Wipro Analysis

8/6/2019 Wipro Analysis

1/20

YMBIOSIS INSTITUTE OF MANAGEMENT STUDIES

.INANCIAL STATEMENT ANALYSIS OF WIPRO LTD

:ubmitted to.rs Ashwini Purandare

:ubmitted by ection E


2/20

ipro Infotech is a leading strategic IT artner for companies across India and-iddle East offer ing integrated IT

solut ions

t is a part of USD 5 bil l ion Wipro imited with a market capi tal izat ion of

SD 24 bi l l ion

urrent ly there are 13 regional off ices ,n India besides off ices in the UAE,ahrain Egypt and KSA

INTRODUCTION


3/20

INANCIAL ANALYSIS

. .ross sales increased by Rs 14922mil l ion.nd excise duty has decreased by Rs 212

i l l ion which has led to a net increase. .n sales of Rs 15134 mil l ion

. .et income has increased by Rs 1755 mil l ion

:t i l isat ion For the purchase of f ixed, /ssets investments and mergers acquisi t ions

.nd paying off loan amounts


4/20

. et increase in cost of sales by. .s 6403 mil l ion Sell ing and

arket ing expenses have increased. .y Rs 1351 mil l ion eneral and administrat ion

xpenses have increased just by. .s 404 mil l ion

nterest expenditure has decreased. .y Rs 1168 mil l ion unds for the same have been

aken from the sale of f ixed,ssets refund of incorporate

,eposi ts proceeds from ESOPs and.y taking loans


5/20

. - .ompany has a paid up capi ta l of Rs

, , .934 mil l ion an increase of Rs 6 .i l l ion during the current year, .uring the year 3 2 mil l ion shares

ere allot ted on exercise of the ptions under various Employee Stock

ption Plans inst i tu ted by the.ompany

4.5.

. remium received on exercise of stock,ptions added to securi t ies premium

. , .mount amount ing to Rs 1 909 mil lion


6/20

. ,ear ended March 31 2010 the Company has. ,harged to prof it and loss account Rs 1 317

i l l ion of deferred compensat ion cost as.mployee compensat ion The cumulat ive

harge to profi t and loss account would be reated as share premium on allotment of

.hares6.

7.. .ecured loans have increased by Rs 261

,i l l ion on account of securi t izat ion of eceivable on recourse basis amount ing to

. .s 752 Mill ion


7/20

. . ,nsecured loans have increased by Rs 5 360.i l l ion The increase is mainly due to

ddit ional PCFC loan availed in the.urrent year8.9.

.0 . ,oodwill has decreased by Rs 3 175

.i l l ion during the year The decrease of

. ,s 4 877 mil lion is mainly due to impact-f reinstat ing goodwil l relat ing to non

ntegral overseas operat ions at the,xchange rates prevai l ing on March 31

. ,010 and an increase of Rs 1 712 mill ion on.ccount of acquisi t ion of Yardley group

11.


8/20

UNIT WISE SPENDING

Business Unit 2010 ( . ) Rs in Million

&IT services products ,9 774 Consumer Care and Lighting 711

Others 417

,URING THE YEAR THE COMPANY INVEST. ,S 10 900 MILLION ON FIXED ASSETS


9/20


10/20


11/20

( )undry Debtors net of provision for the current year is

. , . ,t Rs 51 150 mill ion against Rs 50 370 mil lion in the.revious year

- -egment wise break up of sundry debtors is out lined below

ar ticu lars 2010 2009 Increase(%) IT Services and Products

46622 47188( )millions

1

Consumer Care and Lighting 3000 2414 24Others 1528 768 99Total 51150 50370 2

,rovision for doubtful debts has increased from Rs 1 919. , .i l l ion to Rs 2 327 mill ion in fiscal year 2010


12/20

8

, .million an increase by Rs

,5 761

.million The i


13/20

oans and AdvancesPARTICULARS

2010 2009 INCREASE(%)ADVANCE

SRECOVER ABLE

14434 12873(MILLIONS)

12UNBILLEDREVENUE

16708 14108 18OTHERS 27033 16592 63TOTAL 58175 43573 34

.ncrease in net investment in lease by Rs 837 mill ion in%evenues from Fixed Price Projects from 34 in the previous

. % .ear to 41 5 in the current year

.ncrease of Rs 10441 mil l ion in others is due to increase in. , ,dvance tax by Rs 1 902 mil l ion deposi ts with financial

. , .nsti tut ions by Rs 5 800mil lion and derivative assets by Rs

, .482 mil l ion


14/20

PARTICULARS

2010 2009 INCREASE(%)SUNDRY

CREDITORS

19133 19081 0ADVANCES FROM

CUSTOMERS

1786 824 117UNEARNE

DREVENUES

7463 7462 15

OTHER LIABILITIES

28961 37830 23TOTAL 57342 66469 14

. ,ther liabi li t ies have decreased by Rs 8 781 mil l ion during, . ,he year ended March 31 2010 primarily due to Rs 7 872

i l l ion decrease in derivat ive liabil i t ies relat ing to mark o market losses on derivat ive instruments designated as

/ -ash flow capital hedges and non designated forward.ontracts

he remaining increase is primari ly due to increase in, ,ubcontract ing expenses administrative expenses

,i thholding taxes employee incent ives which are in ine,i th increase in employee base infrastructure and business.owth


15/20

PARTICULARS

2010 2009 INCREASE(%)Employee

retirementbenefits

2967 3111 5 Warranty provision 611 768 26 Provision for tax 7915 6493 18 Proposed

Dividend 8809 5860 33 Tax on proposed dividend

1283 996 22Others 1763 1387 21

Total23348 18615 20

.he company has proposed a cash dividend of Rs 6 er share on equity shares during the fiscal year

.010


16/20

The ratios >>


17/20

Gross Profit Ratio= (Grossprofit/net sales) * 1002010,GPR=(86480/272129)*100=31.78%

2009,GPR=(77749/256995)*100=30.25%


18/20

NET PROFIT RATIO=(NETPROFIT/NETSALES)*100

2010, NPR=(55095/272129)*100= 20.25%

2009,NPR=(45196/256995)*100=17.59%


19/20

CURRENT RATIO= Currentassets/currentliabilities

2010, CR=123954/80690=1.54

2009,CR=107074/85084=1.25


20/20

HANK YOUHANK YOU

Wipro Analysis

Documents

Transcript of Wipro Analysis