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Dupont analysis on Edelweiss financial services ltd.
 

Dupont analysis on Edelweiss financial services ltd.

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A summer internship program under the guidance of Mr. Amzad khan and Mr. Nitin shrivastav of Edelweiss Capital Bhopal,project report on the Topic DuPont Analysis on Edelweiss Services Ltd. assigned by ...

A summer internship program under the guidance of Mr. Amzad khan and Mr. Nitin shrivastav of Edelweiss Capital Bhopal,project report on the Topic DuPont Analysis on Edelweiss Services Ltd. assigned by Project Guide Dr.(Prof.) Priya Dwivedi, calculated the ROE & ROA to measure the financial position of the company.

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    Dupont analysis on Edelweiss financial services ltd. Dupont analysis on Edelweiss financial services ltd. Document Transcript

    • A PROJECT REPORT ON “DUPONT ANALYSIS OF EDELWEISS FINANCIAL SERVICES Ltd.” Submitted For the Partial Fulfillment Of Master Of Business Administration From Barkatullah University, Bhopal SUBMITTED TO: Dr.(Prof.) Priya Dwivedi SUBMITTED BY: SANDEEP PATEL MBA III SEMESTER INSTITUTE OF PROFESSIONAL EDUCATION & RESEARCH (IPER) BHOJPUR ROAD, MISROD, BHOPAL-462026 (INDIA) SESSION: 2012-14
    • PREFACE The successful completion of this training was a unique experience for me because by visiting many places and interacting with various persons, I achieved a better knowledge about the topic. The experience, which I gained by doing this training, was essential at this turning point of my career. This training report is being submitted which contains detailed analysis of the research undertaken by me.
    • DECLARATION I SANDEEP PATEL hereby declare that the following summer training report titled “DUPONT ANALYSIS OF EDELWEISS FINANCIAL SERVICES” is my original authentic work. The training report was undertaken as a part of the course curriculum of MBA programme, Barkatullah University, Bhopal. This has not been submitted to any other examination body earlier. Date : Signature Place : Bhopal SANDEEP PATEL MBA (III SEMESTER)
    • ACKNOWLEDGEMENT I would like to express my deep sense of gratitude to the respectable guide distinguished personalities for their precious suggestions and encouragement during the training. The experience which is gained by me during this training is essential for me at this turning point of my career. I am thankful to Dr.(Prof.) Priya Dwivedi, for her kind guidance, support and supervision. Last but not the least I would like to thank company officials, my friends & family members for their constant support. SANDEEP PATEL MBA (III SEMESTER)
    • CONTENTS Chapter No. Title Page No. CHAPTER - I CONCEPTUAL OVERVIEW 1-5 CHAPTER – II RESEARCH METHODOLOGY 6-10 • OBJECTIVES OF THE STUDY • RESEARCH METHODOLOGY • TOOLS OF ANALYSIS • SCOPE OF THE STUDY • LIMITATIONS OF THE STUDY CHAPTER – III COMPANY PROFILE 11-19 CHAPTER – IV DATA ANALYSIS & INTERPRETATION 20-26 CHAPTER – V FINDINGS 27-29 CHAPTER-VI CONCLUSION 30-32 BIBLIOGRAPHY 33
    • CONCEPTUAL OVERVIEW
    • CONCEPTUAL OVERVIEW DuPont analysis is an expression which breaks ROE (Return On Equity) into three parts. The name comes from the DuPont Corporation that started using this formula in the 1920s. Basic formula ROE = (Profit margin)*(Asset turnover)*(Equity multiplier) = (Net profit/Sales) *(Sales/Assets)*(Assets/Equity)= (Net Profit/Equity) Profitability (measured by profit margin) Operating efficiency (measured by asset turnover) Financial leverage (measured by equity multiplier) ROE analysis The Du Pont identity breaks down Return on Equity (that is, the returns that investors receive from the firm) into three distinct elements. This analysis enables the analyst to understand the source of superior (or inferior) return by comparison with companies in similar industries (or between industries). The Du Pont identity is less useful for industries, such as investment banking, in which the underlying elements are not meaningful. Variations of the Du Pont identity have been developed for industries where the elements are weakly meaningful. Du Pont analysis relies upon the accounting identity, that is, a statement (formula) that is by definition true. 1
    • Examples High turnover industries Certain types of retail operations, particularly stores, may have very low profit margins on sales, and relatively moderate leverage. In contrast, though, groceries may have very high turnover, selling a significant multiple of their assets per year. The ROE of such firms may be particularly dependent on performance of this metric, and hence asset turnover may be studied extremely carefully for signs of under-, or, over-performance. For example, same store sales of many retailers is considered important as an indication that the firm is deriving greater profits from existing stores (rather than showing improved performance by continually opening stores). High margin industries Other industries, such as fashion, may derive a substantial portion of their competitive advantage from selling at a higher margin, rather than higher sales. For high-end fashion brands, increasing sales without sacrificing margin may be critical. The Du Pont identity allows analysts to determine which of the elements is dominant in any change of ROE. High leverage industries Some sectors, such as the financial sector, rely on high leverage to generate acceptable ROE. Other industries would see high levels of leverage as unacceptably risky. Du Pont analysis enables third parties that rely primarily on the financial statements to compare leverage among similar companies. Return On Assets – ROA ROA is a indicator of how profitable a company is relative to its total assets. ROA gives an idea as to how efficient management is at using its assets to generate 2
    • earnings. Calculated by dividing a company's annual earnings by its total assets, ROA is displayed as a percentage. Sometimes this is referred to as "return on investment". The formula for return on assets is: NET INCOME / TOTAL ASSETS Note: Some investors add interest expense back into net income when performing this calculation because they'd like to use operating returns before cost of borrowing. ROA tells you what earnings were generated from invested capital (assets). ROA for public companies can vary substantially and will be highly dependent on the industry. This is why when using ROA as a comparative measure, it is best to compare it against a company's previous ROA numbers or the ROA of a similar company. The assets of the company are comprised of both debt and equity. Both of these types of financing are used to fund the operations of the company. The ROA figure gives investors an idea of how effectively the company is converting the money it has to invest into net income. The higher the ROA number, the better, because the company is earning more money on less investment. For example, if one company has a net income of $1 million and total assets of $5 million, its ROA is 20%; however, if another company earns the same amount but has total assets of $10 million, it has an ROA of 10%. Based on this example, the first company is better at converting its investment into profit. When you really think about it, management's most important job is to make wise choices in allocating its resources. Anybody can make a profit by throwing a ton of money at a problem, but very few managers excel at making large profits with little investment. 3
    • ROE (RETURN ON EQUITY) The amount of net income returned as a percentage of shareholders equity. Return on equity measures a corporation's profitability by revealing how much profit a company generates with the money shareholders have invested. ROE is expressed as a percentage and calculated as: Return on Equity = Net Income/Shareholder's Equity Net income is for the full fiscal year (before dividends paid to common stock holders but after dividends to preferred stock.) Shareholder's equity does not include preferred shares. The ROE is useful for comparing the profitability of a company to that of other firms in the same industry. There are several variations on the formula that investors may use: 1. Investors wishing to see the return on common equity may modify the formula above by subtracting preferred dividends from net income and subtracting preferred equity from shareholders' equity, giving the following: return on common equity (ROCE) = net income - preferred dividends / common equity. 2. Return on equity may also be calculated by dividing net income by average shareholders' equity. Average shareholders' equity is calculated by adding the shareholders' equity at the beginning of a period to the shareholders' equity at period's end and dividing the result by two. 4
    • 3. Investors may also calculate the change in ROE for a period by first using the shareholders' equity figure from the beginning of a period as a denominator to determine the beginning ROE. Then, the end-of-period shareholders' equity can be used as the denominator to determine the ending ROE. Calculating both beginning and ending ROEs allows an investor to determine the change in profitability over the period. 5
    • RESEARCH METHODOLOGY 6
    • OBJECTIVES OF THE TRAINING o To do dupont analysis of Edelweiss Financial Services. o To find out profitability position of the organization. o To calculate Financial Leverage, ROA, ROE and Profitability ratios of Edelweiss Financial services. 7
    • RESEARCH METHODOLOGY Du Pont analysis helps the management of the company to plan its future polices according to the external environment. Based on this, study has been taken up for the company. Any sound research must have a proper design to achieve the required result, this study id constructed on the basis of descriptive design. DATA COLLECTION Basically there are methods of data collection they are: Ø Primary data Ø Secondary data To achieve the objective, information is collected through secondary data. Secondary data one those which have been already been collected. it may be published or unpublished data. Data are collected form financial statement (annual report) of the company. all the information which are collected, through data are analyzed interpreted and tabulated to full fill be objective. In this study I have used Secondary Data. 8
    • TOOLS OF ANALYSIS It is essential to use a systematic research methodology for the assessment of a project because without the use of a research methodology analysis of any company or organization will not be possible. In the present analysis mostly secondary data have been used. It is worth a while to mention that I have used the following types of published data : • Balance Sheet • Profit & Loss A/c • Prospectus of the Company • General Body meeting reports • Schedules 9
    • LIMITATIONS OF THE STUDY • The research work is mainly based on secondary data that is, it is based on audited accounts and its audited accounts are ambiguous then the result will be misleading. • Less importance has been given to primary data which is actually the original data and more reliable. • Time was the major constraint. • Study is conducted for 2008-2012. • Inspite of precautions taken there are certain procedural and technical limitations. • Lack of sufficient time to exhaust the detail study of the above topic became a hindering factor in my research. • Resources were limited. 10
    • COMPANY PROFILE 11
    • BRIEF PROFILE OF THE ORGANIZATION • Edelweiss Financial Services Ltd. is a financial services company based in Mumbai, India. Edelweiss Financial Services Ltd. provides investment banking, institutional equities, private client broking, asset management, wealth management, insurance broking and wholesale financing services to corporate, institutional and high net worth individual clients. • It operates from 43 other offices in 19 Indian cities. Since its commencement of business in 1996, it has grown into a diversified Indian financial services company organised under agency and capital business lines operated by the Company and its thirteen subsidiaries. • Its operations straddle the entire spectrum of financial services in the wholesale and retail market segments including Credit, Capital Markets & Asset Management, Commodities and Life Insurance. • India’s growth story is driven by a savings rate of about 32%, one of the youngest populations in the world and strong domestic consumption. With a net worth of over INR 28 Billion, Edelweiss is adequately capitalized to exploit the opportunities emerging from this robust economic growth. Edelweiss employs over 3200 professionals across 229 offices and branches spread across 115 cities of India. 12
    • • Its core philosophy of ‘Ideas create, values protect’ is translated into an approach that is led by entrepreneurship and creativity, and protected by intellectual rigour, research and analysis. History • Edelweiss Capital Limited (ECL) was conceived as a public limited company on 11 November 1995. Now the company is one of India`s fastest growing integrated investment banking companies. Edelweiss House - Off C.S.T. Road, Mumbai 400098 • The Group`s services include investment banking, institutional equities, private client broking, asset management, wealth management, insurance broking, wholesale financing and mutual funds. ECL has built strong corporate, institutional and investor relationships backed by a researchdriven approach and a proven ability to capitalize on emerging market trends. 13
    • • The Company had received its certificate for commencement of business on 16 January of the year 1996. As at March of the year 2000, ECL had acquired Cross border Investments Private Limited and it became as subsidiary. The Company obtained the Futures & Options license in the year 2001. • Edelweiss Securities Limited formerly known as Rooshnil Securities Private Limited was acquired in July of the year 2002; this also converted as subsidiary of the company. In the same year of 2002, the Crossborder Investments Private Limited was registered as a Non Banking Financial Company. • The year 2004 witnessed the foray of the company into the businesses of commodity broking and in the year 2005 entered into insurance advisory business. ECL Finance Limited was incorporated in the year 2005 under the control of the company. • During the year 2006, the company made NBFC registration of ECL Finance Limited and managed the first Qualified Institutional Placement under the new regulatory framework in India. Edelweiss Real Estate Advisors Private Limited was also incorporated in the identical year of 2006 and the Edelcap Securities and Transaction Services Private Limited which was earlier Tiffin Investments Private Limited were acquired in December of the same year 2006. • The Initial Public Offering of the company was successfully issued in the year 2007 with the tune of 691.86 crore. During the year same year 2007, ECL had obtained the Clearing Member License. • As of May 2008, the company had received final regulatory approval from the Securities & Exchange Board of India (SEBI) to start its mutual fund business. Edelweiss Liquid Fund & Edelweiss Liquid Plus Fund was launched through its asset management company in September of the year 14
    • 2008. • The group’s research driven approach and proven history of innovation has enabled it to foster strong relationships across corporate, institutional and individual clients. The Life Insurance, Retail Finance including Housing Finance, Mutual Fund and Retail Broking businesses – both online and offline formats, have paved the way for Edelweiss to cater to the large retail client segment. • Edelweiss’ presence now covers 211 offices in 106 cities in India and abroad with 3,907 employees. Together with 4,003 strong network of SubBrokers and Authorized Persons, Edelweiss group has presence across nearly 545 cities in India catering to over 450,000 clients across various businesses in retail and wholesale segments. • In order to expand its retail business edelweiss acquired Anagram capital On 2010 January,The acquisition trebles Edelweiss’ network to about 200 offices from 65 now, for the distribution of its insurance and mutual fund products • The company is one of few custodians in India to give assistance to Foreign institutional investors • Edelweiss employs over 4000 professionals across 297 offices and branches spread across 144 cities of India 15
    • APPROACH Edelweiss is future-ready. The company has already made proactive business investments to service emerging customer needs on the one hand, and enhance stakeholder value on the other. Diversification: Over the years, Edelweiss progressively widened its services basket by moving into adjacent business spaces. Edelweiss was a purely capital market-focused player a few years ago; this business accounts for only about a third of its revenues today. As Edelweiss continues to broad base revenues, a rising proportion of growth will be derived from its Credit, Asset Management, Commodities and Insurance businesses. Strong and liquid balance sheet: Edelweiss possessed a balance sheet size at the end of FY 12 of over INR 145 Bn with a net worth of over INR 28 Bn. Edelweiss focuses on low gearing that provided the organisation with sufficient headroom to fund growth without comprising its balance sheet integrity. Risk management: Edelweiss’ risk mitigation practices are strengthened through timely investments in people, processes and IT capabilities on the one hand, and credible governance practices stewarded by an industry-renowned Board on the other. People: Edelweiss cultivates a culture of entrepreneurship and ownership among its people. The Group continues to invest in developing leadership and managerial 16
    • talent across the organization through a four-tier system of identifying, nurturing and mentoring leaders. Fountainhead, Edelweiss’ state-of-the-art leadership centre in Alibaug, is among few such centres in the Indian Financial Services industry, promoting among others, a culture of training and development across the group. Processes: Edelweiss has undertaken a significant restructuring of its business to enhance operational efficiencies, dividing the organization into two operational clusters; Wholesale and Retail and SBU groupings that provide the scale and ergonomic growth. The company has carried out a visioning exercise with a roll-down across the organization to ensure clear articulation of its growth aspirations. Execution expertise: Edelweiss’ focus on error free and timely execution across businesses represent the core of its success. It possesses strong project teams that focus on processes, reviews and deliverables. Whenever necessary, it re-engineers processes and innovates state-of-the-art technology solutions that enhance efficiency. Brand: The Edelweiss brand is a much respected brand enjoying widespread recognition due to consistent investment in diverse set of brand building efforts spanning both conventional and unconventional channels. The ‘Ideas create, values protect Protect’ tagline underlines all branding efforts. A testament to the quality of the reputation being enjoyed by Edelweiss is the fact that Superbrands India has recognized Edelweiss as the Business Superbrand in the year 2011. 17
    • ONLINE SHARE TRADING 18
    • 19
    • DATA ANALYSIS 20
    • DATA ANALYSIS ROE = NET INCOME / EQUITY 2008 2009 2010 2011 2012 Net Income 28.78 26.37 34.20 58.73 68.63 Equity 37.47 37.47 37.54 75.20 75.68 ROE 0.768 0.704 0.911 0.781 0.907 Figures in Cr. 1 0.9 0.8 0.7 0.6 0.5 0.4 0.3 0.2 0.1 0 2008 2009 2010 2011 2012 Interpretation: The amount of net income returned as a percentage of shareholders equity. Return on equity measures a corporation's profitability by revealing how much profit a company generates with the money shareholders have invested. ROE of the company increased during the financial year 2012 which is a good sign for the company. Increasing ROE shows that company is growing. 21
    • ROA = NET INCOME / TOTAL ASSETS 2008 2009 2010 2011 2012 Net Income 28.78 26.37 34.20 58.73 68.63 Equity 2453.28 1865.28 2763.54 4919.13 3734.42 ROE 0.012 0.014 0.012 0.012 0.018 Figures in Cr. 0.018 0.016 0.014 0.012 0.01 0.008 0.006 0.004 0.002 0 2008 2009 2010 2011 2012 Interpretation: ROA is a indicator of how profitable a company is relative to its total assets. ROA gives an idea as to how efficient management is at using its assets to generate earnings. ROA of the company is increasing which means management is using its assets efficiently to generate earnings. 22
    • ASSET TURNOVER RATIO = NET SALES / TOTAL ASSETS 2008 2009 2010 2011 2012 Net Sales 187.47 191.39 244.12 448.74 166.32 Total Assets 2453.28 1865.28 2763.54 4919.13 3734.42 0.076 0.103 0.088 0.091 0.045 Asset Turnover Ratio Figures in Cr. 0.12 0.1 0.08 0.06 0.04 0.02 0 2008 2009 2010 2011 2012 Interpretation: Asset turnover measures a firm's efficiency at using its assets in generating sales or revenue - the higher the number the better. It also indicates pricing strategy: companies with low profit margins tend to have high asset turnover, while those with high profit margins have low asset turnover. Asset turnover ratio is decreasing which shows that performance of using assets in generating sales declined during the year 2012 as compared to 2011. 23
    • GROSS PROFIT MARGIN = GROSS PROFIT *100 / NET SALES 2008 2010 2011 2012 39.33 31.07 42.36 62.38 75.98 187.47 191.39 244.12 448.74 166.32 20.979 Gross 2009 16.234 17.352 13.901 45.683 Profit Net Sales Gross Profit Margin Figures in Cr. 50 45 40 35 30 25 20 15 10 5 0 2008 2009 2010 2011 2012 Interpretation: Gross Profit Margin is a financial metric used to assess a firm's financial health by revealing the proportion of money left over from revenues after accounting for the cost of goods sold. Gross profit margin serves as the source for paying additional expenses and future savings. Gross Profit is increasing which is a good sign for the company. 24
    • NET PROFIT MARGIN = NET PROFIT / NET SALES 2008 2009 2010 2011 2012 Net Profit 28.78 26.37 34.20 58.73 68.63 Net Sales 187.47 191.39 244.12 448.74 166.32 0.154 0.138 0.140 0.131 0.413 Net Profit Margin Figures in Cr. 0.45 0.4 0.35 0.3 0.25 0.2 0.15 0.1 0.05 0 2008 2009 2010 2011 2012 Interpretation: Net Profit Margin is increased during the year 2012. In the year 2011 net profit margin was 0.131 which is less than the net profit in 0.413. 25
    • FINANCIAL LEVERAGE = ROE / ROA 2008 2009 2010 2011 2012 ROE 0.768 0.704 0.911 0.781 0.907 ROA 0.012 0.014 0.012 0.012 0.018 64.000 49.781 73.616 65.414 49.345 Financial Leverage Figures in Cr. 80 70 60 50 40 30 20 10 0 2008 2009 2010 2011 2012 Interpretation: Financial leverage can be defined as the degree to which a company uses fixedincome securities, such as debt and preferred equity. With a high degree of financial leverage come high interest payments. Financial Leverage in 2011 was 65.414 and in the year 2012 it was 49.345. 26
    • FINDINGS 27
    • FINDINGS • The amount of net income returned as a percentage of shareholders equity. Return on equity measures a corporation's profitability by revealing how much profit a company generates with the money shareholders have invested. ROE of the company increased during the financial year 2012 which is a good sign for the company. Increasing ROE shows that company is growing. • ROA is a indicator of how profitable a company is relative to its total assets. ROA gives an idea as to how efficient management is at using its assets to generate earnings. ROA of the company is increasing which means management is using its assets efficiently to generate earnings. • Asset turnover measures a firm's efficiency at using its assets in generating sales or revenue - the higher the number the better. It also indicates pricing strategy: companies with low profit margins tend to have high asset turnover, while those with high profit margins have low asset turnover. Asset turnover ratio is decreasing which shows that performance of using assets in generating sales declined during the year 2012 as compared to 2011. • Gross Profit Margin is a financial metric used to assess a firm's financial health by revealing the proportion of money left over from revenues after accounting for the cost of goods sold. Gross profit margin serves as the source for paying additional expenses and future savings. Gross Profit is increasing which is a good sign for the company. 28
    • • Net Profit Margin is increased during the year 2012. In the year 2011 net profit margin was 0.131 which is less than the net profit in 2012 i.e. 0.413. • Financial leverage can be defined as the degree to which a company uses fixed-income securities, such as debt and preferred equity. With a high degree of financial leverage come high interest payments. Financial Leverage in 2011 was 65.414 and in the year 2012 it was 49.345. 29
    • CONCLUSION 30
    • CONCLUSION A method of performance measurement that was started by the DuPont Corporation in the 1920s. With this method, assets are measured at their gross book value rather than at net book value in order to produce a higher return on equity (ROE). It is also known as "DuPont identity". DuPont analysis tells us that ROE is affected by three things: - Operating efficiency, which is measured by profit margin - Asset use efficiency, which is measured by total asset turnover - Financial leverage, which is measured by the equity multiplier Ø Return on equity is an important measure of the profitability of a company. Higher values are generally favorable meaning that the company is efficient in generating income on new investment. Investors should compare the ROE of different companies and also check the trend in ROE over time. In this project it was concluded that ROE of the company increased during the financial year 2012 which is a good sign for the company. Increasing ROE shows that company is growing. Ø Thus higher values of return on assets show that business is more profitable. This ratio should be only used to compare companies in the same industry. The reason for this is that companies in some industries are most asset-insensitive i.e. they need expensive plant and equipment to generate income compared to others. Ø ROA of the company is increasing which means management is using its assets efficiently to generate earnings. 31
    • Ø Net Profit Margin is increased during the year 2012. A higher net profit margin means that a company is more efficient at converting sales into actual profit. Ø Financial Leverage in 2011 was 65.414 and in the year 2012 it was 49.345. For the company high leverage are considered to be at risk of bankruptcy if, in case, they are not able to repay the debts, it might lead to difficulties in getting new lenders in future. 32
    • BIBLIOGRAPHY 33
    • BIBLIOGRAPHY Books : • Bhalla V.K”financial management and policy”, first edition, annual publications, New Delhi. • Chandra Prasana, Financial Management,TMH, 4th Edition, 1997, New Delhi • Gupta Sunita, Management of Working Capital,First Edition,New Century Publications,New Delhi(2003). • Gupta S.P., Management Accounting, Sahitya Bhawan Pub.,2002. • Kothari C.R;”Research methodology-methods & techniques”, second edition, vishwa prakashan Delhi(1990). • Khan & Jain, Financial Mnaagement, MH 3rd Edition, 1999. • Maheshwari S.N ;”Management accounting and financial control”, thirteen edition, sultan chand & sons, New Delhi(2002). • Pandey I.M., Financial Management,Seventh Edition,Vikas Publishing House, New Delhi. • Sharma R.K. & Gupta S.K., Financial Management, Kalyani Publishers, New Delhi 2003. Website: • www.edelweissfin.com • www.moneycontrol.com • www.investopedia.com 34
    • ANNEXURE 35
    • BALANCE SHEET Mar '12 Mar '11 Mar '10 Mar '09 Mar '08 Total Share Capital 75.68 75.20 37.54 37.47 37.73 Equity Share Capital 75.68 75.20 37.54 37.47 37.47 Share Application Money 1.18 2.14 1.90 1.28 0.60 Preference Share Capital 0.00 0.00 0.00 0.00 0.26 1,274.95 1,245.67 1,270.70 1,317.36 1,312.03 0.00 0.00 0.00 0.00 0.00 1,351.81 1,323.01 1,310.14 1,356.11 1,350.36 22.55 99.51 471.85 108.46 127.12 Unsecured Loans 2,360.06 3,496.60 981.56 400.72 975.81 Total Debt 2,382.61 3,596.11 1,453.41 509.18 1,102.93 Total Liabilities 3,734.42 4,919.12 2,763.55 1,865.29 2,453.29 Gross Block 9.60 11.73 9.75 10.31 12.28 Less: Accum. Depreciation 3.91 7.98 6.65 5.71 4.60 Net Block 5.69 3.75 3.10 4.60 7.68 Capital Work in Progress 0.00 0.00 0.00 1.74 1.60 1,464.48 1,199.52 1,153.61 1,249.73 1,059.23 0.00 0.00 0.00 0.00 0.00 20.48 17.13 58.39 4.41 8.08 1.48 0.97 1.18 18.39 3.42 Total Current Assets 21.96 18.10 59.57 22.80 11.50 Loans and Advances 2,361.75 3,800.56 1,696.39 656.50 1,341.42 0.00 10.26 30.26 3.51 111.21 2,383.71 3,828.92 1,786.22 682.81 1,464.13 0.00 0.00 0.00 0.00 0.00 Current Liabilities 88.31 76.97 98.68 34.22 61.18 Provisions 31.15 36.09 80.71 39.38 18.18 119.46 113.06 179.39 73.60 79.36 Sources Of Funds Reserves Revaluation Reserves Networth Secured Loans Application Of Funds Investments Inventories Sundry Debtors Cash and Bank Balance Fixed Deposits Total CA, Loans & Advances Deffered Credit Total CL & Provisions 36
    • Net Current Assets 2,264.25 3,715.86 1,606.83 609.21 1,384.77 0.00 0.00 0.00 0.00 0.00 Total Assets 3,734.42 4,919.13 2,763.54 1,865.28 2,453.28 Contingent Liabilities 3,090.81 2,097.04 630.70 622.90 735.29 17.85 17.56 174.26 180.80 180.09 Miscellaneous Expenses Book Value (Rs) 37
    • PROFIT & LOSS ACCOUNT Mar '12 Mar '11 Mar '10 Mar '09 Mar '08 166.32 448.74 244.12 191.39 187.47 0.00 0.00 0.00 0.00 0.00 166.32 448.74 244.12 191.39 187.47 40.97 -9.13 -10.59 -1.51 0.18 0.00 0.00 0.00 0.00 0.00 207.29 439.61 233.53 189.88 187.65 Raw Materials 0.00 0.00 0.00 0.00 0.00 Power & Fuel Cost 0.00 0.00 0.00 0.00 0.00 37.35 38.15 28.49 28.62 41.11 Other Manufacturing Expenses 0.00 2.03 1.17 0.92 1.28 Selling and Admin Expenses 0.00 30.01 16.95 21.66 24.61 32.63 5.51 5.67 5.41 2.68 0.00 0.00 0.00 0.00 0.00 Total Expenses 69.98 75.70 52.28 56.61 69.68 Operating Profit 96.34 373.04 191.84 134.78 117.79 PBDIT 137.31 363.91 181.25 133.27 117.97 Interest 59.62 300.11 137.22 97.82 77.32 PBDT 77.69 63.80 44.03 35.45 40.65 Depreciation 1.71 1.42 1.67 4.38 1.32 Other Written Off 0.00 0.00 0.00 0.00 0.00 Profit Before Tax 75.98 62.38 42.36 31.07 39.33 0.00 0.00 0.00 0.00 0.00 75.98 62.38 42.36 31.07 39.33 7.34 3.65 8.14 4.71 10.54 Reported Net Profit 68.63 58.73 34.20 26.37 28.78 Total Value Addition 69.98 75.71 52.29 56.60 69.68 Income Sales Turnover Excise Duty Net Sales Other Income Stock Adjustments Total Income Expenditure Employee Cost Miscellaneous Expenses Preoperative Exp Capitalised Extra-ordinary items PBT (Post Extra-ord Items) Tax 38
    • Preference Dividend 0.00 0.00 0.00 0.03 0.00 Equity Dividend 45.43 45.12 75.08 22.48 15.02 Corporate Dividend Tax -1.38 1.38 6.52 1.22 2.55 7,567.99 7,520.26 750.72 749.33 749.33 Per share data (annualised) Shares in issue (lakhs) Earning Per Share (Rs) 0.91 0.78 4.56 3.52 3.84 Equity Dividend (%) 60.00 60.00 200.00 60.00 40.00 Book Value (Rs) 17.85 17.56 174.26 180.80 180.09 ‑-----………>>>----- Thank You! 39