The profitability ratios the profitability of Hyundai Motors has decreased from the year 2011 to 2015. The gross profit margin and operating margin has decreased which means the profit margin has decreased over the year (Holton, 2012). The expenses of the company have increased, and the profits have decreased. The sales revenue has also been decreased slightly. The return on capital employed and return on equity of the company has also been decreased from the year 2011 to 2015. The ratios show the ability of the organization has decreased to generate returns from the invested capital. The equity has decreased, and noncurrent liabilities have increased over the period. However, the profitability ratio of Ssangyong Motor company shows the negative performance of the company. The sales revenue and profitability of the company has decreased during the period.
The current ratio of Hyundai Motors has increased in the initial, and it has decreased in the later period. However, the current ratio is above one which means the performance of the company is good and would be able to pay the obligations. It has decreased with the increase in current liabilities and increase in current assets (Gowthorpe, 2008). The acid test ratio has also been decreased which means the company will not be able to convert its resources into liquid cash. The current ratio and acid test ratio of Ssangyong Motor Company has decreased over the period, and the values are below one. Thus, it shows that the company will face difficulties to pay its obligations.
From the year 2011 to 2015, the net asset turnover of the Hyundai Motors Company has been declined. The sales revenue of the firm has decreased slightly, and the company is not efficiently utilizing resources (Robinson, 2009). The capital investment is not appropriately utilized by the company. The net asset turnover of Ssangyong Motor has increased from the year 2011 to 2015 which shows an increase in sales revenue.