Introduction

Bajaj Auto is a major India Automobile manufacturer. It is India's largest and the world's 4th
largest two- and three-wheeler maker. It is based in Pune, Maharashtra, with plants in Akurdi and
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Chakan (near Pune),Waluj and Patnagar in Uttaranchal. Bajaj Auto makes and exports motor
scooters, motorcycles and the auto rickshaw.

Over the last decade, the company has successfully changed its image from a scooter
manufacturer to a two wheeler manufacturer. Its product range encompasses scooters and
Motorcycles. It’s real growth in numbers has come in the last four years after successful
introduction of a few models in the motorcycle segment.

The company is headed by Rahul Bajaj who is worth more than US$1.5 billion.

Bajaj Auto came into existence on November 29, 1945 as M/s Bachraj Trading Corporation
Private Limited. It started off by selling imported two- and three-wheelers in India. In 1959, it
obtained license from the Government of India to manufacture two- and three-wheelers and it
went public in 1960. In 1970, it rolled out its 100,000th vehicle. In 1977, it managed to produce
and sell 100,000 vehicles in a single financial year. In 1985, it started producing at Waluj in
Aurangabad. In 1986, it managed to produce and sell 500,000 vehicles in a single financial year.
In 1995, it rolled out its ten millionth vehicle and produced and sold 1 million vehicles in a year.

Quick facts
•Founder - Jamnalal Bajaj
•Year of Establishment -1926
•Industry Automotive - Two & Three Wheelers Business
•Group -The Bajaj Group
•Listings & its codes BSE - Code: 500490; NSE - Code: BAJAJAUTO
BALANCE SHEET
Balance Sheet
(₹ In Crore)

As at 31 March

Particulars Note No. 2024 2023

ASSETS

Non-current assets

Property, plant and equipment 2 2,635.29 1,757.57

Capital work-in-progress 2 81.92 76.82

Investment property 3 50.01 51.13

Intangible assets 4 30.70 25.32

Intangible assets under development 4 – –

Investments in subsidiaries 5A 1,786.43 1,248.43

Financial assets
 Investments 5B 16,717.53 17,601.20

Trade receivables 10 – –

Loans 6 2.28 4.57

Other nancial assets 7 33.58 61.39

Income tax assets (net) 812.42 749.24

Other non-current assets 8 107.12 351.80

22,257.28 21,927.47

Current assets

Inventories 9 1,397.90 1,230.51

Financial assets

Investments 5B 4,419.37 4,969.13

Trade receivables 10 1,776.12 1,516.38

Cash and cash equivalents 11 219.42 563.97

Other bank balances 12 66.33 24.37

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 Loans 6 3.62 4.17

Other nancial assets 7 470.81 596.26

Other current assets 8 516.84 1,089.68

8,870.41 9,994.47

31,127.69 31,921.94

EQUITY AND LIABILITIES

Equity

Equity share capital 13 282.96 289.37

Other equity 14 25,142.90 26,379.43

25,425.86 26,668.80

Non-current liabilities

Financial liabilities

Sales tax deferral 15 124.23 122.77

Provisions 16 0.87 1.30

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 Deferred tax liabilities (net) 17 345.15 403.33

Government grant 33.35 36.00

Other non-current liabilities 18 0.19 0.30

503.79 563.70

Current liabilities

Financial liabilities

Trade payables

Total outstanding dues of micro enterprises and small enterprises 19 269.41 150.64

Total outstanding dues of creditors other than micro enterprises

19
and small enterprises 3,804.47 3,482.54

Other nancial liabilities 20 446.92 397.00

Other current liabilities 21 484.90 478.71

Provisions 16 165.95 153.75

Government grant 2.65 2.65

Current tax liabilities (net) 23.74 24.15

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 5,198.04 4,689.44

31,127.69 31,921.94

Summary of signi cant accounting policies followed by the Company 1

The accompanying notes are an integral part of the nancial statements. On behalf of the Board of Directors

As per our report of even date

For S R B C & CO LLP Niraj Bajaj

Chartered Accountants Chairman
ICAI Firm Registration Number: 324982E/E300003 (DIN: 00028261)

Dinesh Thapar Rajiv Bajaj

Chief Financial Of cer Managing Director
(DIN: 00018262)

per Arvind Sethi

Partner Anami N. Roy
Membership Number: 089802 Dr. J Sridhar Chairman – Audit Committee
Pune: 25 April 2023 Company Secretary (DIN: 01361110)
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•

PROFIT AND LOSS A/C

Statement of Pro t and Loss
(₹ In Crore)

For the year ended 31 March

Particulars Note No. 2024 2023

Revenue from contracts with customers 35,359.15 32,135.98

Other operating revenue 1,068.45 1,008.73

Revenue from operations 22 36,427.60 33,144.71

Other income 23 1,181.42 1,209.24

Total income 37,609.02 34,353.95

Expenses

Cost of raw materials and components consumed 24,009.01 22,169.88

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 Purchase of traded goods 2,143.85 1,971.98

Changes in inventories of nished goods, work-in-progress and traded 24 (98.11) 187.96

goods
Employee bene ts expense 25 1,444.90 1,358.80

Finance costs 26 39.48 8.66

Depreciation and amortisation expense 27 282.44 269.17

Other expenses 28 2,406.63 2,210.76

Expenses, included in above items, capitalised (27.82) (13.31)

Total expenses 30,200.38 28,163.90

Pro t before exceptional items and tax 7,408.64 6,190.05

Exceptional items 29 – (315.28)

Pro t before tax 7,408.64 6,505.33

Tax expense
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 Current tax 1,854.82 1,667.11

Deferred tax (73.78) (180.65)

Total tax expense 30 1,781.04 1,486.46

Pro t for the year 5,627.60 5,018.87

Other comprehensive income

Items that will not be reclassi ed to pro t or loss

Actuarial gains/(losses) of de ned bene t plans (2.11) 17.94

Tax impact on above 0.53 (4.52)

Changes in fair value of FVTOCI equity instruments 337.14 605.59

Tax impact on above (36.42) (67.61)

Items that will be reclassi ed to pro t or loss

Valuation gains/(losses) on derivative hedging instruments (80.53) (40.87)

Tax impact on above 20.27 10.29

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Other comprehensive income for the year (net of tax) 238.88 520.82

Total comprehensive income for the year 5,866.48 5,539.69

Basic and diluted Earnings per share (in ₹) 31 197.3 173.6

(Nominal value per share ₹ 10)

Summary of signi cant accounting policies followed by the Company 1

The accompanying notes are an integral part of the nancial statements. On behalf of the Board of Directors

As per our report of even date

For S R B C & CO LLP Niraj Bajaj

Chartered Accountants Chairman
ICAI Firm Registration Number: 324982E/E300003 (DIN: 00028261)

Dinesh Thapar Rajiv Bajaj

Chief Financial Of cer Managing Director
(DIN: 00018262)
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 per Arvind Sethi
Partner Anami N. Roy
Membership Number: 089802 Dr. J Sridhar Chairman – Audit Committee
Pune: 25 April 2023 Company Secretary (DIN: 01361110)

CASH FLOW STATEMENT

INTRODUCTION
The cash ow statement is a nancial statement that provides a summary of the cash in ows and out ows
of a business or entity over a speci c period of time. It is one of the three major nancial statements used by
companies, along with the income statement and the balance sheet.

The primary purpose of the cash ow statement is to provide insight into how cash is generated and used by
a business during the reporting period. It helps stakeholders, including investors, creditors, and
management, understand the liquidity and solvency of the company, as well as its ability to generate future
cash ows.

There are three main sections of the cash ow statement:

1. **Operating Activities**: This section includes cash in ows and out ows from the company's primary
business operations. It typically includes transactions related to sales, purchases of inventory, payments to
suppliers, salaries, and taxes.
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 2. **Investing Activities**: This section includes cash ows from the buying and selling of long-term assets,
such as property, plant, and equipment, as well as investments in securities such as stocks and bonds.

3. **Financing Activities**: This section includes cash ows related to raising capital and repaying debt,
such as proceeds from issuing stocks or bonds, repayments of loans, and payment of dividends to
shareholders.

By analyzing the cash ow statement, stakeholders can assess a company's ability to generate positive
cash ows from its core business operations, its investment activities, and its nancing activities. It provides
valuable information about a company's liquidity, nancial health, and ability to meet its short-term and long-
term obligations.
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**Merits:**

1. **Provides insights into liquidity**: Unlike the income statement, which might
include non-cash items like depreciation, the cash ow statement focuses solely
on actual cash movements. This provides a clearer picture of a company's
liquidity position.

2. **Helps assess solvency**: By detailing cash in ows and out ows from
operating, investing, and nancing activities, the cash ow statement aids in
evaluating a company's ability to meet its short-term and long-term obligations.

3. **Highlights operational e ciency**: By analyzing the operating cash ows,

investors and analysts can gauge how e ciently a company is generating cash
from its core business operations.

4. **Assists in nancial planning**: Understanding cash ow patterns helps

companies plan for future expenses, investments, and nancing needs. It allows
them to make informed decisions to ensure adequate cash reserves.
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5. **Useful for investors and creditors**: Investors and creditors use the cash ow
statement to assess the nancial health and stability of a company. It provides
insights into the company's ability to generate cash and its capacity to repay
debts.

**Demerits:**

1. **May not re ect pro tability**: While the cash ow statement provides insights
into cash movements, it doesn't necessarily re ect a company's pro tability. A
company can have positive cash ows while still experiencing losses due to non-
cash expenses like depreciation.

2. **Limited predictive value**: Historical cash ow data may not always

accurately predict future cash ows. Changes in economic conditions, industry
trends, or company strategies can impact future cash ow patterns.
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3. **Manipulation potential**: Like other nancial statements, the cash ow
statement can be subject to manipulation or creative accounting practices.
Companies may use various techniques to arti cially in ate or de ate cash ows,
impacting the reliability of the statement.

4. **Doesn't capture non-cash transactions**: The cash ow statement doesn't

include non-cash transactions, such as stock-based compensation or barter
transactions. As a result, it may not provide a complete picture of a company's
overall nancial performance.

5. **Doesn't provide details on quality of earnings**: While the cash ow

statement indicates the sources and uses of cash, it doesn't provide insights into
the quality of earnings or the sustainability of cash ows. Investors need to
analyze other nancial statements and factors to assess these aspects.

Despite these limitations, the cash ow statement remains a crucial nancial

statement for assessing a company's liquidity, solvency, and cash ow
management. It should be used in conjunction with other nancial information for
a comprehensive analysis of a company's nancial health.
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 For the year ended 31 March

Particulars 2024 2023

I. Operating activities

Pro t before tax 7,408.64 6,505.33

Adjustments to reconcile pro t before tax to net cash ows:

Add:

i) Depreciation and amortisation expense 282.44 269.17

ii) Loss on property, plant and equipment sold, demolished,

discarded and scrapped 14.11 8.88

iii) Provision for doubtful debts and advances 4.79 (4.44)

iv) Share based payment to employees 29.82 15.36

v) Exchange loss/(gain) on cash and cash equivalents 11.39 (3.55)

vi) Exchange loss/(gain) on trade receivables 2.50 2.39

vii) Exchange loss/(gain) on import payables 0.24 3.64

viii) Interest adjustment on Government grant 1.46 1.31

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 ix) Interest expense 38.02 7.35

384.77 300.11

Less:

i) Investment income included in above:

Interest income on xed income securities 306.99 275.05

Interest income on xed deposits 61.05 36.42

Interest income on exchange traded funds 344.56 204.68

Interest income on xed maturity plans 39.55 388.93

Gain on valuation and realisation of mutual funds

measured at fair value through pro t or loss 174.53 224.47

Dividend income on other strategic investments 47.25 45.50

Amortisation of premium/discount on acquisition of

xed income securities (2.00) (17.67)

971.93 1,157.38

ii) Government grants 2.65 2.65

iii) Exceptional item – PSI Scheme – 315.28

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 iv) Surplus on sale of property, plant and equipment 111.56 21.59

(1,086.14) (1,496.90)

6,707.27 5,308.54

Change in assets and liabilities

i) (Increase)/decrease in inventories (167.39) 263.38

ii) (Increase)/decrease in trade receivables (267.03) 1,202.52

iii) (Increase)/decrease in loans and other assets 655.53 77.19

iv) Increase/(decrease) in liabilities and provisions 502.24 (942.20)

723.35 600.89

Annuity payments (net) to VRS/Welfare scheme optees (0.32) (0.32)

Net cash ow from operating activities before income-tax 7,430.30 5,909.11

Income-tax paid (1,918.41) (1,701.54)

Net cash ow from/(used in) operating activities 5,511.89 4,207.57

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II. Investing activities

i) Investment in subsidiary (538.00) (15.17)

ii) Sale of investments 10,792.76 11,526.59

iii) Purchase of investments (9,339.40) (11,083.79)

iv) Sale/(purchase) of liquid mutual funds, etc., net 873.85 (209.44)

v) Investment in treasury shares by ESOP trust 5.78 (37.37)

vi) (Increase)/decrease in other bank balances (41.96) (2.14)

vii) Purchase of property, plant and equipment (including (943.31) (550.67)

advances)
viii) Sale proceeds of property plant and equipment 136.90 33.07

ix) Capital expenditure on development of technical know-how (35.73) –

910.89 (338.92)

x) Investment income

Interest income on xed income securities 306.99 275.05

Interest income on xed deposits 61.05 36.42

Dividend income on other strategic investments 47.25 45.50

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 415.29 356.97

(Increase)/decrease in interest receivable 7.63 (114.00)

422.92 242.97

Net cash ow from/(used in) investing activities 1,333.81 (95.95)

III Financing activities

.
i) Interest expense (38.02) (7.35)

ii) Equity share buy-back (incl. tax thereon) (3,093.88) –

iii) Dividend, including interim dividend paid (4,046.96) (4,048.98)

Net cash ow from/(used in) nancing activities (7,178.86) (4,056.33)

Net change in cash and cash equivalents (333.16) 55.29

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 Cash and cash equivalents at the beginning of the year 563.97 505.13

Add/(Less): Effects of exchange (loss)/gain on cash and cash

equivalents (11.39) 3.55

Cash and cash equivalents at the end of the year [See note 219.42 563.97
11]
The accompanying notes are an integral part of the nancial statements. On behalf of the Board of Directors

As per our report of even date

For S R B C & CO LLP Niraj Bajaj

Chartered Accountants Chairman
ICAI Firm Registration Number: 324982E/E300003 (DIN: 00028261)

Dinesh Thapar Rajiv Bajaj

Chief Financial Of cer Managing Director
(DIN: 00018262)

per Arvind Sethi

Partner Anami N. Roy
Membership Number: 089802 Dr. J Sridhar Chairman – Audit Committee
Pune: 25 April 2023 Company Secretary (DIN: 01361110)
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