An Analytical Study on Working Capital Efficiency and Cash Flow Sustainability at Royal Enfield: A Study with Special Reference to Royal Enfield (Eicher Motors Limited) - Chennai

Abstract: Working capital management is fundamental to the operational and financial stability of any enterprise. This study undertakes an analytical examination of working capital efficiency and cash flow sustainability at Royal Enfield (Eicher Motors Limited), a leading motorcycle manufacturer. Using five years of secondary financial data spanning 2020–21 to 2024–25, the research employs ratio analysis, trend analysis, and cash flow analysis to evaluate liquidity, solvency, asset utilisation, and profitability. Key findings reveal that the current ratio remained above 1:1 in all five years; net profit margins grew from 15.45% to 25.09%; operating cash flows surged from Rs. 423.96 crores to Rs. 3,979.92 crores; and the working capital trend recovered to 43.50% in 2024–25 after declining to 7.26% in 2022–23. Keywords: Working Capital Efficiency, Cash Flow Sustainability, Liquidity Ratios, Ratio Analysis, Trend Analysis, Royal Enfield. Title: An Analytical Study on Working Capital Efficiency and Cash Flow Sustainability at Royal Enfield: A Study with Special Reference to Royal Enfield (Eicher Motors Limited) - Chennai Author: Hyma Hema Mandahini.G, Dr.A.Meera International Journal of Management and Commerce Innovations ISSN 2348-7585 (Online) Vol. 14, Issue 1, April 2026 - September 2026 Page No: 120-127 Research Publish Journals Website: www.researchpublish.com Published Date: 16-April-2026 DOI: https://doi.org/10.5281/zenodo.19603541 Paper Download Link (Source) https://www.researchpublish.com/papers/an-analytical-study-on-working-capital-efficiency-and-cash-flow-sustainability-at-royal-enfield-a-study-with-special-reference-to-royal-enfield-eicher-motors-limited---chennai