INDIAN INSTITUTE OF MANAGEMENT KOZHIKODE

EXECUTIVE POST GRADUATE PROGRAMMES

Financial Accounting

Financial Statement Analysis

(Endurance Technologies Ltd)

Batch 15

Term 1

Section E

Instructor Prof. Jijo Lukose

Name with Roll No. ROHIT PANDEY- EPGP-15E-064

Statement of Standalone financial Analysis
Endurance Technologies
Standalone Balance Sheet ---- in Rs. Cr. - Horizontal Analysis Vertical Analysis
22-Mar 21-Mar Total Change % Change Mar 22 21-Mar

EQUITIES AND LIABILITIES

SHAREHOLDER'S FUNDS
Equity Share Capital 140.66 140.66 0.00 0% 3.76% 4.09%
Total Share Capital 140.66 140.66 0.00 0% 3.76% 4.09%
Reserves and Surplus 2,866.19 2,567.59 298.60 12% 76.65% 74.69%
Total Reserves and Surplus 2,866.19 2,567.59 298.60 12% 76.65% 74.69%
Total Shareholders Funds 3,006.85 2,708.26 298.59 11% 80.41% 78.78%
NON-CURRENT LIABILITIES
Long Term Borrowings 0 2.73 -2.73 -100% 0.00% 0.08%
Deferred Tax Liabilities [Net] 0 0
Other Long Term Liabilities 29.94 8.96 20.98 234% 0.80% 0.26%
Long Term Provisions 8.85 21.07 -12.22 -58% 0.24% 0.61%
Total Non-Current Liabilities 38.78 32.76 6.02 18% 1.04% 0.95%
CURRENT LIABILITIES
Short Term Borrowings 31.7 45 -13.30 -30% 0.85% 1.31%
Trade Payables 529.93 526.84 3.09 1% 14.17% 15.33%
Other Current Liabilities 103.83 94.9 8.93 9% 2.78% 2.76%
Short Term Provisions 28.25 29.89 -1.64 -5% 0.76% 0.87%
Total Current Liabilities 693.71 696.63 -2.92 -0.4% 18.55% 20.26%
Total Capital And Liabilities 3,739.34 3,437.65 301.69 8.8% 100.00% 100.00%
ASSETS
NON-CURRENT ASSETS
Tangible Assets 1,508.39 1,368.37 140.02 10% 40.34% 39.81%
Intangible Assets 56.56 26.67 29.89 112% 1.51% 0.78%
Capital Work-In-Progress 83.78 88.92 -5.14 -6% 2.24% 2.59%
Intangible Assets Under Development 5.4 3.17 2.23 70% 0.14% 0.09%
Fixed Assets 1,654.14 1,487.12 167.02 11% 44.24% 43.26%
Non-Current Investments 364.91 364.91 0.00 0% 9.76% 10.62%
Deferred Tax Assets [Net] 3.82 1.96 1.86 95% 0.10% 0.06%
Other Non-Current Assets 50.08 37.25 12.83 34% 1.34% 1.08%
Total Non-Current Assets 2,072.95 1,891.23 181.72 10% 55.44% 55.02%
CURRENT ASSETS
Current Investments 209.45 169.93 39.52 23% 5.60% 4.94%
Inventories 366.68 329.53 37.15 11% 9.81% 9.59%
Trade Receivables 801.09 812.51 -11.42 -1% 21.42% 23.64%
Cash And Cash Equivalents 103.14 34.29 68.85 201% 2.76% 1.00%
Short Term Loans And Advances 1.1 1.26 -0.16 -13% 0.03% 0.04%
OtherCurrentAssets 184.93 198.89 -13.96 -7% 4.95% 5.79%
Total Current Assets 1,666.39 1,546.41 119.98 8% 44.56% 44.98%
Total Assets (1+2) 3,739.34 3,437.65 301.69 9% 100.00% 100.00%
OTHER ADDITIONAL INFORMATION
CONTINGENT LIABILITIES, COMMITMENTS
Contingent Liabilities 705.9 331.52 374.38 113%
CIF VALUE OF IMPORTS
EXPENDITURE IN FOREIGN EXCHANGE
Expenditure In Foreign Currency 318 279.23 38.77 14%
REMITTANCES IN FOREIGN CURRENCIES FOR DIVIDENDS
Dividend Remittance In Foreign Currency - -
EARNINGS IN FOREIGN EXCHANGE
FOB Value Of Goods - -
Other Earnings 162.35 114.05 48.30 42%
BONUS DETAILS
Bonus Equity Share Capital 123.66 123.66 0.00 0%
NON-CURRENT INVESTMENTS
Non-Current Investments Unquoted Book Value 1.15 1.15 0.00 0%
CURRENT INVESTMENTS
Current Investments Quoted Market Value - -
Current Investments Unquoted Book Value 209.45 169.93 39.52 23%
 Mar 22 21-Mar Total Change % Change Mar 22 21-Mar

EQUITIES AND LIABILITIES

Total Share Capital 140.66 140.66 0.00 0% 3.76% 4.09%
Total Reserves and Surplus 2,866.19 2,567.59 298.60 12% 76.65% 74.69%
Total Non-Current Liabilities 38.78 32.76 6.02 18% 1.04% 0.95%
Total Current Liabilities 693.71 696.63 -2.92 -0.4% 18.55% 20.26%

Equity & Libilities-2022 Equity & Libilities-2021

3.76%
4.09%

18.55%
1.04% 20.26%
0.95%

76.65% 74.69%

Total Share Capital Total Reserves and Surplus Total Share Capital Total Reserves and Surplus

Total Non-Current Liabilities Total Current Liabilities Total Non-Current Liabilities Total Current Liabilities

ASSETS
22-Mar 21-Mar Total Change % Change Mar 22 21-Mar
Total Non-Current Assets 2,072.95 1,891.23 181.72 10% 55.44% 55.02%
Total Current Assets 1,666.39 1,546.41 119.98 8% 44.56% 44.98%

Asset-2022 Asset-2021

44.56% 44.98%
55.44% 55.02%

Total Non-Current Assets Total Current Assets Total Non-Current Assets Total Current Assets

1. Total Asset of Endurance Technologies was increased by 9%.

2. Total Liabilities Endurance Technologies was increased by 20%.
3. Profit Reduced by 1.65%.
Standalone Profit & Loss account ---- in Rs. Cr. - Horizontal Vertical
Mar 22 21-Mar Total Change % Change 2022 2021

INCOME
Revenue From Operations [Gross] 5,604.43 4,658.97 945.46 20% 97.95% 97.33%
Less: Excise/Sevice Tax/Other Levies 0 0
Revenue From Operations [Net] 5,604.43 4,658.97 945.46 20% 97.95% 97.33%
Other Operating Revenues 92.66 114.07 -21.41 -19% 1.62% 2.38%
Total Operating Revenues 5,697.09 4,773.03 924.06 19% 99.57% 99.72%
Other Income 24.39 13.55 10.84 80% 0.43% 0.28%
Total Revenue 5,721.48 4,786.58 934.90 20% 100% 100%
EXPENSES
Cost Of Materials Consumed 3,745.18 2,969.19 775.99 26% 65.46% 62.03%
Purchase Of Stock-In Trade 54.07 44.6 9.47 21% 0.95% 0.93%
Changes In Inventories Of FG,WIP And Stock-In Trade -40.93 -44.43 3.50 -8% -0.72% -0.93%
Employee Benefit Expenses 290.31 286.56 3.75 1% 5.07% 5.99%
Finance Costs 1.82 4.8 -2.98 -62% 0.03% 0.10%
Depreciation And Amortisation Expenses 203.74 203.42 0.32 0% 3.56% 4.25%
Other Expenses 919.79 785.53 134.26 17% 16.08% 16.41%
Less: Amounts Transfer To Capital Accounts 0 0
Total Expenses 5,173.99 4,249.66 924.33 22% 90.43% 88.78%

Profit/Loss Before Exceptional, ExtraOrdinary Items

547.49 536.92 10.57 2% 9.57% 11.22%
And Tax
Exceptional Items -31.45 -11.23 -20.22 180% 5.74% 2.09%
Profit/Loss Before Tax 516.04 525.7 -9.66 -2% 94.3% 97.9%
Tax Expenses-Continued Operations
Current Tax 136.59 142.59 -6.00 -4% 24.9% 26.6%
Deferred Tax -2.29 -9.09 6.80 -75% -0.42% -1.69%
Tax For Earlier Years 0 0
Total Tax Expenses 134.3 133.5 0.80 1% 24.5% 24.9%
Profit/Loss After Tax And Before ExtraOrdinary Items 381.74 392.2 -10.46 -3% 69.73% 73.05%
Profit/Loss From Continuing Operations 381.74 392.2 -10.46 -3% 69.73% 73.05%
Profit/Loss For The Period 381.74 392.2 -10.46 -3% 69.73% 73.05%

OTHER ADDITIONAL INFORMATION

EARNINGS PER SHARE
Basic EPS (Rs.) 27.14 27.88 -0.74 -3%
Diluted EPS (Rs.) 27.14 27.88 -0.74 -3%
VALUE OF IMPORTED AND INDIGENIOUS RAW MATERIALS
STORES, SPARES AND LOOSE TOOLS
DIVIDEND AND DIVIDEND PERCENTAGE
Equity Share Dividend 84.4 0 84.40
Tax On Dividend 0 0
Equity Dividend Rate (%) 63 60 3.00 5%

Cash Flow ------------------- in Rs. Cr. -------------------

Mar 22 21-Mar Total Change % Change

Net Profit/Loss Before Extraordinary Items And Tax 516.04 525.7 -9.66 -2% 100% -5442%
Net CashFlow From Operating Activities 548.92 296.78 252.14 85% 94% 118%
Net Cash Used In Investing Activities -378.95 -279.92 -99.03 35% -136% 283%
Net Cash Used From Financing Activities -101.13 -107.86 6.73 -6% 94% -1603%
Net Inc/Dec In Cash And Cash Equivalents 68.85 -91 159.85 -176% -76% -57%
Cash And Cash Equivalents Begin of Year 34.25 125.25 -91.00 -73% 27% -138%
Cash And Cash Equivalents End Of Year 103.1 34.25 68.85 201% 301% 50%
Overall Profitability Formula Solution 2022 Solution 2021 Difference % Change
ROE PAT/E 12.70% 14.48% -0.02 -14.1%
ROA PAT/TA 10.21% 11.41% -0.01 -11.8%
(PAT+Int(1-t))/TA 10.24% 11.43% -0.01 -11.6%
ROIC (PAT+Int(1-t))/IC 12.58% 14.34% -0.02 -14.0%
Activity Ratios
TA Turnover Rev/TA 1.499 1.355 0.14 9.6%
FA Turnover / Capital Intensity Rev/FA 3.388 3.133 0.26 7.5%
CA Turnover Rev/CA 3.363 3.013 0.35 10.4%
Inventory TO COGS/Inv 10.214 9.010 1.20 11.8%
DSI Inventory/(COGS/365) 35.736 40.509 -4.77 -13.4%
AR Turnover Rev/AR 6.996 5.734 1.26 18.0%
DSO / Collection Period AR/(rev/365) 52.173 63.655 -11.48 -22.0%
WC Turnover Rev/WC 5.762 5.483 0.28 4.8%
Days' Payables or DPO AP/(op exp/365) 51.646 64.764 -13.12 -25.4%
CCC Operating cycle-DPO 36.263 39.400 -3.14 -8.7%
Operating Cycle DSI+DSO 87.909 104.164 -16.25 -18.5%

Invested Capital (E+LTD) or (E+interest bearing Debt) 3,045.63 2,741.02 304.61 10.0%
Tax Rate Taxes/PBT 26.03% 25.39% 0.01 2.4%
EBIAT or NOPAT PAT+interest(1-t) 383.1 392.9 -9.86 -2.6%
DPS Div/N 6.0 0 6.00 100.0%
EPS PAT/N 27.14 27.88 -0.74 -2.7%
N 14.066 14.066 0.00 0.0%

Profitability
Gross Margin Ratio GP/Sales 33.2% 36.3% -0.03 -9.3%
Operating Margin Ratio EBIT/Sales 9.8% 11.5% -0.02 -18.0%
Net Margin Ratio PAT/Sales 6.8% 8.4% -0.02 -23.6%
EBITDA Margin Ratio EBITDA/Sales 0.332 0.363 -0.03 -9.3%
Leverage and Liquidity
Current Ratio CA/CL 2.402 2.220 0.18 7.6%
Quick Ratio (CA-Inv)/CL 1.874 1.747 0.13 6.8%
Debt/Equity Ratio TL/E 0.231 0.064 0.17 72.4%
Times Interest Earned (ICR) EBIT/INT 300.8 111.9 188.96 62.8%

Market Value and Dividend Policy

Dividend Payout Div/PAT
Dividend Yield DPS/EPS 0.22 0.00 0.22 100.0%
P/E Ratio PPS/EPS 46.80 45.55 1.25 2.7%

Current Assets(CA) 1,666.39 1,546.41 119.98 7.2%

Current Laibilities (CL) 693.71 696.63 -2.92 -0.4%
Working Capital CA-CL 972.68 849.78 122.90 12.6%

Gross Profit 1,859.25 1,689.78 169.47 9.1%

Sales 5,604.43 4,658.97 945.46 16.9%
Inventories 366.68 329.53 37.15 10.1%
Price Per Share 1270 1270
Finding
1. Return on Equity is reduced by 14.1%.
2. Return on Asset is reduced by 11.8%.
3. Profitability Gross Margin Ratio reduced by 9.3%.
4. Operating Margin ratio reduced by 18%.
5. Other Expenses in Increased by 16%.
EXPENSES
Cost Of Materials Consumed 3,745.18 2,969.19 775.99 26% 65.46% 62.03%
Purchase Of Stock-In Trade 54.07 44.6 9.47 21% 0.95% 0.93%
Changes In Inventories Of FG,WIP And Stock-In Trade -40.93 -44.43 3.50 -8% -0.72% -0.93%
Employee Benefit Expenses 290.31 286.56 3.75 1% 5.07% 5.99%
Finance Costs 1.82 4.8 -2.98 -62% 0.03% 0.10%
Depreciation And Amortisation Expenses 203.74 203.42 0.32 0% 3.56% 4.25%
Other Expenses 919.79 785.53 134.26 17% 16.08% 16.41%

Cost Of Materials Consumed

16.08%

Purchase Of Stock-In Trade

Changes In Inventories Of FG,WIP And

3.56%
Stock-In Trade
0.03%

5.07% Employee Benefit Expenses

-0.72%
0.95% Finance Costs

65.46% Depreciation And Amortisation Expenses

Other Expenses

Activity Ratio
120.000
104.164
100.000 87.909
80.000
63.655 64.764
60.000 52.173 51.646
40.509
35.736 39.400
36.263
40.000
20.000 10.214
9.010 6.996
5.734 5.762
5.483
1.499
1.355 3.388
3.133 3.363
3.013
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2022 2021