Note: All the figures are in Rs. millions March 2010 March 2009 March 2008 March 2007Net Profit before 108076 94678 105294 88965taxNet cash from 105942 96881 97860 80653Operating ActivitiesNet cash from -104977 -75004 -62038 -31458Investing ActivitiesNet cash from -19086 -8493 -23487 -763Financing ActivitiesNet (decrease)/ -18121 13384 16186 48432Increase in CashEquivalentsOpening Cash 162716 149332 133146 84714Closing Cash 144595 162716 149332 133146
INFERENCE ON OPERATING ACTIVITIES Increase is SignificantGuarantee fee Increase in Increase in by Loans/advances. Inventories.
INFERENCE ON INVESTING ACTIVITIESPurchase of SignificantInvestments Increase in Decrease in Investments inincreases by Dividends Disposal of Joint ventures/ RS. Received Fixed Assets Subsidiaries Millions
RATIO ANALYSIS• Current Ratio• Debtors Turnover Ratio• D/E (Debt/Equity) Ratio• Collection Period (Debtors)• Profit Margin• Expense Ratio (Financial)
GROWTH OF THE COMPANY - A Deep Insight in to Cash Flow Statement 2009-2010 2008-2009Current Ratio 1.34 0.95Debtors Turn around Ratio 9.06 Times 12.78 TimesCollection Period (Debtors) 40.27 Days 28.55 DaysD/E Ratio 0.59 0.59Gross Profit Margin 23.46% 22.61%Financial Expense Ratio 1.91 1.95
MAJOR COMPETITORSTATA PowerReliance PowerAdani PowerPower Grid CorporationNHPC
C U R R E N T R AT I O Current Assets Current Ratio = Current Liabilities NTPC Adani Power Reliance PowerCurrent Ratio 1.34 2.063 3.017
D E B T O R S T U R N O V E R R AT I O Net credit sales Debtors turnover ratio = Average debtors NTPC Adani Power Reliance PowerDebtors turnover Ratio 9.06 Times 3.3933 Times 0.719 Times
DEBTORS COLLECTION PERIOD Debtors collection 12 Months = period Debtors turnover ratio NTPC Adani Power Reliance PowerDebtors Collection Period 40.27Days 107.56 Days 507.46 Days
D / E R AT I O Total DebtDebt-equity ratio = Shareholders’ equity NTPC Adani Power Reliance Power D/E Ratio 0.59 1.83 0.105
P R O F I T M A R G I N R AT I O Gross Profit Gross profit margin = Sales X 100 NTPC Adani Power Reliance PowerPROFIT MARGIN Ratio 23.10% 62.88 % 106.62%
E X P E N S E R AT I O NTPC Adani Power Reliance PowerExpense (Financial) Ratio 1.91 3.89 18.35
NTPC enjoys reasonably good amount of financial flexibility.Company is in the high growing stage – Expansion Stage.Investor’s point of view- Dividend paid every year remains almost constanti.e. 5.5% Net Profit margin highest among its competitors Rs. 9102.59 Cr…….