ASSIGNMENT ON ACCOUNTING FOR MANAGERS

SUBMITTED BY: ABHIJITH T B

SUBMITTED TO: PROF. ANKITHA
GODREJ INDUSTRIES LIMITED
COMPANY PROFILE

Godrej Group is a conglomerate of companies headquartered in Mumbai, India. It was founded in

1897 by Ardeshir Godrej and Pirojsha Godrej and has since grown into a diversified business group
with operations in various sectors. The company operates in industries such as consumer goods, real
estate, appliances, furniture, industrial engineering, security solutions, agriculture, and more.

Here is a profile of Godrej Group:

1. Overview:
- Name: Godrej Group
- Founders: Ardeshir Godrej and Pirojsha Godrej
- Headquarters: Mumbai, Maharashtra, India
- Year founded: 1897
- Type: Conglomerate

2. Business Divisions:
The Godrej Group operates through several major divisions:

- Godrej Consumer Products: Deals with personal care products, household products, and toiletries.
- Godrej Properties: Focuses on real estate development, including residential, commercial, and
township projects.
- Godrej Appliances: Manufactures a wide range of home appliances, including refrigerators,
washing machines, air conditioners, and more.
- Godrej Interio: Specializes in furniture solutions for homes, offices, and institutions.
- Godrej Locks: Offers a comprehensive range of locking solutions for homes, offices, and industrial
applications.
- Godrej Agrovet: Engaged in animal feed, crop protection, oil palm plantation, dairy, and poultry.
- Godrej Aerospace: Provides aerospace engineering and manufacturing solutions.

3. Corporate Social Responsibility (CSR):

Godrej Group is committed to social responsibility and sustainability. It focuses on various CSR
initiatives, including environmental conservation, education, healthcare, and rural development.

4. Global Presence:
The company has a significant global presence and operates in more than 60 countries worldwide. It
has manufacturing facilities in India, Southeast Asia, Africa, the Middle East, Europe, and North
America.

5. Innovation and Sustainability:

Godrej Group emphasizes innovation and sustainability in its operations. It invests in research and
development to create innovative and eco-friendly products and solutions.

6. Awards and Recognitions:

Over the years, Godrej Group has received numerous awards and recognitions for its business
achievements, corporate governance, sustainability practices, and social initiatives.

7. Commitment to Diversity and Inclusion:

The company promotes diversity and inclusion across its workforce and strives to create an
inclusive work environment that values and respects individuals from all backgrounds.
IDUSTRY PROFILE

Godrej Group operates in multiple industries, and each of its divisions contributes to a specific sector.
Here is an industry profile of the key sectors in which Godrej Group has a presence:

1. Consumer Goods Industry:

Godrej Consumer Products, a major division of Godrej Group, operates in the consumer goods
industry. It offers a wide range of personal care products, household products, and toiletries. The
division focuses on developing and marketing products that cater to the needs of consumers.

2. Real Estate and Construction Industry:

Godrej Properties, a subsidiary of Godrej Group, operates in the real estate and construction
industry. The division is involved in the development of residential, commercial, and township
projects in India. It is known for its high-quality construction, sustainable practices, and innovative
designs.

3. Appliances Industry:
Godrej Appliances is a prominent player in the appliances industry. It manufactures and markets a
diverse range of home appliances, including refrigerators, washing machines, air conditioners,
microwave ovens, and more. The division emphasizes energy efficiency, advanced technologies, and
customer-centric designs.

4. Furniture Industry:
Godrej Interio is a leading player in the furniture industry. It offers comprehensive furniture
solutions for homes, offices, and institutions. The division focuses on ergonomic designs, durability,
and sustainable practices. Godrej Interio provides a wide range of furniture products, including
seating systems, storage solutions, modular furniture, and more.

5. Security Solutions Industry:

Godrej Locks operates in the security solutions industry. It specializes in manufacturing and selling
a variety of locking solutions, including mechanical and electronic locks, padlocks, safes, and access
control systems. The division caters to both residential and commercial customers, emphasizing
safety, quality, and innovative designs.

6. Agribusiness Industry:
Godrej Agrovet operates in the agribusiness industry and has a diverse portfolio. It engages in
animal feed, crop protection, oil palm plantation, dairy, poultry, and processed foods. The division
focuses on sustainable and responsible agricultural practices, innovation, and quality products.

7. Industrial Engineering Industry:

Godrej Precision Engineering, a part of Godrej Group, operates in the industrial engineering sector.
It provides precision engineering solutions, components, and assemblies for various industries,
including automotive, aerospace, defense, and more. The division emphasizes advanced
manufacturing techniques, quality, and reliability.

8. Aerospace Industry:
Godrej Aerospace is involved in the aerospace industry and provides engineering and manufacturing
solutions. It caters to the aerospace and defense sectors, manufacturing precision components,
aerospace engines, and systems. The division emphasizes technological expertise, quality, and
innovation
 FINANCIAL STATEMENT
.

Financial statements are written records that convey the

business activities and the financial performance of a company.
Financial statements are often audited by government agencies,
accountants, firms, etc. to ensure accuracy and for tax,
financing, or investing purposes.
or-profit businesses use four primary types of financial
statement: the balance sheet, the income statement, the
statement of cash flow, and the statement of retained
earnings.
Investors and financial analysts rely on financial data to
analyze the performance of a company and make predictions
about the future direction of the company's stock price. One of
the most important resources of reliable and audited financial
data is the annual report, which contains the firm's financial
statements.

The financial statements are used by investors, market

analysts, and creditors to evaluate a company's financial health
and earnings potential. The three major financial statement
reports are the balance sheet, income statement, and statement
of cash flows.
BALANCE SHEET OF GODREJ INDUSTRIES (in Rs. Cr.) Mar-23 Mar-22 Mar-21
EQUITIES AND LIABILITIES
SHAREHOLDER'S FUNDS
Equity Share Capital 33.66 33.66 33.66
TOTAL SHARE CAPITAL 33.66 33.66 33.66
Reserves and Surplus 1,682.73 1,446.05 1,489.08
TOTAL RESERVES AND SURPLUS 1,682.73 1,446.05 1,489.08
TOTAL SHAREHOLDERS FUNDS 1,716.39 1,483.22 1,526.30
NON-CURRENT LIABILITIES
Long Term Borrowings 2,946.60 3,301.78 1,955.58
Deferred Tax Liabilities [Net] 0 0 0
Other Long Term Liabilities 23.59 28.74 37.32
Long Term Provisions 19.48 16.41 14.82
TOTAL NON-CURRENT LIABILITIES 2,989.67 3,346.93 2,007.72
CURRENT LIABILITIES
Short Term Borrowings 3,930.38 2,858.32 2,339.89
Trade Payables 775.71 745.23 600.28
Other Current Liabilities 294.45 249.14 274.23
Short Term Provisions 5.09 6.45 4.83
TOTAL CURRENT LIABILITIES 5,005.63 3,859.14 3,219.23
TOTAL CAPITAL AND LIABILITIES 9,711.69 8,689.29 6,753.25
ASSETS
NON-CURRENT ASSETS
Tangible Assets 1,894.17 1,297.29 1,293.35
Intangible Assets 0 2.57 2.15
Capital Work-In-Progress 0 38.13 72.83
Other Assets 0 446.45 474.19
FIXED ASSETS 1,894.17 1,784.44 1,842.52
Non-Current Investments 5,724.70 4,786.11 2,682.47
Deferred Tax Assets [Net] 0.5 0.5 0.5
Long Term Loans And Advances 0.9 0.87 8.13
Other Non-Current Assets 100.28 80.82 49.38
TOTAL NON-CURRENT ASSETS 7,720.55 6,652.74 4,583.00
CURRENT ASSETS
Current Investments 823.04 760.69 1,315.73
Inventories 566.03 632.05 410.54
Trade Receivables 440.98 400.28 249.72
Cash And Cash Equivalents 44.93 153.9 118.09
Short Term Loans And Advances 0.28 0.22 0.24
OtherCurrentAssets 115.88 89.41 75.93
TOTAL CURRENT ASSETS 1,991.14 2,036.55 2,170.25
TOTAL ASSETS 9,711.69 8,689.29 6,753.25
Profit & Loss account of godrej limited Mar-23 Mar-22 Mar-21
INCOME
Revenue From Operations [Gross] 4,487.96 3,180.49 1,754.90
Revenue From Operations [Net] 4,487.96 3,180.49 1,754.90
Other Operating Revenues 0 159.11 100.63
Total Operating Revenues 4,487.96 3,339.60 1,855.53
Other Income 69 74.61 64.05
Total Revenue 4,556.96 3,414.21 1,919.58
EXPENSES
Cost Of Materials Consumed 2,943.47 2,357.76 1,362.68
Purchase Of Stock-In Trade 107.53 63.87 0.57
Changes In Inventories Of FG,WIP And -3.99 -74.27 -77.24
Stock-In Trade
Employee Benefit Expenses 181.06 168.64 136
Finance Costs 477.63 363.9 237.51
Depreciation And Amortisation Expenses 78.96 74.8 72.18
Other Expenses 539.73 439.69 296.75
Total Expenses 4,324.39 3,394.39 2,028.45
 BALANCE SHEET USING TREND ANALYSIS
BALANCE SHEET OF GODREJ Trend% Trend%
INDUSTRIES (in Rs. Cr.) Mar-23 Mar-22 Mar-21 2023 2022 Trend%2021
EQUITIES AND LIABILITIES
SHAREHOLDER'S FUNDS
Equity Share Capital 33.66 33.66 33.66 100 100 100
TOTAL SHARE CAPITAL 33.66 33.66 33.66 100 100 100
1,489.0 97.1102962
Reserves and Surplus 1,682.73 1,446.05 8 113.004674 9 100
1,489.0 97.1102962
TOTAL RESERVES AND SURPLUS 1,682.73 1,446.05 8 113.004674 9 100
1,526.3 97.1774880
TOTAL SHAREHOLDERS FUNDS 1,716.39 1,483.22 0 112.454301 4 100
NON-CURRENT LIABILITIES
1,955.5 168.838912
Long Term Borrowings 2,946.60 3,301.78 8 150.676526 2 100
Deferred Tax Liabilities [Net] 0 0 0 0 0 0
Other Long Term Liabilities 23.59 28.74 37.32 63.210075 77.0096463 100
110.728744
Long Term Provisions 19.48 16.41 14.82 131.443995 9 100
2,007.7 166.703026
TOTAL NON-CURRENT LIABILITIES 2,989.67 3,346.93 2 148.908712 3 100
CURRENT LIABILITIES
2,339.8 122.156169
Short Term Borrowings 3,930.38 2,858.32 9 167.972853 7 100
124.147064
Trade Payables 775.71 745.23 600.28 129.224695 7 100
90.8507457
Other Current Liabilities 294.45 249.14 274.23 107.373373 2 100
133.540372
Short Term Provisions 5.09 6.45 4.83 105.383023 7 100
3,219.2 119.877734
TOTAL CURRENT LIABILITIES 5,005.63 3,859.14 3 155.491531 7 100
6,753.2 128.668270
TOTAL CAPITAL AND LIABILITIES 9,711.69 8,689.29 5 143.807648 8 100
ASSETS
NON-CURRENT ASSETS
1,293.3 100.304635
Tangible Assets 1,894.17 1,297.29 5 146.454556 2 100
119.534883
Intangible Assets 0 2.57 2.15 0 7 100
52.3547988
Capital Work-In-Progress 0 38.13 72.83 0 5 100
94.1500242
Other Assets 0 446.45 474.19 0 5 100
1,842.5 96.8477954
FIXED ASSETS 1,894.17 1,784.44 2 102.803226 1 100
2,682.4 178.421753
Non-Current Investments 5,724.70 4,786.11 7 213.41152 1 100
Deferred Tax Assets [Net] 0.5 0.5 0.5 100 100 100
 10.7011070
Long Term Loans And Advances 0.9 0.87 8.13 11.0701107 1 100
163.669501
Other Non-Current Assets 100.28 80.82 49.38 203.078169 8 100
4,583.0 145.161248
TOTAL NON-CURRENT ASSETS 7,720.55 6,652.74 0 168.460615 1 100
CURRENT ASSETS
1,315.7 57.8150532
Current Investments 823.04 760.69 3 62.5538674 4 100
153.955765
Inventories 566.03 632.05 410.54 137.874507 6 100
160.291526
Trade Receivables 440.98 400.28 249.72 176.589781 5 100
130.324328
Cash And Cash Equivalents 44.93 153.9 118.09 38.0472521 9 100
91.6666666
Short Term Loans And Advances 0.28 0.22 0.24 116.666667 7 100
117.753193
OtherCurrentAssets 115.88 89.41 75.93 152.61425 7 100
2,170.2 93.8394194
TOTAL CURRENT ASSETS 1,991.14 2,036.55 5 91.7470338 2 100
6,753.2 128.668270
TOTAL ASSETS 9,711.69 8,689.29 5 143.807648 8 100
 Trend % Trend%
Profit & Loss account of godrej limited Mar-23 Mar-22 Mar-21 23 22 Trend%21
INCOME
1,754.9
Revenue From Operations [Gross] 4,487.96 3,180.49 0 39.1024 55.17703 100
1,754.9
Revenue From Operations [Net] 4,487.96 3,180.49 0 39.1024 55.17703 100
Other Operating Revenues 0 159.11 100.63 #DIV/0! 63.24555 100
1,855.5
Total Operating Revenues 4,487.96 3,339.60 3 41.34462 55.56144 100
Other Income 69 74.61 64.05 92.82609 85.8464 100
1,919.5
Total Revenue 4,556.96 3,414.21 8 42.12414 56.22326 100
EXPENSES
1,362.6
Cost Of Materials Consumed 2,943.47 2,357.76 8 46.29502 57.79553 100
Purchase Of Stock-In Trade 107.53 63.87 0.57 0.530085 0.892438 100
Changes In Inventories Of FG,WIP And Stock-In
Trade -3.99 -74.27 -77.24 1935.84 103.9989 100
Employee Benefit Expenses 181.06 168.64 136 75.11322 80.64516 100
Finance Costs 477.63 363.9 237.51 49.72678 65.26793 100
Depreciation And Amortisation Expenses 78.96 74.8 72.18 91.41337 96.49733 100
Other Expenses 539.73 439.69 296.75 54.98119 67.49073 100
2,028.4
Total Expenses 4,324.39 3,394.39 5 46.90719 59.7589 100
PROFIT AND LOSS USING TREND ANALYSIS
BALANCE SHEET USING COMPARATIVE STATEMENT

BALANCE SHEET OF GODREJ Change in 22-

INDUSTRIES (in Rs. Cr.) Mar-23 Mar-22 23 %22-23
EQUITIES AND LIABILITIES
SHAREHOLDER'S FUNDS
Equity Share Capital 33.66 33.66 0 0
TOTAL SHARE CAPITAL 33.66 33.66 0 0
-
1,682.7 1,446.0 16.367345
Reserves and Surplus 3 5 -236.68 5
-
1,682.7 1,446.0 16.367345
TOTAL RESERVES AND SURPLUS 3 5 -236.68 5
1,716.3 1,483.2
TOTAL SHAREHOLDERS FUNDS 9 2 -233.17 -15.720527
NON-CURRENT LIABILITIES 0 #DIV/0!
2,946.6 3,301.7 10.757227
Long Term Borrowings 0 8 355.18 9
Deferred Tax Liabilities [Net] 0 0 0 #DIV/0!
17.919276
Other Long Term Liabilities 23.59 28.74 5.15 3
-
18.708104
Long Term Provisions 19.48 16.41 -3.07 8
2,989.6 3,346.9 10.674259
TOTAL NON-CURRENT LIABILITIES 7 3 357.26 7
CURRENT LIABILITIES
-
3,930.3 2,858.3 37.506647
Short Term Borrowings 8 2 -1072.06 3
-
4.0900124
Trade Payables 775.71 745.23 -30.48 8
-
18.186561
Other Current Liabilities 294.45 249.14 -45.31 8
21.085271
Short Term Provisions 5.09 6.45 1.36 3
-
5,005.6 3,859.1 29.708432
TOTAL CURRENT LIABILITIES 3 4 -1146.49 4
-
9,711.6 8,689.2 11.766208
TOTAL CAPITAL AND LIABILITIES 9 9 -1022.4 7
ASSETS
NON-CURRENT ASSETS
-
1,894.1 1,297.2 46.009758
Tangible Assets 7 9 -596.88 8
Intangible Assets 0 2.57 2.57 100
Capital Work-In-Progress 0 38.13 38.13 100
Other Assets 0 446.45 446.45 100
-
1,894.1 1,784.4 6.1492681
FIXED ASSETS 7 4 -109.73 2
-
5,724.7 4,786.1 19.610706
Non-Current Investments 0 1 -938.59 8
Deferred Tax Assets [Net] 0.5 0.5 0 0
-
3.4482758
Long Term Loans And Advances 0.9 0.87 -0.03 6
-
24.078198
Other Non-Current Assets 100.28 80.82 -19.46 5
-
7,720.5 6,652.7 16.050679
TOTAL NON-CURRENT ASSETS 5 4 -1067.81 9
CURRENT ASSETS
Current Investments 823.04 760.69 -62.35 -8.1965058
10.445376
Inventories 566.03 632.05 66.02 2
-
10.167882
Trade Receivables 440.98 400.28 -40.7 5
Cash And Cash Equivalents 44.93 153.9 108.97 70.805718
-
27.272727
Short Term Loans And Advances 0.28 0.22 -0.06 3
-
29.605189
OtherCurrentAssets 115.88 89.41 -26.47 6
1,991.1 2,036.5
TOTAL CURRENT ASSETS 4 5 45.41 2.2297513
-
9,711.6 8,689.2 11.766208
TOTAL ASSETS 9 9 -1022.4 7
 Change in 22-
Profit & Loss account of godrej limited Mar-23 Mar-22 23 %22-23
INCOME
4,487.9 -
Revenue From Operations [Gross] 6 3,180.49 -1,307.47 41.10907
4,487.9 -
Revenue From Operations [Net] 6 3,180.49 -1,307.47 41.10907
Other Operating Revenues 0 159.11 159.11 100
4,487.9 -
Total Operating Revenues 6 3,339.60 -1,148.36 34.38615
Other Income 69 74.61 5.61 7.519099
4,556.9 -
Total Revenue 6 3,414.21 -1,142.75 33.47041
EXPENSES
2,943.4
Cost Of Materials Consumed 7 2,357.76 -585.71 -24.8418
Purchase Of Stock-In Trade 107.53 63.87 -43.66 -68.3576
Changes In Inventories Of FG,WIP And Stock-In
Trade -3.99 -74.27 -70.28 94.62771
-
Employee Benefit Expenses 181.06 168.64 -12.42 7.364801
-
Finance Costs 477.63 363.9 -113.73 31.25309
-
Depreciation And Amortisation Expenses 78.96 74.8 -4.16 5.561497
-
Other Expenses 539.73 439.69 -100.04 22.75239
4,324.3 -
Total Expenses 9 3,394.39 -930.00 27.39815
PROFIT AND LOSS USING COPARATIVE STATEMENT
BALANCE SHEET OF GODREJ
INDUSTRIES (in Rs. Cr.) Mar-23 % of 23 Mar-22 % of 22
EQUITIES AND LIABILITIES
SHAREHOLDER'S FUNDS
Equity Share Capital 33.66 0.346593 33.66 0.387373422
TOTAL SHARE CAPITAL 33.66 0.346593 33.66 0.387373422
1,446.0
Reserves and Surplus 1,682.73 17.32685 5 16.64175094
1,446.0
TOTAL RESERVES AND SURPLUS 1,682.73 17.32685 5 16.64175094
1,483.2
TOTAL SHAREHOLDERS FUNDS 1,716.39 17.67344 2 17.06951891
NON-CURRENT LIABILITIES 0 0
3,301.7
Long Term Borrowings 2,946.60 30.34075 8 37.99827144
Deferred Tax Liabilities [Net] 0 0 0 0
Other Long Term Liabilities 23.59 0.242903 28.74 0.330751995
Long Term Provisions 19.48 0.200583 16.41 0.188853174
3,346.9
TOTAL NON-CURRENT LIABILITIES 2,989.67 30.78424 3 38.5178766
CURRENT LIABILITIES 0 0
2,858.3
Short Term Borrowings 3,930.38 40.47061 2 32.89474744
Trade Payables 775.71 7.987384 745.23 8.576419938
Other Current Liabilities 294.45 3.031913 249.14 2.867207793
Short Term Provisions 5.09 0.052411 6.45 0.07422931
3,859.1
TOTAL CURRENT LIABILITIES 5,005.63 51.54232 4 44.41260448
8,689.2
TOTAL CAPITAL AND LIABILITIES 9,711.69 100 9 100
ASSETS 0 0
NON-CURRENT ASSETS 0 0
1,297.2
Tangible Assets 1,894.17 19.50402 9 14.92975836
Intangible Assets 0 0 2.57 0.02957664
Capital Work-In-Progress 0 0 38.13 0.43881606
Other Assets 0 0 446.45 5.13793417
1,784.4
FIXED ASSETS 1,894.17 19.50402 4 20.53608523
4,786.1
Non-Current Investments 5,724.70 58.94649 1 55.0805647
Deferred Tax Assets [Net] 0.5 0.005148 0.5 0.00575421
Long Term Loans And Advances 0.9 0.009267 0.87 0.010012326
Other Non-Current Assets 100.28 1.03257 80.82 0.930110515
6,652.7
TOTAL NON-CURRENT ASSETS 7,720.55 79.49749 4 76.56252697
CURRENT ASSETS 0 0
Current Investments 823.04 8.474735 760.69 8.754340113
Inventories 566.03 5.828337 632.05 7.273896947
Trade Receivables 440.98 4.540713 400.28 4.606590412
Cash And Cash Equivalents 44.93 0.462638 153.9 1.771145859
Short Term Loans And Advances 0.28 0.002883 0.22 0.002531852
OtherCurrentAssets 115.88 1.193201 89.41 1.028967844
2,036.5
TOTAL CURRENT ASSETS 1,991.14 20.50251 5 23.43747303
8,689.2
TOTAL ASSETS 9,711.69 100 9 100
BALANCE SHEET USING COMMON SIZED STATEMENT
Profit & Loss account of godrej limited Mar-23 % of 23 Mar-22 % of 22
INCOME
Revenue From Operations [Gross] 4,487.96 100.00 3,180.49 100.00
Revenue From Operations [Net] 4,487.96 100.00 3,180.49 100.00
Other Operating Revenues 0 0.00 159.11 5.00
Total Operating Revenues 4,487.96 100.00 3,339.60 105.00
Other Income 69 1.54 74.61 2.35
Total Revenue 4,556.96 101.54 3,414.21 107.35
EXPENSES 0.00 0.00
Cost Of Materials Consumed 2,943.47 65.59 2,357.76 74.13
Purchase Of Stock-In Trade 107.53 2.40 63.87 2.01
Changes In Inventories Of FG,WIP And Stock-In
Trade -3.99 -0.09 -74.27 -2.34
Employee Benefit Expenses 181.06 4.03 168.64 5.30
Finance Costs 477.63 10.64 363.9 11.44
Depreciation And Amortisation Expenses 78.96 1.76 74.8 2.35
Other Expenses 539.73 12.03 439.69 13.82
Total Expenses 4,324.39 96.36 3,394.39 106.73

PROFIT AND LOSS USING COMMON SIZED STATEMENT

RATIO ANALYSIS
Liquidity Ratios:

Current Ratio (Mar-23) = 1,991.14 / 5,005.63

Quick Ratio (Mar-23) = (1,991.14 - 566.03) / 5,005.63
Solvency Ratios:

Debt-to-Equity Ratio (Mar-23) = 2,989.67 / 1,716.39

Debt Ratio (Mar-23) = 2,989.67 / 9,711.69
Equity Ratio (Mar-23) = 1,716.39 / 9,711.69
Interest Coverage Ratio (Mar-23) = EBIT / 477.63 (EBIT is not provided in the data)
Profitability Ratios:

Gross Profit Margin (Mar-23) = (4,487.96 - 2,943.47) / 4,487.96

Net Profit Margin (Mar-23) = Net Income / 4,487.96 (Net Income is not provided in the data)
Return on Assets (ROA) (Mar-23) = Net Income / 9,711.69 (Net Income is not provided in the data)
Return on Equity (ROE) (Mar-23) = Net Income / 1,716.39 (Net Income is not provided in the data)
Efficiency Ratios:

Inventory Turnover Ratio (Mar-23) = 2,943.47 / ((632.05 + 410.54) / 2)

Accounts Receivable Turnover Ratio (Mar-23) = 4,487.96 / ((400.28 + 249.72) / 2)
Asset Turnover Ratio (Mar-23) = 4,487.96 / 9,711.69