Bajaj Auto Financial Analysis: Presented by
Bajaj Auto Financial Analysis: Presented by
Bajaj Auto Financial Analysis: Presented by
Presented by:
KAUSTAV BORDOLOI MANSI KESRI MAYANK GUPTA MEGAH SHARMA MOHIT NISCHAL
1,482.71 149.34
1,479.59 120.84
1,542.29 106.48
1,268.61 34.74
1,273.60 107.62
Investments Inventories Sundry Debtors Cash and Bank Balance Total Current Assets Loans and Advances Fixed Deposits Total CA, Loans & Advances Deffered Credit Current Liabilities Provisions Total CL & Provisions Net Current Assets Miscellaneous Expenses Total Assets Contingent Liabilities Book Value (Rs)
4,795.20 547.28 362.76 155.45 1,065.49 3,891.66 401.04 5,358.19 0 2,624.35 3,925.72 6,550.07 -1,191.88 0 5,235.37 959.66 169.69
4,021.52 446.21 272.84 100.2 819.25 2,291.29 1.21 3,111.75 0 2,218.06 2,248.72 4,466.78 -1,355.03 0 4,266.92 818.25 202.4
1,808.52 338.84 358.65 135.68 833.17 1,567.09 1.19 2,401.45 0 1,378.20 1,224.15 2,602.35 -200.9 183.3 3,439.69 924.96 129.23
1,857.14 349.61 275.31 54.74 679.66 1,099.68 1.33 1,780.67 0 1,185.19 834.04 2,019.23 -238.56 0 2,921.93 1,129.29 109.73
6,447.53 309.7 529.83 62.16 901.69 2,925.24 21.32 3,848.25 0 1,683.46 2,833.79 4,517.25 -669 0 7,159.75 811.66 546.96
Income
Sales Turnover
Excise Duty
Net Sales
Other Income
Stock Adjustments
Total Income
Expenditure 11,965.30 86.61 494.33 61.77 450.18 8,187.11 70.35 411.76 57.54 407.61 221.94 -15.67 6,502.10 60.89 366.67 57.08 381.73 225.56 -14.42 6,760.04 69.2 350.09 53.72 390.15 209.63 -23.04 6,969.50 79.34 310.07 74.53 457.17 230.89 -32.05
Raw Materials
Total Expenses
13,279.29
3,255.30
9,340.64
2,520.21
7,579.61
1,096.07
7,809.79
1,085.21
8,089.45
1,329.89
Operating Profit
0
4,306.77 46.77
0
2,400.28 26.87
0
939.07 18.72
1.12
1,075.24 59.32
0.39
1,701.06 26.6
Corporate Dividend Tax 187.77 Per share data (annualized) Shares in issue (lakhs) 2,893.67
Earnings Per Share (Rs) 115.42 Equity Dividend (%) Book Value (Rs) 400 169.69
RATIO ANALYSIS
Mar, 11 Mar , 10 Investment Valuation Ratios Face Value Dividend Per Share Operating Profit Per Share (Rs) Net Operating Profit Per Share (Rs) Free Reserves Per Share (Rs) Bonus in Equity Capital Profitability Ratios Operating Profit Margin (%) Profit Before Interest And Tax Margin (%) Gross Profit Margin (%) Cash Profit Margin (%) Adjusted Cash Margin (%) Net Profit Margin (%) Adjusted Net Profit Margin (%) Return On Capital Employed (%) Return On Net Worth (%) Adjusted Return on Net Worth (%) Return on Assets Excluding Revaluations Return on Assets Including Revaluations Return on Long Term Funds (%) 19.76 18.56 19.02 15.7 15.7 19.8 19.8 67.57 68.01 51.42 169.69 169.69 69.67 21.19 19.78 20.03 16.2 16.2 14.23 14.23 59.01 58.14 61.53 202.4 202.4 59.19 10 40 112.4 568.54 158.97 89.45 10 40 173.02 816.49 190.09 78.91
Mar , 09 10 22 75.64 601.32 106.56 78.91 12.57 10.88 11.08 10.55 10.55 7.4 7.4 32.8 38.92 47.78 116.56 116.56 35.36
Mar , 08 10 20 75.01 610.1 99.73 78.91 12.29 10.03 10.32 10.48 10.48 8.32 8.32 39.71 47.61 48.91 109.73 109.73 39.71
Mar , 07 10 40 131.39 931.01 535.16 112.84 14.11 11.65 12.09 12.18 12.18 12.66 12.66 20.9 22.36 18.09 546.96 546.96 20.97
Liquidity And Solvency Ratios Current Ratio Quick Ratio Debt Equity Ratio Long Term Debt Equity Ratio Debt Coverage Ratios Interest Cover Total Debt to Owners Fund Financial Charges Coverage Ratio Financial Charges Coverage Ratio Post Tax Management Efficiency Ratios Inventory Turnover Ratio Debtors Turnover Ratio Investments Turnover Ratio Fixed Assets Turnover Ratio Total Assets Turnover Ratio Asset Turnover Ratio Average Raw Material Holding Average Finished Goods Held Number of Days In Working Capital Profit & Loss Account Ratios Material Cost Composition Imported Composition of Raw Materials Consumed Selling Distribution Cost Composition Expenses as Composition of Total Sales Cash Flow Indicator Ratios Dividend Payout Ratio Net Profit Dividend Payout Ratio Cash Profit Earning Retention Ratio Cash Earning Retention Ratio Adjusted Cash Flow Times Earnings Per Share Book Value
0.8 0.71 0.07 0.03 2,093.39 0.07 2,166.08 2,049.86 32.8 51.77 32.8 4.85 3.14 4.85 5.58 9.15 -26.08 72.72 4.06 2.45 27.74 40.27 38.85 46.73 49.2 0.12 115.42 169.69
0.69 0.55 0.46 0.45 421.06 0.46 443.88 308.56 28.87 37.41 28.87 3.5 2.77 3.5 7.91 9.13 -41.29 69.3 3.59 3.23 27.67 39.63 36.69 62.55 65.19 0.69 117.69 202.4
0.84 0.73 0.84 0.71 53.71 0.84 59.89 38.42 28.64 27.45 28.64 2.6 2.53 2.6 6.39 9.97 -8.31 74.73 2.35 3.97 30.82 56.72 47.36 53.79 60.2 1.68 45.37 129.23
0.88 0.64 0.84 0.84 224.91 0.84 258.84 181.43 29.33 21.93 29.33 2.95 3.02 2.95 5.24 10.73 -9.73 76.58 2.37 3.98 23.53 44.78 36.36 56.41 64.43 1.4 52.25 109.73
0.84 0.76 0.29 0.29 280.28 0.29 315.98 268.53 36.88 22.66 36.88 2.96 1.32 2.96 5.08 8.14 -25.57 73.98 5.56 4.45 18.36 38.24 33.14 52.71 60.28 1.36 122.35 546.96
Current Ratio
Definition: Current ratio may be defined as the relationship between current assets and current liabilities. This ratio is also known as "working capital ratio". It is a measure of general liquidity and is most widely used to make the analysis for short term financial position or liquidity of a firm. It is calculated by dividing the total of the current assets by total of the current liabilities. Formula:
Current Ratio = Current Assets / Current Liabilities Current Assets : Current Liabilities
Current Ratio
1 0.9 0.8 0.8 0.7 0.6 0.5 0.4 0.3 0.2 0.1 0 Mar '11 Mar '10 Mar '09 Mar '08 Mar '07 0.69 0.88 0.84 0.84
Current Ratio
Liquid Ratio
Definition: Liquid ratio is also termed as "Liquidity Ratio", "Acid Test Ratio" or "Quick Ratio". It is the ratio of liquid assets to current liabilities. The true liquidity refers to the ability of a firm to pay its short term obligations as and when they become due. Formula of Liquidity Ratio: [Liquid Ratio = Liquid Assets / Current Liabilities]
Liquid Ratio
0.8 0.71 0.7 0.64 0.6 0.55 0.73 0.76
0.5
0.4
Liquid Ratio
0.3
0.2
0.1
0 Mar '11 Mar '10 Mar '09 Mar '08 Mar '07
0.08
0.02
0 Mar '11 Mar '10 Mar '09 Mar '08 Mar '07
30
25
20
15
10
0 Mar '11 Mar '10 Mar '09 Mar '08 Mar '07
40
37.41
30
20
10
0 Mar '11 Mar '10 Mar '09 Mar '08 Mar '07
4.85
0 Mar '11 Mar '10 Mar '09 Mar '08 Mar '07
Or
0.1
0
0.07
Or
Mar '11 Mar '10 Mar '09 Mar '08 Mar '07
20
19.8
15
10 7.4
8.32
0 Mar '11 Mar '10 Mar '09 Mar '08 Mar '07
20.03 20 19.02
15
12.09 11.08
10 10.32 Gross Profit Margin(%)
0 Mar '11 Mar '10 Mar '09 Mar '08 Mar '07
Conclusion
LIQUIDITY RATIOS
Current ratio The ideal figure should always be greater than 1.The company has a current ratio of 0.8 and it should look to improve it. The higher the better. Quick Ratio A quick ratio of 1 is regarded as ideal and demonstrates good liquidity within the business. The company has a quick ratio of 0.7 which is not very bad but can be improved. Debt-Equity Ratio Manufacturing companies tend to have a debt equity ratio of above 2.The company has a debt-equity ratio of 0.7 which means the company is not been wanting to take risks.
Conclusion
MANAGEMENT EFFICIENCY RATIOS
Inventory Turnover Ratio The higher the better. A higher inventory turnover ratio shows either strong sales or ineffective buying. Debtors Turnover Ratio. The company has a debtors turnover ratio of 51.77 which shows that the company has an efficient system for collection of accounts. Fixed Assets Turnover Ratio A higher fixed assets turnover ratio shows that the company uses its investment in fixed assets more efficiently. The company has a fixed assets turnover ratio of 4.85 which can be improved.
Conclusion
BAJAJ AUTOS FINANCIAL POSITION IS NOT AS PER STD.
WORKING CAPITAL RATIO IS NEGATIVE FOR ALL THE YEAR WHICH IS NOT GOT FOR THE COMPANY CURRENT RATIO AND LIQUID RATIO IS ALSO SHOWING A DECREASING TREND BAJAJ AUTO SHOULD TRY TO IMPROVE ITS CURRENT RATIO
THANK YOU
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