Havells India Limited is an electrical equipment manufacturing company based in India. This document presents a ratio analysis of Havells for the years 2014 and 2015. Some key ratios showed declines from 2014 to 2015, including the current ratio decreasing from 1.42 to 1.32, the quick ratio decreasing from 0.81 to 0.76, and the return on capital employed decreasing from 47.4% to 27.8%. However, other ratios such as the gross profit ratio remained relatively stable between the two years at approximately 13.2%. The ratio analysis provides insights into the company's liquidity, asset utilization, profitability, and financial leverage over this two-year period.

1. PRESENTATION
ON
HAVELL’S INDIA Ltd.
(RATIO ANALYSIS)
PRESENTED BY:-
PRADEEP MALIK
(4151048)

2. HAVELL’S INDIA Ltd.
( key facts )

3. Havells India Limited
Type Public company
Traded as BSE: 517354
Industry Power distribution &
Electrical equipments
Founded 1958
Founder Qimat Rai Gupta
Headquarters Noida, India
Key people Qimat Rai
Gupta Founder &Chairm
an
Products Fast Moving Electrical
Goods
Revenue 85.69
billion(US$1.3 billion)
(2015)
Number of employees 6,500
Divisions Lighting Sector, Power
Distribution Sector

4. Profit & Loss account
of Havell’s India
Mar '15 Mar '14
Income
Sales Turnover 5,557.79 4,719.69
Excise Duty 319.10 0.00
Net Sales 5,238.69 4,719.69
Other Income 52.21 44.06
Stock Adjustments 5.29 4.19
Total Income 5,296.19 4,767.94
Expenditure
Raw Materials 3,217.06 2,938.29
Power & Fuel Cost 66.50 61.65
Employee Cost 312.72 247.48
Other Manufacturing Expenses 0.00 0.00
Selling and Admin Expenses 0.00 0.00
Miscellaneous Expenses 948.58 834.86
Preoperative Exp Capitalised 0.00 0.00
Total Expenses 4,544.86 4,082.28

5. Mar '15 Mar '14
Operating Profit 699.12 641.60
PBDIT 751.33 685.66
Interest 17.57 26.93
PBDT 733.76 658.73
Depreciation 87.51 63.63
Other Written Off 0.00 0.00
Profit Before Tax 646.25 595.10
Extra-ordinary items 0.00 0.00
PBT (Post Extra-ord Items) 646.25 595.10
Tax 181.31 116.41
Reported Net Profit 464.94 478.69
Total Value Addition 1,327.80 1,143.99
Preference Dividend 0.00 0.00
Equity Dividend 187.35 187.23
Corporate Dividend Tax 38.14 31.82
Per share data (annualised)
Shares in issue (lakhs)
6,244
.88
1,248.21
Earning Per Share (Rs) 7.45 38.35
Equity Dividend (%)
300.0
0
300.00
Book Value (Rs) 38.04 170.63

6. Balance Sheet
of Havell’s India
Mar '15 Mar '14
Sources Of Funds
Total Share Capital 62.44 62.39
Equity Share Capital 62.44 62.39
Share Application Money 0.00 0.00
Preference Share Capital 0.00 0.00
Reserves 2,313.35 2,067.46
Networth 2,375.79 2,129.85
Secured Loans 41.73 80.13
Unsecured Loans 0.00 75.32
Total Debt 41.73 155.45
Total Liabilities 2,417.52 2,285.30
In Cr.

7. Mar '15 Mar '14
Application Of Funds
Gross Block 1,314.50 1,151.17
Less: Revaluation Reserves 0.00 0.00
Less: Accum. Depreciation 329.70 244.89
Net Block 984.80 906.28
Capital Work in Progress 22.52 27.78
Investments 1,011.76 882.52
Inventories 689.72 682.71
Sundry Debtors 132.51 136.49
Cash and Bank Balance 522.34 626.16
Total Current Assets 1,344.57 1,445.36
Loans and Advances 285.20 136.16
Fixed Deposits 0.00 0.00
Total CA, Loans & Advances 1,629.77 1,581.52
Deferred Credit 0.00 0.00
Current Liabilities 902.96 836.75
Provisions 328.37 276.05
Total CL & Provisions 1,231.33 1,112.80
Net Current Assets 398.44 468.72
Miscellaneous Expenses 0.00 0.00
Total Assets 2,417.52 2,285.30
Contingent Liabilities 491.96 524.94
Book Value (Rs) 38.04 170.63

11. RATIO ANALIYSIS
1. LIQUIDITY (Short -term
solvency)

12. CURRENT RATIOS:
= Current Assets /
Current Liabilities
In 2014,
Current Assets = Rs. 1581.52
Current Liabilities = Rs. 1112.80
Ratio = 1.42%
In 2015,
Current Assets = Rs. 1629.77
Current Liabilities = Rs. 1231.33
Ratio = 1.32%
1.26%
1.28%
1.30%
1.32%
1.34%
1.36%
1.38%
1.40%
1.42%
1.44%
2014 2015
current ratio
current ratio

13. Quick Ratios:
= Quick Assets/
Current Liabilities
In 2014,
Quick Assets = Current Assets-Inventories
=Rs.898.80
Current Liabilities = Rs. 1112.80
Ratio = 0.81%
In 2015,
Quick Assets = Rs. 940.05
Current Liabilities = Rs.1231.33
Ratio = 0.76%
0.72%
0.74%
0.76%
0.78%
0.80%
0.82%
2014 2015
quick ratio
quick ratio

14. CASH RATIOS:
=Cash + Marketable Securities/
Current Liabilities
In 2014,
Cash + Marketable Securities = Rs. 688.55
Current liabilities = Rs. 1112.80
Ratio=0.62%
In 2015,
Cash + Marketable Securities = Rs.548.78
Current Liabilities = Rs.1231.33
Ratio=0.47%
0.00%
0.20%
0.40%
0.60%
0.80%
2014 2015
cash ratio
cash ratio

16. CAPITAL TURNOVER RATIOS:
= Net Sales/
Capital Employed
In 2014,
Net Sales = Rs. 4719.69
Capital Employed = Total assets – current liabilities
=Rs. 1448.55
Ratio = 3.25%
In 2015,
Net Sales = Rs.5238.69
Capital Employed = Rs. 1514.56
Ratio= 3.45%
3.00%
3.20%
3.40%
3.60%
2014 2015
capital turnover ratio
capital turnover
ratio

17. NET WORKING CAPITAL RATIOS:
=Net Sales/
Net Working Capital
In 2014,
Net Sales = Rs. 4719.69
Net Working Capital = Rs. 608.61
Ratio = 11.86%
In 2015,
Net Sales = Rs. 5238.69
Net Working Capital = Rs. 441.61
Ratio = 7.75%
0.00%
10.00%
20.00%
2014 2015
Net working capital ratio
Net working capital
ratio

18. Inventory Turnover Ratios:
= Cost Of Goods Sold/
Average Inventory
In 2014,
Cost Of Goods Sold= Sales-Gross Profit
=Rs. 4312.27
Average Inventory= Rs.685.215
Ratio= 6.30%
In 2015,
Cost Of Goods Sold= Rs.4817.95
Average Inventory= Rs. 686.215
Ratio= 7.02%
0.00%
100.00%
200.00%
300.00%
2014 2015
Inventory turnover ratio
Inventory
turnover ratio

20. Gross Profit Ratios:
= Gross Profit *100
Net Sales
In 2014,
Gross Profit= Rs. 658.73
Net Sales= Rs. 4977.59
Ratio=13.23%
In 2015,
Gross Profit= Rs. 733.76
Net Sales= Rs.5551.71
Ratio= 13.21%
13.20%
13.22%
13.24%
2014 2015
Gross profit ratio
Gross profit ratio

21. Net Profit Ratios:
= Net Profit After Tax *100
Net Sales
In 2014,
Net Profit After Tax= Rs.478.69
Net Sales= Rs. 4977.59
Ratio= 9.61%
In 2015,
Net Profit After Tax= Rs. 464.94
Net Sales= Rs. 5551.71
Ratio= 8.37%
7.50%
8.00%
8.50%
9.00%
9.50%
10.00%
2014 2015
Net profit ratios
Net profit ratios

22. Return On Capital Employed:
= Profit Before Interest And Tax *100
Total Capital Employed
In 2014,
Profit Before Interest And Tax= Rs. 544.40
Total Capital Employed= Total Assets-Current Liabilities
=Rs. 1148.85
Ratio= 47.40%
In 2015,
Profit Before Interest Tax= Rs.421.08
Total Capital Employed= Rs. 1514.56
Ratio= 27.80%
0.00%
20.00%
40.00%
60.00%
2014 2015
Return on capital employed
Return on capital
employed

23. Return On Equity:
= Net Profit After Tax And Preference Dividend
Paid Up Equity Share Capital
In 2014,
Net Profit= Rs. 478.69
Paid Up Equity Share Capital= Rs. 300
Ratio= 1.59%
In 2015,
Net Profit= Rs. 464.94
Paid Up Equity Share Capital= Rs. 300
Ratio= 1.54%
1.50%
1.52%
1.54%
1.56%
1.58%
1.60%
2014 2015
Return on equity
Return on equity

24. Return On Assets:
= Net Profit After Tax/
Average Total Assets
In 2014,
Net Profit= Rs.478.69
Average Total Assets= Rs.1421.44
Ratio= 0.34%
In 2015,
Net Profit= Rs. 464.94
Average Total Assets= Rs. 2351.4
Ratio= 0.19%
0.00%
0.20%
0.40%
2014 2015
Return on assets
Return on assets

26. Debt Equity Ratios:
= Long Term Liabilities/
Equity
In 2014,
Long Term Liabilities= Total Liabilities-
Current Liabilities
=Rs. 1148.55
Equity= Share Capital + P&L Balance + Reserves
=Rs. 3347.28
In 2015,
Long Term Liabilities= Rs. 328.37
Equity= Rs.3804.83
0.00%
0.20%
0.40%
0.60%
2014 2015
Debt equity ratio
Debt equity ratio
Ratio= 0.43%
Ratio= 0.08%

27. Equity Ratios:
= Shareholder’s Fund (Equity)/
Total Assets
In 2014,
Equity= Rs.3347.28
Total Assets= Rs.2285.30
Ratio = 1.46%
In 2015,
Equity= Rs.3804.83
Total Assets= Rs. 2417.52
Ratio= 1.57%
1.40%
1.45%
1.50%
1.55%
1.60%
2014 2015
Equity ratios
Equity ratios

28. Earning Per Share:
= Profit After Tax *100
Number Of Equity Shares
In 2014,
Profit After Tax= Rs. 478.69
Number Of Equity Shares = 1248.21
Ratio= 38.35%
In 2015,
Profit After Tax= Rs. 464.96
Number Of Equity Shares = 6244.88
Ratio= 7.45%
0.00%
20.00%
40.00%
60.00%
2014 2015
Earning per share
Earning per share

29. Dividend Per Share:
= Ordinary Dividend Paid *100
Number Of Ordinary Shares
In 2014,
Dividend = Rs. 187.23
Number Of Ordinary Shares= 1248.21
Ratio= 15%
In 2015,
Dividend= Rs. 187.35
Number Of Ordinary Shares= 6244.88
Ratio= 3%
0%
5%
10%
15%
20%
2014 2015
Dividend per share
Dividend per share

30. Any
Queries