An Empirical Analysis on Inventory Management and Its Impact on Financial Performance of Ashok Leyland Ltd
“An Empirical Analysis on Inventory Management and Its Impact on Financial Performance of Ashok Leyland Ltd.”
M. Akhila Reddy
Assistant Professor, Department of MBA, CMR Institute of Technology, Hyderabad, Telangana, India
Email: akhilareddymuskulla4@cmritonline.ac.in
Yamjala Pavani
Student of MBA, CMR Institute of Technology, Hyderabad, Telangana, India. Email: pavaniyamjala2003@gmail.com
ABSTRACT:
This study examines the impact of inventory management on the financial performance of Ashok Leyland Limited, one of India’s leading commercial vehicle manufacturers. The research evaluates inventory efficiency and its relationship with profitability and liquidity during FY2021–FY2025. Secondary data from annual reports and financial statements were analyzed using ratio analysis, trend analysis, correlation, and regression techniques. The findings indicate that effective inventory management improves profitability, operational efficiency, and financial stability. The study provides useful insights for managers and investors regarding the role of inventory control in achieving sustainable business growth.
Keywords: Inventory Management, Financial Performance, Ashok Leyland, Profitability, Liquidity, Inventory Turnover.