ABSTRACT
The present study aims to identify the ?nancial strengths and weaknesses of the salem steel plant by properly establishing relationships between the items of the balance sheet and pro?t and loss account. The study covers Salem Steel Plant, a special steels unit of Steel Authority of India Ltd, pioneered the supply of wider width stainless steel sheets / coils in India. The study has been undertaken for the period of twelve years from 2011-12 to 2020-21and the necessary data have been obtained from SAIL database. The liquidity position was strong in case of both the selected companies thereby re?ecting the ability of the companies to pay short-term obligations on due dates and they relied more on external funds in terms of long-term borrowings thereby providing a lower degree of protection to the creditors. The study will help investors to identify the nature of SAIL industry and will also help to take decision regarding investment.