DESCRIPTION

Net Sales
EBIT
Earnings Per Share

Percentage change in EBIT (A)

Percentage change in Sales (B)
Percentage change in EPS ( C )
DOL = A/B
DFL= C/A
DTL = DOL*DFL

Mar-13
929.99
27.87
6.67

Mar-12
798.09
12.82
1.42

Mar-11
764.01
47.31
12.77

Mar-10
640.90
58.53
20.10

Mar-09
469.90
29.40
9.18

1.17
0.17
3.69

-0.73
0.04
-0.89

-0.19
0.19
-0.36

0.99
0.36
1.19

-0.40
0.05
-0.50

7.10
3.15
22.34

-16.34
1.22
-19.92

-1.00
1.90
-1.90

2.72
1.20
3.27

-7.69
1.25
-9.61

Mar-08
446.61
49.06
18.40

Description
Shareholder's Funds ( E )
Total Debt (D)
Debt to Equity Ratio (D/E)
D+E
Tax Paid
Profit Before Tax
Tax = (Tax Paid / PBT)

2013
236.42
165.91
0.70
402.33
-4.35
20.66
21.04%

2012
171.22
99.16
0.58
270.38
-4.07
2.79
145.81%

2011
171.96
94.43
0.55
266.39
-8.41
39.93
21.06%

2010
146.63
60.05
0.41
206.69
-8.50
57.02
14.91%

2009
104.51
50.53
0.48
155.04
-3.30
26.73
12.33%

ROE (%)
DPS(Rs)
Earnings Per Share (Rs)
Dividend Payout Ratio (P)
g =(1- P)* ROE
Price Per share (P0)
Interest
Long Term Debt
Ke
Kd

8.67
1.50
6.67
0.23
6.72
128.9
7.21
55.2
15.87
0.13

1.9
1.50
1.42
1.06
-0.11
123.2
10.03
0
15.87
0.00

18.41
1.50
12.77
0.12
16.25
220.5
7.38
50
15.86
0.15

36.74
1.50
20.10
0.07
34.00
234.85
1.51
44.7
15.86
0.03

22.43
0.00
9.18
0
22.43
36.1
2.67
4.97
15.90
0.54

ke * E / (D+E)
kd * D/(D+E)

9.33
0.05

10.05
0.00

10.24
0.05

11.25
0.01

10.72
0.17

WACC

9.38

10.05

10.29

11.26

10.89

2008
83.44
11.76
0.14
95.19
-5.27
46.88
11.25%

Average Growth

15.8576418

Hitachi (crores)
Gross Sales
Total Expenditure
Opening Cash

Mar'2013 Monthly division

1019.22
84.94
883.55
73.63
2.27
0.19

Forecast Cash Budget

Dec'13
Increment
Monthly Sales
Monthly Expenditure
Net Cash Flow
Opening Cash
Cumulative Cash

84.94
73.63
11.31
0.19
11.50

Jan'14

Feb'14
5%
89.18
77.31
11.87
11.50
23.37

3%
91.86
79.63
12.23
23.37
35.59

Mar'14
8%
99.21
86.00
13.21
35.59
48.80

Divend Policy for Hitachi Home

2013

2012

2011

2010

2009

Dividend per Share(Rs)

Dividend Yield %

51.74
1.5
1.16

-89.15
1.5
1.21

155
1.5
0.68

211.49
1.5
0.62

180.29
1
4.38

Dividend Payout Ratio

0.22

1.06

0.12

0.07

0.11

10

10

10

10

10

Profit After Tax

Face Value
Dividend Amount
EPS
r%

4.08

3.44

3.44

3.44

1.47

6.67

Walter model
1.42

12.77

20.1

9.18

0.15

Growth Firm
r%

0.15
9.34

-4.24

0.15
2.80

0.52

-0.89

Normal firm
r%

-2.36

Decline firm
EPS
r%

0.15

0.15
2.19

1.17

1.55

2.11

1.80

13.06

5.23

8.22

1.02

0.09

0.09

0.09

0.09

0.09

4.95

3.21

3.79

3.78

1.68

6.67

Gordon model
1.42

12.77

20.1

9.18

0.15

0.15

0.15

0.15

0.15

Growth Firm
r%

6.24

-0.58

3.50

3.97

2.14

0.52

-0.89

1.55

2.11

1.80

Normal firm
r%

12.89

-1.59

8.24

9.50

5.09

0.09

0.09

0.09

0.09

0.09

Decline firm

11.81

-1.42

7.46

8.59

4.61

2013
149.95

2012
96.45

2011
220.4

2010
139.15

2009
49

0.60

-0.55

0.61

1.91

59.70

-54.68

60.86

191.00

Market Price
Hitachi Home
Return (capial gain+Dividend)
Return %

Walter model
Growth Firm

9.34

-4.24

2.80

2.19

Return (capial gain+Dividend)

-4.01

-1.29

1.86

2.12

-401.35

-128.55

185.63

212.11

Return %

1.17

Over valued /Under valued

Year

Market Price

EPS

P/ E Ratio

divdend paid %price change

2013

149.95

6.67

0.22

0.02

55.47

2012

96.45

1.42

1.06

0.02

-56.24

2011

220.40

12.77

0.12

0.02

58.39

2010

139.15

20.10

0.07

0.02

183.98

2009

49.00

9.18

0.11

0.01

Ke (Avg %price change)

60.40

G (growth)

-0.06

G (growth) %

-6.19

Year

Market Price

P0

overvalue

2013

149.95

2012

96.45

0.02

96.43

2011

220.4

0.02

220.38

2010

139.15

0.02

139.13

2009

49

0.02

48.98

93316236

93316236

2799487080

let b =
0.6

0.6

0.4

0.4

0.1

0.1

0.604000791
(EPS5/EPS1)1/5-1

93316236

93316236

93316236

0.6

0.6

0.6

0.4

0.4

0.4

0.1

0.1

0.1

WACC (k%) Blue Star

WACC (k%) Hitachi Home

2013

2012

2011

2010

2009

30

8.39
9.38

8.23
10.05

8.5
10.29

12.99
11.26

13.77
10.89

25
20
15

Dividend Yield % Blue Star

Dividend Yield % Hitachi Home

2013
1.9
1.16

2012
0.53
1.21

2011
1.88
0.68

2010
2.2
0.62

2009
4.52
4.38

Dividend Payout ratio (Blue Star)

2013
0.52

2012
-0.1

2011
0.406

2010
0.34

2009
0.35

0.224

1.06

0.12

0.075

0.109

Dividend Payout ratio (Hitachi Home)

10
5
0

1.2
1
0.8

Dividend Amount (Blue Star)

Dividend Amount (Hitachi Home)

2013

2012

2011

2010

2009

0.6

26.98

8.99

62.96

71.95

62.96

0.4

4.08

3.44

3.44

3.44

1.47

0.2
0
2008
-0.2

10

30
10

25
20
15
10
5

WACC (k%)
Hitachi Home

WACC (k%) Blue

Star

6
2
0

2013

2012

2011

2010

2009

2013 2012 2011 2010 2009

1.2

80

70
Dividend Payout
ratio (Blue Star)

0.8
0.6

Dividend Payout
ratio (Hitachi
Home)

0.4
0.2
0
2008
-0.2

2010

2012

60
50
40
30
20
10

2014

0
2013

10

Dividend Yield %
Hitachi Home

5
Dividend Yield %
Blue Star

0
2013 2012 2011 2010 2009

2012

2011

2010

Dividend Yield %
Hitachi Home
Dividend Yield %
Blue Star
2009

Dividend Amount
(Blue Star)
Dividend Amount
(Hitachi Home)

2010

2009

Hitachi
COGS(Cr)
Opening Inventory(Cr)
Closing Inventory(Cr)
Avg Inventory(Cr)
Inventory Turnover Ratio
# of Days
Inventory Turnover Ratio
Average Age of Inventory(Days)
Industry Average Age of Inventory(Days)

Mar-13
1019.22
268.07
305.64
286.86
3.55
365
3.55
102.73
71.93

Mar-12
867.32
326.73
268.07
297.40
2.92
365
2.92
125.16
68.2

Mar-11
829.89
180.4
326.73
253.57
3.27
365
3.27
111.52
59.36

Mar-10
685.97
116.44
180.4
148.42
4.62
365
4.62
78.97
59.89

140.00
120.00
100.00
80.00
60.00
40.00
20.00
0.00

Year
Average Age of Inventory(Days)- Hitachi
Average Age of Inventory(Days) - Bluestar
Industry Average Age of Inventory(Days)

Mar-13
Mar-12
Mar-11
Mar-10
102.73
125.16
111.52
78.97
61.68
62.31
48.91
36.23
71.93
68.2
59.36
59.89

Mar-13

140.00
120.00
100.00
80.00
60.00
40.00
20.00
0.00
Mar-13

Average Age of Inventory(Days)

Average Age of
Inventory(Days)- Hitachi

Mar-13

Mar-12

Mar-11

Mar-10

Average Age of
Inventory(Days)- Hitachi
Average Age of
Inventory(Days) Bluestar
Industry Average Age of
Inventory(Days)

Mar-13

Mar-12

Mar-11

Mar-10

Hitachi
Sales(Cr)
Sundry Debtor Opening(Cr)
Sundry Debtor Closing(Cr)
Avg A/c Recievables(Cr)
Recievable Turnover Ratio
# of Days
Recievable Turnover Ratio
Average Collection Period(Days)
Industry Average Collection Period(Days)
Year
Average Collection Period(Days) - Hitachi
Average Collection Period(Days) - Bluestar
Industry Average Collection Period(Days)

Mar-13
1019.22
148.14
164.53
156.34
6.52
365
6.52
55.99
70.58
Mar-13

Mar-12
867.32
125.21
148.14
136.68
6.35
365
6.35
57.52
64.88
Mar-12

55.99
84.18
70.58

Mar-11
829.89
95.98
125.21
110.60
7.50
365
7.50
48.64
63.05

Mar-10
685.97
81.83
95.98
88.91
7.72
365
7.72
47.31
69.66

Mar-11
Mar-10
57.52
48.64
47.31
94.59
88.50
88.26
64.88
63.05
69.66

70.00
60.00
50.00
40.00
30.00
20.00
10.00
0.00

100.00
90.00
80.00
70.00
60.00
50.00
40.00
30.00
20.00
10.00
0.00

Average Collection Period(DAYS)

70.00
60.00
50.00
40.00
Average Collection
Period(DAYS)

30.00
20.00
10.00
0.00
Mar-13

Mar-12

Mar-11

Mar-10

100.00
90.00
80.00
70.00

Average Collection
Period(Days) - Hitachi

60.00
50.00

Average Collection
Period(Days) - Bluestar

40.00

Industry Average
Collection Period(Days)

30.00
20.00
10.00
0.00
Mar-13

Mar-12

Mar-11

Mar-10

Hitachi
COGS(Cr)
Opening A/c Payable(Cr)
Closing A/c Payable(Cr)
Avg A/c Payable(Cr)
Payment Turnover Ratio
# of Days
Payable Turnover Ratio
Average Payment Period(Days)
Industry Average Payment Period(Days)

Mar-13
1019.22
334.32
433.27
383.79
2.66
365
2.66
137.44
91.8

Mar-12
867.32
369.86
334.32
352.09
2.46
365
2.46
148.17
96.79

Mar-11
829.89
229.60
369.86
299.73
2.77
365
2.77
131.83
90.56

Mar-10
685.97
161.94
229.60
195.77
3.50
365
3.50
104.17
89.25

140.00
120.00
100.00
80.00
60.00
40.00
20.00
0.00

Yaer
Average Payment Period(Days) - Hitachi
Average Payment Period(Days) - Bluestar
Industry Average Payment Period(Days)

Mar-13
Mar-12
Mar-11
Mar-10
112.43
121.65
103.95
59.09
94.92
93.33
85.76
74.74
91.8
96.79
90.56
89.25

Mar-13

140.00
120.00
100.00
80.00
60.00
40.00
20.00
0.00
Mar-13

Average Payment Period(Days)

Average Payment
Period(Days) - Hitachi

Mar-13

Mar-12

Mar-11

Mar-10

Average Payment
Period(Days) - Hitachi
Average Payment
Period(Days) - Bluestar
Industry Average
Payment Period(Days)

Mar-13

Mar-12

Mar-11

Mar-10

Hitachi
Average Age of Inventory(Days)
Average Collection Period(Days)
Operating Cycle(Days)
Average Payment Period(Days)
Cash Conversion Cycle(Days)
Industry Cash Conversion Cycle(Days)
Sales(Cr)
# of Days
Each Day's Capital Requirement(Cr)
Money Blocked(Cr)

Mar-13
Mar-12
Mar-11
Mar-10
102.73
125.16
111.52
78.97
55.99
57.52
48.64
47.31
158.71
182.67
160.16
126.28
137.44
148.17
131.83
104.17
21.27
34.50
28.34
22.11
50.71
36.29
31.85
40.30
1019.22
867.32
829.89
685.97
365
365
365
365
2.79
2.38
2.27
1.88
59.40
81.98
64.43
41.55

40.00
35.00
30.00
25.00
20.00
15.00
10.00
5.00
0.00
Mar-13

70.00

Year
Cash Conversion Cycle(Days) - Hitachi
Cash Conversion Cycle(Days) - Bluestar
Industry Cash Conversion Cycle(Days)

Mar-13
Mar-12
Mar-11
Mar-10
21.27
34.50
28.34
22.11
50.94
63.57
51.65
49.75
50.71
36.29
31.85
40.3

60.00
50.00
40.00
30.00
20.00
10.00
0.00
Mar-13

Cash Conversion Cycle(Days)

Cash Conversion Cycle(Days)

- Hitachi

Mar-13

Mar-12

Mar-11

Mar-10

Cash Conversion
Cycle(Days) - Hitachi
Cash Conversion
Cycle(Days) - Bluestar
Industry Cash Conversion
Cycle(Days)

Mar-13

Mar-12

Mar-11

Mar-10

Hitachi
Current Assets(Cr)
Current Liabilities(Cr)
Net Working Capital(Cr)

Mar-13
Mar-12
Mar-11
Mar-10
630.01
438.42
475.2
333.06
420.28
316.58
354.91
246.13
209.73
121.84
120.29
86.93

700
600
500

Year

Mar -13

Mar -12

Mar -11

Mar -10

400

Net Working Capital(Cr) Hitachi

209.73

121.84

120.29

86.93

300

Net Working Capital(Cr) Bluestar

326.4

362.57

628.98

353.21

200
100
0
Mar -13

Mar -12

Net Working Capital(Cr) Hitachi

Net Working Capital(Cr) Bluestar

Mar -12

Mar -11

Mar -10

Hitachi
Net Income(Cr)
Total Assets(Cr)
Return on Asset(%)
Industry Return on Asset(%)

Mar-13
Mar-12
Mar-11
Mar-10
15.27
3.25
29.32
46.4
416.09
280.76
270.89
206.68
3.67
1.16
10.82
22.45
4.22
2.07
7.55
10.44

Year
Return on Asset(%) - Hitachi
Return on Asset(%) - Bluestar
Industry Return on Asset(%)

Mar-13

Mar-12
3.67
5.75
4.22

Mar-09
20.97
155.04
13.53
8.68

Mar-11
Mar-10
Mar-09
1.16
10.82
22.45
13.53
-10.46
15.36
36.34
46.22
2.07
7.55
10.44
8.68

25.00
20.00
15.00
10.00
5.00
0.00
Mar-13
50.00
40.00
30.00
20.00
10.00
0.00
Mar-13
-10.00
-20.00

Return on Asset(%)

Return on Asset(%) - Hitachi

Mar-13

Mar-12

Mar-11

Mar-10

Mar-09

Return on Asset(%) Hitachi

Return on Asset(%) Bluestar
Industry Return on
Asset(%)
Mar-13

Mar-12

Mar-11

Mar-10

Mar-09

Hitachi
PAT
D/E Ratio
Total Assets(Cr)
(D/E)+1
Equity
Debt
ROE(%)
Industry ROE(%)

Mar-13
Mar-12
Mar-11
Mar-10
15.27
3.25
29.32
46.4
0.65
0.55
0.47
0.44
416.09
280.76
270.89
206.68
1.65
1.55
1.47
1.44
252.18
181.14
184.28
143.53
163.91
99.62
86.61
63.15
6.06
1.79
15.91
32.33
12
6.11
22.29
30.33

Mar-09
20.97
0.33
155.04
1.33
116.57
38.47
17.99
25.99

35.00
30.00
25.00
20.00
15.00
10.00

Year
ROE(%) - Hitachi
ROE(%) - Bluestar
Industry ROE(%)

Mar-13
6.06
10.17
12

Mar-12

Mar-11
Mar-10
Mar-09
1.79
15.91
32.33
17.99
-18.41
22.27
40.34
50.84
6.11
22.29
30.33
25.99

5.00
0.00
Mar-13

Mar-12

Mar-13

Mar-12

60.00
50.00
40.00
30.00
20.00
10.00
0.00
-10.00
-20.00
-30.00

ROE(%)

ROE(%) - Hitachi

Mar-12

Mar-11

Mar-10

Mar-09

ROE(%) - Hitachi
ROE(%) - Bluestar
Industry ROE(%)
Mar-12

Mar-11

Mar-10

Mar-09