Grasim Industries Ltd.

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

Mar '23 Mar '22 Mar '21 Mar '20
Net Profit Before Tax 2645.24 2881.16 932.89 1291.63
Net Cash From Operating Activities 2318.83 2656.24 2397.35 3315.03
Net Cash (used in)/from -2190.23 -3485.71 -2207.88 -4459.97
Investing Activities
Net Cash (used in)/from Financing Activities -164.81 -776.6 -1512.03 993.24
Net (decrease)/increase In Cash and Cash Equivalents -36.21 -1606.07 -1322.56 -151.7
Opening Cash & Cash Equivalents 52.69 1658.76 1391.78 202.73
Closing Cash & Cash Equivalents 16.48 52.69 69.22 51.03
-------------------
Mar '19
1311.69
2555.5
-2263.06

-298.97
-6.53
26.07
19.54
 Cash Flow from Investing Activities Mar 2023 Mar 2022 Mar 2021
-2190.23 -3485.71 -2216.17
Purchase of Fixed Assets -4022.47 -2538.15 -1193.24
Sale of Fixed Assets 11.13 6.55 10.24
Purchase of Investment 0 -1391.3 -1033.19
Sale of Investments 1911.96 0 0
Investment in Subsidiaries -444.48 -98.72 -60.9
Dividend Income 668.67 643.02 228.83
Interest Income -244.42 -88.93 32.69
Loans & advances given to subsidiaries / partnership firms etc. -70.62 10.21 6.2
Intercorporate deposits 0 0 0
Other Investment Activities 0 -28.39 -206.8
+
Mar 2020 Mar 2019
-4493.58 -2263.06
-2682.25 -2043.97
12.65 5.61
-2891.47 -277.53
1810.42 121.64
-934.8 -275.06
219.21 237.63
37.23 102.98
-15.8 4.3
0 -31.88
-48.77 -106.78
 Mar 2023 Mar 2022 Mar 2021 Mar 2020 Mar 2019
ROA (%) 3.4 4.59 1.55 2.42 0.98 Return on
5 4.59
Mar 2023 Mar 2022 Mar 2021 Mar 2020 Mar 2019 4 3.4
3
ROE (%) 4.45 5.9 2.01 3.08 1.19 1.55
2
1
Mar 2023 Mar 2022 Mar 2021 Mar 2020 Mar 2019 0
Mar 2023 Mar 2022 Mar 2021
ROCE (%) 5.73 6.25 2.6 3.47 3.25
ROA (%) R
Mar 2023 Mar 2022 Mar 2021 Mar 2020 Mar 2019
Debt/Equity(x) 0.11 0.09 0.1 0.14 0.08
RETURN ON
Mar 2023 Mar 2022 Mar 2021 Mar 2020 Mar 2019
Long Term Borrowings 4,273.23 3,034.49 3,089.46 2,714.18 1,055.11 5.9
4.45

2.01

Mar 2023 Mar 2022ROE Mar

(%) 202
 RE T URN ON CAP IT AL
Return on Assets E MP L OYE D
4.59
8 6.25
5.73
2.42 6
1.55 4 3.47 3.25
0.98 2.6
2
23 Mar 2022 Mar 2021 Mar 2020 Mar 2019 0
Mar 2023 Mar 2022 Mar 2021 Mar 2020 Mar 2019
ROA (%) Row 4
ROCE (%) Row 10

RETURN ON EQUITY Long Term Borrowings

4,273.23
5.9

3,034.49 3,089.46
2,714.18
3.08
2.01
1.19
1,055.11
23 Mar 2022ROE Mar
(%) 2021 Mar7 2020
Row Mar 2019
Mar 2023 Mar 2022 Mar 2021 Mar 2020 Mar 2019
 YEAR Mar 2023 Mar 2022 Mar 2021 Mar 2020 Mar 2019
Operational & Financial Ratios
Earnings Per Share (Rs) 32.26 40.95 12.32 18.63 7.84
CEPS(Rs) 48.73 54.61 24.8 30.87 19.32
Adjusted EPS (Rs.) 32.13 40.78 12.27 18.55 7.8
DPS(Rs) 10 10 9 4 7
Adjusted DPS(Rs) 10 10 9 4 7
Book NAV/Share(Rs) 711.69 737.43 651.79 572.19 637.61
Adjusted Book Value (Rs) 708.86 734.49 649.2 569.92 635.07
Tax Rate(%) 19.72 6.45 13.12 5.14 60.71
Dividend Pay Out Ratio(%) 31 24.42 73.08 21.47 89.33
Margin Ratios
Core EBITDA Margin(%) 11.54 14.69 11.17 11.53 18.59
EBIT Margin(%) 10.94 14.34 8.35 8.26 6.9
Pre Tax Margin(%) 9.6 13.21 6.66 6.97 5.99
PAT Margin (%) 7.71 12.36 5.79 6.61 2.35
Cash Profit Margin (%) 11.69 16.54 11.7 11 5.83
Performance Ratios
ROA (%) 3.4 4.59 1.55 2.42 0.98
ROE (%) 4.45 5.9 2.01 3.08 1.19
ROCE (%) 5.73 6.25 2.6 3.47 3.25
Asset Turnover(x) 0.44 0.37 0.27 0.37 0.41
Inventory Turnover(x) 6.53 7.13 5.79 6.63 7.93
Debtors Turnover(x) 16.76 14.53 6.61 5.77 7.18
Sales/Fixed Asset(x) 1.32 1.26 0.91 1.26 1.65
Working Capital/Sales(x) 18.84 8.56 14.99 25.03 6.13
Efficiency Ratios
Fixed Capital/Sales(x) 0.76 0.79 1.09 0.8 0.61
Receivable days 21.78 25.12 55.25 63.23 50.86
Inventory Days 55.88 51.2 63.03 55.05 46.05
Payable days 99.32 111.38 142.41 106.63 83.18
Growth Ratio
Net Sales Growth(%) 28.69 68.39 -22.98 -21.74 30.18
Core EBITDA Growth(%) 2.11 97.86 -21.91 -42.64 30.99
EBIT Growth(%) -3.69 167.65 -23.58 1.24 -42.8
PAT Growth(%) -21.21 232.59 -33.86 137.78 -70.86
EPS Growth(%) -21.22 232.46 -33.88 137.71 -70.88
Financial Stability Ratios
Total Debt/Equity(x) 0.11 0.09 0.1 0.14 0.08
Current Ratio(x) 1.16 1.28 1.15 1.1 1.52
Quick Ratio(x) 0.67 0.84 0.8 0.75 1.09
Interest Cover(x) 8.19 12.65 4.95 6.43 7.59
 Mar/23 Mar/22 Mar/21 Mar/20 Mar/19
Debt/Equity(x) 0.11 0.09 0.1 0.14 0.08 Long Term Borrowings

Debt/Equity(x) Long Term B

0.16 0.14
0.14
0.12 0.11
0.1
0.1 0.09 3,089
0.08 2,714.18
0.08
0.06
0.04 1,055.11
0.02
0
Jan/19 Jan/20 Jan/2
Jan/19 Jan/20 Jan/21 Jan/22 Jan/23
 Mar/23 Mar/22 Mar/21 Mar/20 Mar/19 Mar/23
4,273.23 3,034.49 3,089.46 2,714.18 1,055.11 Interest Coverage Ratios (%) 4.17

Interest Coverage Ratios (%

Long Term Borrowings
5
4,273.23 4

3
3,089.46 3,034.49
2,714.18
2

0
Jan/19 Jan/20 Jan/21 Jan/2
Jan/20 Jan/21 Jan/22 Jan/23
 Mar/22 Mar/21 Mar/20 Mar/19
4.45 2.73 2.06 2.33

rest Coverage Ratios (%)

20 Jan/21 Jan/22 Jan/23

 Earnings Adjusted Dividend
Adjusted Adjusted
Per Share DPS(Rs) Book Pay Out
EPS (Rs.) DPS(Rs)
(Rs) Value (Rs) Ratio (%)
Mar/23 32.26 32.13 10 10 708.86 31
Mar/22 40.95 40.78 10 10 734.49 24.42
Mar/21 12.32 12.27 9 9 649.2 73.08
Mar/20 18.63 18.55 4 4 569.92 21.47
Earnings Per Share
Mar/19 7.84 7.8 7 7 635.07 89.33 50
40
30
18.63
Mar/23 Mar/22 Mar/21 Mar/20 Mar/19 20
12.
7.84
Earnings 10
Per Share 32.26 40.95 12.32 18.63 7.84 0
(Rs) Jan/19 Jan/20 Jan

DPS(
Mar/23 Mar/22 Mar/21 Mar/20 Mar/19 9
DPS(Rs) 10 10 9 4 7 7

Jan/19 Jan/20 Jan/

Mar/23 Mar/22 Mar/21 Mar/20 Mar/19
Dividend D iv ide nd Pa y
Pay Out 31 24.42 73.08 21.47 89.33 89.33
Ratio(%)
73.0

21.47

Mar/23 Mar/22 Mar/21 Mar/20 Mar/19 Jan/19 Jan/20 Jan/

WACC % 6.55 5.62 7.51 7.75 6.37

WACC %
7.75 7.51
6.37 6.55
5.62

Jan/19 Jan/20 Jan/21 Jan/22 Jan/23

 7.75 7.51
6.37 6.55
5.62

Jan/19 Jan/20 Jan/21 Jan/22 Jan/23

 Earnings Per Share (Rs) Row 15
50
40.95
40
32.26
30
18.63
20
12.32
10 7.84

0
Jan/19 Jan/20 Jan/21 Jan/22 Jan/23

DPS(Rs)
10 10
9
7

Jan/19 Jan/20 Jan/21 Jan/22 Jan/23

D iv ide nd Pa y O ut R a tio (% )
89.33
73.08

31
21.47 24.42

Jan/19 Jan/20 Jan/21 Jan/22 Jan/23

 Cash Flow From Investing Activities

Year 2022 2021 2020 2019 2018

Net Cash Used in Investing Activities -2190.23 -3486 -2216.2 -4494 -2263.1

Trends used in Investing Activities

Year 2022 2021 2020 2019 2018

Net Cash Used in Investing Activities 2190.23 3485.7 2216.17 4493.6 2263.06

Dollar Debt and Equity

Year 2022 2021 2020 2019 2018

Total Debt 4429.52 3219.8 3294 2912.9 1152.08
Total Equity 46954.93 48616 42947.9 37692 41959.2
Weight of Debt 0.086 0.062 0.071 0.072 0.027
Weight of Equity 0.914 0.938 0.929 0.928 0.973

Cost of Equity OF Dollar

Ke = Rf + β*ERP

Riskfree Rate of Return

http://www.worldgovernmentbonds.com/bond-historical-data/india/10-years/#:~:text=The%20Ind
7.181
Market Premium 7.25 https://incwert.com/india-equity-risk-premiu
Beta of Dollar 1.72
Cost of Equity (Ke) 19.625625

Cost of Debt OF Dollar

Kd = Rf + β*ERP

Pre-Tax Cost of Debt = (Intrest/Average Cost)*100

Average Debt =(Opening Debt + Closing Debt)/2
Cost of Debt = Pre-Tax Cost of Debt*(1-Tax Rate)

Year 2022 2021 2020 2019 2018

Total Debt 4429.52 3219.8 3294 2912.9 1152.08
Average Debt 3824.64 3256.88 3103.445 2032.49 1040.41
Intrest 367.67 247.24 235.95 237.88 199.05
Pre-Tax Cost of Debt 9.61% 7.59% 7.60% 11.70% 19.13%
Post Tax Cost of Debt (Kd) 7.72% 7.10% 6.60% 11.10% 7.52%

WACC = Ke*E/ (E+D) + Kd (1-t)*D/ (E+D)

WACC 17.940480362
 Profitability Analysis of Dollar

Return on Investment = (PBIT/Capital Employed)*100

Year 2022 2021 2020 2019

PBIT 4198.23 4111.47 2078 2661.05
Capital Employed 131.68 131.66 131.61 131.56
ROI 3188.206 3122.794 1578.907 2022.689

ROE of Dollar

ROE = Net Income/Average Shareholders Funds

Year 2022 2021 2020 2019

Net Income 145.87 87.28 59.45 75.25
Shareholders Funds 675.82 542.81 464.95 417.69
Average SH Funds 609.315 503.88 441.32 385.215
ROE 23.940 17.322 13.471 19.535

Net Operating Profit After Tax

Year 2022 2021 2020 2019

PBT 2645.24 2881.16 932.89 1291.63
Tax 521.51 185.71 122.44 66.35
Tax Rate 20% 6% 13% 5%
Tax Benefit 1.895% 0.489% 0.998% 0.601%

years/#:~:text=The%20India%2010%20Years%20Government,%3A15%20GMT%2B0).
NOPAT = Net Operating Profit After Tax
m/india-equity-risk-premium-2022/
NOPAT = PBIT(1-Tax Rate)

Year 2022 2021 2020 2019

PBIT 4198.23 4111.47 2078 2661.05
Tax 0.26 0.25 0.27 0.33
NOPAT 3106.6902 3083.6025 1516.94 1782.9035

Economic Value Added

EVA = NOPAT - ( WACC*(Total Asset - Current Liablities))

2017
928.74 Year 2022
EVA 3094.101592
pital Employed)*100

2018
4639.14
131.52
3527.327

2018 2017
64.02 43.49
352.74 187.52
270.13
23.700

2018
1311.69
796.39
61%
11.616%

2018
4639.14
0.35
3015.441
Balance Sheet

Company Name: Grasim Industries Ltd.

Mar '23 Mar '22 Mar '21 Mar '20
SOURCES OF FUNDS
Share Capital 131.68 131.66 131.61 131.56
Share warrants & Outstandings 97.24 70.83 56.72 52.67
Reserve 46726.01 48413.3 42759.53 37507.37
Shareholder's Funds 46954.93 48615.79 42947.86 37691.6
Secured Loans 0 48.82 102.91 165.56
Unsecured Loans 4429.52 3170.94 3191.09 2747.33
Total Debts 4429.52 3219.76 3294 2912.89
Total Liabilities 51384.45 51835.55 46583.86 40604.49
Net_Block 22047.87 19682.97 14957.82 15660.13
Less: Accumulated Depreciation 5828.24 4825.27 3991.32 3425.78
Less: Impairment of Assets 0 0 0 0
Lease Adjustment A/c 0 0 0 0
Capital Work in Progress 2727.18 1612.4 3741.05 2635.67
Pre-operative Expenses pending 198.51 130.39 292.38 157.5
Assets in transit 0 0 0 0
Investments 35367.86 39276.92 34073.69 28012.45
Current Assets, Loans & Advances
Inventories 4492.78 3940.84 2178.99 2657.27
Sundry Debtors (Debotrs) 1597.26 1690.42 1312.03 2927.39
Cash and Bank 474.37 225.33 132.69 78.96
Other Current Assets 251.56 199.01 136.4 310.37
Loans and Advances 847.96 703.21 543.89 564.98
Total Current Assets 7663.93 6758.81 4304 6538.97
Less : Current Liabilities and Provisions
Current Liabilities 8321.06 8215.99 5597.21 6547.28
Provisions 936.8 743.3 784.82 1022.01
Total Current Liabilities 9257.86 8959.29 6382.03 7569.29
Net Current Assets -1593.93 -2200.48 -2078.03 -1030.32
Miscellaneous Expenses not written off 0 0 0 0
Deferred Tax Assets / Liabilities -1534.8 -1841.38 -1733.94 -1405.16
Total Assets 51384.45 51835.55 46583.86 40604.49
Contingent Liabilities 1089.71 17990.4 8352.08 7560.12
Mar '19

131.52
29.85
41797.82
41959.19
186.94
965.14
1152.08
43111.27
13848.88
2616.64
0
0
1456.91
110.29
0
31587.14

2931.66
3491.59
42.47
255.97
685.73
7407.42

5925.45
878.4
6803.85
603.57
0
-1878.88
43111.27
6513.93
Profit & Loss

Company Name: Grasim Industries Ltd.

Mar '23 Mar '22 Mar '21 Mar '20 Mar '19
Gross Sales 27544.52 21815.94 14002.89 18526.81 21890.97
Less: Excise 0 0 0 0 0
Net Sales 26839.71 20856.84 12386.36 16081.87 20550.43
EXPENDITURE :
Increase/Decrease in Stock -261.91 -538.59 273.86 -146.38 -126.24
Raw Materials Consumed 13161.29 9947.37 5272.02 7574.03 9832.71
Power & Fuel Cost 4745.01 3434.26 2075.99 2601.31 3011.71
Employee Cost 2023.49 1774.29 1391.29 1559.98 1529
Other Manufacturing Expenses 2070.51 1466.69 916.58 1240.14 1147.06
General and Administration Expenses 116.54 100.35 87.01 83.65 101.27
Selling and Distribution Expenses 1255.36 1031.46 418.2 474.47 499.23
Miscellaneous Expenses 549.53 435.28 387.09 559.23 485.86
Less: Pre-operative Expenses Capitalised 0 0 0 0 0
Total Expenditure 23659.82 17651.11 10822.04 13946.43 16480.6
PBIDT (Excl OI) 3179.89 3205.73 1564.32 2135.44 4069.83
Other Income 1018.34 905.74 513.68 525.61 569.31
Operating Profit 4198.23 4111.47 2078 2661.05 4639.14
Interest 367.67 247.24 235.95 237.88 199.05
PBDT 3830.56 3864.23 1842.05 2423.17 4440.09
Depreciation 1097.29 913.96 828.17 813.51 760.39
Profit Before Taxation & Exceptional Items 2733.27 2950.27 1013.88 1609.66 3679.7
Exceptional Income / Expenses -88.03 -69.11 -80.99 -318.03 -2368.01
Profit Before Tax 2645.24 2881.16 932.89 1291.63 1311.69
Provision for Tax 521.51 185.71 122.44 66.35 796.39
PAT 2123.73 2695.45 810.45 1225.28 515.3
Extra items 0 0 0 0 0
Appropriations 10136.98 8580.8 5743.6 5084.06 4280.76
Dividend(%) 500 500 450 200 350
EPS 32.2559 40.9456 12.3159 18.6269 7.8361
Adjusted EPS 32.1275 40.7826 12.2669 18.5528 7.8049