Company Analysis - TCS (Tata Consultancy Services) Financial Analysis

1. 1

2. 2
GROUP MEMBERS
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



Meet Bhadra
Hasti Bhanushali
Rewat Bharsakle
Kaustubh Barve
Yogita Bhadekar

3. CONTENTS
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INTRODUCTION
FINANCIAL STATEMENTS
SHAREHOLDING PATTERN
REVENUE AND EXPENSES
RATIO ANALYSIS
CONCLUSION
3

4. INTRODUCTION
TYPE : PUBLIC
INDUSTRY : IT SERVICES, IT CONSULTING.
FOUNDER: J R D TATA (Jehengir Ratanji Dadabhoy Tata) in
1968
KEY PEOPLE: Cyrus Mistri (Chairman)
Natarajan Chandrashekaran (CEO & MD)
AREAS SERVED : WORLDWIDE
PARENT COMPANY: TATA GROUP
SUBSIDARIES: CMC LIMITED, TCS CHINA ,TRDDC, TCS ESERVE LTD.
HEADQUATER : MUMBAI,MAHARASHTRA, INDIA
4

5. CORPORATE FACTS

Tata Consultancy Services is an IT services, consulting
and business solutions organization that delivers real
results to global businesses, ensuring a level of
certainty that no other firm can match.

TCS is the largest Indian company by market
capitalization and is the largest India-based IT services
company by 2013 revenues.
5

6. CORPORATE FACTS

Revenue of $11.6 billion; up 13.7% over prior year; net
income at $2.6B; up 15.6% (fiscal year ending March 31,
2013).

TCS is second among most valuable it firms in the world.
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
TCS has over 276,000 of the world’s best-trained IT
consultants in 44 countries.
TCS operates in 44 countries and has 199 branches across
the world
6

7. SERVICES
FULL SERVICE PORTFOLIO
 Application development
and maintenance
 Asset leverage solutions
 Assurance services
 Business process
outsourcing
 Consulting
 Engineering and Industrial
services
 Enterprise solutions
 IT infrastructure services
NEW SERVICES
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

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Mobility
Connected Marketing
Social Computing
Big Data
Cloud

8. INDUSTRIES SERVICED
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Banking, Financial
Services
Insurance
Retail and
Consumer
Packaged Goods
Telecom
Media and
Information Services








High Tech
Manufacturing
Life Sciences
Healthcare
Energy and Utilities
Construction
Metals and Mining
Travel,
Transportation and
Hospitality

9. AWARDS AND
RECOGNITIONS

TCS was awarded the Business Standard's Company
of the Year award for 2012.

Gold Shield award for excellence in financial reporting
from the ICAI in 2012

Won 'Recruiting and Staffing Industry Leader of the
Year' and ‘Best Employer Brand’ awards at the World
HRD Congress' annual meet in 2012
9

10. 10
FINANCIAL STATEMENTS

11. SOURCES OF FUNDS
45,000.00
40,000.00
211
35,000.00
30,000.00
116.26
25,000.00
74.8
Total Debt
20,000.00
38,645.73
103.25
15,000.00
Net Worth
29,579.23
24,504.81
10,000.00
18,466.72
5,000.00
0.00
Mar/10
Mar/11
Mar/12
Mar/13
11

12. APPLICATION OF FUNDS
40,000.00
35,000.00
9,828.01
30,000.00
1,897.34
25,000.00
8,662.06
20,000.00
15,000.00
7,479.09
6,738.03
Net Block
1,350.33
Investment
Current Assets
1,762.67
25,931.33
10,000.00
18,795.50
3,682.08
14,326.84
5,000.00
7,494.20
0.00
Mar/10
Mar/11
Mar/12
Mar/13
12

13. SHAREHOLDERS
Shareholders
Promoters
14%
Promoters
Public Shareholding
public shareholding
86%
13

14. SHAREHOLDERS
Public shareholdings
Non-Institutional
87.41
17%
Institutional
Non-Institutional
Institutional
422.26
83%
14

15. SOURCES OF INCOME
70000
1178.23
60000
50000
428.17
40000
602.92
Other Income
30000
62989.48
250.64
Sales Turnover
48893.83
20000
37324.5
30028.92
10000
0
Mar/10
Mar/11
Mar/12
Mar/13
15

16. BREAKUP OF REVENUE(IN PERCENTAGE)
REVENUE(2010)
Engineerin
g and
industrial
services
[PERCENT
Assurance AGE]
services
5.03
REVENUE(2013)
Asset
leverage
Solutions
3.29%
Consulting
1.09%
IT
infrastructu
re
services
8.36%
Enterprise
solutions
including
intelligence
Business
16.2%
Process
Outsourcin
g
11.52%
TOTAL=30028.92 CR
Engineering
and
Asset
industrial
leverage
services
solutions
4.61 %
2.70 %
Assurance
services
7.71 %
Consulting
3.03%
IT
infrastructur
e
services
11.48 %
Application
Developme
nt And
Maintenanc
e
48.7
Enterprise
solutions
including
intelligence
15.20 %
Business
Process
Outsourcing
12.47 %
TOTAL=62989.48 CR
Application
Developmen
t And
Maintenance
42.80 %
16

17. ALLOCATION OF
EXPENSES
Expenses
50000
44949.57
45000
40000
34458.52
35000
30000
25000
26145.07
21291.51
Expenses
20000
15000
10000
5000
0
Mar/10
Mar/11
Mar/12
Mar/13
17

18. BREAK UP OF TOTAL EXPENSES(IN PERCENTAGE)
Expenses(2010)
Expenses(2013)
Miscellane
ous
Expenses
12.88%
Miscellaneo
us
Expenses
5.71%
Other
Manufacturi
ng
Expenses
43.18 %
TOTAL=21,291.51 CR
Employee
Cost
51.11%
Other
Manufactur
ing
Expenses
33.63 %
Employee
Cost
53.49 %
TOTAL= 44,949.57 CR
18

19. Analysis of Percentage Of Repeat
Business Of TCS
2010
Percentage 97.8%
of
repeat
business
2011
2012
2013
98.4%
97.5%
98.6%
19

20. NET PROFIT
NetProfit ( in Rs. Crore)
16000
14075.69
14000
12000
10523.45
10000
8000
9189.79
7092.66
NetProfit ( in Rs. Crore)
6000
4000
2000
0
2010
2011
2012
2013
20

21. NET PROFIT
Net Profit ( in %)
24.5
23.93
24
23.5
23.07
23
22.5
22
21.68
21.5
Net Profit ( in %)
21.11
21
20.5
20
19.5
2010
2011
2012
2013
21

22. 22
RATIO ANALYSIS

23. CURRENT RATIO
Current Ratio
3.5
3
3
2.85
2.69
2.5
2
1.87
Current Ratio
1.5
1
0.5
0
2010
2011
2012
2013
23

24. DEBT EQUITY
RATIO
Debt Equity Ratio
0.12
0.1
0.1
0.1
0.1
0.1
0.08
0.06
Debt Equity Ratio
0.04
0.02
0
2010
2011
2012
2013
24

25. EARNINGS PER
SHARE
Earnings Per Share (in Rs.)
80
70.99
70
60
53.07
50
40
46.27
35.67
Earnings Per Share
30
20
10
0
2010
2011
2012
2013
25

26. DIVIDEND PER
SHARE
Dividend Per Share (in Rs.)
30
25
25
22
20
20
14
15
Dividend Per Share
10
5
0
2010
2011
2012
2013
26

27. 27
CONCLUSION

28. CONCLUSION
HIGHLIGHTS :
 Financial year 2012-2013, global economic
slow down.

Overcoming uncertainties was a challenge.

Higher rate of efficiency and preparedness was
needed.
28

29. 
TCS on a consolidated basis, achieved a well
rounded growth.

United Kingdom (44%), Latin
America, (40%), North America (27%), Europe
(21%), Asia Pacific (27%), Middle East Africa
(28%) and India (16%).
29

30. Company crossed USD 3 billion revenue in a
quarter during Q4 of the financial year 20122013.
 Last quarter TCS booked profits around 34%
profit compared to last year.


Key player in IT sector.
30

31. Quality Initiatives :
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Indias most admired knowledge enterprise
(MAKE) winner -1st place.
8th time in India as well as Asia.
TCS won the QuEST forum India quality award
2012 for being the first telecom software
company in the world to implement the
advanced surveillance.
31

32. 

and recertification procedure (ASRP)
methodology for TL 9000.
A diverse workforce of 2,76,196 representing
118 nationalities.
32

33. 33
BIBLIOGRAPGHY
http://en.wikipedia.org/wiki/Tata_Consultancy_Services
http://www.tcs.com/about/corp_facts/Pages/default.aspx
http://www.tcs.com/investors/Documents/Annual%20Reports/TCS_Annual_Report_2012-2013.pdf
http://www.moneycontrol.com/financials/tcs/consolidated-ratios/TCS
http://www.moneycontrol.com/bse/shareholding/shp_public_shares.php?sc_dispid=TCS#TCS
http://www.moneycontrol.com/company-facts/tataconsultancyservices/shareholdingpattern/TCS#TCS
http://www.moneycontrol.com/bse/shareholding/shp_promoters.php?sc_dispid=TCS#TCS
http://www.equitymaster.com/detail.asp?date=06/27/2013&story=2&title=What-if-Infosys-steppedup-on-its-selling-expenses

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