This presentation contains the Financial Statement Analysis of Ambja cements, Ultra Tech Cements, JM fianancials, Reliance Capital Ltd.
Analysis includes calculation of various financial ratios and their explation.
3. Finance-Investment
• A non-banking financial company (NBFC) is a company
registered under the Companies Act, 1956 which is primarily
engaged in the business activities like loans and advances,
acquisition of shares/stock/bonds/debentures/securities issued
by government or local authority or other securities of like
marketable nature, leasing, hire-purchase, insurance business.
It bars any institution whose principal business is that of
agriculture activity, industrial activity,
sale/purchase/construction of immovable property. Sundaram
Finance is a strong player in the commercial vehicle and car
finance segments. Housing finance sector benefited from realty
boom since 2002-03.
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4. Cement
• India is the second largest cement producer in the world.
However, it is way behind China, where the capacity is more
than five times larger. Cement is a low-value and high-volume
commodity and is mainly concentrated near limestone deposits
available in few States. It has a high rate of excise duty and
accounts for 5% of total excise duty collection. During the
Tenth Plan, cement production grew at a healthy CAGR of
8.67% while the installed capacity showed modest CAGR of
3.69%. Exports too showed an upward trend. Cement
consumption has generally grown at 2% 3% higher than
growth of GDP. Keeping the past trends in view and taking
into consideration the renewed emphasis on infrastructure, the
cement industry can be expected to grow at about 11.5%
corresponding to the GDP growth of 9%.
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5. Ambuja Cements
Type
Public, (BSE: 500425),
(NSE: AMBUJACEM)
Industry
Cement
Founded
1986
Headquarters
Mumbai, Maharashtra, India
Key people
Suresh Neotia, Founder, Chairman
Emeritus
N. S. Sekhsaria,Co-Founder, Chairman
Onne van der Weijde, Managing
Director
Products
Cement
Revenue
7637.81 crore(US$1.2 billion)2010
Website
www.ambujacement.com
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6. Ambuja cements volume market share in 2008 is 10% which has seen a dip
from 11% in 2007
The four companies--ACC, Ambuja Cement, Grasim and UltraTech-together hold about 39.80% market share.
The reason for this dip is
Fall in demand
Aggressive capacity expansion by competitors
Market share
1%
Ambuja, ACC, Grasim,
Ultra
24%
36%
39%
Mid
players(Shree, Madras, I
ndia)
Small
players(Home, Orient, Bi
nani)
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7. Current ratio
Ambuja Cements
1.8
amt in fixed deposits
earlier.
Later with deposits
having a maturity less
than 3 months.
1.6
1.4
1.2
1
Current ratio
0.8
0.6
0.4
0.2
0
2013
2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
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9. Total debt to assets ratio
Ambuja Cements
Debt Includes
secured and
unsecured
loans
0.5
0.45
0.4
0.35
0.3
0.25
Total debt to assets ratio
0.2
0.15
0.1
0.05
0
2013
2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
9
10. working capital turnover ratio
Ambuja Cements
20
10
0
2013
2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
-10
-20
working capital turnover
ratio
-30
-40
-50
Current assets
have inc.
-60
10
28. Current ratio
JM Financials
amt with fixed
deposits put into
deposit a/c (less
than 3 yrs
1.4
1.2
1
Current liabilities
increased(other
liabilities).
0.8
Current ratio
0.6
Similar trend in
CL, with inc. in
unclaimed dividend.
0.4
0.2
0
2013
2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
28
30. Total debt to assets ratio
JM Financials
0.00018
0.00016
Company took
some secured and
unsecured loans.
0.00014
0.00012
0.00010
Total debt to assets
ratio
0.00008
0.00006
0.00004
0.00002
0.00000
2013
2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
30
32. working capital turnover ratio
JM Financials
5
0
2013
2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
-5
-10
-15
working capital turnover
ratio
-20
-25
32