Evaluating the Financial Health of Central Public Sector Enterprises in India through Z Score Model
Twelfth AIMS International Conference on Management, (2015) ISBN: 978-81-924713-8-9
6 Pages Posted: 19 Sep 2019
Date Written: January 2, 2015
The contribution of the Central Public Sector Enterprises (CPSEs) in Indian economy is significant. The CPSEs are proclaimed towards gaining control over the commanding heights of the nation and promoting critical development in terms of the social gains, strategic value and resources. This paper is an attempt to analyze the financial performance and efficiency of selected CPSEs and also evaluate the financial health by using the Altaman’s Z Score; as the CPSEs are considered as a powerful instrument of bringing about the socio-economic transformation in our country. The study shows that ONGC, BEL and RCF are in gray zone where the solvency level is medium. SAIL and NTPC are in distress zone.
Keywords: Financial health, bankruptcy, Z score
JEL Classification: G33
Suggested Citation: Suggested Citation