The main financial positions of the power distribution companies are operational status of power distribution, working capital position, fixed assets position, capital structure and profit and loss capacity of the both power distribution companies. Inventory management practices, management of receivables, cash management practices, application of capital budgeting techniques, leverage analysis are found relevant of both power distribution companies in Andhra Pradesh. The power sector of Andhra Pradesh is divided into 4 categories namely regulation, generation, transmission and distribution. Andhra Pradesh Electricity Regulatory Commission (APERC) is the regulatory body.