In any investment, investors seek to obtain a return and try to obtain information about the future amount of profitability of companies. One of the most common methods for reviewing financial information is to prepare financial ratios. This study aims to find the variable with the greatest perspective to explain profitability. The investor, whether personal or corporate shareholders, needs a model to evaluate the performance of companies and determine their expected profitability. Financial ratios play an important role in growing a business efficiently. If a company does not maintain its financial ratios effectively, it will directly affect its performance. Different financial ratios such as profitability ratios, liquidity ratios, debt ratios and Return ratio play a major role in judging the progress of a company by the new investor and existing investors. Say no to plagiarism. Get a tailor-made essay on “Why violent video games should not be banned”?Get the original essayThe pharmaceutical industry in Pakistan has grown over the past few decades. At the time of Pakistan's independence in 1947, the country had few production units. Currently, Pakistan has more than 800 large volume pharmaceutical formulation units, including those operated by 25 multinationals operating in the country. Pakistan's pharmaceutical industry meets approximately 90% of the country's demand for finished dosage forms and 4% for active ingredients. Specialized finished dosage forms such as soft gelatin capsules, parenteral fat emulsions and metered dose inhalers continue to be imported. There are only a few producers of bulk drug active ingredients and Pakistan mainly depends on imports of bulk drugs for its formulation needs, leading to frequent drug shortages. Political unrest and allegations of underinvoicing add to the uncertainty of imports, and conflicts with customs and tax authorities are common. The domestic pharmaceutical industry has seen growth over the years, especially in the last decade. The industry is trying to modernize and today the majority of the industry follows local laws on good manufacturing practices, and a few comply with international guidelines..