BBA431 COST& MANAGEMENT

ACCOONTINC»
CIA3
AnALYSIS OF FINANCIAL PERFORNAN

Subraided Bu Cassendra Sonio No fonhe (202324,

Submited On: 13 04 22
Suhmbed To: Dr Sothsh
Dr Pralhibho
 -

A6oUT WIrRO
thst provols
Wpro Limted on Jndkon pultinutona/ (orpote tion
Senviles
intrmaton tecmebgy, ons bing and busines Pioress
Lnchcs Ihe Compcny
IE is headguaterad in Bongabre Korntcka,
29 December 1945 in Amalner Inoka, by
was inroporotd on
Prebets Limitel
Weslerm Inclia Vegetobb
Moho med Premi as wos inibialy Sel op sG

loter abbre vioted to Wipro Mahatash tea.

and refined ois in
manufactorer of vegea ble
shifted iks focus to new

Doring the 1970s, the Compny

ag Aim
indostry
in the IT and compubing
Opportun ties chaiman.
plale as
took his fother'
Prenjj
Pem

Wipro odded rmobule hyoraulic cylinders and heavy-dloty

also
industrol Cylindlers o ils
line of produciS The
ompany
in the United stotes taking
eneral Flecfric
Collaboroted with forthe
to the intemeion al marhet Wipro
their nome
wel9 ol telcorn Pouoer
om poucb
1992 s
expanded fo fluid power in
Five of wipros monutactur ing tacihties
and bub tolletries
Cerificaions
Secored
ISO 900
has OCG Uiled many Companig Ro,bion
Over the qears, wpro
nderac tion, a Seotle be.sed
-

digitel custonmer experience

the Company It hos qso GcGul
Consoltonty was bought by
firm ond So on. wipro hag
Ccapro, 22 yeorold Bntich ech
ees in bndia -/lost of }hem were
more thGn 278,oo0 employ
Callo wed Bo from home doring the Pon demic Ihierry
work
s the comen} CEO. Wipro has runke firs? in the
Delaporte
under his gvidome.
ASian Ssstainability kting (ASR)
 -2
RAMEWORK tOR ANALYSIS

on t to kea
l0 Cinodlyse a Compony eMcienthy, it is import
the Ba,kanig hee
ook ot its finonciol gntemens nomely
Lncome Skdement and (ash fouw Skulement
The balcance Sheet
cssels and licbilities ond Shreholder
looks ort he comPeany

equity L ptovides c Snopshot of the company inantes

in(ome n d
An income Stapement Shows the ompany
also Shows Cwhether a Companys mahrg
esperoitueT
he Cagh fow
profit loss for agiven period of time
or

shetement ancilyses the (sh position.

Plethods Fnoncicl Analyss:
Cormpcire,tive Stadement
Common- sileStelemen?
3Rotio Arclyss
pmpar,tveralysS or Gnlsis Conmpa res two Or
non7ont,l

to un derstand the compeny frogress over G

more periods
with the previous Pencol
periood Ech component i's (omporok
to generale c better understending
Common-Si 2e or vertiul anolysis holps to estbi'sh a orreleion
be tween dliterent compon en & ofq inoncial Stoaten ent 1} qive
an overull anclys's of the Perkormante in tems of revanve ael
expenses he results are Yeviewed aS retio. Cach item iS
Or Seles Tt shos how
e preSsed as CPercente 9e of evenue
QaCh Component afectS the fi nGncicl pogition Of the Compan
Reatio anolysic s Used to Compure one hnonciG) Compornen?
aqCinst another nol reveolC trend he r tios Cun be
Comparto Cro SS incncic eiols to analye performame T}
highlights devic, tions ond encibles Correcti ve meoa Sores
 3

6alone Sheel oB Wiipro (in Rs r

Co mron Si2e oone Sheet
Mar 19 Mor2o Mer21
Parioulors Amounifermba Amen0)prndy Amounfartma
EgoiTIES AND LIA BiTIES
Shartho lder s fund
32
ognty Shre Coprkl 1206 90 4S|u2t0 40 10458o 18
Reseyves ond Sorpus 349310 64
S5,21580 66P o24 O0 66625
Non-Comed Liabilibies
) Long- em Borroungs 36-903 3 434-000 59|p45oo 90
2,3 SS
)Defemnd Tx Licabilibes 339-40 o40 27930 03u6o 60
Obher Long-tem Lcbiities l9.90 29903368 3165 30 33
dong- tenm Proviolions 20940 0 2s 376-30 o430S o 37
3 Corren? Liabilibies
Short-term 6,808 So25 5olw6 6 6036 3030
Borrouing
6Tro-de Kayabes 6246-00 S8S3uo oo 7 10174063
oher Cureni Liabilhtis 254B03 906l-0o 11?aool6|
dShort-termprovisions oS7o33 13363064 s190 1S
Licabilbies 82,661 1o 1o 81,o14low92582Loo
Tolal Capi-|ond
AssETS
Non Current AseBs
Tongible Assels 4 F66 50 707736 So9 5821710 995
Jntangible Assels 1376 20 66 163620o 2ol|1308 so|98
Ccpi tal Wovk-in-progrss|21/ 80|2 57|189-0 h3s320
d)Non- Corrent Ineçtmpls91S.lo -18 lo6 50 3|I204,00145
e)Defemed Ta Assels S6o uo0-67|600 So o-t|166-4001
 -
Mer 20May Mar 1
Mr 10

Porticulers Amouh petnee Aroun)|Prenka|(Arourd]rent

O O0
loans crdHO o o o 0Co o0 0
P)Long-temm
-7o 302
other Non-(urr) AseSL752-20 5 14 368 60459
2 CorrenB Assets
Corrent Inweste2207o 26 0|19963
So 23331?5Po7o2/:2
9
395-10 0ht |18650 o-22 19650 o-22
b LnvenBories
cTrade Receivobes 20S6
S5 1 4990|t3 16,979-30
Cash and Cash Equiv 4442-50
eShort-lem leors 0 00 Oo00o
etaeLLeat Acces
5 8 0 3 2 - 6 0 | 7

Other Corent Ass eBs1osIY1279 775130

S1278 S2,732-2d
Tolal Asels $2912-
9totement displus
tems aß percente9e ofa
a
Common sine
a l te eguteß ard
licby lities hag been exprcSsed
mrmon figure- Here, have alo been anolySd
its tote he aßels
os cperCenage of for
tech nig ve. he Stotemen hs been Prepcred
USing the Same a
2020 and 202 1- The Egu1y Share Copitsl
3yecrs: 2o1, 2 1 S /In
hor 2o|Ls h
llen horn
ies has sllen
lic,,ilh
Cpercenkee of the tot have cse San
Kegerveg cnd Jopls
201to 1-32 in 202/ i n 2o17 9t 3-43
were high
Borowings of ipro
C decline he Small hke in 2o
} O90
in 2020 with on

but Fell to 0's9 has managd e keep

their
the pendemi, Wipro
Overoll Cors ideirg Ct the minmin
in licnbiltieg from 20 20 to 202
inCremen
declire- Ihe re wog
Gn
C bt ofa
hove shown
Asss how@ver lrgible o4sets
in
in ogels Prom 20 to 2020 BG
increase
toteGl aets But hon o lo to 2o
2020 wag 9-54 o the
the pertenkge of
wo decrement in the pertenicges. Vespte
there 10 A,t fel Jo I L7 in 20i
.

Trode YeceivGlleg risin9 in 2o20 om

 -S

Profit r Loss Acount of Wipro (in Rs r)

COmmon Si2e Incorme Steemnt

Mar 19 Mar 20 Mor21
farticolars |Amovntcenka Amount(UtenkcgeArmount ()|hrentoge|
INcoME
Revenue fom Gpercations S858L 50 6,0 23-20 61,993.oo
ess Excise Tcx O O

Revenue trom Cero-dors (Me)58s34So 16,0 13 20 61,93O0| O0

O ther Lncome 2613-80 446|272S00 239070 35
lotal Re venue 61632-20 63,862-6o loy:64,32560 o3-9
EPENSES
Cost of Moaerial longurd O O
Porchase oP Stock /h07-30 2.40 a36 00 53 695 70 12
Opero ting Diret bpenses 144o 80 268 3,g01-10 22 7
2,07520|19.49
Chongesin Inventories -67-30 -0 11 |202-2o o33 3:so OOS
EmPloyee Benekit Espmes|299974STl6 B2,657103SB3,23710S365
incnce Costs 73750|1-15 732-80 20 So8 30 8 2
Depreci caior r Amor bist,ton| 1u0 3 32 208S So3 2? 63-o4
Other Epenses 623 80
2-7709890-50/24 0 8
Total bpenSe$ Sooa0 S451613-60
-608458S8SO, 435 70?l:4P
Pcit/Loss belore Exepbo1,5u6
TtemS a nd TGx
5o901224900 20'07 13,889-90 2222
242
&ceptione) Items
O
Profht/Loss belore Tax ,s+6 So1910 122Lfo0 007 13,889.90 22 2-42
2:2
eSS:Cuent 1x
236490 03| 2432o 398 26 6 S0 20
Dekerred 79x 59-10 L#|47-70 o-07 28 69
foPit/Los ater Tax 902-0S 0lq 169 -90 6:o0 lo,8SS o0 52
 6

Common Size steement Shows all the items of the inore

StcHerm ent as a Percentcge of the venetrom opentons or

hve grown Hom 20)9 to 202/ hom

Serles The Prof1ts
IS4o of the ot) Stales to 17:2/ of the tol Saler
cllowed to muke aCornp, ve
in 2021 his setempn? hus
of how the
look acroR the years It qives an overv w
h the yea
penss Gnd inconmp hgve Plocvete throug
he expenseg have tollen through the yeors good
which s

even through the pandemil,

Wiproo
Sin
Sign and the eson why
has maineuned Pprofis
 -7

Katio tnalss
the ebtionship betueen tuo variable
Ratio anclysis displays
Corrent Ratio= CureptAssels
Comnt Liabilbes

For 2o/9:2-38
ror 202o 2 Go
for 2022:27
of the
igudh try rato is used to ind he short le m
Sodenry
business t eagores COmpenys pacity to met i
a Cornt
retio IS 5etween 1S
due in one yearA g0o Corrent
OblgntionS
to 3 The Cue r tio o Wipro is steady.

2- Liguid Ra tio Lisuid Asels

LiGuid Liablilies

For 2019: 2 63
For 2020 2 39
For 2 0 : 2.26
MeasUres bhe abihty of aCompauny to use ts it
Quick rtio is Current lab1lhties
Anythi
extinguish
Coyh res0ores to good igoid rato Wipro is
hsher than i corsidered the Cu rrent licbilties
Current lcb,7ties.
ik (ash b extirguish
Copa ble d usirg has allen through
he yeas
Al Fhoush the retio

3- Debe- lo-lguik, Ratio= Long- lenm Deb?

Shav eho ber funds
ror 2019: O-lo
For 202o: 0-1
For 207: O:13
LE indiCtes the ambunt of knds Sepplied by Ownes t Ootsders f th
Co h03 ow dobb-l0-eGUity mio, it indieles the there is a9ec,tep
Claimof the owh PB on thy CedS than rad to dlea atio IS1:)
wipros ratios are low whith mccne the ShGrelole rs hae gretr
c im On aSek
4 Ennas Ketention Rotio= Nel Jnwne -Dividens Disribotp
For 201: 92-8G Net Jnrome
For2020: 97-07
For 2021: Gy-56
hs rotio Shos the Preporton of Comngs Kept
back in the
inome
reteuned mig H is the perenkge ot net
bosiness s
+n 207, 4 SU A t
thot is retai ned to qrow the businaß busine
yeteined n the pr rter qrouwth
o tel inco me cwos

5 Retorn on
(apill Erployed EBiT -

for 209 20 4
Coptel Emploed
For 20lo: 23 62
For 202: 2749
returns on the Cap ihl in vestment
his ratio measwreg Ehe Ihe Ernings on

ROCt OF more than IS is a gol inolico tion

investrns have 9rown throwGh the yecrs

6 nventay lumover Ratio= Cos oB do ed

Average Soles
For 2 0 : 14142

For 2020: 2 99-53

For 201: 352:7
or
nventoy omover Re}io is the rale thotit in venory Stock SOld
meonS the tOmpany y
Used 1 the inve riory h o is hGh,
A low i o iheh cteg weo,k Scle
Gble to sel Gooos more Guich 9
Retio Divioend Per hop Coed
7. Diviclend Payout
tcmings fer Sha ne (EF
ror 2019: 6:38
701/
or 2020:
For 202: 1 0
Shows ho much f Companyi Comiry
he divide nd ponyDut Raho In 2o2/, only L FO of te
cnp fe, id to shareholdcy
ofer ta a diVicend to Sheheldey which
s
Pc nis wog iven qway be
to 7:01 in 2020 A eason or this Could
much eM (onpred
due fo th Parclernic beig a 6nsois!
more of the 1nc0me and
reteining
Divicle nd per Shore Tolol Dividerds peidout
Mumber of ovtstandirg hareg
For 201 TI
Fo 2020 FI
For2o21 71
he odividerd per shaye is the SUm of dedored divioerd
been
sudy He Companey. for the pos) yeoS the DPs hog
rcto
Shaeholders and potential invgbs Cun use thi3
to onaly the foten tigl returrs

Asset 1urnover Reho:Net Seks

Averoge Tol Ases
Fer 20/9: 7/82
For 2020: 7713/
tor 2021: 7651
i s the hnGnnial rao het measSUres the ecieny ol a
mpcnys use Of iB a P s in GeMredis Scleg e vene or Sele

ihCome to lhe (ompany.

lo Basic EPS =
NeB Incone- Peornd Dividons
Mrerage heras Outsttrdng
For 2o19:312 67
for 20 20:7 L-8?
For 201/7-91
EPS inditateg how much PonyG ompaumy moakes or cach
e of ib siock Gnd S usd to timote corpore Gorrterree
Volue Ahher EPS nlictes greter Vale because imveeos
wl e pillipg to poy move tor a (oP anys Share the
think te ormpang hog hicor proh B relahuo to l Shee Poto
he EPs ho orown orn o1o ct to 7 73)
 - 10

NALY SIS
For the ist part (ommon sie Sttenms of the Balance
Sheet and Income s ontemmt cwere preparod In vestos Con ue
the Common site inonril stolemenb to moke il eosier to
Com poe a COmpany fo i (ompolis ard b iden lify Signihnt

Chargesin a lompany's hnancials he common si? e str,legy

rom abenre sheet pevspeche lerds irsighs into a brm's
and hou it (ormpres to i ia he deh
(opikl stracv
or in venbre (on be
chchg Ihe comron
evel, ex(eK (gh
Sile ivo sha tet Con help caluletirg mag ns Such c
90 Grd Ope re tirg murih /loeover, it o eagier to ordlerskrd
&hd Comparison on be maode between oliternt pen ods.
k e g it eagier to moa Compa rison bew een ten
(omprthveskem
Companie8 which iS not eosily Posible uSig
cids in orersterdx historical trends Gd tinancigs Thi's
is

kr onc/jS
fhe reaß on,(ommo n -si 2e wa Seled
which cwould exptin
Amono the r hos, ten ha vo been wniten
well ag the rewym on
earnin95 Cand how depends a
it
thC ecrnings
the
rhos toke debi-to e uik o r
-

in vestrenb Gnd Some basic

is Cble to pcy
Curre t rmho to See wlbr tk (omp qny
e bosines
ubilihe unalyois Gives a n oVervi@w t
Keatio

Per orman(? Cluring yparn Simple hgore.

LMPLICATIONS
e eveny other bosiness Pven Wipro hoy kaced choleng es donie
pondorni ]he enhe 11Sector struGGled og (osomg
acros
he
The uold hove (ut thei budeuK br tamo logy dony th Br
certin setbecks hut afler
hel of the frdom' ] t kated
g manag ed to
looir Cat tt hnunriGl Cne/ysi WiPpro
Pull-heack yp. Epernsej torre Revenue kl qHe bit but
 -Il
the expenses cvere a Bo redured AHer the iniial shotk wau
w o able to recover her wog a (oninuous
the (om peny
tk
denord or digik Ser vleg ag Pnterpni'se Gcroy
to virholise in th e g
world opened up teir porse Strigs
te pundemi( Ihe analysis Shows the tompahy did not
fo(e foo muh lo in he lost two yecs tro 20la t e

was slGht dlip in 2020 ßot f picked uP in th hnan oie)

qec) of 20
n just a few mon th s' time, 1h Covid - 1o Cnsis haß bou3h7

Gbout yeuis ochang e in the woy (ompanj in Gl Sectos rd

share o digikel o r digtly engblrd
reaiors do buginess Ihe
he vp elteerotd. Tostey
prodocts in their Portplios
COmpeti tive in this npw usIney qrd ecoN omiC en vironren?
re uire hew Sh te gies and practires Acro Serhs, t
rcaleor dolopiy dgitel Prooucks dung pderor dle
1k hPc1hcae and
There Signihtont increosp in
is o
and tep this
pharma Se ctos wipro Ghould ecos
industry poentialhe notion of o tpPig point hr
t n t eu, boiil
tethnology adlapton or digil disruphion
iS G tipp
Sreised thef th parelormic (risis point f
wil ereguired
be a tk
histon Propor tiosand mo re changs wil
Corom Cd human $ituhos Pvol ve.