Financial Performance Analysis of MAS | | 2008 | 2007 | 2006 | 2005 | 2004 | 2003 | Asset management | Receivables turnover | 7.44 times | 8.12 times | 7.12 times | 4.84 times | 5.16 times | 4.41 times | Days sales in receivables | 49 days | 45 days | 51 days | 75 days | 71 days | 83 days | Proftability ratio | Profit margin | 1.63% | 0.58% | -1.03% | -14.25% | 5.39% | 3.88% | Return on assets | 2.44% | 8.48% | -1.90% | -19.98% | 6.97% | 5.89% | Liquidity ratio | Current ratio | 1.38 | 1.42 | 0.74 | 0.81 | 1.18 | 1.04 |

Asset management – Receivables turnover ratio measures how efficiently a firm uses its assets.it can be noted that this ratio has increased significantly from year 2003 to 2008 by 69%. This significant increase implies that the company’s collection of its outstanding credit account is getting more efficient. It can also be proven from the days of collection itself which has reduced from 83 days to 49 days.
Proftability ratio - Profit margin. It can be noticed that in 2005, it has the lowest ratio of as compared to other years amounting to -14.25% followed by -1.03% in 2006. The reason of this negative value for these two consecutive years were due to the inability to control its fuel bills and its operation requirement. However, the company managed to improve its losses by 2008 as its profit margin was enhanced to 1.63%. Next is Return on assets. In the case of MAS’s ROA indicates that there is inefficient use of company's assets because the returns was considerably low throughout the years. However, for the year 2005, it is noticable that MAS incurred losses as it has negative return of 19.98% followed by -1.90% in 2006. However, it improved significantly in 2007 as it obtained 8.48% return.
Liquidity ratio – It is notable that throughout the years, MAS’s current ratio were above 1 which indicates that MAS has the ability