Overview of Bajaj Auto Ltd

Bajaj Auto Ltd

Type

Public company

Traded As

BSE : 532977
NSE : BAJAJ-AUTO

Industry

Automotive

Founder

Jamnalal Bajaj

Headquarter

Pune, India

Key People

Rahul Bajaj (Chairman)

Rajiv Bajaj (MD)

Products

Motor Cycle,
Vehicles & Car

Revenue

RS. 208 Billion (2013)

Employees

8,036

Parent

Bajaj Group

Subsidiaries

Bajaj Auto Indonesia

Website

www.bajajauto.com

Page
1

Three-Wheelers

Overview of Hero Motocorp Ltd

Hero Motocorp Ltd

Hum Main Hai Hero

Type
Traded As
Industry
Predecessors
Founded
Headquarters
Key People
Products
Revenue
Employees
Parent

Public Company
BSC : 500182
NSC: HEROMOTOCO
Automotive
Hero Honda Motors Ltd
19th January 1982
New Delhi , India
Dr Brijmohan lall Munjal (Chairman)
Pawan Munjal (MD & CEO)
Motor Cycle , Scooter
RS. 241.66 billion (2013)
5,842
Hero Group
Page
2

Subsidiaries
Website

Erik Buell Racing

www.heromotocorp.com

Definitions
1). Common Size Income Statement
An income statement in which each amount is
expressed as a percentage of the values of sales.
This type of financial statement can be used to allow
for easy analysis between companies or between time
periods of a company.
2). Common Size Balance Sheet
A balance sheet that display both the numeric value
of all entries & the percentage each entry is relative
to the total value of related entries.
On common size balance sheet, an asset is
compared to total assets, a liability to total liabilities
& stockholder equity to total stockholder equity.
3). Trend Analysis
An aspect of technical analysis that tries to
predict the future movement of a stock based on
past data.
Trend analysis is based on the idea that what has
happened in the past gives traders an idea of
what will happen in the future.
Page
3

4). Ratio Analysis

Ratio Analysis is a form of financial statement
analysis that is used to obtain a quick indication
of a firms financial performance in several key
areas.

Page
4

Mar '14

Mar '13

Mar '12

12 mths

12 mths

12 mths

Sales Turnover

20,149.51

19,997.25

20,475.74

Excise Duty

0.00

0.00

959.09

Net Sales

20,149.51

19,997.25

19,516.65

Other Income

706.41

795.49

413.66

Stock Adjustments

18.90

-24.00

94.15

Total Income

20,874.82

20,768.74

20,024.46

Raw Materials

14,289.20

14,761.83

14,580.24

Power & Fuel Cost

106.16

121.33

101.85

Employee Cost

726.58

639.48

541.04

Other Manufacturing Expenses

0.00

0.00

73.76

Selling and Admin Expenses

0.00

0.00

364.06

Miscellaneous Expenses

940.73

815.36

263.37

Preoperative ExpCapitalised

0.00

0.00

-49.43

Total Expenses

16,062.67

16,338.00

15,874.89

Mar '14

Mar '13

Mar '12

Income

Expenditure

12 mths

12 mths

12 mths

Operating Profit

4,105.74

3,635.25

3,735.91

PBDIT

4,812.15

4,430.74

4,149.57

Interest

0.49

0.54

22.24

PBDT

4,811.66

4,430.20

4,127.33

Depreciation

179.61

163.97

145.62

Other Written Off

0.00

0.00

2.14

Profit Before Tax

4,632.05

4,266.23

3,979.57

Extra-ordinary items

0.00

0.00

46.60

PBT (Post Extra-ord Items)

4,632.05

4,266.23

4,026.17

Tax

1,388.73

1,222.66

1,022.12

Reported Net Profit

3,243.32

3,043.57

3,004.05

Total Value Addition

1,773.47

1,576.17

1,294.65

Preference Dividend

0.00

0.00

0.00

Equity Dividend

1,446.84

1,302.15

1,302.15

Corporate Dividend Tax

245.89

221.30

211.24

Profit & Loss account of Bajaj Auto

------------------- in Rs. Cr. -------------------

Page
5

COMMON SIZED PROFIT & LOSS ACCOUNT OF BAJAJ

AUTO LTD
FOR THE YEAR ENDED 31ST MARCH 2014
PARTICULARS

Gross Sales

MAR 2014

MAR 2013

MAR 2012

(RS
IN
CRORE)

(RS IN
CRORE)

COMM
ON
SIZE %
100

(RS
IN
CRORE)
20,475.74

COMM
ON
SIZE %
104.91

0.00

(959.09)

(4.91)

100

100

(0.12)

19,516.6
5
(14,580.2
4)
94.15

20,149.5
1
0.00

Excise Duty
Net Sales

COMM
ON
SIZE %
100
0.00

19,997.2
5
0.00

20,149.
51
(14,289.
20)
18.90

100

0.09

19,997.
25
(14,761.
83)
(24)

0.00

0.00

0.00

0.00

73.76

0.38

0.00

0.00

0.00

0.00

(49.43)

(0.25)

(70.83)

(74.35)

26.06

(14,510.4
2)
5,006.23

(3.61)

(14,785.
83)
5,211.4
2
(639.48)

(73.94)

GP ( Net Sales
COGS)
Employee cost

(14,270.
30)
5,879.2
1
(726.58)

(3.20)

(541.04)

(2.77)

Power & Fuel Cost

(106.16)

(0.52)

(121.33)

(0.61)

(101.85)

(052)

Selling
,
Other exp
(+)Other
(Operating)
PBDIT

(940.73)

(4.67)

(815.36)

(4.08)

(627.43)

(3.21)

706.41

3.51

795.49

3.98

413.66

2.12

4,812.1
5
(179.61)

23.88

4,430.7
4
(163.97)

22.16

4,149.57

21.26

(0.82)

(147.76)

(0.76)

4,632.5
4
(0.49)

22.99

4,266.7
7
(0.54)

21.34

4,001.81

20.50

(0.003)

(22.24)

(0.11)

4,632.0
5
0.00

22.99

4,266.2
3
0.00

21.33

3,979.57

20.39

0.00

46.60

0.24

Materials Cost
(+)/(-) Stock Adj
Other manufacturing
exp
Preoperative
ExpCapitalised
COGS

Admi&
Income

Depreciation
Operating profit
OP/PBT
Interest & Finance
Charge
PBTEOT
(+)/(-) Extra ordinary
item

(70.91)

29.18

(0.89)

(0.002)

0.00

Page
6

(73.82)

(74.71)
0.48

25.65

PBT -Y
(+)/(-) Prior Year Adj
PBT
Tax
Net Profit/PAT

4,632.0
5
0.00

22.99

4,632.0
5
(1,388.7
3)
3,243.3
2

22.99

0.00

(6.89)
16.09

4,266.2
3
0.00

21.33

4,026.17

20.63

0.00

0.00

0.00

4,266.2
3
(1,222.6
6)
3,043.5
7

21.33

4,026.17

20.63

(6.11)

(1,022.12
)
3,004.05

(5.24)

Page
7

15.22

15.39

Profit & Loss account of Hero Motocorp

Income
Sales Turnover
Excise Duty
Net Sales
Other Income
Stock Adjustments
Total Income
Expenditure
Raw Materials
Power & Fuel Cost
Employee Cost
Other Manufacturing Expenses
Selling and Admin Expenses
Miscellaneous Expenses
Preoperative ExpCapitalised
Total Expenses

Operating Profit
PBDIT
Interest
PBDT
Depreciation
Other Written Off
Profit Before Tax
Extra-ordinary items
PBT (Post Extra-ord Items)
Tax
Reported Net Profit
Total Value Addition
Preference Dividend
Equity Dividend
Corporate Dividend Tax
Per share data (annualised)
Shares in issue (lakhs)
Earning Per Share (Rs)
Equity Dividend (%)
Book Value (Rs)

------------------- in Rs. Cr. ------------------Mar '14

12 mths

Mar '13
12 mths

Mar '12
12 mths

25,275.47
0.00
25,275.47
446.38
-8.36
25,713.49

23,768.11
0.00
23,768.11
398.38
0.00
24,166.49

25,252.98
1,666.18
23,586.80
347.46
94.03
24,028.29

18,320.46
137.46
930.04
0.00
0.00
2,339.09
0.00
21,727.05
Mar '14
12 mths
3,540.06
3,986.44
11.82
3,974.62
1,107.37
0.00
2,867.25
0.00
2,867.25
758.17
2,109.08
3,406.59
0.00
1,299.13
220.79

17,470.73
129.18
820.92
0.00
0.00
2,025.33
0.00
20,446.16
Mar '13
12 mths
3,321.95
3,720.33
11.91
3,708.42
1,141.75
0.00
2,566.67
0.00
2,566.67
411.04
2,118.18
2,975.43
0.00
1,198.13
203.62

17,485.65
112.66
735.52
51.62
1,257.84
389.52
0.00
20,032.81
Mar '12
12 mths
3,648.02
3,995.48
33.43
3,962.05
1,097.34
0.00
2,864.71
0.00
2,864.71
486.58
2,378.13
2,547.16
0.00
898.59
145.77

1,996.88
105.62
3,252.70

1,996.88
106.07
3,000.00

1,996.88
119.09
2,250.00

280.43

250.70

214.83

Page
8

COMMON SIZED PROFIT & LOSS ACCOUNT OF HERO

MOTOCORP
FOR THE YEAR ENDED 31ST MARCH 2014
PARTICULARS

Gross Sales

MAR 2014

MAR 2013

MAR 2012

(RS
IN
CRORE)

(RS IN
CRORE)

COMM
ON
SIZE %
100

(RS
IN
CRORE)

0.00

(1,666.18
)
23,586.8

(7.06)

(74.13)

25,275.4
7
0.00

Excise Duty
Net Sales

COMM
ON
SIZE %
100
0.00

100

(0.03)

0.00

(17,485.6
5)
94.03

0.00

0.00

0.00

0.00

(51.62)

(0.22)

0.00

0.00

0.00

0.00

0.00

0.00

(72.51)

(73.95)

26.50

(17,443.2
4)
6,143.56

(3.68)

(17,470.
73)
6,297.3
8
(820.92)

(73.50)

GP ( Net Sales
COGS)
Employee cost

(18328.8
2)
6,946.6
5
(930.04)

3.45

(735.52)

(3.12)

Power & Fuel Cost

(137.46)

(0.54)

(128.18)

(0.54)

(112.66)

(0.48)

Selling
,
Other exp
(+)Other
(Operating)
PBDIT

(2,339.0
9)
446.38

(9.25)

(2,025.3
3)
398.38

(8.52)

(6.98)

1.66

(1,647.36
)
347.46

3986.44

15.77

15.66

3,995.48

16.94

Depreciation

1,107.37

(4.38)

(4.80)

2,879.0
7
(11.82)

11.39

10.85

(1,097.34
)
2,898.14

(4.65)

Operating profit
OP/PBT
Interest & Finance
Charge
PBTEOT

3,721.3
3
(1,141.7
5)
2,579.5
8
(11.91)

(0.05)

(33.43)

(0.14)

2,867.2
5

11.34

2,567.6
7

10.80

2,864.71

12.15

(+)/(-) Stock Adj

Other manufacturing
exp
Preoperative
ExpCapitalised
COGS

Admi&
Income

100

25,252.98

23,768.
11
(17,470.
73)
0.00

Materials Cost

25,275.
47
(18,320.
46)
(8.36)

23,768.1
1
0.00

COMM
ON
SIZE %
107.06

(72.48)

27.48

1.77

(0.05)

Page
9

(73.50)

100

0.40

26.05

1.47

12.29

(+)/(-) Extra ordinary

item
PBT -Y
(+)/(-) Prior Year Adj
PBT
Tax
Net Profit/PAT

0.00

0.00

0.00

0.00

0.00

0.00

2,867.2
5
0.00

11.34

2,567.6
7
0.00

10.80

2,864.71

12.15

0.00

0.00

0.00

2,867.2
5
(758.17)

11.34

2,567.6
7
(411.04)

10.80

2,864.71

12.15

(1.73)

(486.58)

(2.06)

2,109.0
8

8.34

2,156.6
3

9.07

2,378.13

10.08

0.00

(3.00)

Page
10

Common-Sized Analysis of Bajaj Auto Ltd. & Hero

Motocorp Ltd.
Profit & Loss Account
Net sales: Growth in Hero Motocorp 6.34% while in Bajaj Auto
only 0.76%.
Material cost as a Percentage of net sales more or less in the
same ratio in both the companies. However it decreased by
2.91% in the case of Bajaj Auto while 1.02% in the case of Hero
Motocorp.
Expenses other than materials cost are much higher in Bajaj Auto
as against Hero Motocorp. However hero Motorcorp is much more
cost efficient than Bajaj Auto as its expenses are around 22.14%
less than Bajaj Auto.
Other operating income is 3.51% in 2013-14 & 3.98% in 2012-13
in case of Bajaj auto while remained more or less stagnant
(1.77% &1.66%) in case of hero motocorp ltd.
Result: PBDIT down in both the cases but downfall much more in
case of Bajaj auto (23.88% against 22.16%) while just 15.77%
against 15.66% in case of hero motocorp ltd.
Depreciation cost as a % of net sales more or less in the same
ratio in both the companies. Both have been able to reduce it in
2013-14.
Interest & finance charges negligible in Baja auto as against
0.05% for the two years in case of hero motocorp ltd.
Result: Decline in PBT to 22.99% as against 22.33% last year.
PBT at 11.34% in the year 20.13-14 & 10.80 % in the year 201213 in case of hero motocorp ltd.
Page
11

 Overall, despite the decline in PAT, Bajaj autos net profit margin
at 16.09% is way ahead of just 8.34% of hero motocorp .Bajaj
auto is thus a far more profitable company than hero motocorp
ltd.

COMMON SIZED BALANCE SHEET OF BAJAJ AUTO LTD

AS AT 31ST MARCH 2014
PARTICULARS
Sources Of Funds
Total Share Capital
Equity Share Capital
Share Application Money
Preference Share Capital
Reserves
Revaluation Reserves
Networth
Secured Loans
Unsecured Loans
Total Debt
Total Liabilities
Application Of Funds
Gross Block
Less: Accum. Depreciation
Net Block
Capital Work in Progress
Investments
Inventories
Sundry Debtors
Cash and Bank Balance
Total Current Assets
Loans and Advances
Fixed Deposits
Total CA, Loans & Advances
Deffered Credit

12 mths

COMMON
Mar '13
SIZE %
12 mths

COMMON
COMMON
Mar '12
SIZE %
SIZE %
12 mths

289.37
289.37
0.00
0.00
9,318.65
0.00
9,608.02
0.00
57.74
57.74
9,665.76

2.99
2.99
0.00
0.00
96.40
0.00
99.40
0.00
0.60
0.60
100

289.37
289.37
0.00
0.00
7,612.58
0.00
7,901.95
0.00
71.27
71.27
7,973.22

2.99
2.99
0.00
0.00
95.48
0.00
99.11
0.00
0.89
0.89
100

289.37
289.37
0.00
0.00
5,751.70
0.00
6,041.07
0.00
97.48
97.48
6,138.55

2.99
2.99
0.00
0.00
93.70
0.00
98.41
0.00
1.59
1.59
100

4,077.04
2,071.00
2,006.04
144.06
8,549.63
639.72
796.21
495.48
1,931.41
2,116.46
0.00
4,047.87
0.00

42.18
21.43
20.75
1.49
88.45
6.62
8.24
5.13
19.98
21.90
0.00
41.88
0.00

3,828.85
2,024.42
1,804.43
293.55
6,430.48
636.28
767.58
558.86
1,962.72
1,987.44
0.00
3,950.16
0.00

48.02
25.39
22.63
3.68
80.65
7.98
9.63
7.00
24.62
24.93
0.00
49.54
0.00

3,425.94
1,914.33
1,511.61
343.15
4,882.81
678.53
423.20
446.49
1,548.22
1,744.82
1,208.36
4,501.40
0.00

55.81
31.19
24.62
5.59
79.54
11.05
6.89
7.27
25.22
28.42
19.68
73.33
0.00

Mar '14

Page
12

Current Liabilities
Provisions
Total CL & Provisions
Net Current Assets
Miscellaneous Expenses
Total Assets

3,108.15
1,973.69
5,081.84
-1,033.97
0.00
9,665.76

32.16
20.42
52.58
-10.70
0.00
100

2,762.93
1,742.47
4,505.40
-555.24
0.00
7,973.22

34.65
21.85
56.51
-6.96
0.00
100

2,925.53
2,174.89
5,100.42
-599.02
0.00
6,138.55

47.66
35.43
83.09
-9.76
0.00
100

COMMON-SIZED BALANCE SHEET OF HERO MOTOCORP

AS AT 31ST MARCH 2014
Mar14 Commo
n
12
Size%
mths

Mar13 Comm
on
12mths Size%

Mar12 Commo
n
12mths Size%

Sources of fund
Total share Capital

39.94

0.71

39.94

0.75

39.94

0.75

Equity Share Capital

39.94

0.71

39.94

0.75

39.94

0.75

Share Application Money

Preference Share Capital

Reserves

5599.9
3
0

100.0

4966.3
0
0

93.55

4249.8
9
0

80.41

5599.8
7
0
0

100

5006.2
4
302.16
0

94.30

4289.8
3
994.85
0

81.17

0
5599.8
7

0
100

302.16
5308.4
0

5.69
100

994.85
5284.6
8

18.82
100

3761.5
2
1518.2
7
2243.2
5
854.11

67.17

4427.2
9
1356.3
1
3070.9
8
62.09

83.40

6308.2
6
2522.7
5
3785.5
1
193.95

119.36

PARTICULARS

Revaluation Reserves
Net worth
Secured loan
Unsecured Loan
Total Debt
Total liabilities

0
0

5.69
0

18.82
0

Application of Fund
Gross Block
Less: Accum Depreciation
Net Block
Capital Work in Progress

27.11
40.05
15.25

Page
13

25.55
57.85
1.16

47.73
71.63
3.67

Investments
Inventories
Sundry debtors
Cash and Bank Balance
Total current Asset
Loans and advances
Fixed Deposit
Total
CA,
Loans
Advances
Deferred Credit
Current Liabilities
Provision
Total CL &Provision
Net Current Assets

Miscellaneous Expense
Total Assets

4088.7
7
669.55
920.58
117.50
1707.6
3
1203.5
4
0
& 2911.1
7
0
2903.1
2
159.31
4497.4
3
1586.2
6
0
5599.8
7

73.01
11.95
16.43
2.09
30.49
21.49
0
51.98
0
51.84
2.84
80.31
-28.32

0
100

3623.8
3
636.76
665.0
181.04

68.26

1482.8
0
1401.9
5
0
2884.7
5
0
2893.3
9
1439.8
6
4333.2
5
1448.5
0
0
5308.4
0

27.93

11.99
12.52
3.41

26.41
0
54.34
0
54.50
27.12
81.63
-27.28

0
100

3964.2
6
675.57
272.31
56.10

75.01

1003.9
8
926.99

18.99

20.72
1951.6
9
0
3520.6
6
1090.0
7
4610.7
3
2659.0
4
0
5284.6
8

0.39
36.93

12.78
5.15
1.06

17.54

0
66.62
20.62
87.24
-50.31

0
100

Common-Sized Analysis- Balance Sheet

Bajaj auto bigger a company than hero motocorp. Its balance
sheet is 9665.76 crores as against a meager 5599.87 crores of
hero motocorp.
Hero motocorps equity went down to 100% of its total resources
as at 2013-14 as against 94.30% last year due to increase in loan
funds from 5.69% to 18.89% in 2012-13. Bajaj auto equitys far
higher than hero motocorp.

Page
14

 Out of total resources 40.05% of net fixed assets in case of hero

motocorp & 20.75% in case of Bajaj auto are both turning over
net sales of rs100 each.
Investment at 88.45% in case of Bajaj auto is way ahead of
73.01% of hero motopcorp. Bajaj auto is sitting on a war chest &
will be able to enchash any business opportunity.
Inventories of Bajaj auto at the level of just 6.62% as against
11.95% in case of hero motocorp speak for efficient inventory
management of the former.
Bajaj auto has net current liabilities as against net current assets
in case of hero motocorp. It is making money out of non-interest
bearing outstanding of its supplier.
Ultimately Bajaj auto emerges to be a highly solvent & efficiently
managed company.

TREND ANALYSIS OF PROFIT & LOSS ACCOUNT OF

BAJAJ AUTO LTD
FOR THE YEAR ENDED 31ST MARCH 2014
Year
PARTICULARS 2012
(RS IN
CRORE)
Gross Sales
20,475.7

Year 2013
(RS
IN
CRORE)
19,997.25

Year
2014
(RS IN
CRORE)
20,149.5
Page
15

Year
2012
TREND
%
100

Year
2013
TREND

Year
2014
TREND

%
97.66

%
98.41

4
Excise Duty

(959.09)

Net Sales

19,516.
65
(14,580.
24)

Materials Cost
(+)/(-)
Stock
Adj
Other
manufacturing
exp
Preoperative
ExpCapitalised
COGS
GP
(
Net
Sales

COGS)
Employee cost
Power & Fuel
Cost
Selling
,
Admi& Other
exp
(+)Other
Income
(Operating)
PBDIT
Depreciation
Operating
profit
OP/PBT
Interest
Finance
Charge
PBTEOT

1
0.00
19,997.25
(14,761.83)

0.00
20,149.
51
(14,289.
20)

100

0.00

0.00

100

102.46

103.24

(100)

(101.25)

(98.00)

94.15

(24)

18.90

100

25.49

20.07

73.76

0.00

0.00

100

0.00

0.00

(49.43)

0.00

0.00

100

0.00

0.00

(14,510.
42)

(14,785.83)

(14,270.
30)

(100)

(101.90)

(98.35)

5,006.2
3

5,211.42

5,879.3
1

100

104.10

117.44

(541.04)

(639.48)

(726.58)

(100)

118.19

134.29

(101.85)

(121.33)

(106.16)

(100)

119.13

104.23

(627.43)

(815.36)

(940.73)

(100)

129.95

149.93

413.66

795.49

706.41

100

192.31

170.77

4,149.5
7

4,430.74

4,812.1
5

100

106.78

115.97

(147.76)

(163.97)

(179.61)

(100)

(110.97)

(121.55)

4,001.8
1

4,266.77

4,632.5
4

100

106.62

115.76

(22.24)

(0.54)

(0.49)

(100)

(2.43)

(2.20)

3,979.5
7

4,266.23

4,632.0
5

100

107.20

116.40

46.60

0.00

0.00

100

0.00

0.00

4,026.1
7

4,266.23

4,632.0
5

100

105.96

115.05

&

(+)/(-)
Extra
ordinary item
PBT

Page
16

Tax
Net
Profit/PAT

(1,022.1
2)
3,004.0
5

(1,222.66)
3,043.57

(1,388.7
3)
3,243.3
2

Page
17

100

119.62

135.87

100

101.32

107.67

TREND ANALYSIS OF PROFIT & LOSS ACCOUNT OF

MOTOCORP LTD
FOR THE YEAR ENDED 31ST MARCH 2014
Year
PARTICULARS 2012
(RS IN
CRORE)
Gross Sales
25252.9
8
Excise Duty
1666.18

CRORE)

Year
2012
TREN
D%

Year
2013
TREND

Year
2014
TREND

23768.11

25275.47

100

94.12

100.09

100

Year 2013
(RS
IN
CRORE)

Year 2014
(RS
IN

Net Sales

23586.8

23768.11

25275.47

100

100.77

107.16

Materials Cost

(17485.6
5)

(17470.73)

(18320.46)

(100)

99.91

104.77

94.03

(8.36)

100

8.89

(51.62)

100

(17443.2
4)

(17470.73)

(18328.82)

(100)

100.16

105.08

6143.56

6297.38

6946.65

100

102.50

113.07

(735.52)

(820.92)

(930.04)

(100)

111.61

126.45

(112.66)

(129.18)

(137.46)

(100)

114.66

122.01

(1647.36
)

(2025.33)

(2339.09)

(100)

122.94

141.99

347.46

398.38

446.38

100

114.65

128.47

3995.48

3721.33

3986.44

100

93.14

99.77

(1141.75)

(1107.37)

(100)

104.05

100.91

2579.58

2879.07

100

89.01

99.34

(+)/(-)
Stock
Adj
Other
manufacturing
exp
Preoperative
ExpCapitalised
COGS
GP
(
Net
Sales

COGS)
Employee cost
Power & Fuel
Cost
Selling
,
Admi& Other
exp
(+)Other
Income
(Operating)
PBDIT
Depreciation
Operating
profit

(1097.34
)
2898.14

Page
18

OP/PBT
Interest
Finance
Charge
PBTEOT

&
(33.43)

(11.91)

(11.82)

(100)

35.63

35.36

2864.71

2567.67

2867.25

100

89.63

100.09

2864.71

2567.67

2867.25

100

89.63

100.09

Tax

(486.58)

(411.04)

(758.17)

(100)

84.48

155.82

Net
Profit/PAT

2378.13

2156.63

2109.08

100

90.69

88.69

(+)/(-)
Extra
ordinary item
PBT

TREND ANALYSIS OF BALANCE SHEET OF BAJAJ AUTO

LTD
AS AT 31ST MARCH 2014
PARTICULARS

Sources Of Funds
Total Share Capital
Equity Share Capital
Share Application Money
Preference Share Capital
Reserves
Revaluation Reserves
Net worth
Secured Loans
Unsecured Loans
Total Debt
Total Liabilities
Application Of Funds
Gross Block
Less: Accum. Depreciation
Net Block
Capital Work in Progress
Investments
Inventories

Year 2012
Year 2013 Year 2014
(RS
IN
Year 2012
(RS
IN (RS
IN
CRORE)
TREND %
CRORE)
CRORE)

Year 2013
TREND %

Year 2014
TREND %

289.37
289.37
0.00
0.00
5751.70
0.00
6,041.07
0.00
97.48
97.48
6,138.55

289.37
289.37
0.00
0.00
7,612.58
0.00
7,901.95
0.00
71.27
71.27
7,973.22

289.37
289.37
0.00
0.00
9,318.65
0.00
9,608.02
0.00
57.74
57.74
9,665.76

100
100
0.00
0.00
100
0.00
100
0.00
100
100
100

100
100
0.00
0.00
132.35
0.00
130.80
0.00
73.11
73.11
129.89

100
100
0.00
0.00
162.02
0.00
159.05
0.00
59.23
59.23
157.46

3,425.94
1,914.33
1,511.61
343.15
4882.81
678.53

3,828.85
2,024.42
1,804.43
293.55
6,430.48
636.28

4,077.04
2,071.00
2,006.04
144.06
8,549.63
639.72

100
100
100
100
100
100

111.76
105.75
119.37
85.55
131.70
93.77

119.01
108.18
132.71
41.98
175.10
94.28

Page
19

Sundry Debtors
423.20
Cash and Bank Balance
446.49
Total Current Assets
1,548.22
Loans and Advances
1,744.82
Fixed Deposits
1,208.36
Total
CA,
Loans
&
4,501.40
Advances
Deffered Credit
0.00
Current Liabilities
2,925.53
Provisions
2,174.89
Total CL & Provisions
5,100.42
Net Current Assets
-599.02
Miscellaneous Expenses
0.00
Total Assets
6,138.55

767.58
558.86
1,962.72
1,987.44
0.00
3,950.16
0.00
2,762.93
1,742.47
4,505.40
-555.24
0.00
7,973.22

796.21
495.48
1,931.41
2,116.46
0.00
4,047.87

100
100
100
100
100
100

181.38
125.17
126.77
113.91
0.00
87.75

188.14
110.97
124.75
121.30
0.00
89.92

0.00
3,108.15
1,973.69
5,081.84
-1,033.97
0.00
9,665.76

0.00
100
100
100
-100
0.00
100

0.00
94.44
80.12
88.33
-92.69
0.00
129.89

0.00
106.24
90.75
99.64
-172.61
0.00
157.46

Page
20

TREND ANALYSIS OF BALANCE

MOTOCORP LTD
AS AT 31ST MARCH 2014
PARTICULARS

Sources Of Funds
Total Share Capital
Equity Share Capital
Share Application Money
Preference Share Capital
Reserves
Revaluation Reserves
Net worth
Secured Loans
Unsecured Loans
Total Debt
Total Liabilities
Application Of Funds
Gross Block
Less: Accum. Depreciation
Net Block
Capital Work in Progress
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

SHEET

OF

HERO

Year 2012
Year 2014 Year 2012 Year 2013
Year 2013
(RS
IN
(RS IN TREND % TREND %
(RS IN
CRORE)
CRORE)
CRORE)

Year 2014
TREND %

39.94
39.94
0
0
4249.89
0
4289.83
994.85
0
994.85
5284.68

39.94
39.94
0
0
4966.30
0
5006.24
302.16
0
302.16
5308.40

39.94
39.94
0
0
5599.93
0
5599.87
0
0
0
5599.87

100
100
0
0
100
0
100
100
0
100
100

100
100
0
0
116.86
0
116.70
30.37
0
30.37
100.45

100
100
0
0
131.77
0
131.77
0
0
0
105.96

6308.26
2522.75
3785.51
193.95
3964.26
675.57
272.31
56.10
1003.98
926.99
20.72

4427.29
1356.31
3070.98
62.09
3623.83
636.76
665.0
181.04
1482.80
1401.95
0

3761.52
1518.27
2243.25
854.11
4088.77
669.55
920.58
117.50
1707.63
1203.54
0

100
100
100
100
100
100
100
100
100
100
100

70.18
53.76
81.12
32.01
82.33
94.26
244.21
322.71
147.69
151.24
0

59.63
60.18
59.26
440.38
103.14
99.11
338.06
209.45
170.09
129.83
0

1951.69

2884.75

2911.17

100

147.81

149.16

0
3520.66
1090.07
4610.73
(2659.04)
0

0
2893.39
1439.86
4333.25
(1448.50)
0

0
2903.12
1594.31
4497.43
(1586.26)
0

0
100
100
100
100
0

0
82.27
132.09
93.98
54.47
0

0
82.46
146.26
97.54
59.66
0

Page
21

Total Assets

5284.68

5308.40

5599.87

100

100.45

105.96

Charts for Trend Analysis

Net Sales
108
106
104
102
100
98
96
2012 2013 2014

Net Sales
of Bajaj
Net Sales
of Hero

GP
110
105

106
104
102
100
98
96
94
2012 2013 2014

COGS of
Bajaj
COGS of
Hero

PBDIT

120
115

COGS

GP of Bajaj
GP of Hero

100
95
90
2012 2013 2014

Page
22

140
120
100
80
60
40
20
0
2012 2013 2014

PBDIT of
Bajaj
PBDIT of
Hero

PBT
140
120
100
80
60
40
20
0
2012

Net Profit/PAT
PBT of
Bajaj
PBT of
Hero

2013

80
60

Net
Profit/PAT
of Hero

40
20
0
2012 2013 2014

2014

Total Debt
120
100
80
60
40
20
0
2012 2013 2014

Net
Profit/PAT
of Bajaj

120
100

Total Debt
of Bajaj
Total Debt
of Hero

Total Liabilities
200
150
100
50
0
2012 2013 2014

Page
23

Total
Liabilities
of Bajaj
Total
Liabilities
of Hero

Net Block
150
100
50

Net Block
of Bajaj
Net Block
of Hero

Investments
200
150

0
201220132014

Total Assets

Net Current Assets

Net
150
100
50

Investment
s of Hero

100
50

0
2012 2013 2014

200

Investment
s of Bajaj

Current
Assets of
Bajaj
Net
Current
Assets of
Hero

0
2012 2013 2014

Total
Assets of
Bajaj

200
150

Total
Assets of
Hero

100
50
0
2012 2013 2014

Interpretation of Trend Analysis

Components

Bajaj

Hero

Which is better

Net Sales

Upward Trend

Upward trend

Hero

COGS

Downward Trend

Upward Trend

Bajaj

Page
24

Gross Profit

Upward Trend

Upward Trend

Bajaj

PBDIT

Upward Trend

Upward Trend

Bajaj

PBT

Upward Trend

Upward Trend

Bajaj

Net
Profit(PAT)

Upward Trend

Upward Trend

Bajaj

Total Debt

Downward Trend

Downward
Trend

Hero

Total
Liabilities

Downward Trend

Downward
Trend

Hero

Net Block

Upward Trend

Downward
Trend

Bajaj

Investment

Upward Trend

Upward Trend

Bajaj

Net Current Upward Trend

Asset

Upward Trend

Bajaj

Total Asset

Upward trend

Bajaj

Upward Trend

By comparing and analyzing above table, Bajaj having upward trend in more
components as compare to Hero. So, performance of is Bajaj is better than Hero.

Page
25

RATIO ANALYSIS OF BAJAJ AUTO LTD

PARTICULARS

COMPUTATION OF RATIOS
2014
2013
1. Gross Profit ratio= 5879.21/20,149.51
5211.42/19,997.25
Gross
Profit/
Net =29.18%
=26.06%
Sales*100

2012
5006.23/19,516.25
=25.65%

2. Operating Profit 4,632.54/20,149.51

Ratio=
=22.99%
Operating profit/ Net
Sales*100

4,266.77/19,997.25
=21.34%

4,001.81/19,516.25
=20.51%

3. Net Profit Ratio=

Net
Profit/Net
Sales*100
4.Equity ratio=
Equity / Total Capital
Employed
(Where, Total capital
Employed = Debt +
Equity)

3,243.32/20,149.51
=16.10%

3,043.57/19,997.25
=15.22%

3,004.05/19,516.25
=15.39%

289.37/386.85
=0.75:1

289.37/360.64
=0.80:1

289.37/347.11
=0.83:1

71.27/289.37
=0.25:1

97.48/289.37
=0.34:1

6. Current Ratio=
1931.41/3108.15
Current Assets/Current =0.62:1
Liabilities

1962.72/2762.93
=0.71:1

1548.22/2925.53
=0.53:1

7. Absolute Liquidity
Ratio=
Cash/Current Liabilities
8. Proprietary Ratio=
Proprietary Funds/Total
Assets
(Where,
proprietary
Fund = Equity & Total
Assets)
9.Fixed
Asset
Turnover Ratio=
Net Sales/Fixed Assets

495.48/3,108.15
=0.16:1

558.86/2,762.93
=0.20:1

446.49/2,925.53
=0.15:1

2,150.1/1962.72
=1.09:1

2,097.98/1962.72
=1.07:1

1,854.76/1,548.22
=1.20:1

20,149.51/2150.1
=9.37 times

19,997.25/2097.98
=9.53 times

19,516.65/1854.76
=10.52 times

5. Debt
Ratio=
Debt/Equity

Equity 57.74/289.37
=0.2:1

Page
26

10.Working
Capital
Turnover Ratio=
Net
Sales/Working
Capital
(Where
,
Working
Capital = CA- CL)
11. Return On Equity
(ROE)=
PAT/Equity*100

19,516.65/1176.74
=16.59 times

19,997.25/800.21
=24.96 time

19,516.65/1377.31
=14.17 times

3243.32/289.37
=1120.82%

3043.57/289.37
=1051.79%

3004.05/289.37
=1038.13%

RATIO ANALYSIS OF HERO MOTOCORP

PARTICULARS

COMPUTATION OF RATIOS
2014
2013
1. Gross Profit ratio= 5879.31/25275.47
5211.42/23768.11
Gross
Profit/
Net =23.26%
=21.93%
Sales*100

2012
5006.23/23586.8
=21.22%

2. Operating Profit 4632.54/25275.47

Ratio=
=18.32%
Operating profit/ Net
Sales*100

4266.77/23768.11
=17.95%

4001.81/23586.8
=16.97%

3. Net Profit Ratio=

Net
Profit/Net
Sales*100
4.Equity ratio=
Equity / Total Capital
Employed
(Where, Total capital
Employed = Debt +
Equity)

3243.32/25275.47
=12.83%

3043.57/23768.11
=12.81%

3004.05/23586.8
=12.74%

5599.87/5599.87
=1:1

5006.24/5308.40
=0.94:1

4289.83/5284.68
=0.81:1

302.16/5006.24
=0.06:1

994.85/4249.89
=0.23:1

6. Current Ratio=
1707.63/2903.12
Current Assets/Current =0.90:1
Liabilities

1482.80/2893.39
=0.51:1

1003.98/3520.66
=0.29:1

7. Absolute Liquidity 117.50/2903.12

Ratio=
=0.41:1
Cash/Current Liabilities

181.04/2893.39
=0.63:1

56.10/3520.66
=0.02:1

5. Debt
Ratio=
Debt/Equity

Equity 0/5599.87
=0

Page
27

8. Proprietary Ratio=
Proprietary Funds/Total
Assets
(Where,
proprietary
Fund = Equity & Total
Assets)
9.Fixed
Asset
Turnover Ratio=
Net Sales/Fixed Assets
10.Working
Capital
Turnover Ratio=
Net
Sales/Working
Capital
(Where
,
Working
Capital = CA- CL)
11. Return On Equity
(ROE)=
PAT/Equity*100

5599.87/5599.87
=1:1

5006.24/5308.40
=0.94:1

4289.83/5284.68
=0.81:1

25275.47/2243.25
=11.26 times

23768.11/3070.98
=7.74 times

23586.8/3785.51
=6.23 times

25275.47/1195.49
=21.14 times

23768.11/1410.59
=16.85 times

23586.8/2516.68
=9.37 times

3243.32/5599.87
=58%

3043.57/5006.24
=61%

3004.05/4289.83
=70%

Page
28

Interpretation of Ratio- Year 2012

Name
Ratio

of Idol Ratio

Bajaj Ratio

Hero Ratio

Which
Better

Gross Profit Higher

Ratio
Better

25.65%

21.22%

Bajaj

Operating
Profit Ratio

Higher
Better

20.51%

16.97%

Bajaj

Profit Higher
Better

15.39%

12.74%

Bajaj

0.83:1

0.81:1

Bajaj

Net
Ratio

Equity Ratio
Debt-Equity
Ratio

2:1

0.34:1

0.23:1

Bajaj

Current
Ratio

2:1

0.53:1

0.29:1

Bajaj

Absolute
Liquidity
Ratio
Proprietary
Ratio

1:1

0.15:1

0.02:1

Bajaj

1:2

1.20:1

0.81:1

Bajaj

10.52 Times

6.23 times

Bajaj

14.17 Times

9.37 times

Bajaj

1038.31%

70%

Bajaj

Fixed Asset 5 times

Turnover
Higher

Ratio
Better
utilization
Working
HigherCapital
efficient
Turnover
utilization
Ratio
very
high
ratio is not a
good
situation
Return
to Higher

Equity Ratio Better

Is

By comparing and analyzing above table, i.e. Ratio in year 2012, Bajaj was in
good position as compare to Hero.
Page
29

Interpretation of Ratio- Year 2013

Name
Ratio

of Idol Ratio

Bajaj Ratio

Hero Ratio

Which
Better

Gross Profit Higher

Ratio
Better

26.06%

21.93%

Bajaj

Operating
Profit Ratio

Higher
Better

21.34%

17.95%

Bajaj

Net
Profit Higher
Ratio
Better

15.22%

12.81%

Bajaj

0.80:1

0.94:1

Hero

Equity Ratio
Debt-Equity
Ratio

2:1

0.25:1

0.06:1

Bajaj

Current
Ratio

2:1

0.71:1

0.51:1

Bajaj

Absolute
Liquidity
Ratio
Proprietary
Ratio

1:1

0.20:1

0.63:1

Hero

1:2

1.07:1

0.94:1

Bajaj

9.53 times

7.74 times

Bajaj

24.96 time

16.85 times

Bajaj

Fixed Asset 5 times

Turnover
Higher

Ratio
Better
utilization
Working
HigherCapital
efficient
Turnover
utilization
Ratio
very
high
ratio is not a
good
situation

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30

Is

Return
to Higher
Equity Ratio Better

1051.79%

61%

Bajaj

By comparing and analyzing above table, i.e. Ratio in year 2013, Bajaj was in
good position as compare to Hero.

Interpretation of Ratio- Year 2014

Name
Ratio

of Idol Ratio

Bajaj Ratio

Hero Ratio

Which
Better

Gross Profit Higher

Ratio
Better

29.18%

23.26%

Bajaj

Operating
Profit Ratio

Higher
Better

22.99%

18.32%

Bajaj

Net
Profit Higher
Ratio
Better

16.10%

12.83%

Bajaj

0.75:1

1:1

Hero

Equity Ratio
Debt-Equity
Ratio

2:1

0.2:1

0:1

Hero

Current
Ratio

2:1

0.62:1

0.90:1

Hero

Absolute
Liquidity
Ratio
Proprietary
Ratio

1:1

0.16:1

0.41:1

Hero

1:2

1.09:1

1:1

Bajaj

9.37 times

11.26 times

Hero

Fixed Asset 5 times

Turnover
Higher
Ratio
Better
utilization

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31

Is

Working
Capital
Turnover
Ratio

Higherefficient
utilization
very
high
ratio is not a
good
situation
Return
to Higher

Equity Ratio Better

16.59 times

21.14 times

Hero

1120.82%

58%

Bajaj

By comparing and analyzing above table, i.e. Ratio in year 2014, Bajaj is in good
some aspects and some time hero is good in some aspects.

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32