2. What is ratio?
Quantitative relation between two amounts showing the
number of times one value contains or is contained within the
other.
What is financial ratio?
Financial ratio is a relative magnitude of two selected
numerical values taken from an enterprise’s financial
statements. Often used in accounting.
4. Year Debt Equity Debt
equity
ratio
2012 2009.09 417.05 4.81 : 1
2013 3676.16 566.76 6.48 : 1
2014 6211.25 442 14.05 : 1
2015 8165.68 455.07 17.94 : 1
2016 7960.53 2194.64 3.62 : 1
DEBT
EQUITY
Debt= any long term liabilities
Equity= share capital + reserves +
surplus
……………………………..CRORES………………
2012 2013 2014 2015 2016
4.81
6.48
14.05
17.94
3.62
Debt- equity ratio
5. Year Total debt Total
assets
Total debt
to total
asset
Ratio
2012 2009.09 3194.71 62%
2013 3676.16 4835.14 76%
2014 6211.25 7005.68 88%
2015 8165.68 8179.07 99%
2016 7960.53 11032.44 72%
……………………..CRORES………………….
2012 2013 2014 2015 2016
62%
76%
88%
99%
72%
Total debt to total asset ratio
TOTAL DEBT
TOTAL ASSETS
Total debt= current liabilities + long term liabilities
Total assets= fixed assets (tangible) + current assets
6. Year EBIT Interest
expense
Interest
coverage
ratio
2012 189.91 59.49 3.19
2013 1151.43 72.58 15.86
2014 847.34 143.58 5.90
2015 2298.39 149.65 15.35
2016 3513.03 181 19.40
EBIT (earnings before interest and tax)
interest expense
……………………………..CRORES……………………
Interest coverage ratio
2012 2013 2014 2015 2016
3.19
15.86
5.9
15.35
19.4
7. Year Share
holder’s
equity
Fixed
interest
bearing
securities
Capital
gearing
ratio
2012 417.05 2059.77 20%
2013 566.76 3508.57 16%
2014 442 5741.96 7%
2015 455.07 6937.1 6%
2016 2194.64 6599.92 33%
shareholders equity______
fixed interest bearing securities
(debentures , long term loans, bonds,
preference shares)
……………………………..CRORES……………………
Capital gearing ratio
2012 2013 2014 2015 2016
20%
16%
7% 6%
33%
9. Year Debt Equity
Debt
equity
ratio
2012 9294.68 1267.19 7.33 : 1
2013 7358.78 428.86 17.15 : 1
2014 7125.33 2341.37 3.04 : 1
2015 8003.63 4203.88 1.90 : 1
2016 7450.21
3127.6
2.38 : 1
……………………………..CRORES………………
Debt- equity ratio
DEBT
EQUITY
Debt= any long term liabilities
Equity= share capital + reserves +
surplus
2012 2013 2014 2015 2016
7.33
17.15
3.04
1.9 2.38
10. Year Total debt Total
assets
Total debt
to total
asset Ratio
2012 10403.62 17122.63 60%
2013 11738.30 14827.17 79%
2014 13471.56 13629.52 98%
2015 14943.93 14644.4 102%
2016 14725.18 15002.19 98%
……………………………..CRORES………………
Total debt to total asset ratio
TOTAL DEBT
TOTAL ASSETS
Total debt= current liabilities + long term
liabilities
Total assets= fixed assets (tangible) + current
assets
2012 2013 2014 2015 2016
60%
79%
98%
102%
98%
11. Year EBIT Interest
expense
Interest
coverage
ratio
2012 582.59 971.23 0.59
2013 1453.51 1118.98 1.29
2014 1073.07 997.16 1.07
2015 591.35 884.06 0.66
2016 2957.92 868.11 3.40
……………………………..crores………………
Interest coverage ratio
EBIT (earnings before interest and tax)
interest expense
2012 2013 2014 2015 2016
0.59
1.29
1.07
0.66
3.4
12. Year Share
holder’s
equity
Fixed
interest
bearing
securities
Capital
gearing
ratio
2012 1267.19 9195.97 13%
2013 428.86 7233.6 5%
2014 2341.37 6911.07 33%
2015 4203.88 7755.71 54%
2016 3127.6 7113.86 43%
……………………………..CRORES………………
Capital gearing ratio
shareholders equity______
fixed interest bearing securities
(debentures , long term loans, bonds,
preference shares)
2012 2013 2014 2015 2016
13%
5%
33%
54%
43%
