Particulars

As At 31st March 2008

As At 31st 2009 March

Effect on W.C Increase Decrease

Current Assets: Closing Stock Loans & Advances (Assets) Sundry Debtors Cash-in-hand & at Bank 194.33 125.65 226.47 51.15 160.83 87.03 207.85 70.29 19.14 33.5 38.62 18.62

TOTAL

597.60

526.00

Current Liabilities Provisions Other Current Liabilities 99.34 119.64 70.51 132.05 28.83 12.41

TOTAL

218.98

202.56

Net Working Capital(CACL) Decrease in Working Capital

378.62

323.44 55.18 55.18

378.62

378.62

103.15

103.15

INTERPRETATION: In the year 2009 the volume of inventory , loans and advances and debtors have decreased by 33.5 crores , 38.62 crores and 18.62 crores respectively whereas cash in hand and at bank has increased by 19.14 crores . There is an increase in other current liabilities primarily due to increase in credit sales we have found out after analyzing the P/L Account. From the above statement we can conclude that debtors are paying cash on a regular basis. The overall working capital requirement during the year 2008-09 has decreased due timely payment made by debtors and proportionately greater increase in volume of credit sales.

Particulars

As At 31 March 2009
st

As At 31
st

Effect on W.C March Increase Decrease

2010

Current Assets: Closing Stock Loans & Advances (Assets) Sundry Debtors Cash-in-hand & at Bank 160.83 87.03 207.85 70.29 526.00 217.57 108.73 242.30 62.47 631.07 56.74 21.7 34.45 7.82

TOTAL

Current Liabilities Provisions Other Current Liabilities 70.51 132.05 153.45 187.27 82.94 55.22

202.56 TOTAL 323.44 Net Working Capital(CACL) Decrease in Working Capital

340.72

290.35 33.09 33.09

323.44

323.44

145.98

145.98

INTERPRETATION: In the year2009-10 we see that there is an increase in the volume of inventory by 56.74 crores whereas; loans and advances and sundry debtors have increased by21.7 and 34.45crores respectively but we see that there is decrease in cash in hand and cash at bank by 7.82 crores. The increase in debtors is due to the increase in credit sales and also because heavy

investments are made during this year.Current liabilities have also increased ; provisions by 82.94 and other current liabilities by 55.22.
Particulars As At 31 March 2010
st

As At 31
st

Effect on W.C March Increase Decrease

2011

Current Assets: Closing Stock Loans & Advances (Assets) Sundry Debtors Cash-in-hand & at Bank 217.57 108.73 242.30 62.47 631.07 284.70 107.09 305.66 40.21 737.65 63.36 22.26 67.13 1.64

TOTAL

Current Liabilities Provisions Other Current Liabilities 153.45 187.27 157.22 212.38 3.77 25.11

340.72 TOTAL 290.35 Net Working Capital(CACL) Increase in Working Capital 77.7

369.6

368.05 77.7

368.05

368.05

130.49

130.49

INTERPRETATION : The above statement of changes for the year 2010 -11 we see that there is an increase in closing stock by 67.13 and sundry debtors by 63.36 crores which could be because we see that there is a continuous increase in sales which results in increase in production increasing

the closing stock and sundry debtors . this shows that company is making more of credit sales. Also, there is an increase in provisions and other current liabilities by 3.77 and 25.11 crores respectively further leading to increasing in working capital of the company by 77.7 crores.

Particulars

As At 31st March 2011

As At 31st 2012

Effect on W.C March Increase Decrease

Current Assets: Closing Stock Loans & Advances (Assets) Sundry Debtors Cash-in-hand & at Bank 284.70 107.09 305.66 40.21 737.65 TOTAL 266.62 133.38 319.68 229.22 948.90 26.29 14.02 189.01 18.08

Current Liabilities Provisions Other Current Liabilities

157.22 212.38

220.71 223.27 63.49 10.89

369.6

443.97

TOTAL

368.05 136.88

504.93

Net Working Capital(CACL) Increase in Working Capital

136.88

504.93

504.93

229.32

229.32

INTERPRETATION : From the above statement of working capital changes for the year 2011-12 we get to see that there is an increase in Loans and advances , cash in hand and bank and sundry debtors 26.29 crores , 189.01 crores , 14.02 crores respectively and a decrease in closing stock by 18.08 crores. The reason for the huge increase in cash in hand and bank could be the lowest debtor collection period in this year which means the debtors paying on regularly on time. Also, there is an increase in provisions and other current liabilities by 63.49 crores and 10.89 crores increasing the overall working capital of the company by 136.88 crores