CONCLUSION
We have discussed and analysed the financial ratio for both companies, IJM Land and UEM Land. We indicate that UEM Land has a better performance based on the ratio from 2011 until 2013. Through the analysis we are enable to identify the strength and weaknesses of both companies. We also think that if the companies want to make an improvement in the ROE they should increase their sales without have to commensurate in cost and expenses. Next, reduce the firm’s cost of goods sold or operating expenses. They also can increase sales relative to the asset base or decrease the amounts invested in company’s assets.It's important to keep in mind that ratios are only one way to determine the financial performance. Beyond what industry a company is in, location can also be important. Regional differences in factors such as labor or shipping costs may also affect the result and the significance of a ratio. Sound financial analysis always entails closely examining the data used to establish the ratios as well as assessing the circumstances that generated the results. It shows that the company’s ability to meet short term financial obligations that is the company has the resources to pay its creditors when payments are due. The higher the liquidity, the easier it is for the company to pay its creditor on time.