Paper Details

India has got a slow but growing demand for cotton consumption yearly. The production pattern of cotton has got both organised and unorganised players in the market. This industry employs around 4.8 million people in India. The study focuses on understanding the effects of flood on the listed cotton companies in India. The performance of the listed cotton companies would be studied with regards to impact on their share prices. The calamity selected for the present study was flood in the year 2013 and therefore Share price returns were calculated for a year where prices were taken on 1st January, 2012 and 31st December, 2012 and return was calculated. The share price returns for after the calamity were taken by taking prices of 1st January, 2014 and 31st December, 2014.The study would help in giving various stakeholders an idea with regards to the key performance drivers. Secondary data has been collected from annual reports and stock exchanges of the selected sample companies. The study has used the paired sample t test to study the impact of flood on the cotton companies. The result of the study is that cotton companies have been affected due to flood and significant relation between cotton production and returns of listed cotton (Textile) companies have been found.

cotton crop, financial performance, listed companies, profitability