)).)) -899*7**)).)) -9!**8""6)).))
#esult per share ).)) ).)) ).))
4o. of :hares 9987)(!9 9987)(!9 9987)(!9
&ommon share value ).) ).) ).)
After analyzing the data from 2009 until 2011 we hae discoered that the company
the company!s liabilities are almost e"ual to the total amount of the assets as it has
been growing from 2009 until 2011:
FINANCIAL RATIO ANALYSIS
ELECTROPUTERE 2011 2010 2009
1. Liquidity 1. Current ratio 1.01 0.94 0.50
2. Qui! ratio 1.01 0.94 0.50
". Ca#$ ratio 0.00 0.00 0.00
In terms of li"uidity# we can conclude that the company doesn!t hae much which is
due to the area of production$ %onsidering the fact that the company is producing
comple& industrial e"uipment e&plains why the company has a low ratio on li"uidity
and cash as most of the transactions are done on the logh term and through ban'
transfers
(e&t we analyzed the e)ciency of the company and we can conclude that the
company has a hi e)ciency rate as most of the assets don!t spend een one day in
the inentory$
FINANCIAL RATIO ANALYSIS
ELECTROPUTERE 2011 2010 2009
2. Efficiency 1. In%entor& turno%er 0.00 0.00 0.00
2. 'a&# in in%entor& 0.00 0.00 0.00
". A%era(e o))etion *erio+ 0.00 0.00 0.00
4. Tota) a##et# turno%er 0.5" 0.,2 0.4,
(e&t we analyzed the company!s leerage# pro*tability and mar'et$
FINANCIAL RATIO ANALYSIS
ELECTROPUTERE 2011 2010 2009
3. Leverage 1. 'e-t ratio ...9"/ 00.,2/ 52..2/
2. 'e-t1to1e2uit& ratio .0".22/ 154.01/ 111.9"/
". Ti3e# intere#t earne+ 0.00 0.00 0.00

4.
Profitablity 1. 4ro## *ro5it 3ar(in 120.99/ 12.19/ 11".99/
2. O*eratin( *ro5it 3ar(in 120.99/ 12.21/ 114.00/
". Net *ro5it 3ar(in 120.99/ 12.21/ 114.00/
4. Earnin(# *er #$are 10.00 10.00 0.00
5. Pa&out ratio 0.00 0.00 0.00
0. ROA 111.12/ 11.5./ 10.02/
,. ROE 11"..0./ 14..0/ 122.11/

5. Market 1. PER 0.01 0.01 0.00
2. 6ar!et to -oo! ratio 1.00 1.00 1.00
As the numbers show aboe in the analysis# the company didn!t do so well in the
past years in terms of leerage and pro*tability due to high alues of the liabilities$
In terms of +,A and +,E the situation is not loo'ing better either$
As both +,A and +,E are negatie which is due to the fact that the company was
priatized and now has foreign priate capital which has helped to reie it and
relaunch the company in the mar'et again$
-uring this period# from 2009 until 2011# the company spent large amounts of
capital on production of goods and as well as on long term debts$
In Ane&es 1# 2 and . it is graphically represented the company!s *nancial analysis of
the company using the -upont analysis system$
Therefore we recommend for the company to increase production in order to attract
more foreign and priate capital for reinestment and also for research and
deelopment$
/ut it would also be good for a part of the sales the company gains to be used in
order to pay the long term debts or at least the company should try to reduce them$