Sun TV Network Limited

Overview report History Sun TV Network Limited is a largest TV network media company in India. Founded in 1991 by Kalanidhi Maran in Tamil Nadu. Sun TV was launched in Tamil, on April 14, 1993. Sun TV becoming a 24 hour channel in January 1995. Sun TV is currently ad free to air channel. This year Sun TV completed its 25 year in TV industry. Introduction Sun TV Network Limited is a largest TV network media company in India. Founded in 1991 by Kalanidhi Maran in Tamil Nadu. Sun TV own 33 TV channels in four languages Tamil, Telugu, Kannada and Malayalam and forty five FM Radio stations.  Sun TV is their first channel of the group started in 14 April 1993. Sun TV was listed on the Bombay Stock Exchange on 24 April 2006.  Sumangali Cable Vision is a cable distribution company owned by Sun network. Sun Pictures is a film production and distribution company created in year 2008. Sun Direct is an Indian DTH broadcast satellite service provider owned by Sun Network. Sun direct has 6.2 million subscriber in 2016. Sun Direct is also the first DTH to provide HD streaming.  
Industry Mass media
Founded 1992
Founders Kalanithi Maran
Headquarters Chennai, Tamil Nadu
Key people Kalanithi Maran (Chairman)
K. Vijay Kumar (MD, CEO)
V. C. Unnikrishnan (CFO)
Products Broadcasting, Publishing, Radio, Flims and Sports franchise.
Employees 1959
Website ,
NSE: SUNTV 952.30
BSE: 532733 952.30
Operations   Broadcasting Sun TV networks broadcasting 33 TV channels in four languages Tamil, Telugu, Kannada and Malayalam. Sun TV, KTV, Sun Music, Sun News, Chutti TV, Surya TV, Kiran TV, Gemini TV, Teja TV, AdithyaTV, Teja News, Gemini News, Gemini Music, Gemini Cable Vision, Udaya TV,Ushe TV, Udaya2, Udaya Movies, Udaya Varthegalu & Udaya News are most popular TV channels in southern part of India  . Sun TV network launched KTV, 24 hour film based Tamil movie channel in October 2002. Sun network has launched Sun Music the first 24 hour Tamil music channel in September 2004. Sun TV network launched first Malayalam channel Surya TV in October 1998. The channel has a mix of both film based and non-film based programmers. Sun TV network launched a film and music 24 hour Malayalam language channel Kiran TV in January 2005.   FM Radio Kal Radio Limited, Suryan FM is Tamil Nadu No. 1 private FM station. Suryan FM have radio stations spread across the State, and city like in Chennai, Coimbatore, Madurai, Trichy, Tirunelveli, Tuticorin and Pondicherry. With station launches scheduled in Salem, Erode and Vellore, and a second station in Chennai, Suryan FM is set its no. 1 ranking in Tamil Nadu. Suryan FM has been a household name in Tamil Nadu for 15 years. The FM radio channel is owned by Indian media conglomerate Sun Group. Red FM is a Hindi FM radio brand owned by Sun network. Red FM broadcasting in 11 States and 38 Indian Cities. The radio station is owned by Kalanithi Maran and Value Labs LLP.   Newspapers and magazines Sun Group owns two daily newspaper Dinakaran and Murasu, Marusa is an evening newspaper.  Sun group also owns five magazines in Tamil language.



The Sun Risers Hyderabad (SRH) are a IPL franchise cricket team based in Hyderabad, Telangana, that plays in the Indian Premier League (IPL). The franchise is owned by Kalanithi Maran of the Sun TV Network and was founded in 2012 after the Hyderabad-based Deccan Chargers were terminated by the IPL     Board of directors
Kalanithi Maran Executive Chairman
K. Vijay Kumar Managing Director and CEO
S Sevlam Director
Kaveri Kalanithi Executive Director
  Financial Performance
Particulars 2017 2016
Revenue 2799.52 2589.97
PBT 1550.92 1399.10
PAT 1030.66 922.31
    Latest updates   Sun TV is India’s No.1 Sun TV has come out as the number one channel across genres on an All India basis with BARC India's rural data rollout, and is even ahead of popular Hindi GECs like Star Plus and Colors. ARC India, a joint industry body comprising the broadcasters, media agencies and advertisers, started rolling out ratings from April, 2015. Now, in a short span of six months, BARC India gives the country what it had promised, a complete and robust view of “What India Watches.” With the release of the All India data, BARC India has expanded its reach to 153.5 million TV households, representing All India and all modes of signal. Of this 77.5 million are urban TV households and 76 million are rural TV households. BARC India will now be reporting Megacities, 10-75 lakh towns, less than 10 lakh urban areas and rural. ETV Telugu maintains No 1 position in Telugu GEC market with 424252 Ratings.     New HD channels Sun TV Network Limited launched four new High Definition channels in Tamil and Telugu languages on December. The Company has always been in the forefront of pioneering new technologies and in bringing value added services to its customers. The new HD channels are listed below: Tamil Sun TV HD KTVHD Sun Music HD Telugu Gemini TV HD. The above HD channels will be the first of its kind in Tamil and Telugu. These HD channels will first be offered on DTH and digital cable platforms in India, yeah and will progressively become available in global markets. These channels would be priced at Rs.40 per subscriber per month per channel for Sun TV HD, K TV HD and Gemini TV HD and Rs.25 per subscriber per month for Sun Music HD . The bouquet price for all the four HD channels will be Rs.100 per month. With this introduction, the Company will be offering a bouquet of 25 channels including the 4 new HD channels.   Overview report by Saddam Hashmi

Indraprastha Gas Limited

Ratio Report 

Activity Ratio
  PARTICULARS Indraprastha Gas Limited Gail (India) Limited
F.Y. 15-16 F.Y.16-17 F.Y. 15-16 F.Y.16-17
Receivables Turnover 16.38 18.66 30.04 44.76
Average Collection Period (In Days) 23 20 12 8.00
Inventory Turnover 48.64 45.59 23.99 22.39
Inventory Processing Period (In Days) 7 8 15 16
Payables Turnover 16.69 11.45 6.75 6.59
Average Payment Period (In Days) 22 32 54 55
Total Assets Turnover 1.24 1.11 0.87 0.83
Fixed Assets Turnover 1.85 1.84 1.56 1.45
Working Capital Turnover 55.73 16.98 -357.28 -208.65
Cash conversion cycle (in Days) 8 -4 -27 -31
    CCC: The CCC of the company has improved from 8 days to negative 4 days over the year which is very desirable, mainly due to increase in payables payment period and decrease in receivables. It appears that company funds its working capital through trade payables. However, the CCC of the competitors is much lower as compared to the company owing to higher payables payment period. Company has made additions of apprx. 263 crores in fixed assets, majorly in plant and equipments this year because of this asset turnover ratio decreased. It appears that the company has funded the same through retained earnings.
  PARTICULARS Indraprastha Gas Limited Gail (India) Limited
F.Y. 15-16 F.Y.16-17 F.Y. 15-16 F.Y.16-17
Current Ratio (Working Capital) 1.03 1.18 0.95 1.01
Quick Ratio (Acid Test) 1.03 1.28 0.45 0.45
Cash Ratio 0.66 1.07 0.18 0.15
Defensive Interval (In Days) 78 138 34 35
  Quick and Defensive interval ratio : This ratio is increased due to increase in quick asset, which includes investments in mutual funds in F.Y 2017 by Rs.417.87 crores. Furthermore during the F.Y 2017 company has made fixed deposit into banks of Rs.482.49 crores. Therefore company’s position is good as compared to its competitor whose quick ratio is not changed. And also its average daily expenses were decreased from Rs. 9.039 crores per day to Rs.8.93 crores. The major expense which was reduced is cost of natural gas. Cost of natural gas was decreased due to reduction in APM and Term-RLNG prices during the year. Because of this reasons defensive interval ratio also has been increased.
Particulars F.Y. 2016 F.Y.2017
Investment in Mutual funds  Nil 417.87 Crores
Fixed Deposits 0.49 Crores 483.02 Crores
Solvency Ratio
  PARTICULARS Indraprastha Gas Limited Gail (India) Limited
F.Y. 15-16 F.Y.16-17 F.Y. 15-16 F.Y.16-17
Debt-to-Equity --- --- 0.26 0.18
Debt-to-Capital --- --- 0.20 0.16
Debt-to-Assets --- --- 0.16 0.11
Financial Leverage 1.37 2.78 1.63 1.56
Interest Coverage Ratio ---- --- 3.67 9.89
Fixed Charge Coverage Ratio     3.67 9.89
  Debt to equity, debt to capital and debt to assets ratio: IGL is debt free company. On the other hand Gail (India) Ltd. is leveraged company. The IGL didn’t took the advantage of leverage hence it appears that company has  surplus cash fund which was approx. Rs .500 crores which was used to  fund its capex. Also the working capital requirement has been funded through its trade payables as indicated by negative CCC.  
Profitability Ratio
  PARTICULARS Indraprastha Gas Limited Gail (India) Limited
F.Y. 15-16 F.Y.16-17 F.Y. 15-16 F.Y.16-17
Net Profit Margin 11% 14% 3.57% 6.84%
Gross Profit Margin 35% 41% 19% 25%
Operating Profit Margin 15% 19% 4.31% 8.20%
Pre Tax Margin 17% 21% 5.61% 11%
Return Of Assets (ROA) - Excluding Interest 13.97% 15.87% 13.97% 15.87%
Return Of Assets (ROA) - Including Interest 14.17% 15.89% 4.01% 6.27%
Operating Return On Assets (ORA) 19% 21% 5% 9%
Return On Total Capital (ROTC) 26% 29% 6% 11%
Return On Equity (ROE) 19% 22% 5% 9%
Return On Common Equity (ROCE) 19% 22% 5% 9%
  Net profit margin: In F.Y 2017 the cost of natural gas has been declined due to reduction in APM and Term-RLNG prices during the year. And decrease in finance cost by 9 Crores. Indirect expenses includes repair of plant and equipment which is decreased in this year by 30 crores. All these things has resulted in the overall  increased in net margins of the company.
Du pont Analysis
  PARTICULARS Indraprastha Gas Limited Gail (India) Limited
F.Y. 15-16 F.Y.16-17 F.Y. 15-16 F.Y.16-17
Tax burden (Net income/EBT) (a) 67% 71% 63% 65%
Interest Burden (EBT/EBIT) (b) 113% 108% 98% 103%
EBIT Margin/ operating profit margin (C) 15% 19% 5.74% 10.24%
Asset Turnover (d) 1.24 1.11 0.87 0.83
Financial Leverages (e) 1.37 1.37 1.63 1.56
ROE =(a)*(b)*(c)*(d)*(e) 19% 22% 5.09% 8.91%
    The return on equity has been increased due overall effect of tax burden, interest burden, and operating profit margin. Interest burden has decreased because interest and financial charges on financial liabilities were fully written off last year by Rs. 9 Crores. Operating profit margin increased due to purchase price of gas is law. Whereas in case of peer company has lower ROE because asset turnover ratio is lower than IGl it seems that it has not utilizing its assets effectively., financial leverage ratio is decreased due to issue of new share capital of 422 Crores inn this year. In F.Y. 2017, EBIT has been increased due to lower purchase cost of gas. Prepared By: Jay Jaiswal (Under the Guidance of 'Juhi Bhandari')

Zee Entertainment Limited “Ratio Report”

Ratio Report

Particulars Zee entertainment enterprise ltd Network 18
  2015-16 2016-17 2016-17
Current ratio 3.98 4.56 0.29
Quick ratio 2.26 2.88 0.19
Cash ratio 1.27 2.14 0.04
Defensive interval ratio 251 417 89
  1. Liquidity Ratio
  • Liquidity ratio
The increase in Current, Quick and Cash ratio is due to certain investments reclassified as current investments based on maturity and some additional current investments made during the year. Also, the cash and bank balance lying with the company as on 31st March 2017 were ₹ 26133 million as against ₹ 9631 million on 31st March 2016 which is mainly attributed to the sale of the major part of the sports business to Sony Group. Whereas ratios of Network 18 are very low because of the fall in cash and cash equivalent and increase in the short term borrowings in the current year. The increase in cash and cash equivalent has also resulted in the improved defensive interval ratio which was 417 days in March 2017 as compare to 251 days in March 2016.    
  1. Activity ratio
Particulars Zee entertainment enterprise ltd Network 18
  2015-16 2016-17 2016-17
Receivable turnover ratio 4.74 4.85 4.42
Days of sales outstanding 77 75 83
Payable turnover ratio 6.11 5.76 1.43
Average days of payable 60 63 256
Inventory turnover ratio 2.07 1.85 81.65
Days of inventory on hand 176 196 4
Cash conversion cycle 193 209 -169
Total assets turnover ratio 0.78 0.71 0.28
Fixed assets turnover ratio 4.14 4.90 0.86
Working capital turnover ratio 1.46 1.24 -1.18
  • Cash conversion cycle
The cash conversion cycle has increased from 193 days in 2016 to 209 days in 2017 mainly on the account of increase in the inventory holding period, whereas in case of Network 18 the Cash Conversion cycle shows a negative sum because of its inventory holding period which is only 4 days attributable to the reduction in the inventories during the year.  
  • Assets turnover ratio
Fixed assets turnover ratio has increased in the current year which is mainly attributable to the reduction in the value of goodwill by Rs 6167 million in 2017.  
  • Working capital Turnover ratio
The working capital ratio has gone down from 1.46x to 1.24x due to increment in working capital as there has been an increase in inventory and investments in the year 2017.The increase in working capital is primarily due to investments in satellite rights of movies.    
  1. Profitability ratio
              Particulars Zee entertainment enterprise ltd Network 18
  2015-16 2016-17 2016-17
Net profit margin 14.17% 34.51% -18.16%
Gross profit margin 55.30% 56.75% 65.20%
Operating profit margin 24.70% 28.16% -14.61%
EBT Margin 21.95% 26.02% -20%
Operating return on assets 19.17% 20.13% -4.10%
Return on total capital 23.25% 24.01% 4.93%
Return on assets 12.64% 25.58% -4.11%
Return on equity 18.35% 38.75% -17.14%
Return on common equity 24.18% 53.56% -20.16%
  • Net Profit Margin
Profit for the year increased by Rs 13,968 million (170%) to Rs 22,205 million from Rs 8,237 million. Figures are not comparable on account of profit generated during the current year from sale of major part of sports broadcasting business which is contributing to the increased in Net profit margin in the year 2016-17. EBT Margin has gone up during the year on the account of decrease in the finance cost and cost of goods sold. Whereas Network 18 has suffered a loss during this year due to increase in the Selling, general and administrative expenses and employee benefit expenses and fall in the revenue from operations causing a negative Net profit Margin.    
  • Return on Total Assets
The return on assets of the company in respect of the previous year and also in respect of its peer company has increased because the goodwill has reduced 6167 million mainly on account of derecognition of goodwill relating to sports business and increase in net profit due to the sale of major part of sports broadcasting business.        
  1. Solvency ratio
Particulars Zee entertainment enterprise ltd Network 18
  2015-16 2016-17 2016-17
Debt to equity ratio 0.36 0.29 1.02
Debt to capital ratio 0.26 0.22 0.50
Debt to assets ratio 0.21 0.19 0.26
Financial leverage 1.67 1.57 3.37
Interest coverage 8.99 13.20 2.72
Fixed charge coverage 4.81 6.19 -1.95
  • Debt ratio
The Debt ratio of the company has improved from the previous year due to the increment in retained earnings being part of the shareholder’s equity and due to issue of equity shares to the employees under Employee stock options which also improved Financial Leverage. Whereas Network 18 has raised its funds by borrowings to meet its working capital requirement being a burden on the equity.    
  • Interest coverage and fixed charge coverage
The interest coverage and fixed charge coverage has increased due to the increase in the revenue from advertisement and subscription attributing to the rise in EBIT and decrease in the finance cost in the year 2016-17.    
  1. Du Pont Analysis
Particulars Zee entertainment enterprise ltd Network 18
  2015-16 2016-17 2016-17
Operating profit margin 25.0% 28.0% -15.0%
Interest burden 96.0% 160.0% 137.0%
Tax burden 65.0% 77.0% 91.0%
Total assets turnover ratio 0.78 0.71 0.28
Financial leverage 1.67 1.57 3.37
Return on Equity 18.35% 38.75% -17.%
    The return on equity has been improved in the year 2016-17 despite of increased tax burden and interest burden. This improvement was majorly due to increase in the operating profit margin. Whereas, the ROE of Network 18 is negative because the company is at loss during the year.  
Ratio report on the "Zee Entertainment Limited"
Guided By : Juhi bhandari
Written By :  Neha Toshniwal

ZenSar Technologies Ltd.

F.Y. 15-16 F.Y.16-17 F.Y. 15-16 F.Y.16-17
Receivables Turnover 5.97 5.71 5.93 5.79
Average Collection Period (In Days) 61 64 62 63
Inventory Turnover 1.73 1.97 - -
Inventory Processing Period (In Days) 212 185 - -
Payables Turnover 1.48 1.29 4.84 4.24
Average Payment Period (In Days) 248 282 75 86
Total Assets Turnover 1.70 1.54 0.88 0.86
Fixed Assets Turnover 7.54 7.30 4.71 4.58
Working Capital Turnover 4.07 3.48 1.68 1.75
Cash Conversion Cycle (In Days) 25 -33 -13 -23

In case of cash conversion cycle (CCC), company has improved from 25 days to negative 33 days which is very desirable and it’s achieved due to increase in average payment period from 248 days to 282 days because of decrease in purchase & creditors of security & network products, as company start moving in robotics & automation than in software services, and also from due to decrease in inventory processing period from 212 days to 185 days , decrease in days sales outstanding (DSO) from 62 days to 58 days and due to increase in domestic revenue than offsite revenue  as compared to trade receivables . So, as company has negative CCC which means that there working capital must be efficient but as there cash ratio is less which means that they are not efficiently using working capital instead they are investing in others items.

Instead they are focusing on operational efficiency and it will remain continues as they are focusing to grow their utilization level up from 83.2% to 85.9%.

 Whereas, in case of Infosys has cash conversion cycle more than Zensar because they don’t have inventory turnover ratio as they don’t have inventory any time during the year and also there is no major purchase.


The fixed turnover ratio of company is decreased due to investment in capex of Rs.41 Crore and decrease in Offsite revenue. Whereas in case of Infosys it has less ratio as compare to Zensar because it doesn’t have large investment in fixed & capital assets than Zensar.





F.Y. 15-16 F.Y.16-17 F.Y. 15-16 F.Y.16-17
Current Ratio (Working Capital) 2.52 2.68 3.91 3.83
Quick Ratio (Acid Test) 2.13 2.34 3.72 3.63
Cash Ratio 0.72 0.90 2.87 2.75
Defensive Interval (In Days) 135 140 408 385

The increase in current, quick & cash ratio is due to increase in current investment by the company in mutual fund during the current year; so company is more capable of paying its obligations with its most liquid assets.  Whereas ratio of the peer company was more because of the large investment as compare to Zensar.


The defensive interval has been increased from 135 days to 140 days due to increase in employee expenses due to increase in utilization level & attrition rate from 79.6% to 83.2% and due to employee stock expenses; whereas peer company  ratio is more due to no inventory cost & less expenses and purchase of  software equipment & licenses .  

F.Y. 15-16 F.Y.16-17 F.Y. 15-16 F.Y.16-17
Debt-to-Equity 0.12 0.09 - -
Debt-to-Capital 0.11 0.08 - -
Debt-to-Assets 0.08 0.06 - -
Financial Leverage 1.49 1.45 1.22 1.21
Interest Coverage Ratio 35.05 38.56 - -
Fixed Charge Coverage Ratio 31.62 36.45 - -

 The debts ratio of the company has been decreased because of the following factors i.e. due to repayment of the short term borrowing & financial lease obligation during the current year and due to issue of equity shares to the employees under employee stock options. As, in the case of Zensar which has debt-to equity ratio <2 and interest-coverage ratio >2, is good for the company as they will be able to meet its long term obligation. Whereas in case of its peer company Infosys doesn’t have any debts, so they are more solvent than Zensar as they don’t have to borrow debts for the repayment of their long terms obligations and so they don’t have any solvency ratio.

F.Y. 15-16 F.Y.16-17 F.Y. 15-16 F.Y.16-17
Net Profit Margin 10% 8% 24% 23%
Gross Profit Margin 93% 92% 98% 98%
Operating Profit Margin 13% 11% 27% 27%
Pre Tax Margin 14% 11% 32% 31%
Return Of Assets (ROA) - Excluding Interest 16.83% 12% 21% 20%
Return Of Assets (ROA) - Including Interest 17.26% 12.31% 21% 20%
Operating Return On Assets (ORA) 23% 19% 27% 25%
Return On Total Capital (ROTC) 28% 22% 27% 26%
Return On Equity (ROE) 25% 17% 26% 24%
Return On Common Equity (ROCE) 25% 17% 26% 24%

The gross profit margin is slight decrease due to increase in the onsite revenue ratio from 64.3% in FY16 to 66.8% in FY17 and decrease in Offsite revenue from 36% to 33% because delay in start of some key projects  during the year, especially in the US. The exchange rates have impact on Gross Margin as well as Forex losses and conscious decline of non-core areas of MVS and IM products.

It is expected that the revenue of Zensar will grow (CAGR) by 3.8% as there digital commerce services turning around with good volume growth of 5.3% sequentially Q-o-Q with 50% new clients, also application management services by will grew by 5.2% and infrastructure services by 12.8% because of Keystone and Foolproof services being taken to all Zensar clients as it has been acquire in last quarter of F.Y. 2016-17 and new website developed by Foolproof for automobile satisfying clients demands by driving ~£200k worth of additional revenue for the client per month as well as implemented its first BOT at a large financial software company and food manufacture company in UK enabling processing of investments and vendor payment with 100% accuracy.

Also, Zensar won multiple deals across Experience Design, Digital Commerce, Analytics, Automation and Digital Testing in US & UK market. So, it is expected that their offsite revenue will increase from previous year and gross profit margin will increase by 115-120 bps (Basis Points) i.e. around 8% through business efficiencies by “Return on Digital Platform” internally developed by the company.


The net profit, operating profit & pre tax margin has been decrease due to discounts from two of our customers to the extent of $1.6M, increase in employee cost, decrease in other income and increased investment in research &development cost amount to Rs.95.95 lakhs to increase Return on Digital during the current year.

Whereas in case of peer company Infosys margin are high than Zensar due to its high revenue from services and low cost of purchase software equipment & licenses. Also, Peer Company doesn’t invest more in research & development.

The operating & pre tax margin may be slightly decreased in future due to hike in wages in July 2017 and increase in utilization level from around 83% to 85% as well as increase in attrition rate from 15% to 17%. Due to which the margin will may go down by around 150-200 bps.

Whereas also in case of net profit margin it may also decreased but slightly because of  decrease in operating margin and also because of company planning to invest in capex for bring company into fully digital till next year.


The return on assets  & operating return on assets of the company in respect of peer company & also in respect of previous year is decreased due  to company had spent close to Rs, 41 Crore towards capex majorly under operating lease and capital work has been increased due to spending more on improvement to leasehold premises and also due to acquisition of Foolproof & keystone logistic there is goodwill and due to which there is increase in intangible assets.


The return on total capital, return on equity & return on common equity has been decreased due to issue of equity share capital to employees under employee stock options & increase in finance lease obligations as well as increase in r&d cost & employee expenses.

In the future the return on equity and capital may further decrease because of Issue of further shares to employees under employee stock options that will be exercise in next year.



F.Y. 15-16 F.Y.16-17 F.Y. 15-16 F.Y.16-17
Tax Burden (Net Income/EBT)               (a) 70.12% 68.37% 73.76% 74.02%
Interest Burden (EBT/EBIT)                        (b) 111.55% 103.11% 117.18% 115.82%
EBIT Margin                      (c) 13% 11% 27% 27%
Asset Turnover                (d)         1.70 1.54 0.88 0.86
Financial Leverages       (e) 1.49 1.45 1.22 1.21
ROE = (a)*(b)*(c)*(d)*(e) 25% 17% 26% 24%

The return on equity has been decreased due to overall effect of tax & interest burden goes down , EBIT margin decreased , asset turnover & financial leverages also decreased due to major expenditure in R&D and Capex and also due to increase in equity due to issue of new equity shares to the emplouees under employees stock options.

Whereas, in case of [peer company it has high  ROE because of its high revenue, no interest cost as no debts is there and no major expenditure in capex & other cost.

By:- Pooja Jain

Common Size Report on – “Century Ply”

PARTICULARS 2015-2016 2016-2017
A.                ASSETS    
                    Non - Current Assets    
Property, Plant and Equipment 21.11% 19.19%
Capital work-in Progress 3.30% 3.44%
Investment Property 0.52% 0.38%
Goodwill on consolidation 0.02% 0.02%
Intangible Assets 0.16% 0.10%
Intangible Assets under development 0.01% 0.02%
Expenditure on New/ Expansion Projects 5.38% 15.42%
                    Financial Assets    
Investments 0.00% 0.00%
Loans and Advances 0.65% 0.65%
Other Financial Assets 0.02% 0.00%
Deferred Tax Assets 5.61% 4.35%
Other Non-Current Assets 2.69% 1.54%
                      Current Assets    
Inventories 25.31% 18.97%
                      Financial Assets    
Investments 0.01% 0.00%
Trade Receivables 24.19% 21.59%
Cash and Cash Equivalents 3.08% 4.19%
Bank Balances other than above 0.23% 0.05%
Loans and Advances 0.34% 0.25%
Other Financial Assets 1.43% 4.83%
Other current assets 5.93% 5.03%
TOTAL ASSETS 100.00% 100.00%
B                EQUITY AND LIABILITIES    
Equity Share Capital 1.89% 1.40%
Other Equity 43.11% 43.70%
Non-Controlling Interest 0.77% 0.76%
         Non-Controlling Liabilities    
Financial Liabilities    
Borrowings 5.44% 9.26%
Other Financial Liabilities 0.01% 0.01%
Other non-current liabilities 0.05% 0.03%
Deferred Tax Liabilities 0.06% 0.09%
         Current Liabilities    
Financial Liabilities    
Borrowings 30.24% 26.47%
Trade Payables    
Dues to micro and small enterprises 0.04% 0.09%
Dues to others 7.31% 8.81%
Other Financial Liabilities 7.42% 5.75%
Other Current Liabilities 2.89% 2.45%
Provisions 0.58% 0.73%
Current Tax Liabilities (Net) 0.20% 0.45%
  • The company’s asset part consists 60% of current assets which shows that it has greater composition of assets which are more liquid.
  • The company’s expenditure on new and expansion of the projects has increased from 5.38% in FY 2015-2016 to 15.42% in FY 2016-2017, mainly due to inception of new plants for MDF at Gujarat and Particle board at Chennai. However, the same was funded through a mix of retained earnings and long term borrowings.
  • The long term borrowings has shown a significant increase from last year which is around 4.5%. This due to the arrangement of funds for company’s long term expansion projects and establishment of new plants for MDF and Particle board.
  • Inventories and Trade receivables of the company has also decreased apparently from the last financial year, this shows higher encashability of debtors and inventories of the company. The same has resulted in decline of short term borrowings from 30.24% in FY2015-16 to 26.47%in FY2016-17.
  • The Equity and liabilities of the company has a major composition of Other Equities that is close to around 44%, which mainly includes reserves and retained profits. This shows that the company is performing outstanding in profitability and earnings aspects.
PARTICULARS 2015-2016 2016-2017
Revenue from operations 100.00% 100.00%
Less : COGS 53.53% 52.32%
Gross Profit 46.47% 47.68%
less : Selling and Distribution Expenses 29.88% 30.82%
EBITDA 16.59% 16.86%
less : Depreciation and amortisation 2.66% 2.99%
EBIT 13.92% 13.87%
less : interest 2.69% 1.52%
EBT 11.23% 12.35%
less : tax expense 1.71% 2.60%
EAT 9.53% 9.75%
Particulars 2015-16 2016-17 2015-16 2016-17
      % %
Revenue(Rs) 335.31cr 363.57cr 14.2% 8.45%
Volume(Units) 4260499 4925024 18.3% 15.6%
Realisation rate (Rs) 0.007cr/unit 0.007cr/unit -14.2% 0.00%
Revenue(Rs) 1173.51cr 1260.93cr 2.3% 7.4%
Volume(Units) 241915 251720 3.38% 4.05%
Realisation rate (Rs) 0.48cr/unit 0.50cr/unit -0.12% 4%
Revenue(Rs) 83.73cr 87.61cr 19.1% 4.6%
Volume(Units) 82057 80153 13.2% -2.3%
Realisation rate (Rs) RS. 10204 RS. 10930 5.3% 7.1%
Revenue(Rs) 54.29 41.17 30.6% -24.2%
Volume(Units) - - - -
Realisation rate (Rs) - - - -
Other Revenue - - - -
Total Revenue 1646.84cr 1753.28cr - 6.46%
  • The major share in the revenue is of the plywood industry with incremental revenues and realisation rate.
  • The interest on borrowing or finance cost has been decreased even though there is an increase in long term borrowings because the overall interest on borrowings has been decreased causing a certain decline in the interest expense.
  • The Gross profit of the company has also increased around 1% from the last accounting year and it is around 47% of the company’s sales. This shows that the company’s operational performance is adequately fine.
  • The current year tax expense has been increased and this year the deferred tax has also increased instead of last year’s set off in tax expense.
  • Though the interest expenditure of the company has reduced, however the benefit of the same could not be seen on the EAT due to increased tax expenses over the year.
    By:- Parth Maheshwari

Balaji Telefilms Ltd.

"Porter's Five Forces Report" The Indian Media and Entertainment (M&E) industry is a sunrise sector for the economy and is making high growth strides. Proving its resilience to the world, the Indian M&E industry is on the cusp of a strong phase of growth. The entertainment industry continues to be dominated by the television segment, with the segment accounting for 44.24 per cent of revenue share in 2016, which is expected to grow further to 48.18 per cent by 2021. Balajitelefilms limited is a leading content provider in the Indian entertainment industry and has been in business since 23 years.  It has its business diversified in television industry, motion pictures and digital media. The company occupies a dominant space in the television content creation space, with the No.1 show on Indian television to its credit and all of its shows among the Top 50 on television. Currently its producer of several leading serials on major channels like Star Plus, 9X, Sony TV, Zee TV and SUN TV network. Competitive Forces and Balaji Telefilms Ltd Threat of new entrants: Television content production is a capital intensive business and requires reasonably high capital investment. There are also many regulatory requirement related to the content produced.Balaji telefilms limited already has around 250+ hour of premium original and exclusive content.  Also, production and distribution of motion pictures too need high investment. Making the barriers to enter production and distribution channel very high. Threat of substitute: In the current scenario there is threat to television shows from the digital media, younger generation shifting to online series rather than television shows. Making the threat of substitute high, althoughBalaji telefilms limited has diversified in digital media and launched ALTbalaji, the subscription based entertainment platform with six new shows and planning to add new shows every month, in order to mitigate the threat. Bargaining power of buyers: Balaji Telefilms limited sells it content to different broadcasters namely star TV, ZEE and Viacom. Since it is able to command higher TRP, hence, bargaining higher margin from broadcasters compared to its peers. Although due to some tie ups with certain broadcaster it has to sell and air its content on prime slot to that specific broadcaster. Therefore, making the bargaining power of buyers moderate. Bargaining power of seller: The suppliers in this case are the actors. Balaji Telefilms, being the largest entertainment software provider, evinces a lot of interest from aspiring actors who are eager to work with it. Thus the bargaining power of the aspiring actors is very low. However, once these aspirants become household names their demands increase resulting in higher salary costs to the company. Hence, the bargaining power is moderate. Rivalry between existing players: The rivalry between production houses is high and they try to poach each other’s actors, creative personnel and technicians. Since, Balaji telefilms is at leader’s position it easily attracts new talent and retention of current buyers and suppliers is easy.  Further, they plan to earn the Intellectual Property (IP) rights of all the content that they create as to own it. By this making the rivalry forces low. By:- Sunaina Vaidya.

Eicher Motors Limited

    Eicher   Eicher Motors Limited CIN No.: L34102DL198PLC129877 Regd. Office: 3rd floor, Select Citywalk A-3, District Centre, Saket, New Delhi- 110017 Phone No.: +91-124-7102900 Email:   Name of the Company: Eicher Motors Limited Listed on BSE and NSE NSE Code: EICHERMOT BSE Code: 505200 Market Cap: INR 74,492.67 Cr. Revenue: INR 7939.45 Cr. Profit: INR 1664.65 Cr. Current Market Price on NSE: INR 27328.15 Current Market Price on BSE: INR 27350.10 Introduction Eicher Motors Limited(EML) is the flagship company of the Eicher group. EML is the leading player in the Indian Automotive space. It operates in 3 distinct business verticals- Motorcycles, Commercial Vehicles and Personal Utility Vehicles.EML owns the iconic Royal Enfieldmotorcycle business, which leads the premium motorcycle segment in India. The oldest motorcycle brand in continuousproduction world-wide, Royal Enfield has witnessed a huge surge in demand in the recent past and is charting its courseto be the leading player in the mid-sized motorcycle segment globally. EML's joint venture with the Volvo group, VE Commercial Vehicles Limited, designs, manufactures and markets reliable, fuel efficient trucks and buses; and is leadingthe path in driving modernization in commercial transportation in India and other developing markets. EML's 50:50 strategic jointventure with USA-based Polaris Industries Inc. formed in 2012, Eicher Polaris Private Limited launched the Multix, a new3-in-1 vehicle purpose built for the independent businessman in June, 2015.   Product Portfolio
  • A division of EML, Royal Enfield has created the mid-size motorcycle segment in India. Royal Enfield’s product line-up includes
  1. Bullet
  2. Classic
  • Thunderbird
  1. Continental GT
  2. Himalayan
  3. Interceptor
Further in 2012 Royal Enfield launched Royal Enfield Gears. In January 2018, Royal Enfield has setup its First Royal Enfield Garage Café in Goa. The Garage Cafe is a massive 120-seater cafe and also has a Royal Enfield motorcycle museum-and-exhibition area, an exclusive gear store, a motorcycle customization area and a service bay.    
  • VE Commercial Vehicles Ltd. JV of EML and Volvo group deals in complete range of commercial vehicles which include
  1. Eicher Light to Medium Duty Trucks (5-15 tonne)
  2. Eicher Heavy Duty Trucks (16 tonne +)
  • Volvo Trucks including Mining and Tunnel Trippers
  1. Eicher Buses
  2. Euro-6 compliant enginemanufactured in VE Powertrain, the first engine plant in India producing Euro-6 compliant engine.
  3. Strategic supplier of drive line components and aggregates to Escorts, Mahindra, Voltas, Royal Enfield etc.
  • In 2012 EML signed a strategic JV agreement with Polaris Industries Inc. to design, manufacture and sell full new range of personal vehicle. In 2013, the JV company Eicher Polaris Private Limited set-up its manufacturing facility in Jaipur, Rajasthan. Its first vehicle was launched in 2015 named “MULTIX” which was India’s first personal utility vehicle which can be used as people carrier, cargo carrier and power generator.
Infrastructure Facility
  • Royal Enfield
  • Royal Enfield has 3 manufacturing plants in Chennai having total capacity of 8,25,000 units in F.Y. 2017-18 which will be 9,00,000 units in F.Y. 2018-19.
  • It has 2 Technology centres in Chennai and UK.
  • Presently total dealers in India are 761. They are planning to increase No. of dealers to 825 by March 2018.
  • It has 35 exclusive stores overseas.
  • VECV
  • In Pithampur it has
  • Commercial Vehicle Manufacturing Plant having capacity of 84,000 trucks and buses, and scalable up to 1,00,000 trucks and buses
  • VE Powertrain Facility having current capacity of 50,000 engines, scalable up to 1,00,000 engines and it has already started supplying Euro-6 compliant engine to Europe over 3,000 per month.
  • Eicher Engineering Component has production facilities at Thane, Dewas and SEZ, Pithampur for components and aggregates for VECV, Escorts, Mahindra, Royal Enfield etc.
  • In Baggad, MP it has bus body plant.
  • of dealers are 299 including 15 Company Owned Company Operated (COCO) outlets.
  • It has 22 distributors, 161 Eicher Genuine Parts Shoppe and 2,283 multi-brand parts retailers
  • It has 224 GPS enabled Vans and 29 Container Set up Sites.
  • In 10 Months of F.Y. 2017-18 export of Commercial Vehicle is 6723 units.
  • Eicher Polaris Private Ltd
  • It has manufacturing facility at Jaipur having capacity of 60,000 units per annum and which can be expanded up to 1,20,000 units equipped with robotic weld lines and in-house paint system.
  • It has 97 domestic stores and it is focusing on nearby International markets such as Nepal, Bangladesh and Sri Lanka.
  Employee Details(As of December 2017)
Sr. No. Company Name No. of Employees
1 Eicher Motors Limited 2910 (excluding outsourced)
2 VE Commercial Vehicles Limited 4827 (permanent)
3 Eicher Polaris Private Limited 420+
    Director Details
Eicher Motors Limited VE Commercial Vehicles Limited Eicher Polaris Private Limited
Ø  S. Sandilya Non-executive Chairman Ø  HakanKarlsson Chairman Ø  Michael D. Dougherty Chairman
Ø  Siddhartha Lal Managing Director & CEO Ø  VinodAggarwal Managing Director & CEO Ø  PankajDubey CEO & Whole Time Director
Ø  MJ Subbaiah Independent Director Ø  Siddhartha Lal Eicher Nominated Director Ø  Siddhartha Lal Eicher Nominated Director
Ø  PrateekJalan Independent Director Ø  Jacques Michel Volvo Nominated Director Ø  Lalit Malik Eicher Nominated Director
Ø  ManviSinha Independent Director Ø  Philippe Divry Volvo Nominated Director Ø  B Govindarajan Eicher Nominated Director
  Ø  Raul Rai Eicher Nominated Director Ø  Michael Todd Speetzen Polaris Nominated Director
  Ø  PrateekJalan Independent Director  
  Ø  Lila Poonawalla Independent Director  
Group Structure List of Subsidiaries
Sr. No. Name of Subsidiary
1 VE Commercial Vehicles Ltd (VECV)
2 VECV Lanka (Private) Ltd
3 VECV South Africa (PTY) Ltd
4 Royal Enfield BrasilComercio de MotocicletasLtda
5 Royal Enfield North America Limited (RENA)
6 Royal Enfield Canada Limited
7 Eicher Group Foundation (Sec. 8 Company)
  Joint Venture
  • Eicher Polaris Private Limited
Recent Updates
  • Eicher launched first ever Skyline Pro Electric buses in collaboration with KPIT’s Revolvo Technology.
  • In January 2018, Royal Enfield has setup its First Royal Enfield Garage Café in Goa. The Garage Cafe is a massive 120-seater cafe and also has a Royal Enfield motorcycle museum-and-exhibition area, an exclusive gear store, a motorcycle customization area and a service bay.
  • In April, 2017, Royal Enfield had opened a direct distribution subsidiary in Brazil, as well as its first exclusive store in Sao Paulo.
  • Royal Enfield will be launching the twin-cylinder new motorcycles Interceptor 650 and Continental GT 650cc in India in the summer of 2018.
  • Royal Enfield, a division of Eicher Motors, has started commercial production from its new manufacturing facility at Vallam Vadagal near Chennai. This plant will be Royal Enfield’s third facility.
  • Eicher announced its new range of light and medium (LMD) trucks in Indian market to meet the rapid transportation demand of the e-commerce industry. The company introduced 5 new variants in the Pro 1000 andPro 3000 series.
  • VE Commercial Vehicle (VECV) holds 100% equity in Eicher Engineering Solutions Inc., USA (EESI). EESI holds 100% equity in Eicher Engineering Solutions (Shanghai) Co. Ltd. and Eicher Engineering Solutions (Beijing) Co. Ltd. On March 17, 2017, VECV has disinvested 100% holding in EESI for $1.85 million. Accordingly, EESI and its wholly owned subsidiaries of Shanghai and Beijing have ceased to be subsidiaries of VECV, and in turn, have also ceased to be subsidiaries of Eicher Motors Limited.
By:- Piyush Jain

SWOT Analysis Report – “HAVELLS INDIA LTD”

                      1200px-Havells_Logo.svg                              "SWOT Analysis Report"
CATEGORY Electrical equipment
SECTOR Energy power and electrical equipment
TAGLINE Deeper into homes
USP One of the most trusted brand of electrical goods providing best quality at affordable prices and frequently comes up with new innovations.
SEGMENT Cables, motors, switchgears, reactive power solutions, heavy duty fans, professional lighting.
TARGETED GROUPS Construction companies, dealers, distributors.
POSITIONING A quality power of powerful, innovative, affordable and energy efficient electrical goods.
STRENGTH ·         The company has a strong distribution network (it has 7575 no. of dealers and 1702 dealers are added to it this year). ·         The company has a good acquisition history, it has acquired some of the prestigious Indian brands like of Standard Electrics, Crabtree, Promptech, and a latest acquisition of Lloyd. ·         It has a strong brand image. ·         The company is awards by various authorities like Shri Rajpal Singh Shekhawat, honourable minister of industries.
WEAKNESS ·         Power dependent segments will be affected with less or no power supply. ·         Electric goods are majorly required in infrastructure for example government’s construction activities, any slowdown or delay in such activities will affect the company.
OPPORTUNITIES ·         Focus of government on electrification and commitment to improve infrastructure and housing, the use of electrical goods is assured. ·         Emerging middle class people towards better standard of living, the company can expect growth in future. ·         By having a wider base of distribution network, company can introduce its products to new geographical areas. ·         GST is likely to be implemented in 2017-18, with this the company hopes to leverage its brand positioning and distribution network.
THREATS ·         Segments like cables and switchgears are dependent on industrial and infrastructure capital expenditure, any delay would affect the segmental revenue growth. ·         With the view of potential growth in electrical equipment industry, the number of players under the industry has increased; the increase in competition is likely to put pressure on existing players. ·         Downfall in economy will affect its growth by being a cyclic company.
By:- Kratika Bhatt.

MRF Ltd (MDA Report)

        mrf-tyres-500x500                                   Madras Rubber Factory Ltd Reg Off: New No. 114, Greams Road, Chennai, Tamil Nadu, India  MANAGEMENT DISCUSSION AND ANALYSIS Economy and Industry Overview The year of 2016-17 started on a positive note with normal monsoon, relatively low inflation and a modest budgetary support to drive consumption growth. Expectation of higher Government spending on infrastructure also indirectly increased growth expectation. However demonetisation also impacted automobile industry and ultimately it was survived by trade and customers in smaller markets. Impact of demonetisation was however substantially recovered by the end January 2017. The Indian tyre industry grew by 3.6% and in value it is estimated to be Rs. 55,000 Cr. in 2016-17.Tyre industry is directly affected by automobile sector. It majorly comprises of Commercial Vehicle segment consisting of Heavy, Light, Small Commercial Vehicles (H/L/SVC). The next largest segment is Passenger Vehicle consisting of Car, Sports Utility Vehicle (SUV), Motorcycle and Scooters. Traditionally tyres are classified as Cross-ply (Bias) and Radial based on technology deployed in their manufacture. In India, the commercial tyre segment continues to be dominated by Cross-ply tyres due to road condition, loading capacity and higher cost of Radial tyre. Tyre industry consist of three distinct markets namely Replacement, Institutional/ Original Equipment Manufacturer (OEM) and Exports. By value, Replacement Market accounts for approximately 60%, Institutional / OEM and Exports making up to 22% and 18% respectively. Of the total tyres produced in India, top 11 tyre companies account for more than 90% of the volume. Tyre industry provides direct and indirect employment of more than million people, comprising of dealers re-traders and truck operators. This business, has historically transacted in cash and will face more difficulties as moving in modern methods for payments via NEFT, cheque etc. to reduce cash transaction. The Indian Automotive sector registered a reasonable growth of 10.6% in sales in passenger Vehicle Industry. It is considered as positive sign even after various adverse factors such as Demonetisation, ban on diesel car in NCR and changeover in emission norms. There was huge demand noticed in Utility vehicles that resulted significant growth in passenger car segment. Apart from domestic sales, export sales also shown an increase of 16.2%. The company has now entered its fourth decade of leadership in Indian tyre Industry and is also Fourteenth largest manufacturer worldwide. In past year there were various economic factor, favourable and unfavourable and made the year rather unpredictable. There were various unexpected economic reforms, changes in political environment, uncertain global market including events such as BREXIT. Growth of Indian tyre industry was also at moderate pace due to Impact of demonetisation and subdue realisations. Besides of these, Indian economy continued to be beacon of high growth among global market. Opportunities and Threats There was a positive impact on domestic industry on Heavy Commercial Vehicle (HCV)/ Medium Commercial Vehicle (MCV) segment which was due to non-availability of cheap Chinese tyres into country. In the medium to long term duration, with the US International Trade Commission’s favourable ruling in the case of Chinese Tyre imports into the US, it is expected that Chinese exports to the US will revive and this will somewhat bring down the imports of cheap tyres into India. With increase in Global Natural Rubber prices, it can be said that prices of domestic tyre will be less than that of imported tyre. Apart from international decisions, HCV and MCV production boosted because of transition enforced by the Supreme Court Judgment on BS-III and BS-IV transition. However the same judgment will have positive impact on replacement segment later in the year. Key Drivers Natural rubber is primary raw material for tyre industry. It is totally dependent on environment factors rather than entirely importing from foreign countries. With normal monsoon during the previous year, risk of non-availability of natural rubber was however mitigated to some extent. Segment wise and Product wise Performance During the financial year 2016-17 Company’s turnover of Rs. 14,743 Cr. as against Rs. 22,162 Cr. for the previous 18 months period ended 31st March 2016. Across the board there was an overall increase in all segments adding up to a 10% increase in total tyre production. The same is analysed below:
Particular Increase over previous year
Heavy Commercial Vehicle 3%
Light Commercial Vehicle 11%
Passenger & Sports Utility Vehicle 5%
Motorcycle 12%
Scooter 22%
Farm Segment 5%
Outlook The outlook for the domestic tyre industry looks stable in the short to medium term due to favourable demand in both domestic and export markets. The issue of raw material cost escalation especially of natural rubber is there which will ultimately reduce the operational margins for a while in near future. Recently a report shown lack of availability of natural rubber and forcing company to import the same, it will cost to company Rs. 27 extra as compare to domestic price. However with good monsoon and investments in infrastructure segment will result increasing growth in GDP and will have positive benefits for tyre industry. The positive indication shown by the infrastructure and rural sectors in recent months will definitely have impact on tyre industry, both in Original Equipment and Replacement markets. On account to increase overall revenue to achieve target of around Rs. 20,0000-Rs. 22,000 Cr by 2020-21, company plans to invest Rs. 800-1,000 Cr. every year on its existing products in relation to Automation and Research & Development, and Brown Field Areas of Gujarat. Also commitment is already made to invest Rs. 4000 Cr in Gujarat for the same purpose. By:- Vishal Patel

Let’s know about DOMINOS.


Jubilant FoodWorks Ltd. Plot No. 1A, sector-16A, Noida- 201301 U.P., India

Name of the Company Jubilant FoodWorks Limited Corporate Identification Number L74899UP1995PLC043677 Date of Registration 16th March 1995 NSE Code JUBLFOOOD BSE Code 533155 ISIN Number INE797F01012 Website Email Contact Number 0120 4090500 Contact Person Mona Aggarwal (CS & Compliance Officer) Current market price 1790.20 INR Introduction:- Jubilant foodWorks limited (company) is a Jubilant Bhartia Group Company. The company was incorporated in 1995 and initiated operations in 1996. The company got listed in February 2010. The Promoters are Mr. Shyam S. Bhatia, Mr. Hari S. Bhatia, Jubilant energy private limited, Jubilant consumer private limited (formerly jubilant fresh Pvt. Ltd.) The company and its subsidiaries operate dominos pizza brand with exclusive rights for India, Nepal, Bangladesh & Sri Lanka. At present it operates in India and Sri Lanka. The company is having 1126 dominos pizza restaurants across 264 cities (as on F.Y. 2016-2017). The company has opened dominos restaurant in 29 new cities in 2017. The company has one wholly-owned foreign subsidiary Jubilant Foodworks Lanka (Pvt.) Ltd. Which operates Domino`s Pizza business in Sri Lanka and having 23 restaurants. History:- The first domino`s pizza in India opened in new Delhi in 1996. India was the third largest market in 2013, behind US & UK. In 2014, India became Domino`s second largest market. Domino`s began accepting online orders in 2011, and online orders accounted for approximately 18-20% of total sales as of December 2013. Product & segment:- The company has the franchisee for two international brands under its roof. Domino`s pizza and Dunkin Donuts. The company launched Dunkin Donuts in India in 2012 in Delhi and has 50 Dunkin donut restaurants. Dunkin` Donuts is a subsidiary of Dunkin` Brands and is the world`s leading baked goods and coffee chain, selling more than 1 billion cups of coffee a year and more than 3 million customers per day. The company has opened Dunkin donuts restaurant in 13 new cities in 2017. Company has two distinct non competing segment one is home delivery of pizza`s market and all day part food & beverage market. Recent updates:- The company was headed by Ajay Kaul since 2005. Pratik Pota became the CEO from April 2017. The company has created a new digital team to spearhead the technology and appointed Anand Thakur as Chief Digital Officer (CDO).   By:- Surya Samdani