Profitability of tata motors ltd.

A
SUMMER TRAINING
PROJECT REPORT
ON
PROFITABILITY
OF
TATA MOTORS LIMITED
MADE BY
AMAN KHERA

TABLE OF CONTENTS
S. No. Contents Page No.
1. Introduction to Company
 Company Profile
 History & Evolution
2. Introduction to the Topic
3. Objectives of the Study
4. Research Methodology
5. Data Analysis
6. Findings
7. Recommendations
8. Conclusion
9. Bibliography
10. Annexure - Questionnaire

COMPANY PROFILE
TATA Motors formerly known as TELCO (TATA engineering and Locomotive
Company) fully integrated automobile manufacturer with a portfolio that covers
trucks, buses, utility vehicles and passenger cars, which is now being famous for
giving. TELCO is established in 1945. In July 2003 TELCO changed its name into
TATA Motors Ltd . TATA Motors Limited is India's largest automobile
company, with revenues of US $ 6.0 billion in 2005-06. TATA Motors is the leader
in commercial vehicles in each segment, and the second largest in the passenger
vehicles market with winning products in the compact, midsize car and utility
vehicle segments. The company is the world's fifth largest medium and heavy
commercial vehicle manufacturer.
The company's 22,000 employees are guided by the vision to be best in
the manner in which we operate, best in the products we deliver, and best in
our value system and ethics.
TATA Motors' presence indeed cuts across the length and breadth of India. Over 3.5
million TATA vehicles ply on Indian roads, since the first rolled out in 1954. The
company's manufacturing base is spread across Jamshedpur, Pune and Lucknow,
supported by a nation-wide dealership; sales, services and spare parts network
comprising about 1,200 touch points.

ABOUT THE VARIOUS PLANTS:
JAMSHEDPUR: Area: 700+ Acres - Strength: 14000
Oldest plant of Tata Motors.
Initially manufacturing Locomotive Engines.
Collaboration with Mercedes Benz.
Started production of Trucks and Bus Chassis.
Recently collaborated with M/s. Daewoo of Korea and manufacturing
Heavy Commercial Vehicles -Trucks/Buses/Tippers under the brand
name of Novas.
LUCKNOW: Area: 600 Acres Strength: 3500
Tata Sumo was initially assembled at Lucknow Plant.
Now the production of Sumo has been stopped and Trucks and Buses are
now manufactured/assembled at Lucknow.
The production is same as Jamshedpur. Except Daewoo collaboration
vehicles.
Lucknow plant is under the Head - Jamshedpur Plant.
DHARWAD: Area: Around 530 Acres
A big piece of land has acquired in Dharwad.
No plan finalized yet for any production/Assembly line.

PUNE: Area: 600 + 600 (Residential) Acres Strength: 12000
Flagship plant of Tata Motors.
Manufacturing various types of Heavy Commercial Vehicles, Medium
Commercial Vehicles, Light Commercial Vehicles-Tata Sumo, Tata Safari,
Mini truck ACE and indigenously developed Small Car - Indica, Indigo
and Marina.
CHINCHWAD: Area 325 Acres.
Casting & Aluminum Foundry as well as Tata Automation Ltd.
CAR PLANT (PIMPRI): Area: 150 Acres Strength: 6500
Production of Small Car started in 1999.
Daily production at present is 750 Cars.
Tata Indica, Indigo and Marina are manufactured at Car Plant (K Block). It
is one of the ultra modern plants in India
Global Scenario:
The company's commercial and passenger vehicles are already being
marketed in several countries in Europe, Africa, the Middle East, Australia, South
East Asia and South Asia. It has assembly operations in Malaysia, Kenya,
Bangladesh, Spain, Ukraine, Russia and Senegal.
Tata Motors, the first company from India's engineering sector to be listed in the
New York Stock Exchange (September 2004), has also emerged as a global
automotive company.
 In 2004, it acquired the Daewoo Commercial Vehicles Company,
Korea's second largest truck maker. The rechristened Tata Daewoo
Commercial Vehicles Company has already begun to launch new
products.

 In 2005, Tata Motors acquired a 21% stake in Hispano Carrocera, a
reputed Spanish bus and coach manufacturer, with an option to acquire
the remaining stake as well. Hispano's presence is being expanded in
other markets.
Subsidiaries
Through its subsidiaries, the company is engaged in engineering and automotive
solutions, construction equipment manufacturing, automotive vehicle components
manufacturing and supply chain activities, machine tools and factory automation
solutions, high-precision tooling and plastic and electronic components for
automotive and computer applications, and automotive retailing and service
operations.
Over the years, Tata Motors has made substantial investments in building
companies that add value, facilitate and support its diverse range of business
activities.
1) Telco Construction Equipment Co. Ltd. (Telcon)
2) Tata Technologies Ltd. (TTL) and Tata Technologies Ltd., USA (TTUS)
3) HV Axles Ltd. (HVAL)
4) HV Transmissions Ltd. (HVTL)
5) TAL Manufacturing Solutions Ltd. (TAL)
6) Sheba Properties Ltd. (Sheba)
7) Concorde Motors (India) Ltd. (Concorde) [formerly known as Minicar
(India) Ltd.]
8) Tata Daewoo Commercial Vehicle Company Ltd (TDWCV)
9) Tata Motors Insurance Services Ltd. (TMISL) [formerly known as
Concorde Motors Ltd.]
10)Tata Motors European Technical Centre plc

HISTORY AND EVOLUTION
Milestones
Year Particulars
1945 The establishment of Railway Engine factory in Jamshedpur.
TATA collaborated with Daimler-Benz for developing commercial
1954 vehicle. Launch of the first Tata Mercedes Benz Truck
1965
The first TATA branded truck roll out.
Collaboration with Daimler Benz, Germany ends.
1977 The First Commercial Vehicle Manufactured at the Pune Plant
1986 First Light Commercial Vehicle from Telco, The Tata 407 is launched.
1991
The Millionth Tata Vehicle A million Indians are proud owners of
Tata Vehicles.
1992
Tata Estate Telco s Second passenger Vehicle launched.
To start third factory in Lucknow.
1994 TATA Sumo Moves with growing with faster growth.
1998 The First Tata Indica launched.
2003 Change in name From TELCO to TATA Motors Ltd.
2004-05 Tata Motors launches Branded buses and coaches under Globus and
Starbus brand name.
Tata Motors acquires 21 % stake in Hispano Carrocera SA, a well-
known international bus company.
Tata Motors listed its Depositary programme on the new York Stock
Exchange. It is the first Company in the Indian Engineering and
automobile sector to do so.

MAJOR PRODUCTS OF THE COMPANY
1. TATA NANO:
Announced as the most affordable production car in the world, Tata aimed for a price of one lakh
rupees, or 100,000, Tata Motors announced in 2006 that the Nano would be manufactured in
Singur, West Bengal. Local farmers soon began protesting the forced acquisition of their land the
new factory entailed. Tata first delayed the Nano launch and later decided to build the car in a
different state, Gujarat, instead.
2. TATA BOLT:
Tata Bolt is a new hatchback created by Tata Motors under its Falcon programme. The car was
revealed at Indian Auto Expo 2014 along with its sedan version, the Tata Zest. The car is
expected to be launched in Indian markets in the latter half of 2014 after the launch of its sedan
version. The diesel version of Tata Bolt will be fitted with 1.3-litre quadrajet diesel engine which
is already being used on Indica Vista and Manza where as the petrol version of Tata Bolt will be
powered by a new 1.2-litre turbocharged, 89 bhp engine. The new car is based on existing
platforms on which Vista and Manza are built. Tata Bolt will be built at Tata Motor's Pimpri-
Chinchwad plant alongside the Tata Vista and the Tata Indica

3. TATA VISTA:
The Tata Indica Vista can be considered as the new, improved version of this really popular car.
Tata Indica has sold a lot of units in the country, and the country's premium car manufacturer
realized that it was high time that they improved the car, so that the net is cast wider. The Tata
Indica Vista managed to cater to a wider range of consumers and it come fitted with lot of
different features as well.
4. TATA INDICA:
The Tata Indica is a supermini car produced by the Indian manufacturer Tata Motors since
1998. It is the first passenger car from Tata Motors and it is also considered India's first
indigenously developed passenger car. As of August 2008, more than 910,000 units were
produced and the platform had spawned off close to 1.2 million vehicles. The annual sales of
Indica has been as high as 144,690 units in 2006–07. As of July 2009, monthly sales of Indica
were around 8000 units. The models have also been exported to Europe, Africa and other
countries since late in 2004.

5. TATA MANZA:
Tata Manza is next generation sedan from the Indian car company Tata Motors Limited. The
Tata Manza is also known as The Club Class Sedan.[2]
There are eight variants available
currently, four each in petrol and diesel.
Manza was first launched on 14 October 2009. It was made available in 4 variants namely Aqua,
Aura, Aura ABS and Elan, Aqua being the entry level variant and Elan being the top most
variant. In October 2012, Manza was re-launched as Manza Club Class.
6. TATA WINGER
The Winger is offered in six variants and two seating configuration: long or short wheelbase,
high and low roof versions and also specialised ambulance and school bus versions, as well as
the plain panel van. The top of the range is a flat roof, air-conditioned variant is a ten-seater,
while the remaining five versions are offered as either 13 or 14 seaters, taking the total number
of variants to 11.
The Winger is powered by a modified version of the 2.0 litre diesel engine that is currently
offered on the Tata sumo. This 1948 cc engine comes with a turbo-charged, inter-cooled (TCIC)
version in all the variants, except in the smaller length, entry-level Winger van. The non-turbo-
charged version of the engine develops a peak power of 68 PS (50 kW) compared to the 90 PS
(66 kW) that the TCIC version puts out. The Winger meets Bharat Stage III emission standards,
except for the base variant, which is BS-II compliant

7. TATA ACE ZIP
After the runaway success of Tata Ace, Tata Motors decided to launch a truck smaller than the
Ace and at the price point of the three-wheeled goods carriers. It was to be a simple design with
truck-like aggregates and was to replace the anachronistic three-wheeled cargo auto rickshaws in
the Indian market. After the success of tata ace and incorporation of the customer/user feedback,
Tata has come up with a new ace in Tata Ace Zip.
8. TATA PRIMA:
Tata Daewoo (officially Tata Daewoo Commercial Vehicle Company and formerly Daewoo
Commercial Vehicle Company) is a commercial vehicle manufacturer headquartered in Gunsan,
Jeollabuk-do, South Korea, and a wholly owned subsidiary of Tata Motors. It is the second-
largest heavy commercial vehicle manufacturer in South Korea and was acquired by Tata Motors
in 2004. The principal reasons behind the acquisition were to reduce Tata's dependence on the
Indian commercial vehicle market (which was responsible for around 94% of its sales in the
MHCV segment and around 84% in the light commercial vehicle segment) and expand its
product portfolio by leveraging on Daewoo's strengths in the heavy-tonnage sector.
Tata Motors has jointly worked with Tata Daewoo to develop trucks such as Novus and World
Truck and buses including GloBus and StarBus. In 2012, Tata began developing a new line to
manufacture competitive and fuel-efficient commercial vehicles to face the competition posed by
the entry of international brands such as Mercedes-Benz, Volvo, and Navistar into the Indian
market.

INTRODUCTION TO THE TOPIC
Profitability is the primary goal of all business ventures. Without profitability the business will
not survive in the long run. So measuring current and past profitability and projecting future
profitability is very important.
Profitability is measured with income and expenses. Income is money generated from the
activities of the business. For example, if crops and livestock are produced and sold, income is
generated. However, money coming into the business from activities like borrowing money does
not create income. This is simply a cash transaction between the business and the lender to
generate cash for operating the business or buying assets.
Expenses are the cost of resources used up or consumed by the activities of the business. For
example, seed corn is an expense of a farm business because it is used up in the production
process. A resource such as a machine whose useful life is more than one year is used up over a
period of years. Repayment of a loan is not an expense; it is merely a cash transfer between the
business and the lender.
Profitability is measured with an “income statement”. This is essentially a listing of income and
expenses during a period of time (usually a year) for the entire business. An Income Statement is
traditionally used to measure profitability of the business for the past accounting period.
However, a “pro forma income statement” measures projected profitability of the business for
the upcoming accounting period. A budget may be used when you want to project profitability
for a particular project or a portion of a business.

OBJECTIVES OF THE STUDY
There are different objectives for which the study has been completed. They are as follows:-
1. To study and evaluate the profit in relation to sales.
2. To study the profitability in relation to investment.

RESEARCH METHODOLOGY
Research methodology is a way to systematically solve the research problems. It may be
understood as a science of studying how research is done scientifically. It includes the
overall research design, the sampling procedure, data collection method and analysis procedure.
A research design is the arrangement of conditions for collection and analysis of data in a design
includes an outline of what the researcher will do from writing the hypothesis and its operational
implications to the final analysis of data.
 Research Design:
A research design is the arrangement of conditions for collection and analysis of data in a
manner that aims to combine relevance to the research purpose with economy in procedure.
The research design is the conceptual structure within which research is conducted; it is
constitutes the blue prints for the collection, measurement and analysis of data. As such the
design includes an outline of what the researcher will do from writing the hypothesis and its
operational implications to the final analysis of data.
 Features of research design
 It is the plan that specifies the source and types of information relevant to the research
problem.
 It is a strategy specifying which approach will be used for gathering and analyzing the
data.
 It also includes the time and cost budgets since most studies are done under these two
constraints.

POPULATION:
All automobile companies which are listed in stock market.
SAMPLING:
The sample was drawn from the list of companies coming under the automobile industry
listed on the Bombay stock exchange which is TATA MOTORS LIMITED.
SAMPLE DESIGN:
Simple random sampling.
COVERAGE:
The selected study unit focuses on a number of profitability variables covering a time
period of five years.
DATA COLLECTION:
I have used secondary data in my analysis.
(Annual reports, balance sheet and profit & loss
account)

DATA ANALYSIS
&
INTERPRETATION

DATA ANALYSIS & INTERPRETATION
Hypothesis 1:
H0: There is no significant relationship between gross profit and net sales.
Ha: There is a significant relationship between gross profit net sales.
Year Gross profit Net sales Gross profit
margin
2013 11834.66 35373.39 33.46
2014 12671.46 47088.44 26.91
2015 13837.45 54306.56 25.48
2016 12807.25 44765.72 28.61
2017 11237.34 34319.28 32.74
(Table no.1 Table for gross profit margin)
60000
50000
40000
gross profit30000
20000
net sales
10000
0
2013 2014 2015 2016 2017
(Chart no.1 Relationship between gross profit &net sales)


Regression:
Model R R Square Adjusted R Std. Error of
Square Estimate
1 0.9733 0.947471 0.929961 262.8909

Anova test:
Model Sum of df Mean Fc Ft
Squares Squares
1 Regression 3739725 1 3739725
54.11138 0.005192Residual 207334.8 3 69111.61
Total 3947060 4

Conclusion:
Here, Fc > Ft. So Ho is rejected that means there is significant relationship between gross profit
and net sales.

Explanation:
In year 2014 and 2015 there is increase with respect to 2013 in the sales of the company with this
there is also increase in gross profit.
In year 2016 and 2017 there is decrease in sales with respect to previous year and also decrease
in gross profit.
So we can say that there is significant relationship between sales and gross profit.

Hypothesis 2:
H0: There is no significant relationship between operating profit and net sales.
Ha: There is a significant relationship between operating profit net sales.
Year operating Net sales operating
profit profit margin
2013 4032.83 35373.39 11.4
2014 4665.14 47088.44 9.91
2015 4177.55 54306.56 7.69
2016 1717.98 44765.72 3.84
2017 -879.98 34319.28 -2.56
(Table no.2 Table for operating profit margin)
60000
50000
40000
30000
20000
10000
opreating profit
net sales
0
2013 2014 2015 2016 2017
-10000
(Chart no.2 Relationship between operating profit &net sales)


Regression:
Square Estimate
2 0.5633 0.3173 0.089744 2216.7

Anova test:
Squares Squares
2 Regression 6851589 1 6851589
1.394368 .322761Residual 14741278 3 4913759
Total 21592867 4

Conclusion:
Here, Fc > Ft. So Ho is rejected that means there is significant relationship
between operating profit and net sales.

Explanation:
In year 2014 there is increase in sales and there is also increase in operating profit with respect to
year 2013.
While in 2017 there is decrease in sales and there is also decrease in sales with respect to year
2016.So we can say that there is significant relationship between sales and operating profit.

Hypothesis 3:
H0: There is no significant relationship between net profit and net sales.
Ha: There is a significant relationship between net profit net sales.
Year Net profit Net sales Net profit
margin
2013 2240.08 35373.39 6.33
2014 1811.82 47088.44 3.85
2015 1242.23 54306.56 2.29
2016 301.81 44765.72 0.67
2017 334.52 34319.28 0.97
(Table no.3 Table for net profit margin)
60000
50000
40000
30000
EA
T
net sales
20000
10000
0
2013 2014 2015 2016 2017
(Chart no.3 Relationship between net profit &net sales)


Regression:
Square Estimate
3 0.033868 0.001147 -0.3318 1001.541

Anova test:
Squares Squares
3 Regression 3455.612 1 3455.612
0.003445 0.956887Residual 3009252 3 1003084
Total 3012707 4

Conclusion:
Here, Fc < Ft. So Ho is accepted that means there is no significant
relationship between net profit and net sales.

Explanation:
Here there is continuous increase in sales but there is continuous decrease in net profit of the
business with respect to year 2013.
So we can say that there is no significant relationship between net profit and sales.

Hypothesis 4:
H0: There is no significant relationship between net profit and total assets.
Ha: There is a significant relationship between net profit and total assets.
Year Net profit Total asset Return on total
assets
2013 2240.08 31405.06 7.13
2014 1811.82 34651.49 5.29
2015 1242.23 30637.64 4.05
2016 301.81 33103.53 0.91
2017 334.52 33692.18 0.99
(Table no.4 Table for return on total asset)
40000
35000
30000
25000
net profit20000
15000
total asset
10000
5000
0
2013 2014 2015 2016 2017
(Chart no.4 Relationship between net profit &total assets)

 Regression:
Square Estimate
4 0.2521 0.06511 -0.24652 1841.827
 Anova test:
Squares Squares
4 Regression 708770.8 1 708770.8
0.2089 0.6786Residual 10176978 3 3392326
Total 10885749 4

Conclusion:
Here, Fc < Ft. So Ho is accepted that means there is no significant relationship between net
profit and total assets.

Explanation:
In this the relationship between total assets and net profit is 0.2521 so it is very low so we can
say that there is no significant relationship between net profit and total assets.
In 2014, there is increase in total asset while there is decrease in net profit with respect to year
2013.

Hypothesis 5:
H0: There is no significant relationship between net profit margin and return on net worth.
Ha: There is a significant relationship between net profit margin and return on net worth.
Year Net profit Return on net
margin worth
2013 6.33 15.14
2014 3.85 9.05
2015 2.29 6.32
2016 0.67 1.57
2017 0.97 1.74
(Table no.5 Table for net profit margin & return on net worth)
16
14
12
10
net profit margin8
6
return on net
worth
4
2
0
2013 2014 2015 2016 2017
(Chart no.5 Relationship between net profit margin &return on net worth)

 Regression:
Square Estimate
5 0.9958 0.9917 0.9889 0.2448
 Anova test:
Squares Squares
5 Regression 21.52704 1 21.52704
359.1085 0.000321Residual 0.179837 3 0.059946
Total 21.70688 4

Conclusion:
Here, Fc > Ft. So Ho is rejected that means there is significant relationship
between net profit margin and return on total asset.

Explanation:
The regression and the correlation of this is very highly positively correlated which is 0.99.
Another reason for this if there would be increase in return on net worth there is also increase in
the net profit margin.

FINDINGS
1. In year 2010 the company having the gross profit margin 33.46 which is highest but
after a while there is decrease in that because there was not a proportionate change in
gross profit in comparison of net sales of the company.


2. Operating profit margin represents pure profit of the company. It increase negatively
from 11.4 to 2.56 for the given period which is bad indication of the company
performance.


3. Net profit margin which measures how profitable a company’s sales are after
deducting all expenses interest, taxes & preferred stock dividends declines from 6.33 to
0.97 during the given period, which implies lower level of profitability of company.


4. Return on total assets is a pure measure of the efficiency of a company in generating
returns from its assets. So here there are declines from 7.13 to 0.99 during the given
period, which shows negativity of the profitability of the company.


5. Return on net worth which measures the returns earned on the common stock
holder’s investment in the company which is decrease from 15.14 to 1.74 within given
period. This indication reflects the bad performance of the management on the invested
financial resources
.

6. The overall performance of TATA motors regarding profitability was bad, the
company’s customer base has been growing, and it has been declining earning an
acceptable return on invested capital.

RECOMMENDATIONS & CONCLUSION
1. The sales revenue of the TATA motors ltd was high, but it was observed that the
gross profit margin of the company was not increasing as per or there was not
proportionate change in that as compare to net sales.

Operating profit which represents the profit earned from producing and selling product
was also low as compared to the sales volume of the company. Therefore, the company
needs to reduce its expenses to be able to pay its debts and gain more earnings after
taxes.

Net profit margin which measures how profitable a company’s sales are after
deducting all expenses interest, taxes & preferred stock dividends declines from 6.33 to
0.97 during the given period, which implies lower level of profitability of company.

Earning taxes, which are available for common stockholders, were also low as
compared to the sales volume of the company. This is due to effect of high expenses on
the cost of goods sold and other expenses.

Finally the company is loss making or rather we can say decreasing their profitability
but they have good future opportunities, it has took carefully at controlling the costs of
goods sold and reduce its expenses to avoid facing difficult financial conditions in the
future.

BIBLIOGRAPHY
BOOKS:
Lazaridis, I., & Tryfonidis, D. (2006) “Relationship between working capital management and
profitability of listed companies in the stock exchange.” Journal of Financial management and
analysis, 19(1),pp26-35.
Pandey, I.M.(2006). “Financial management Text and Cases.” 9th
Edition, Vikas Publishing
House, New Delhi ,pp.43-49.
Ruistagi, R.P.(1999). “Financial Management, Theory Concepts and problems.” Galgotia
publisshing company, New Delhi, p.70.
Pandey,S.(2012). “Financial structure and Profitability of IFCI Ltd,: an emperical analysis.” Indian
journal of finance, 6(10), pp.32-38.
WEBSITES:
www.google.com
www.tatamotors.com
https://www.tatamotors.com/about-us/company-profile/
https://en.wikipedia.org/wiki/Tata_Motors#History

BALANCE SHEET: (Rs in cr.)
Particular March March March March March
2013 2014 2015 2016 2017
Source of funds
Total share capital 570.6 637.71 634.75 638.07 643.78
Equity share capital 570.6 637.71 634.75 638.07 643.78
Share application 0 0 0 0 0
money
Preference share 0 0 0 0 0
capital
Reserves 14208.55 19375.59 1899126 18496.77 18532.87
Net worth 14779.15 20013.30 19626.01 19134.84 19176.65
Secured loans 7742.60 7708.52 6915.77 5877.72 4450.01
Unsecured loans 8883.31 6929.67 4095.86 8390.97 10065.52
Total debt 16625.91 14638.19 11011.63 14268.69 14515.53
Total liabilities 31405.06 34651.49 30637.64 33403.53 33692.18
Application of funds
Gross block 18416.81 21002.78 23676.46 25190.73 26130.82
Application of fund 24.63 0 0 0 0
Less: 7212.92 7585.71 8656.94 9734.99 10890.25
accm.depreciation
Net block 11179.26 13417.07 15019.52 15455.74 15240.57
Capital work in 5232.15 3799.03 4036.67 4752.80 6355.07
progress
Investments 22336.90 22624.21 20493.55 19934.39 18458.42
Inventories 2935.59 3891.39 4588.23 4455.03 3862.53

Sundry debtors 2391.92 2602.88 2708.32 1818.04 1216.70
Cash and bank 612.16 2428.92 1840.96 462.86 226.15
balance
Total current assets 5939.67 8923.19 9137.51 6735.93 5305.38
Loans and advances 5248.71 5426.95 5832.03 5305.91 4374.98
Fixed deposits 1141.10 0 0 0 0
Total CA, Loans & 12329.48 14350.14 14969.54 12041.84 9680.36
advances
Deferred credit 0 0 0 0 0
Current liabilities 16909.30 16217.85 20280.82 16580.47 13334.13
Provisions 2763.43 3267.11 3600.82 2200.77 2708.11
Total CL & provisions 19672.73 19538.96 23881.64 18781.24 16042.24
Net current
assets -7343.25 -5188.82 -8912.10 -6739.40 -6361.88
Miscellaneous 0 0 0 0 0
expenses
Total assets 31405.06 34651.49 30637.64 33403.53 33692.18
Contingent liabilities 3708.33 19084.08 15413.62 14981.11 12419.30
Book value (Rs) 259.03 315.36 61.84 59.98 59.58

PROFIT & LOSS STATEMENT:
(Rs in cr.)
Particular Mar '13 Mar '14 Mar '15 Mar '16 Mar '17
Income
34,319.2 44,765.7 54,306.5 47,088.4 38,173.3
Sales Turnover 8 2 6 4 9
Excise Duty 0 0 0 0 2,800.10
Net Sales 34,319.2 44,765.7 54,306.5 47,088.4 35,373.2
Other Income 3,262.00 1,662.33 -11.16 275.85 1,220.86
Stock Adjustments -303.35 143.6 623.84 354.22 606.63
Total Income 37,277.9 46,571.6 54,919.2 47,718.5 37,200.7
Expenditure
Raw Materials 26,040.5 33,764.4 41,081.7 35,047.0 25,366.1
Power & Fuel Cost 392.09 484.66 550.89 471.28 362.62
Employee Cost 2,877.69 2,837.00 2,691.45 2,294.02 1,836.13
Other Manufacturing
Expenses 428.74 425.76 0 0 1,289.60
Selling and Admin Expenses 0 0 0 0 2,126.10
Miscellaneous Expenses 5,156.80 5,679.52 6,428.72 4,965.17 1,707.06
Preoperative Exp Capitalized 0 0 0 0 -740.54
Total Expenses 34,895.9 43,191.3 50,752.8 42,777.5 31,947.0

Operating Profit -879.98 1,717.98 4,177.55 4,665.14 4,032.83
PBDIT 2,382.02 3,380.31 4,166.39 4,940.99 5,253.69
Interest 1,337.52 1,387.76 1,218.62 1,383.70 1,246.25
PBDT 1,044.50 1,992.55 2,947.77 3,557.29 4,007.44
Depreciation 2,070.30 1,817.62 1,606.74 1,360.77 1,033.87
Other Written Off 0 0 0 0 144.03
-
Profit Before Tax 1,025.80 174.93 1,341.03 2,196.52 2,829.54
Extra-ordinary items 0 0 0 0 0
-
PBT (Post Extra-ord Items) 1,025.80 174.93 1,341.03 2,196.52 2,829.54
-
Tax 1,360.32 -126.88 98.8 384.7 589.46
Reported Net Profit 334.52 301.81 1,242.23 1,811.82 2,240.08
Total Value Addition 8,855.32 9,426.94 9,671.06 7,730.47 6,580.97
Preference Dividend 0 0 0 0 0
Equity Dividend 648.56 645.2 1,280.70 1,274.23 859.05
Corporate Dividend Tax 93.4 79.03 183.02 192.8 132.89
Per share data (annualized) - - - - -
Shares in issue (lakh) 32,186.8 31,901.1 31,735.4 6,346.14 5,705.58
Earnings Per Share (Rs) 1.04 0.95 3.91 28.55 39.26

Equity Dividend (%) 100 100 200 200 150
Book Value (Rs) 59.58 59.98 61.84 315.36 259.03

Profitability of tata motors ltd.

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