Desk Project report 2
Content
Desk Project report on
SPARE PARTS INDUSTRY On TATA Motors SUBMITTED TO SINHGAD INSTITUTE OF MANAGEMENT IN PARTIAL FULFILLMENT FOR POST GRADUATE DIPLOMA IN MANAGEMENT (PGDM) (2009 ± 2011) BY KETAKI BELSARE PGDM D Under the guidance of Prof. Anirudha Chiney
SINHGAD INSTITUTE OF MANAGEMENT VADGAON (BK), PUNE ± 411041 1
INTRODUCTION A spare part, service part, or spare, is an item of inventory that is used for the repair or replacement of failed parts. Spare parts are an important feature of logistics management and supply chain management, often comprising dedicated spare parts management systems. Capital spares are spare parts although acknowledged to have a long life or a small chance of failure would cause shutdown of equipment for a prolonged period because of the long delivery of their replacement. Spare parts are an outgrowth of the industrial development of interchangeable parts and mass production. Spare parts can be broadly classified into two groups, repairable and consumables. Repairable parts are parts that are deemed worthy of repair, usually by virtue of economic consideration of their repair cost. Parts that are not repairable are considered consumable parts. Consumable parts are usually scrapped, or "condemned", when they are found to have failed. Economically, there is a tradeoff between the cost of ordering a replacement part and the cost of repairing a failed part. When the cost of repair becomes a significant percentage of the cost of replacement, it becomes economically favorable to simply order a replacement part. In such cases, the part is said to be "beyond economic repair" (BER), and the percentage associated with this threshold is known as the BER rate. TATA Motors is India¶s largest automobile manufacturing spare parts company. It stands one of top 50 companies listed in National Stock Exchange (NSE). It manufactures spare parts which are required by the car like customizes CNC parts for automobile industry, precision levers, push rods, shoe brake, gear spare part, engineering metal product, sintered auto parts etc. Spare parts contribution to sales is very less, but it is one of the main contributions to design a new car.
2
FUNDAMENTAL ANALYSIS As the Indian economy bounced back and grew by 7.2% in 2009-10, the automotive industry in India recorded steady growth in the first two quarters and recorded significant growth in the last two quarters of 2009-10. The Company¶s total sales increased by 31.9% to 667,971 vehicles in 2009-10 in the domestic and overseas markets. The commercial vehicle sales increased to 373,842 in the domestic market, an increase of 40.9% and the Company consolidated its leadership position by introducing new products to complement its existing product portfolio. The passenger vehicles volumes grew by 25.3% to 260,020 vehicles in the domestic market on the back of the launch of the Nano and the Indigo Manza. The Company¶s exports increased by 1.7% during the year, due to the slow recovery in major international markets. With the upturn in economy, the Company revenue has grown by 38.9% in 2009-10. Operating margin was higher due to increase in volumes and cost reduction initiatives taken by the Company. The Company recorded Profit before tax of Rs.2,829.54 crores, growth of 179.1%. The Profit before tax includes Rs.1,112.51 crores profit on sale of controlling stake in a subsidiary company and loss of Rs.850.86 crores on redemption of investments in reference shares held in a subsidiary company. The Profit after tax which increased to Rs.2,240.08 crores from Rs.1,001.26 crores in 2008-09 had recorded a growth of 123.7%. Net Raw Material consumption including processing charges increased by 31.4% to Rs.25,512.10 crores from Rs.19,416.64 crores in 2008-09, due to increase in vehicle volumes. Material cost as a % of net turnover decreased to 71.7% from 75.7% for the last year. The input price increases during the year was offset by cost reduction programmed through value engineering and other measures.
3
The employee cost increased by 18.4% to Rs.1,836.13 crores from Rs.1,551.39 crores in 2008-09, mainly due to normal annual increments/promotions and increase in headcount. The Company continues to focus on measures to improve/ manage employee cost and productivity. Investments increased to Rs.22,336.90 crores as at March 31, 2010 as compared to Rs.12,968.13 crores as at March 31, 2009. The Company has invested Rs.10,575.60 crores in equity and preference shares of TML Holdings (Pte) Ltd, Singapore, which in turn prepaid the bridge loan taken for acquisition of Jaguar and Land Rover business. Further, TML Holdings (Pte) Ltd Singapore has redeemed preference shares of Rs.877.16 crores. The Company sold part of its investments in Tata Steel Ltd and 20% stake in Telco Construction Equipment Co. Ltd. Road development: Continued improvement in road infrastructure in coming years is expected to have a positive effect on automobile sales. According to Ministry for Road, Transport and Highways, the government will spend about Rs.1,000 billion over future years, with a target of building 20 km of road every day. The Golden Quadrilateral road project was 99% complete as on March 31, 2010. Over 65% of the planned roads under the North South East West (NSEW) road corridor project have been completed till February 2010. Rural connectivity is expected to correspondingly improve This would expand significantly the population/markets/supply sources participating in the overall economic growth. International Business: India continues to be a cost competitive source for the automotive industry globally, both for vehicles and components. India¶s manufacturing base continues to benefit from these scale economies coupled with technology/quality improvements. The Company has opportunities to increase its exports significantly, particularly with the new and contemporary product offerings in commercial vehicles and passenger cars. The Company is also setting up/ exploring manufacturing footprint overseas, which would combine these advantages with local operations and sourcing in these markets.
The risk taken is Hardening of interest rates and other inflationary trends: Further hardening of consumer interest rates could have an adverse impact on the automotive industry. Increase in inflation could also have a negative impact on automobile sales in the domestic market. Government Regulations: Stringent emission norms and safety regulations could bring new complexities and cost increases for automotive industry, impacting the Company¶s business. WTO, Free Trade Agreements and other similar policies could make the market, more competitive for local 4
manufacturers. In the international markets, many of which have stricter norms of regulations related to emission, safety, noise, technology etc, the Company competes with international players which have global brand image, larger financial capability and multiple product platforms. These factors may impact demand of the Company¶s products in international markets. Future Prospects are that the company on the above background, will continue to focus on retaining its advantage of rich product portfolio, market reach and penetration and the µTata¶ brand, in order to be close to its customers. The Company will continue to introduce to the market, new products and variants, some of which have already been unveiled at the Delhi Auto Expo this year. These will offer superior value to the customers and improve the Company¶s market position. Aggressive cost reduction will be accentuated to offset the increase in input costs.
5
TECHNICAL ANALYSIS Technical analysis is a method of evaluating securities by analyzing the statistics generated by market activity. It is based on three assumptions: 1) the market discounts everything, 2) price moves in trends and 3) history tends to repeat itself. It takes a completely different approach; it doesn't care one bit about the "value" of a company or a commodity. Technicians (sometimes called chartists) are only interested in the price movements in the market. Technical analysis really just studies supply and demand in a market in an attempt to determine what direction, or trend, will continue in the future. In other words, technical analysis attempts to understand the emotions in the market by studying the market itself, as opposed to its components. If one understands the benefits and limitations of technical analysis, it can give one a new set of tools or skills that will enable you to be a better trader or investor.
Overall Performance
The above graph gives shows the overall performance of TATA Motors. There are two Y ± axis. One axis is showing price prices and the other is showing volume of sales for the particular period. As the volume increased, the price also increased, maintaining inverse relation between price and volume.
6
Performance Chart
The above chart shows the performance of the company. Net sales from 2006 to 2010 have increased. But around end of 2008, its sales decreased and again the company covered the Gap and it is showing 55% increase in sales in Jan 2011. Their highest increase in sales shows in mid 2010 and 2011. Net Profit has also increased. But in 2010 end of the year, its net profit fell by 50%, making loss to the company. But when we compare the market capital, it shows almost no change, only change was in 008 to 2009 periods, where it showed negative rise.
7
Index comparison
The above chart shows comparison of index with sensex and other auto industry. X ± Axis shows years and Y ± axis shows percentage change in price of share in Bombay Stock Exchange (BSE). In Jan 2011, their shares decreased. But today¶s share shows increase by 46.85 points i.e. 4.43% increase. Tata Motors is showing variations in share market. Sometimes increase and other times decrease in share Capital. It has not maintained any constant equilibrium.
8
CONCLUSION Doing this project has been a good learning for me and helped me to build a stronger base on Security Analysis & Portfolio Management, Merchant Banking, Advanced Financial Services, and Economics. I could practically use the technical as well as fundamental analysis to find the companies feasibility. Its earnings per share or PE ratio become easy to calculate, these ratios are needed by the company and its stakeholders. TATA Motors¶ current i.e. NSE and BSE index as on 25th Feb, 2011 are 1110.7 (5.34%) and 1105.10 (4.43%) respectively. The borrowings of the Company as on March 31, 2010 stood at Rs.16,625.91 crores (previous year Rs.13,165.56 crores). The key highlights were: In 2009-10, the Company raised Rs.4,200 crores from the issue of Secured, Rated, Credit Enhanced, Listed, 2% Coupon Non-Convertible Debentures (NCDs) with premium on redemption and Rs.200 crores from the issue of 9.95% Secured NCDs. In a challenging financial market environment, the Company successfully rolled over in May 2009, the bridge finance it had obtained for acquisition of the Jaguar Land Rover business for a period of 18 months, till December 2010. Subsequently, the Company was able to prepay this loan facility in October 2009 from certain divestments, improved cash generation from operations and also through fund raised, US$ 375 million from the issue of Global Depository Receipts and US$ 375 million from issue of Foreign Currency Convertible Notes. Further, the Company made a limited period enhanced conversion offer to the non-U.S. holders of the 0% JPY 11,760 million and 1% US$ 300 million Convertible Notes. The Company also sold 20% stake in Telco Construction Equipment Company Limited (Telcon), in favor of Hitachi Construction Machinery Co. Ltd. (Hitachi) for a consideration of Rs.1,152.51 crores (net of expenses) resulting in the Company's shareholding being reduced to 40% (on consolidated basis).
9
ANNEXTURES Profit and Loss Statement for March«. Particulars Gross Sales Less: Sales Returns Less: Excise Net Sales
Mar 2010
Mar 2009
383641.00 0
355930.50
285682.10
27710.50
Mar 2008
0
29384.80
327979.80
256297.30
1770.90
0
43545.20
284434.60
EXPENDITURE +
Increase/Decrease in Stock
+
Raw Materials Consumed Power & Fuel Cost
249058.30
183680.00
201901.90
3626.20
3049.40
3251.90
Other Manufacturing Expenses
24963.70
General and Administration Expenses
19142.80
Selling and Distribution Expenses
10369.20
Miscellaneous Expenses
12584.40
Total Expenditure
15392.60
18313.00
330.00
15344.10
19980.90
16198.10
15361.30
7444.40
6362.80
2939.60
3631.10
7405.40
8850.80
7442.30
324792.50
239937.20
258721.70
Operating Profit
31138.00
16360.10
2 5712.90
Other Income
19958.40
10631.90
9223.70
Operating Profit
51096.40
26992.00
3 4936.60
Interest
12462.30
PBDT
38634.10
Depreciation
10338.70
Profit Before Taxation & Exceptional Items Exceptional Income/Expenses
28295.40 0
8109.00
18883.00
10137.60
0
28295.40
10137.60
Provision for Tax
5894.60
125.00
Profit After Tax
22400.80
0
Profit Balance B/F
16859.90
Appropriations
39260.70
Equity Dividend% Earnings Per Share
150.00 39.26
10
10012.60 152.90
13830.70
8745.40
Profit Before Tax
Profits After Tax
+
18229.10
Capitalized
+
Employee Cost
Less: Pre operative Expenses
+
-5775.80
19.48
30680.50 6523.10 24157.40 1607.30
25764.70
5475.50
23996.20 60.00
4256.10
0 10138.30
20289.20
30427.50 150.00 52.63
Balance Sheet as of March«. Particulars
Mar 2010
Mar 2009
Mar 2008
SOURCES OF FUNDS +
Share Capital
5706.00
5140.50
3855.40
+
Total Reserve
143948.70
117161.00
74539.60
Shareholder's Funds
149654.70
122301.50
78395.00
+
Secured Loans
77426.00
52516.50
24619.90
+
Unsecured Loans
88833.10
80780.30
38185.30
Total Debts
166259.10
133296.80
62805.20
Total Liabilities
315913.80
255598.30
141200.20
184168.10
139051.70
108308.30
APPLICATION OF FUNDS Gross Block Less: Accumulated Depreciation Net Block Capital Work in Progress +
Investments
72129.20
112038.90
62599.00
52321.50
76452.70
69468.90
54435.20
53873.10
50649.60
223369.00
129681.30
49102.70
22298.10
24218.30
Current Assets, Loans & Advances +
Inventories
29355.90
+
Sundry Debtors
23919.20
12055.20
11307.30
Cash and Bank
17532.60
11418.20
23973.10
Other Current Assets
18523.90
13118.80
1622.60
Loans and Advances
27665.10
36512.20
42481.20
Total Current Assets
116996.70
95402.50
103602.50
Less : Current Liabilities and Provisions +
Current Liabilities
+
Provisions
146091.60
27634.30
85979.70
20789.50
86436.70
19894.30
Total Current Liabilities
173725.90
106769.20
106331.00
Net Current Assets
-56729.20
-11366.70
-2728.50
20.20
Miscellaneous Expenses not written off
0
Deferred Tax Assets
7915.00
11448.90
Deferred Tax Liability
23001.40
20107.00
Deferred Tax Assets / Liabilities
-15086.40
Total Assets
315913.80
Contingent Liabilities
27742.30 11
-8658.10 255598.30 152876.90
60.50 3974.50 13731.70 -9757.20 141200.20
57857.50
Cash flow statement for«. Particulars
Mar 2010
Mar 2009
Mar 2008
Profit Before Tax
22400.80
10012.60
20289.20
Adjustment
21145.50
5554.40
7338.50
Changes In working Capital
13570.30
-5005.20
16669.20
Cash Flow after changes in Working Capital
57116.60
10561.80
44296.90
65860.30
12950.20
61794.70
Cash Flow from Investing Activities
-118482.90
-105851.20
-57246.50
Cash Flow from Financing Activities
53484.90
81047.00
11302.80
Net Cash Inflow / Outflow
862.30
-11854.00
15851.00
Opening Cash & Cash Equivalents
6687.40
18646.80
8267.60
Effect of Foreign Exchange Fluctuations
-387.00
-105.40
-145.50
Closing Cash & Cash Equivalent
7162.70
6687.40
23973.10
Cash Flow from Operating Activities
12
BIBLIOGRAPHY
WEBSITES: -
www.tatamotors.com www.google.com www.wikipedia.com www.smctradeonline.com www.nse-india.com www.bseindia.com
BOOKS: -
Advance Financial Management Ainapure
Management Accounting Ainap Portfolio Management
13
SPARE PARTS INDUSTRY On TATA Motors SUBMITTED TO SINHGAD INSTITUTE OF MANAGEMENT IN PARTIAL FULFILLMENT FOR POST GRADUATE DIPLOMA IN MANAGEMENT (PGDM) (2009 ± 2011) BY KETAKI BELSARE PGDM D Under the guidance of Prof. Anirudha Chiney
SINHGAD INSTITUTE OF MANAGEMENT VADGAON (BK), PUNE ± 411041 1
INTRODUCTION A spare part, service part, or spare, is an item of inventory that is used for the repair or replacement of failed parts. Spare parts are an important feature of logistics management and supply chain management, often comprising dedicated spare parts management systems. Capital spares are spare parts although acknowledged to have a long life or a small chance of failure would cause shutdown of equipment for a prolonged period because of the long delivery of their replacement. Spare parts are an outgrowth of the industrial development of interchangeable parts and mass production. Spare parts can be broadly classified into two groups, repairable and consumables. Repairable parts are parts that are deemed worthy of repair, usually by virtue of economic consideration of their repair cost. Parts that are not repairable are considered consumable parts. Consumable parts are usually scrapped, or "condemned", when they are found to have failed. Economically, there is a tradeoff between the cost of ordering a replacement part and the cost of repairing a failed part. When the cost of repair becomes a significant percentage of the cost of replacement, it becomes economically favorable to simply order a replacement part. In such cases, the part is said to be "beyond economic repair" (BER), and the percentage associated with this threshold is known as the BER rate. TATA Motors is India¶s largest automobile manufacturing spare parts company. It stands one of top 50 companies listed in National Stock Exchange (NSE). It manufactures spare parts which are required by the car like customizes CNC parts for automobile industry, precision levers, push rods, shoe brake, gear spare part, engineering metal product, sintered auto parts etc. Spare parts contribution to sales is very less, but it is one of the main contributions to design a new car.
2
FUNDAMENTAL ANALYSIS As the Indian economy bounced back and grew by 7.2% in 2009-10, the automotive industry in India recorded steady growth in the first two quarters and recorded significant growth in the last two quarters of 2009-10. The Company¶s total sales increased by 31.9% to 667,971 vehicles in 2009-10 in the domestic and overseas markets. The commercial vehicle sales increased to 373,842 in the domestic market, an increase of 40.9% and the Company consolidated its leadership position by introducing new products to complement its existing product portfolio. The passenger vehicles volumes grew by 25.3% to 260,020 vehicles in the domestic market on the back of the launch of the Nano and the Indigo Manza. The Company¶s exports increased by 1.7% during the year, due to the slow recovery in major international markets. With the upturn in economy, the Company revenue has grown by 38.9% in 2009-10. Operating margin was higher due to increase in volumes and cost reduction initiatives taken by the Company. The Company recorded Profit before tax of Rs.2,829.54 crores, growth of 179.1%. The Profit before tax includes Rs.1,112.51 crores profit on sale of controlling stake in a subsidiary company and loss of Rs.850.86 crores on redemption of investments in reference shares held in a subsidiary company. The Profit after tax which increased to Rs.2,240.08 crores from Rs.1,001.26 crores in 2008-09 had recorded a growth of 123.7%. Net Raw Material consumption including processing charges increased by 31.4% to Rs.25,512.10 crores from Rs.19,416.64 crores in 2008-09, due to increase in vehicle volumes. Material cost as a % of net turnover decreased to 71.7% from 75.7% for the last year. The input price increases during the year was offset by cost reduction programmed through value engineering and other measures.
3
The employee cost increased by 18.4% to Rs.1,836.13 crores from Rs.1,551.39 crores in 2008-09, mainly due to normal annual increments/promotions and increase in headcount. The Company continues to focus on measures to improve/ manage employee cost and productivity. Investments increased to Rs.22,336.90 crores as at March 31, 2010 as compared to Rs.12,968.13 crores as at March 31, 2009. The Company has invested Rs.10,575.60 crores in equity and preference shares of TML Holdings (Pte) Ltd, Singapore, which in turn prepaid the bridge loan taken for acquisition of Jaguar and Land Rover business. Further, TML Holdings (Pte) Ltd Singapore has redeemed preference shares of Rs.877.16 crores. The Company sold part of its investments in Tata Steel Ltd and 20% stake in Telco Construction Equipment Co. Ltd. Road development: Continued improvement in road infrastructure in coming years is expected to have a positive effect on automobile sales. According to Ministry for Road, Transport and Highways, the government will spend about Rs.1,000 billion over future years, with a target of building 20 km of road every day. The Golden Quadrilateral road project was 99% complete as on March 31, 2010. Over 65% of the planned roads under the North South East West (NSEW) road corridor project have been completed till February 2010. Rural connectivity is expected to correspondingly improve This would expand significantly the population/markets/supply sources participating in the overall economic growth. International Business: India continues to be a cost competitive source for the automotive industry globally, both for vehicles and components. India¶s manufacturing base continues to benefit from these scale economies coupled with technology/quality improvements. The Company has opportunities to increase its exports significantly, particularly with the new and contemporary product offerings in commercial vehicles and passenger cars. The Company is also setting up/ exploring manufacturing footprint overseas, which would combine these advantages with local operations and sourcing in these markets.
The risk taken is Hardening of interest rates and other inflationary trends: Further hardening of consumer interest rates could have an adverse impact on the automotive industry. Increase in inflation could also have a negative impact on automobile sales in the domestic market. Government Regulations: Stringent emission norms and safety regulations could bring new complexities and cost increases for automotive industry, impacting the Company¶s business. WTO, Free Trade Agreements and other similar policies could make the market, more competitive for local 4
manufacturers. In the international markets, many of which have stricter norms of regulations related to emission, safety, noise, technology etc, the Company competes with international players which have global brand image, larger financial capability and multiple product platforms. These factors may impact demand of the Company¶s products in international markets. Future Prospects are that the company on the above background, will continue to focus on retaining its advantage of rich product portfolio, market reach and penetration and the µTata¶ brand, in order to be close to its customers. The Company will continue to introduce to the market, new products and variants, some of which have already been unveiled at the Delhi Auto Expo this year. These will offer superior value to the customers and improve the Company¶s market position. Aggressive cost reduction will be accentuated to offset the increase in input costs.
5
TECHNICAL ANALYSIS Technical analysis is a method of evaluating securities by analyzing the statistics generated by market activity. It is based on three assumptions: 1) the market discounts everything, 2) price moves in trends and 3) history tends to repeat itself. It takes a completely different approach; it doesn't care one bit about the "value" of a company or a commodity. Technicians (sometimes called chartists) are only interested in the price movements in the market. Technical analysis really just studies supply and demand in a market in an attempt to determine what direction, or trend, will continue in the future. In other words, technical analysis attempts to understand the emotions in the market by studying the market itself, as opposed to its components. If one understands the benefits and limitations of technical analysis, it can give one a new set of tools or skills that will enable you to be a better trader or investor.
Overall Performance
The above graph gives shows the overall performance of TATA Motors. There are two Y ± axis. One axis is showing price prices and the other is showing volume of sales for the particular period. As the volume increased, the price also increased, maintaining inverse relation between price and volume.
6
Performance Chart
The above chart shows the performance of the company. Net sales from 2006 to 2010 have increased. But around end of 2008, its sales decreased and again the company covered the Gap and it is showing 55% increase in sales in Jan 2011. Their highest increase in sales shows in mid 2010 and 2011. Net Profit has also increased. But in 2010 end of the year, its net profit fell by 50%, making loss to the company. But when we compare the market capital, it shows almost no change, only change was in 008 to 2009 periods, where it showed negative rise.
7
Index comparison
The above chart shows comparison of index with sensex and other auto industry. X ± Axis shows years and Y ± axis shows percentage change in price of share in Bombay Stock Exchange (BSE). In Jan 2011, their shares decreased. But today¶s share shows increase by 46.85 points i.e. 4.43% increase. Tata Motors is showing variations in share market. Sometimes increase and other times decrease in share Capital. It has not maintained any constant equilibrium.
8
CONCLUSION Doing this project has been a good learning for me and helped me to build a stronger base on Security Analysis & Portfolio Management, Merchant Banking, Advanced Financial Services, and Economics. I could practically use the technical as well as fundamental analysis to find the companies feasibility. Its earnings per share or PE ratio become easy to calculate, these ratios are needed by the company and its stakeholders. TATA Motors¶ current i.e. NSE and BSE index as on 25th Feb, 2011 are 1110.7 (5.34%) and 1105.10 (4.43%) respectively. The borrowings of the Company as on March 31, 2010 stood at Rs.16,625.91 crores (previous year Rs.13,165.56 crores). The key highlights were: In 2009-10, the Company raised Rs.4,200 crores from the issue of Secured, Rated, Credit Enhanced, Listed, 2% Coupon Non-Convertible Debentures (NCDs) with premium on redemption and Rs.200 crores from the issue of 9.95% Secured NCDs. In a challenging financial market environment, the Company successfully rolled over in May 2009, the bridge finance it had obtained for acquisition of the Jaguar Land Rover business for a period of 18 months, till December 2010. Subsequently, the Company was able to prepay this loan facility in October 2009 from certain divestments, improved cash generation from operations and also through fund raised, US$ 375 million from the issue of Global Depository Receipts and US$ 375 million from issue of Foreign Currency Convertible Notes. Further, the Company made a limited period enhanced conversion offer to the non-U.S. holders of the 0% JPY 11,760 million and 1% US$ 300 million Convertible Notes. The Company also sold 20% stake in Telco Construction Equipment Company Limited (Telcon), in favor of Hitachi Construction Machinery Co. Ltd. (Hitachi) for a consideration of Rs.1,152.51 crores (net of expenses) resulting in the Company's shareholding being reduced to 40% (on consolidated basis).
9
ANNEXTURES Profit and Loss Statement for March«. Particulars Gross Sales Less: Sales Returns Less: Excise Net Sales
Mar 2010
Mar 2009
383641.00 0
355930.50
285682.10
27710.50
Mar 2008
0
29384.80
327979.80
256297.30
1770.90
0
43545.20
284434.60
EXPENDITURE +
Increase/Decrease in Stock
+
Raw Materials Consumed Power & Fuel Cost
249058.30
183680.00
201901.90
3626.20
3049.40
3251.90
Other Manufacturing Expenses
24963.70
General and Administration Expenses
19142.80
Selling and Distribution Expenses
10369.20
Miscellaneous Expenses
12584.40
Total Expenditure
15392.60
18313.00
330.00
15344.10
19980.90
16198.10
15361.30
7444.40
6362.80
2939.60
3631.10
7405.40
8850.80
7442.30
324792.50
239937.20
258721.70
Operating Profit
31138.00
16360.10
2 5712.90
Other Income
19958.40
10631.90
9223.70
Operating Profit
51096.40
26992.00
3 4936.60
Interest
12462.30
PBDT
38634.10
Depreciation
10338.70
Profit Before Taxation & Exceptional Items Exceptional Income/Expenses
28295.40 0
8109.00
18883.00
10137.60
0
28295.40
10137.60
Provision for Tax
5894.60
125.00
Profit After Tax
22400.80
0
Profit Balance B/F
16859.90
Appropriations
39260.70
Equity Dividend% Earnings Per Share
150.00 39.26
10
10012.60 152.90
13830.70
8745.40
Profit Before Tax
Profits After Tax
+
18229.10
Capitalized
+
Employee Cost
Less: Pre operative Expenses
+
-5775.80
19.48
30680.50 6523.10 24157.40 1607.30
25764.70
5475.50
23996.20 60.00
4256.10
0 10138.30
20289.20
30427.50 150.00 52.63
Balance Sheet as of March«. Particulars
Mar 2010
Mar 2009
Mar 2008
SOURCES OF FUNDS +
Share Capital
5706.00
5140.50
3855.40
+
Total Reserve
143948.70
117161.00
74539.60
Shareholder's Funds
149654.70
122301.50
78395.00
+
Secured Loans
77426.00
52516.50
24619.90
+
Unsecured Loans
88833.10
80780.30
38185.30
Total Debts
166259.10
133296.80
62805.20
Total Liabilities
315913.80
255598.30
141200.20
184168.10
139051.70
108308.30
APPLICATION OF FUNDS Gross Block Less: Accumulated Depreciation Net Block Capital Work in Progress +
Investments
72129.20
112038.90
62599.00
52321.50
76452.70
69468.90
54435.20
53873.10
50649.60
223369.00
129681.30
49102.70
22298.10
24218.30
Current Assets, Loans & Advances +
Inventories
29355.90
+
Sundry Debtors
23919.20
12055.20
11307.30
Cash and Bank
17532.60
11418.20
23973.10
Other Current Assets
18523.90
13118.80
1622.60
Loans and Advances
27665.10
36512.20
42481.20
Total Current Assets
116996.70
95402.50
103602.50
Less : Current Liabilities and Provisions +
Current Liabilities
+
Provisions
146091.60
27634.30
85979.70
20789.50
86436.70
19894.30
Total Current Liabilities
173725.90
106769.20
106331.00
Net Current Assets
-56729.20
-11366.70
-2728.50
20.20
Miscellaneous Expenses not written off
0
Deferred Tax Assets
7915.00
11448.90
Deferred Tax Liability
23001.40
20107.00
Deferred Tax Assets / Liabilities
-15086.40
Total Assets
315913.80
Contingent Liabilities
27742.30 11
-8658.10 255598.30 152876.90
60.50 3974.50 13731.70 -9757.20 141200.20
57857.50
Cash flow statement for«. Particulars
Mar 2010
Mar 2009
Mar 2008
Profit Before Tax
22400.80
10012.60
20289.20
Adjustment
21145.50
5554.40
7338.50
Changes In working Capital
13570.30
-5005.20
16669.20
Cash Flow after changes in Working Capital
57116.60
10561.80
44296.90
65860.30
12950.20
61794.70
Cash Flow from Investing Activities
-118482.90
-105851.20
-57246.50
Cash Flow from Financing Activities
53484.90
81047.00
11302.80
Net Cash Inflow / Outflow
862.30
-11854.00
15851.00
Opening Cash & Cash Equivalents
6687.40
18646.80
8267.60
Effect of Foreign Exchange Fluctuations
-387.00
-105.40
-145.50
Closing Cash & Cash Equivalent
7162.70
6687.40
23973.10
Cash Flow from Operating Activities
12
BIBLIOGRAPHY
WEBSITES: -
www.tatamotors.com www.google.com www.wikipedia.com www.smctradeonline.com www.nse-india.com www.bseindia.com
BOOKS: -
Advance Financial Management Ainapure
Management Accounting Ainap Portfolio Management
13
