a study on financial analysis of top five e- commerce ...

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“A STUDY ON FINANCIAL ANALYSIS OF TOP FIVE E-COMMERCE COMPANIES IN INDIA”

Project Report submitted to

CHRIST COLLEGE (AUTONOMOUS), IRINJALAKUDA

In partial fulfilment of the requirement for the award of the degree of

BACHELOR OF COMMERCE

Submitted by

ATHITH HARIDAS

(CCASBCM088)

Under the supervision of

Prof. P.G. THOMAS

DEPARTMENT OF COMMERCE


MARCH 2021

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CALICUT UNIVERSITY

DEPARTMENT OF COMMERCE

CERTIFICATE

This is to verify that the project report entitled “A STUDY ON

FINANACIAL

ANALYSIS OF TOP 5 E-COMMERCE COMPANIES IN INDIA” is a bonafide record of project done by Athith Haridas, Reg. No. CCASBCM088,

under my guidance and supervision in partial fulfilment of the requirement for

the award of the degree of BACHELOR OF COMMERCE and it has not

previously formed the basis for any Degree, Diploma and Associateship or

Fellowship.

Prof. Joseph Prof. P. G. Thomas Co-Ordinator Project guide

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DECLARATION

I, Athith Haridas, hereby declare that the project work entitled “A STUDY

ON FINANCIAL ANALYSIS OF TOP 5 E-COMMERCE COMPANIES

IN INDIA” is a record of independent and bonafide project work carried out

by me under the supervision and guidance of Prof. P.G. Thomas, Asst.

Professor-On contract, Department of Commerce and Management Studies,

Christ College, Irinjalakuda.

The information and data given in the report is authentic to the best of my

knowledge. The report has not been previously submitted for the award of any

Degree, Diploma, Associateship or other similar title of any other university or

institute.

Place: Irinjalakuda Athith Haridas

Date: CCASBCM088

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ACKNOWLEDGEMENT

I would like to take the opportunity to express my preferred thanks and

gratitude to all people who have helped me with sound advice and able

guidance. Above all, I express my eternal gratitude to the Lord Almighty under

whose divine guidance; I have been able to complete this work successfully.

I would like to express my sincere obligation to Fr. Dr. Jolly Andrews,

Principal, Christ College, Irinjalakuda for providing various facilities.

I am thankful to Prof. Joseph, Co-ordinator of the Department, for providing

proper help and encouragement in the preparation of this report.

I am thankful to my class teacher, Prof. Lipin Raj, and Asst. Professor-On

contract, Prof. Thomas for providing proper help and encouragement in the

preparation of this report. I express my sincere gratitude to Prof Thomas, Asst.

Professor-On contract, whose guidance and support throughout the training

period helped me to complete this work successfully.

I would like to express my preferred gratitude to all the faculties of the

department for their interest and cooperation in this regard. I extend my hearty

gratitude to the librarian and other library staffs of my college for their

wholehearted cooperation. I express my sincere thanks to my friends and

family for their support in completing this report successfully.

Place: Irinjalakuda Athith Haridas

Date: CCASBCM088

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Table of Contents

SL No.

Contents

Page No.

List of tables

Chapter 1 Introduction

Chapter 2 Review of Literature

Chapter 3 Industry profile

Chapter 4 Data analysis

Chapter 5 Findings, suggestions and

conclusions

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Chapter-1 Introduction

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1.1. Introduction Although the internet appeared in the late 1960s, e-commerce took off with the

arrival of the World Wide Web and browsers in the early 1990s.This

emergence of e-commerce has brought tremendous changes in how companies

compete in today’s new economy. Though all the companies fall in the stride of

ecommerce, small and Medium size enterprises can now overcome basic

limitations which are in terms of size, machinery, human resources etc.

There is an urgent need to resort to e-commerce utilisation as it can provide

substantial benefits to the enterprises via improved efficiencies and raised

revenues. E-commerce has transformed the way business is done in India. The

Indian E-commerce market is expected to grow to US $200 billion by 2026

from US $38.5 billion as of 2017.

Much of the growth for the industry has been triggered by an increase in

internet and smartphone penetration. Since 2014, the Government of India has

announced various initiatives, namely Digital India, Make in India, Start-up

India, Skill India and Innovation Fund. E-commerce is defined as the activity

of buying and selling of goods and services on online services or over the

internet.

Transaction of money, funds, and data are also considered as E-commerce.

These business transactions can be done in four ways: Business to Business

(B2B), Business to Customer (B2C), Customer to Customer (C2C), Customer

to Business (C2B). The Ministry of Telecommunication has been promoting

the data communication through the establishment of Software Technology

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Parks of India (Shridhar, 2006), Science Parks and Technology Incubators have

been developed (by the Department of Science and Technology) to promote

this innovation.

The power of e-commerce should not be underestimated as it continues to

pervade everyday life and present significant opportunities for small, medium,

and large businesses and online investors. You don’t need to look far to see the

potential of e-commerce businesses.

Managing an online storefront is far cheaper than an offline, brick and mortar

store. Typically less staff are required to manage an online shop as web-based

management systems enable owners to automate inventory management and

warehousing is not necessarily required (as we discuss later). As such,

ecommerce business owners can afford to pass operational cost savings on to

consumers (in the form of product or service discounts) whilst protecting their

overall margin. Furthermore, with the rise of price comparison websites,

consumers have more transparency with regard to prices and are able to shop

around, typically purchasing from online outlets instead.

Unlike many offline stores, consumers can access e-commerce websites 24

hours a day. Customers can read about services, browse products and place

orders whenever they wish. In that sense, online shopping is extremely

convenient and gives the consumer more control. Furthermore, those living in

more remote areas are able to order from their home at a touch of a button,

saving them time travelling to a shopping centre. For the past twenty years, the

growth of online shopping has to a large extent been based around increased

choice. With an almost endless choice of brands and products to choose from,

consumers are not limited by the availability of specific products in their local

town, city or country. Items can be sourced and shipped globally. Naturally

ecommerce has significant benefits for the consumer, but it has also been useful

for businesses too.

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1.2 Statement of problem

The e-commerce faces many problems such as threats from hackers, software

advancements, transaction and virus risks. Also in the current Indian

ecommerce, they lack in skilled personnel. At the same time customers also

faces problems like late deliveries, difficult access to customer care and fear to

fraudulent activities. This is from my mere judgement, therefore this story can

be helpful and relevant.

1.3 Scope and Significance

The study intended to understand the financial and profitability position of the

top 5 performing ecommerce companies which helps to examine sources and

users of fund. It helps to understand about the liquidity position of the firm and

efficiency in its assets management and the strength and weakness of liquidity,

solvency and profitability. It also provides various other useful information.

1.4 Objectives of the study

1.4.1 Main objective

1. To study the financial performance of the e-commerce companies.

2. To compare the performance of 5 e-commerce companies with one

another.

1.4.2 Sub objective

1. To know the value and importance of the e-commerce companies in

today’s world.

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1.5 Hypothesis of the study

1. E-commerce helps to create a better business environment to the

businesses.

2. The customers prefer to shop online than the traditional shopping

because there is no effort and wide variety of choices.

1.6 Research design

1.6.1 Nature of study: The study is analytical and descriptive in nature.

1.6.2 Nature of data: Secondary data is used. Secondary data uses

financial variables and accounting information.

1.6.3 Sources of data: This study used secondary data. The secondary data

is acquired from annual reports and from various company’s website.

1.6.4 Period of study: 2019-2020

1.7 Tools of analysis: the tools used for analysis is ratio analysis

1.8 Limitations of the study

1. It is not possible to show the lifetime of performance of the companies

since the study conducted is of one year.

2. The limitations of financial statements may affect the study.

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1.9 Chapterisation

• Chapter 1: Introduction

• Chapter 2: Review of literature

• Chapter 3: Industry Profile

• Chapter 4: Data analysis

• Chapter 5: Findings, suggestions and conclusion

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Chapter 2 Review of Literature

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Review of literature

A literature review is a description of the literature relevant to a particular field

or topic. It gives an overview of what has been said, who the key writers are,

what are the prevailing theories and hypotheses, what questions are being

asked, and what methods and methodologies are appropriate and useful.

A literature review is not just a summary of everything you have read on the

topic. It is a critical analysis of the existing research relevant to your topic, and

you should show how the literature relates to your topic and identify any gaps

in the area of research.

2.1 Conceptual Review Meaning Financial analysis is the process of evaluating a company's financial statements

for determining the performance and the decision-making purposes. External

stakeholders use it to understand the overall health of an organization as well as

to evaluate financial performance and business value. Internal constituents use it

as a monitoring tool for managing the finances.

Objectives of Financial Analysis:

1. Reviewing the performance of a company over the past periods

To predict the future prospects of the company, past performance is analysed.

Past performance is analysed by reviewing the trend of past sales, profitability,

cash flows, return on investment, debt-equity structure, operating expenses, etc.

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2. Assessing the current position & operational efficiency

Examining the current profitability & operational efficiency of the enterprise so

that the financial health of the company can be determined. For long-term

decision making, assets & liabilities of the company are reviewed. Analysis helps

in finding out the earning capacity & operating performance of the company.

3. Predicting growth & profitability prospects

The top management is concerned with future prospects of the company.

Financial analysis helps them in reviewing the investment alternatives for

judging the earning potential of the enterprise. With the help of financial

statement analysis, assessment and prediction of the bankruptcy and probability

of business failure can be done.

4. Loan Decision by Financial Institutions and Banks

Financial analysis helps the financial institutions, loan agencies & banks to

decide whether a loan can be given to the company or not. It helps them in

determining the credit risk, deciding the terms and conditions of a loan if

sanctioned, interest rate, maturity date etc.

Limitations of financial analysis:

1. Not a Substitute of Judgement

An analysis of financial statement cannot take place of sound judgement. It is

only a means to reach conclusions. Ultimately, the judgements are taken by an

interested party or analyst on his/ her intelligence and skill.

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2.Based on Past Data

Only past data of accounting information is included in the financial statements,

which are analysed. The future cannot be just like past. Hence, the analysis of

financial statements cannot provide a basis for future estimation, forecasting,

budgeting and planning.

3.Problem in Comparability

The size of business concern is varying according to the volume of transactions.

Hence, the figures of different financial statements lose the characteristic of

comparability.

4.Reliability of Figures

Sometimes, the contents of the financial statements are manipulated by window

dressing. If so, the analysis of financial statements results will be misleading or

meaningless.

Advantages of financial analysis:

1.Review of cash flow

It shows the financial solvency and the ability of the company to pay liabilities

to pay its liabilities. The statement of cash flow statement breaks the statement

into operating, investing, and financial parts. A review of cash flow helps us

understand whether the business is operating under a cyclical revenue stream

structure or consistent revenue model. This also helps the business to maintain

and keep the expenditure of business inline within the revenue model it operates

in.

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2.Review of liability

Financial statements presents the short and long-term obligations of the business.

If the owner wants to expand his business, he must look at the statements of

financial position and deduce the logic as to whether he should reduce existing

liabilities to apply for further capital expansion. Lenders look at the financial

statements and determine the prospect of business on the basis of revenues,

assets, and liabilities.

3.Review of inventory and its movement

The levels of opening and closing stock as a percentage of purchase and sales

along with the changes and movements in the levels of stock throughout the year

shows the ability and nature of goods of the business. It shows whether the goods

are in demand, fast-moving or slow-moving or change in the trend of sales and

so on. When the goods are slow-moving as compared to industry, it is considered

as a negative for the business prospect and growth.

4.Identification of trends

The business owner should prepare and compare financial statements over

various periods so as to identify the trend in business. This helps the business in

knowing what products are selling well, what segments are growing well, and

which segment of business needs further review and re-investment or complete

exit at once. Trends are the gospel in the performance of the business. Identifying

trends is, therefore, a necessity for the business to sustain the growth and achieve

higher profits.

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2.2 Empirical literature:

Shaheena Sultana, 2017: This paper contains a brief discussion of search engine

marketing and e-commerce companies, literature survey, current and future

prospect, comparative study of e-commerce in India perspective on online

shopping. The buzzword e-Commerce is spreading widely in the present world

by its simple applications. The basic objective of this review paper is actually

exploring the difference between the traditional & online shopping and the

effectiveness of e- Commerce in India. From the research, we can come to a

conclusion that convenience and time are the main attributes for making the

decision to shop online rather than traditional shopping in India and we also

found out that young consumers are more comfortable and satisfied to make

online purchases.

S. Subashini, 2016: The purpose of the study is to identify and examine the

drivers of e-commerce business. Perceived value, attitude, customer satisfaction

and loyalty are studied as the drivers of e-commerce business in this research

article. Methods/Statistical Analysis: A deductive approach is used in this

research, which attempts to understand the theory first and the data collected is

tested. A questionnaire form of survey is chosen for the study. The attitude

formed through this value enhances online buying behaviour. The research

projects a positive attitude towards the buying behaviour. This article brings out

the importance of perceived value, attitude, customer satisfaction and customer

loyalty in the e-commerce business sector. There is a significant positive effect

of online customer satisfaction on customer loyalty. The e-commerce businesses,

in order to succeed, must have greater focus on the perceived value and customer

satisfaction. This paper contributes to the enhancement of online customer

relationship pertaining to e-commerce.

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Dr. Anukrati Sharma ,2013:The article entitled “A study on E-commerce and

Online Shopping: Issues and Influences”. In this article an attempt is made to

study the recent trends, influences, preferences of customers towards

Ecommerce and online shopping and to give the suggestions for the

improvement in online shopping websites. The study found that, most of the

people who are engaged in making the decision of purchasing are in the age of

21-30 years. While making the websites for online shopping it must be designed

in a very planned and strategic way.

Abhijit Mitra ,2013:The article entitled “E-Commerce in India-A review”. In

this article an attempt is made to study the present status and facilitators of

ECommerce in India, analyse the present trends of E-Commerce in India and

examine the barriers of E-Commerce in India. The study found that, there has

been a rise in the number of companies taking up E-Commerce in the recent past.

The study also found that, major Indian portal sites have also shifted towards

ECommerce instead of depending on advertising revenue.

Nisha Chanana and Sangeeta Goele, 2012: The article entitled “Future of

Ecommerce in India”. In this article an attempt is made to study the overview of

the future of E-commerce in India and discusses the future growth segments in

India’s of E-commerce. The study found that, various factors that were essential

for future growth of Indian E-commerce. The study also found that, the overall

E-commerce will increase exponentially in coming years in the emerging market

of India.

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Sarbapriya Ray 2011:The article entitled “Emerging Trends of E-commerce in

India: Some Crucial Issues Prospects and Challenges”. In this article an attempt

is made to present a snapshot of the evolution of E-commerce business indicating

the chronological order, category of E-commerce business, description of

organizations involved in E-business in India. The study found that, the role of

government should be to provide a legal framework for E-commerce so that

while domestic and international trade are allowed to expand their horizons,

basic rights such as privacy, intellectual property, prevention of fraud, consumer

protection etc are all taken care-of.

Aditi Srivatsan, 2001:The world has witnessed a rather colossal change and

shift in the information technology which has introduced the concept of

marketing that operates in the absence of any physical contact between the buyer

and the seller. The entire transaction is carried out online, with the help of a

computer coupled with associated hardware and software facilities. The internet

has been a reliable and useful medium for any sort of interaction, and has hence

percolated into the core functioning of tasks. Transacting or facilitating business

on the internet is referred to as e-commerce (Electronic communication). The

concept of buying and selling online is said to be the crux idea of e-commerce.

The primary benefits of this mode of exchange revolve around the fact that it

eliminates limitations of time and geographical distance. In the process,

ecommerce usually streamlines operations at lowers costs. E-commerce as a

mode of transacting isn‘t confined to the four walls of an edifice, but is contained

within webbed accounts and transactions. This paper aims to discuss the various

aspects and features of e-commerce by focusing our attention on the eight major

e-commerce companies currently operating in India.

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Rajendra Sarode, 2003: The paper entitled attempts to study the business

options available in the future with a paradigm shift in the ecommerce industry

keeping in mind the tremendous growth in the sector. The study shows the

current status as well as the future growth. It also examines the major challenges

and barriers faced. The study shows India’s overall retail opportunities and some

serious challenges faced by the same.

Dr Rajeshwari Shettar,2004:Attempted to study and analyse the completely

revolutionized mode of business and the various factors responsible for the

growth of ecommerce in India. It also talks about the advantages and

opportunities of ecommerce and its effects on various retailers, people, producers

and wholesalers. The study found that, producers can directly sell goods to a few

retailers and customers, threatening the existence of wholesaler and retailers.

Pandey.M, 2003: E-commerce firms either sell physical products or

information-based products or services. Consistent with the theory, the findings

of this study confirm that the information goods/service-based business model

has a better or higher valuation (price-to-sales ratio or PSR) compared to physical

goods-based model. However, the valuation gap between both types of business

models reduced over years and became insignificant in the year 2001, which is

the year after the dot-com meltdown. Further, we do not have any evidence of a

difference in their strategy of spending on sales and marketing activities. The

results of the study do confirm that young E-commerce (irrespective of the

business model) start-ups tend to spend a larger percentage of their capital on

marketing and advertising activities than the relatively older firms. This is

consistent with their strategy of building brands on the Internet so as to capture

the first-mover advantage, which is critical for the Internet technology-based E-

commerce companies. We find a negative relationship between marketing

expense-to-revenue ratio and profit margin. The study does not reveal a

significantly strong relationship of price-to-sales ratio with size, or marketing-

to-revenue ratio, or profit margin. It appears that PSR is driven by non-financial

considerations.

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Chapter 3 Industry profile

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3.1 E-Commerce Companies in India The online business industry is well established in India. And, everyday some

or the other new player is taking a plunge. Though, a major contribution to its

growth is provided by e-commerce industry. Even so, not many understand the

intricacies involved in e-commerce industry. Some e-commerce portals provide

almost all categories of goods and services under one roof, targeting customers

of every possible products and services. Indian e-commerce portals provide

products like apparel and accessories for men and women, health and beauty

products, books and magazines, computers and peripherals, vehicles,

collectibles, software, consumer electronics, household appliances, jewellery,

audio/video entertainment goods, gift articles, real estate and services, business

and opportunities, employment, travel tickets, matrimony etc.

The gradual increase in literate population and the internet penetration driven

by some of the cheap and most basic cell phones providing access to internet is

helping this substantial growth. The telecommunication technology has

completely changed the way of our living, communication methods, shopping

etc. It has a huge impact on how we communicate with friends and relatives

how we travel, how we access the information and the way we buy or sell

products and services. The growth of E-commerce volumes in India is also

attracting the attention of players around the globe. More importantly,

ecommerce creates more opportunities for business and also opens up

opportunities for education and academics, which seems to have tremendous

potential in the future of e-commerce in India.

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Market Size Propelled by rising smartphone penetration, launch of 4G network and

increasing consumer wealth, the Indian E-commerce market is expected to

grow to US $200 billion by 2026 from US $38.5 billion in 2017. Online retail

sales in India is expected to grow 31% to touch US$ 32.70 billion in 2018, led

by Flipkart, Amazon India and Paytm Mall. Smartphone shipments in India

increased by~8% y-o-y to reach 50.0 million units in the first quarter of 2020,

driven by positive shipments of all smartphone vendors in the market. Samsung

led the Indian smartphone market with 24% shipping share, followed by

Xiaomi at 23%.During these covid days, however ,we can see a great hike in

the ecommerce sector in India.

Investments

1.In November 2020, Amazon India announced collaboration with Hindustan

Petroleum Corporation Limited. Under this partnership, customers will be able

to book and pay for their LPG cylinders until the delivery.

2.In November 2020, Reliance Retail Ventures Ltd. (RRVL), a subsidiary of

Reliance Industries (RIL), acquired a minority stake of Urban Ladder Home

Decor Solutions Pvt. Ltd. for Rs. 182.12 crore (US$ 24.67 million).

3.In November 2020, Flipkart acquired Scapic, an Augmented Reality (AR)

firm, to boost user experience.

4.In November 2020, Amazon India has opened 'Made in India' toy store, in

line with the government's “Atmanirbhar Bharat” vision. The store will allow

thousands of manufacturers and vendors to sell toys driven by the Indian

culture, folk tales and toys that promote creative thinking and are locally

crafted & manufactured.

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5.In October 2020, Amazon India collaborated with the Indian Railway

Catering and Tourism Corporation (IRCTC) to enable users to book and

reserve train tickets on Amazon.

6.In October 2020, Flipkart acquired a 140-acre land at Rs. 432 crore (US$

58.87 million) to establish their largest fulfilling centre in Asia, in Manesar,

Gurgaon, in a bid to scale their fulfilment infrastructure to cater to increased

demand post COVID-19.

7.In October 2020, Amazon India invested over Rs. 700 crore (US$ 95.40

million) into its payment unit, Amazon Pay.

Government Initiatives

Since 2014, the Government of India has announced various initiatives, namely

Digital India, Make in India, Start-up India, Skill India and Innovation Fund.

The timely and effective implementation of such programs will likely support

growth of E-commerce in the country. Some of the major initiatives taken by

the Government to promote E-commerce in India are as follows:

1.Government e-Marketplace (GeM) signed a Memorandum of Understanding

(MoU) with Union Bank of India to facilitate a cashless, paperless and

transparent payment system for an array of services in October 2019.

2.Under the Digital India movement, Government launched various initiatives

like Umang, Start-up India Portal, Bharat Interface for Money (BHIM) etc. to

boost digitisation.

3.In October 2020, Minister of Commerce and Industry, Mr. Piyush Goyal

invited start-ups to register at public procurement portal, GeM, and offer goods

and services to government organisations and PSUs.

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4.In October 2020, amending the equalisation levy rules of 2016, the

government mandated foreign companies operating e-commerce platforms in

India to have permanent account numbers (PAN). It imposed a 2% tax in the

FY21 budget on the sale of goods or delivery of services through a non-resident

ecommerce operator.

5.In order to increase the participation of foreign players in E-commerce,

Indian Government hiked the limit of FDI in E-commerce marketplace model

to up to 100% (in B2B models).

6.Heavy investment made by the Government in rolling out fibre network for

5G will help boost E-commerce in India.

3.2 Company Profile

1.Myntra

Myntra is a one stop shop for all your fashion and lifestyle needs. Being India's

largest e-commerce store for fashion and lifestyle products. Myntra aims at

providing a hassle free and enjoyable shopping experience to shoppers across

the country with the widest range of brands and products on its portal. The

brand is making a conscious effort to bring the power of fashion to shoppers

with an array of the latest and trendiest products available in the country.

History

Myntra is an Indian fashion e-commerce company headquartered in Bengaluru,

Karnataka, India. The company was founded in 2007 to sell personalized gift

items. Established by Mukesh Bansal along with Ashutosh Lawania and Vineet

Saxena; Myntra sold on-demand personalized gift items. It mainly operated on

the B2B (business-to-business) model during its initial years. Between 2007

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and 2010, the site allowed customers to personalize products such as T-shirts,

mugs, mouse pads, and others.

In 2011, Myntra began selling fashion and lifestyle products and moved away

from personalisation. By 2012 Myntra offered products from 350 Indian and

International brands. The website launched the brands Fastrack Watches and

Being Human.

In 2014 Myntra was acquired by Flipkart in a deal valued at ₹2,000 crore

(US$280 million). The purchase was influenced by two large common

shareholders Tiger Global and Accel Partners. Myntra functions and operates

independently. Myntra continues to operate as a standalone brand under

Flipkart ownership, focusing primarily on "fashion-conscious" consumers.

In 2014, Myntra's portfolio included about 1,50,000 products of over 1000

brands, with a distribution area of around 9000 pin codes in India. In 2015,

Ananth Narayanan became the Chief Executive Officer of Myntra.

On 10 May 2015, Myntra announced that it would shut down its website, and

serve customers exclusively through its mobile app beginning 15 May. The

service had already discontinued its mobile website in favour of the app.

Myntra justified its decision by stating that 95% of traffic on its website came

via mobile devices, and that 70% of its purchases were performed on

smartphones. The move received mixed reception, and resulted in a 10%

decline in sales. In February 2016, acknowledging the failure of the "app-only"

model, Myntra announced that it would revive its website.

In September 2017, Myntra negotiated the rights to manage Esprit Holdings 15

offline stores in India. Myntra reported a net loss of ₹151.20 crore in the

financial year 2017-18.

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In January 2021, Myntra changed its logo, after a police complaint was

registered that the logo resembles a naked woman. The complaint was filed by

a woman named Naaz Patel, who runs an NGO called Avesta Foundation.

Myntra now has 17 fashion brands under its aegis that includes Roadster, HRX,

Dress berry, Mast & Harbour, All about you, Moda Rapido and Anouk. The

company had recently partnered with Bollywood actor Saif Ali Khan to launch

'House of Pataudi' brand.

Acquisitions and investments

In October 2007, Myntra received its initial funding from Erasmic Venture

Fund (now known as Accel Partners), Sasha Mirchandani from Mumbai Angels

and a few other investors. In November 2008, Myntra raised almost $5 million

from NEA-IndoUS Ventures, IDG Ventures and Accel Partners. Myntra raised

$14 million in a Series B round of funding. This round of investment was led

by Tiger Global, a private equity firm; the existing investors IDG Ventures and

Indo-US Venture Partners also put in substantial amount towards funding

Myntra. Towards the end of 2011, Myntra.com raised $20 million in its third

round of funding, again led by Tiger Global. In February 2014, Myntra raised

additional $50 Million (Rs.310 crore) funding from Premji Invest and few other

Private Investors.

1.In April 2015, Myntra acquired Bengaluru-based mobile app development

platform company Native5, with a view to strengthen and expand Myntra’s

mobile technology team.

2.In July 2016, Myntra acquired mobile-based content aggregation platform

Cubeit, to strengthen and expand its technology team.

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3.In July, 2016 Myntra acquired their rival Jabong.com to become India’s

largest fashion platform. In October 2017, Myntra partnered with Ministry of

Textiles to promote handloom industry.

4.In April 2017, the company acquired In Logg, a city-based technology

platform for the e-commerce sector.

5.In April 2018, Myntra bought Bengaluru-based start-up Witwork’s, a maker

of wearable devices to strengthen its technology team.

Awards

1.Awarded 'Fashion eRetailer of the Year 2013' by Franchise India – Indian

eRetail Awards.

2.Awarded 'Best E-commerce Website for 2012' by IAMAI – India Digital

Awards.

3.Awarded 'Images Most Admired Retailer of the Year: Non–Store Retail' for

2012 by Images Group.

4.Awarded 'Best E-commerce Partner of the year 2011-2012' by Puma India.

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2.IndiaMART

IndiaMART InterMESH Ltd. is an Indian e-commerce company that provides

B2C, B2B and customer to customer sales services via its web portal. The

group began in 1996 when Dinesh Agarwal and Brijesh Agrawal founded the

website IndiaMART.com, a business-to-business portal to connect Indian

manufacturers with buyers. The company is headquartered in Noida, Uttar

Pradesh, India.

IndiaMART had an aggregate of 32.5 crore (325.8 million), 55.2 crore (552.6

million) and 72.3 crore (723.5 million) visits in fiscals 2017, 2018 and 2019,

respectively, of which 20.4 crore (204.8 million), 39.6 crore (396.9 million)

and 55 crore (550.3 million) were mobile traffic, which is 63%, 72% and 76%

of total traffic, respectively Currently the IndiaMART app has more than 1

crore (10 million) downloads with a 4.7 App rating on Android

IndiaMart’s revenue registered a 29% CAGR over FY 2014-19 to ₹507 crore

while it reported a net profit of ₹20 crore in FY19, according to a note from

Angel Broking. It has zero debt and sizeable cash balance. As of March 31,

2019, the company had 8.27 crore (82.70 million) registered buyers and had

55.5 lakh (5.55 million) supplier storefronts in India and expect to maintain a

compounded annual growth rate (CAGR) of 29 per cent for the next two years .

In 2016 and 2019, IndiaMART invested in ProcMart and Vyapar.

IndiaMART was the first company to test the IPO market in the Modi

Government’s Second tenure.

30

History

The cousins, Dinesh Agarwal and Brijesh Agrawal [14] launched IndiaMART

as a directory of the websites for customers in the Delhi-NCR region. At that

time India had only 15,000 internet users. By 1999, the directory had more than

1000 listings.

After overcoming the dot-com bust, in 2008-2009, when the recession hit US,

the company decided to pivot the focus from export oriented business to

Indiafocused B2B market and raised $10 million from Intel Capital.

In November 2014, IndiaMART started promotional campaigns featuring

Indian film actor Irrfan Khan as its brand ambassador.

Over the last 10 years, IndiaMART has become the largest e-commerce

platform for businesses with about 60% market share, according to research

firm KPMG. It handles 97,000 product categories — ranging from machine

parts, medical equipment and textile products to cranes, from thousands of

towns and cities of India. Agfa HealthCare India, Case New Holland

Construction Equipment (India), Hilti India, JCB India and Nobel Hygiene are

a few big suppliers on the company’s marketplace.

In 2019, IndiaMART went public, and it was by far the first online B2B

marketplace to go public. IndiaMART opened IPO to raise over ₹474 Crore at

a price brand of ₹970- ₹973 on the 24th of June, 2019. IndiaMART IPO was

fully subscribed by Day 2, and was oversubscribed by 36 times by the end of

the final day of the biding.

31

Acquisitions and investments

In early 2009, the firm received ₹50 crore Series A round funding from Intel

Capital, a part of which was invested in IndiaMART, One97 Communications

and Global Talent Track. In March 2016, it raised Series C Funding from

Amadeus Capital Partners and Quona Capital. It is claimed that these funds will

be used to scale up the activities of IndiaMART and Tolexo. In June 2018

IndiaMART has filled draft papers with SEBI to raise $88.24 million through

IPO and list on NSE and BSE exchange.

Awards

1.Nominated among the top three at Emerging India Awards 2008.

2.Red Herring 100 Asia Awards 2008.

3.Manthan Award 2013 for Buy Leads Under E-Business & Financial Inclusion

Category.

4.IndiaMART Bags Best Business App Award at GMASA 2017.

5.‘Best Business App’ at Drivers of Digital Summit & Awards, 2018.

6.‘Best Online Classified Website’ at Drivers of Digital Summit & Awards,

2018.

7.‘Best Online Classified Application’ at Drivers of Digital Summit & Awards,

2018.

8.India Law Awards 2019 for ‘Technology, Media and Telecommunication

InHouse Legal Team'.

32

3.Reliance Digital

Reliance Digital is a consumer durables and information technology concept

from Reliance Retail. It is a subsidiary of Reliance Retail, which is a wholly

owned subsidiary of Reliance Industries.

Reliance Digital is a consumer electronics company in India. The first Reliance

Digital Store was opened on 24 April 2007 in Delhi. Currently there are around

1000 Reliance Digital and Reliance Digital Xpress Mini Stores in around 100

cities in India. The stores are spread across the states of Andhra Pradesh, Delhi,

Gujarat, Karnataka, Kerala, Maharashtra, Tamil Nadu, Telangana, West

Bengal, Orissa, Assam, Bihar, Jharkhand and NCR. Reliance Digital Stores are

bigger in size than the other format Digital Xpress Mini Stores. The company

plans to ramp up its current store count of 1,200 stores to 2,500 by the end of

2017.

History

In January 2006, Ambani brothers signed a 10-year non-compete contract so as

to avoid rubbing each other the wrong way. By 2008, the telecom arm of R-

Adag, Reliance Communications, had emerged as the country’s second-largest

mobile operator. Anil Ambani was then working on a mega-deal between

Reliance Communications and South African telecom giant MTN that would

have formed a powerful global telecommunications firm spanning India and

South Africa with nearly USD 7080 billion in value. But the talks between the

two companies were called off after Mukesh Ambani interfered and challenged

his brother’s right to sell his controlling shares to MTN as a part of the deal. He

claimed he had the first right of refusal as per the complex arrangement

brokered when the Reliance empire was split up. To put an end to the dissent,

in May 2010, the two brothers scrapped their noncompete agreement, which

33

gave Mukesh Ambani the ticket to enter the telecom sector. Two weeks later,

RIL bought a 95% stake in Infotel Broadband Services, an unknown and the

only company to have won the auction of broadband spectrum for pan-India.

Interestingly, the USD 1-billion-deal was made public hours after the auction

results were announced.

Unless these past events were a series of serendipitous coincidences, Mukesh

Ambani had been planning his entry in the telecom sector all along, even

before his daughter complained about the poor connectivity. In 2013, RIL

renamed Infotel Broadband Services as Reliance Jio Infocomm, which then

became the only company to have a pan-India broadband spectrum, which it

later used to roll out 4G services. To be sure, it took Reliance about six years to

launch commercial mobile network services. But once it commercially

launched in September 2016, it took the market by storm.

Acquisitions and Investments

Reliance Digital, the consumer durables arm of Mukesh Ambani-led Reliance

Retail, invests about Rs110-crore in the current fiscal to roll-out 31 stores

across India.

The company, which resells Apple products through its iStore chain, will open

10 outlets by March 2010 along with 21 Reliance Digital outlets, Reliance

Retail’s president and chief executive (consumer durable, IT & telecom), Ajay

Baijal, told the agency.

Presently, Reliance Digital has a 14-strong network and 10 iStores pan-India in

destinations such as Mumbai, Hyderabad, Bangalore, Chennai, Ahmedabad,

Vadodara, Ludhiana and Jaipur.

“This year, we plan to take the total number of stores (Reliance Digital and

iStore) to 55. Each Reliance Digital store requires an investment of about Rs45

crore, while an iStore takes up to Rs40-lakh," Baijal said.

34

4.Snapdeal

Snapdeal is one of India’s leading e-commerce companies with its

headquarters located in New Delhi. Snapdeal was launched in 2010, a time

when the e-commerce market in India was at a nascent stage. The company

was co-founded by Kunal Bahl and Rohit Bansal. Snapdeal currently offers

more than 60 million products across various categories such as mobiles &

tablets, computers, office & gaming, electronics, home & living, men’s and

women’s fashion, sports, fitness & outdoors, daily needs, motors & accessories,

books, music, real estate, and financial services. The company has more than 3

lakh sellers on its e-commerce platform that cater to millions of users. Snapdeal

has a wide logistics network and it delivers to more than 6000 cities and towns

in India.

History

Snapdeal was founded on 4 February 2010 as a daily deals platform, and

expanded in September 2011 to become an online marketplace. Snapdeal has

grown to become one of the largest online marketplace in India. Snapdeal’s

focus is on the value ecommerce segment - a market that is three times larger

than the size of the branded goods market. Sellers on Snapdeal offer good

quality merchandise, that offers customers value-for-money options, similar to

what would sell in local markets and high streets in a city. Fashion, home and

general merchandise account for a majority of the products sold .

35

Acquisitions

Snapdeal has acquired several business enterprises. In June 2010, Snapdeal's

holding company Jasper Infotech Private Limited acquired Bengaluru-based

group buying website Grabbon.com for an undisclosed amount. In April 2012,

Delhi-based online sports goods retailer esportsbuy.com was acquired. This

was followed in 2013 by the acquisition of Shopo.in, a C2C ecommerce

platform. In 2014, Snapdeal acquired Doozton.com, a fashion product

discovery technology platform, and Wishpicker.com, a tech platform that uses

machine learning to deliver recommendations for gift purchases. Both deals

were for undisclosed amounts.

Snapdeal made majority of its acquisitions in the year 2015. In January, it

acquired a stake in product comparison website, Smartprix.com followed by

the acquisition of luxury fashion products discovery site, Exclusively.in. In

March, the firm acquired 20% stake in logistics service company Gojavas.com.

Two more acquisitions in the same month were eCommerce management

software and fulfilment solution[buzzword] provider, Unicommerce.com and

RupeePower, a digital platform for financial transactions. In April 2015,

mobile-payments company FreeCharge.com was acquired. Programmatic

display advertising platform, Reduce Data was acquired in September of the

same year. In August 2016, logistics firm Pigeon Express acquired a 51% stake

in GoJavas with Snapdeal holding 49% stake in the firm. Snapdeal later exited

GoJavas.

36

Awards

1.Best corporate payment project 2016 from yes bank.

2.ET start up awards 2019.

3.The co-founder of the company, Kunal Bahl, was awarded with Entrepreneur

of the year Award in 2015.

4.In 2015, the company has won Australian Service Excellence Award for the

outstanding experience of customers.

5.In 2012, it was recognized as the eRetailer of the Year & Best Advertising

campaign of the year.

6.The company was awarded with WAT Awards as an E- Commerce site of the

year.

7.Snapdeal was the winner of the Red Herring Asia Awards 2011.

8.It was recognized as India’s busiest brands in annual buzz- making poll in

AFAQS.

37

5.Justdial

Just Dial Limited is India's No. 1 Local Search engine that provides local

search related services to users across India through multiple platforms such as

website, mobile website, Apps (Android, iOS, Windows), over the telephone

and text (SMS).Justdial has also initiated ‘Search Plus’ services for its users.

These services aim at making several day-to-day tasks conveniently actionable

and accessible to users through one App. By doing so, it has transitioned from

being purely a provider of local search and related information to being an

enabler of such transactions. Justdial has also recently launched JD Omni, an

end-to-end business management solution for SMEs, through which it intends

to transition thousands of SMEs to efficiently run their business online and

have adequate online presence via their own website and mobile site. Apart

from this, it has also launched JD Pay, a unique solution for quick digital

payments for its users and vendors, and JD Social, its official social sharing

platform to provide curated content on latest happenings to users. The

organisation also aims to make communication between users and businesses

seamless through its Real Time Chat Messenger.

History

In 1987, while working for a yellow pages company, VSS Mani thought of

replacing yellow pages with a database of information that users could call to

receive current information about local business listings. To launch his venture,

Mani acquired the Mumbai landline phone number. After several years of

seeking financial backing for his idea, Mani launched Justdial in 1996 with a

seed capital of Rs. 50,000, five employees, a few rented computers, and

borrowed furniture.

In 2007 an Internet and mobile app version of the database called Justdial.com

was launched.

38

On 20 May 2013 Justdial went public at a price between INR 897 and 898 Of

the total 17.5 million shares, 13.5 million of them were offered to the public,

while the rest were given to fifteen previous investors at INR 530 per share. To

encourage retail investment, Justdial had promised that they would buy back

shares from retail investors at the IPO price if Justdial's share price fell sharply

within the first six months. By the close of the market on the day of the IPO,

the majority of new investments had come from foreign institutional investors.

On 5 August of the next year, Justdial's share price reached a high of INR

1,894.70, subsequently decreasing to the triple digits[quantify] in 2015.

Investments

The justdial company has invested in "Justdial Social", a service that

aggregates content from social media websites, TV broadcast, news, and other

sources; and also in "Search Plus Service", a service that manages online

transactions via the web and mobile apps.

Awards

1.Ernst & Young Awards – 2013: E&Y Entrepreneur of the Year (Services)

Award.

2.Young Turks Awards – 2012: Jury Special Commendation Award.

3.VCCircle Annual Awards – 2012: Best VC-backed Media & Communication

Company.

4.Amity Global Business School – 2012: Amity Corporate Excellence Award

for Customer Service.

39

Chapter 4 Data Analysis

40

4.1 Introduction Data analysis is the science of analysing raw data in order to make conclusions

about that information. Many of the techniques and processes of data analysis

have been automated into mechanical processes algorithm that work over raw

data for human consumption.

Data analytics techniques can reveal trends and metrics that would otherwise be

lost in the mass of information. This information can then be used to optimize

processes to increase the overall efficiency of a business or system.

4.2 Liquidity ratio

A liquidity ratio is a type of financial ratio used to determine a company’s

ability to pay its short-term debt obligations. The metric helps determine if a

company can use its current, or liquid, assets to cover its current liabilities. The

term liquidity refers to the firm’s ability to pay its current liabilities out of its

current assets. These ratios are highly useful to creditors and commercial banks

that provide short term credit.

41

4.2.1 Current ratio

Formulae :- Current ratio = current assets / current liability

Table 4.1 showing current ratios for the year 2019-20

Company Current Asset

(in cr)

Current

Liability (in cr)

Ratio

Myntra 502 411 1.22:1

IndiaMART 710.3 418.64 1.69:1

Reliance Digital 232053 317322 0.73:1

Snapdeal 833 818 1:1

Justdial 125 496 0.25:1

Generally the current ratio of 2:1 is considered as ideal. From table 4.1 it is

clear that the following above companies has failed to meet the standard ratio.

Out of the 5 companies ,IndiaMART has better current ratio.

0

0.2

0.4

0.6

0.8

1

1.2

1.4

1.6

1.8

Myntra IndiaMART Reliance Digital Snapdeal Justdial

current ratio

current ratio

42

4.2.2 Quick ratio

Formulae :- Quick ratio = current assets-inventory / current liability

Table 4.2 showing quick ratio for the year 2019-20

Company Quick asset(in cr)

Current

liabity(in cr)

Ratio

Myntra 214 411 0.52:1

IndiaMART 327 418.64 0.78:1


Snapdeal 701 818 0.85:1

Justdial 102 496 0.2: 1

Generally the quick ratio 1:1 is considered as ideal. From table 4.2 is clear that

quick ratio of the above companies has failed to meet the standard ratio. Of the

above companies, snapdeal is having a better quick ratio.

0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

0.9

Myntra IndiaMART Reliance Digital Snapdeal Justdial

Quick ratio

Quick ratio

43

4.3 Solvency ratio A solvency ratio is a key metric used to measure an enterprise’s ability to meet

its long-term debt obligations and is used often by prospective business lenders.

A solvency ratio indicates whether a company’s cash flow is sufficient to meet

its long-term liabilities and thus is a measure of its financial health. An

unfavourable ratio can indicate some likelihood that a company will default on

its debt obligations. Long term liabilities include debentures, long term loans

etc. The term solvency means long term solvency.

They are mainly used to analyse the long term financial position of a business.

44

4.3.1 Total Debt Equity ratio Formulae :- Total debt equity ratio = total debt / total equity

Table 4.3 showing total debt equity ratio for the year 2019-20

Company Total Debt(in cr)

Total Equity(in cr)

Ratio

Myntra 418.5 245 1.48:1

IndiaMART 658.1 659.89 0.84:1


Snapdeal 926 341 0.97:1

Justdial 550.05 998.8 0.49:1

Generally debt equity ratio of 1:1 is considered as standard. This means that

funds provided by outsiders and shareholders must be equal. From the table 4.3

it is clear the above companies has not attained the ideal ratio except Snapdeal

has achieved close enough and has better ratio.

0

0.2

0.4

0.6

0.8

1

1.2

1.4

1.6

Myntra IndiaMART Relianve Digital Snapdeal Justdial

Total Debt Equity Ratio

Total Debt Equity Ratio

45

4.3.2. Proprietary ratio

Formulae :- Proprietary ratio = shareholders’ funds / total assets

Table 4.4 showing proprietary ratio for the year 2019-20

Company Shareholders’ funds (in cr)

Total assets (in cr)

Ratio

Myntra 245 664 0.3:1

IndiaMART 659.89 818.78 0.8:1

Reliance digital 387112 1002406 0.3:1

Snapdeal 341 1669 0.2:1

Justdial 998.8 1548 0.6:1

Generally proprietary ratio of 0.5:1 (or above 50%) is considered as ideal. From

table 4.4 shows that from the above companies, IndiaMART and Justdial has

met the standard.

0

0.2

0.4

0.6

0.8

1

1.2

1.4

1.6

1.8

Myntra IndiaMART Reliance digital Snapdeal Justdial

Proprietary ratio

Proprietary ratio

46

4.3.3 Ratio of Total Asset to Total Debt (Solvency Ratio)

Formulae :- Solvency ratio = total asset / total debt

Table 4.5 showing total asset to total debt ratio for the year 2019-20

Company Total asset (in cr)

Total liability (in cr)

Ratio

Myntra 664 418.5 1.58:1

IndiaMART 818.78 658.1 1.24:1

Reliance digital 1002406 607014 1.65:1

Snapdeal 1669 1358 1.22:1

Justdial 1548 550.05 2.8:1

The solvency ratio indicates the degree of solvency of a business. A higher

solvency ratio indicates that the solvency and the financial position are strong.

A lower ratio indicates that the solvency and financial position is weak. From

the above table, we can see that all 5 companies have achieved ideal solvency

ratio. Here Justdial is having the best Solvency ratio.

0

0.5

1

1.5

2

2.5

3


Solvency ratio

Solvency ratio

47

4.4 Profitability Ratio

The ultimate aim of any business enterprise is to earn maximum profit. The

term profitability means the ability of a firm to earn income. Profitability ratios

are a class of financial metrics that are used to assess a business's ability to

generate earnings relative to its revenue, operating costs, balance sheet assets,

or shareholders' equity over time, using data from a specific point in time. For

most profitability ratios, having a higher value relative to a competitor's ratio or

relative to the same ratio from a previous period indicates that the company is

doing well. Profitability ratios are most useful when compared to similar

companies, the company's own history, or average ratios for the company's

industry.

48

4.4.1 Net Profit ratio

Formulae :-

Net profit ratio = net profit / net sales x100

Table 4.6 showing net profit ratio for the year 2019-20

Company Net profit (in cr)

Net sales (in cr) Percentage

Myntra 50.43 1032 4.88%

IndiaMART 46.33 529.66 8.74%

Reliance digital 47367 371616 12.74%

Snapdeal 237.3 1767 13.41%

Justdial 288.11 1891.50 15.23%

In general, businesses should aim for profit ratios between 5% to 10% while

paying attention to their industry's average. Most industries usually consider

10% to be the average, whereas 20% is high, or above average. Higher the

ratio, better is the profitability. Here justdial is having the highest net profit

ratio.

0

2

4

6

8

10

12

14

16


Net Profit Ratio

Net Profit Ratio

49

4.4.2 Gross Profit Ratio

Formulae :-

Gross profit ratio = gross profit / net sales x100

Table 4.7 showing gross profit ratio for the year 2019-20

Company Gross profit (in cr)

Net sales (in cr) percentage

Myntra 167.54 1032 16.18%

IndiaMART 148.25 529.66 27.94%


Snapdeal 458.86 1767 25.96%

Justdial 908.62 1891.50 24.65%

Ideal gross profit ratio is 20% to 25% . It indicates the efficiency of production.

This ratio measures the margin of profit available for sales. The table 4.7 shows

the gross profit ratio of five companies. IndiaMART is having the highest gross

profit ratio.

0

5

10

15

20

25

30


Gross Profit Ratio

Gross Profit Ratio

50

4.4.3. Return on Shareholder’s Fund

Formulae :- Return on shareholders fund = net profit / equity x100 Table 4.8 showing return on shareholders fund for the year 2019-20 Company Net profit (in cr) Equity (in cr) Percentage

Myntra 50.43 245 20.58%

IndiaMART 46.33 659.89 07.2%


Snapdeal 237.3 341 27.60%

Justdial 288.11 998.8 28.84%

It is an index to know whether the owners are getting a satisfactory rate of return on their investment. A higher ratio indicates better utilisation of owner’s funds and higher productivity. Here Justdial have the highest ratio than the rest.

0

5

10

15

20

25

30


Return on shareholder's fund

Return on shareholder's fund

51

4.5 Activity Ratio Activity ratios are used to determine the efficiency of the organisation in utilising its assets for generating cash and revenue. They show how effectively a firm use its available resources or assets. These ratios indicate efficiency in asset management. They are also known as efficiency ratio. They indicate the speed with which the resources are turned over or converted into cash. That is why these ratios are called as turnover ratios. Higher turnover ratios means better use of resources. This means higher profitability.

52

4.5.1. Total Asset Turnover ratio Formulae :- Total asset turnover ratio = net sales / total asset Table 4.9 showing total asset turnover ratio for the year 2019-20 Company Net sales (in cr) Total assets (in cr) Times

Myntra 1032 664 1.55

IndiaMART 529.66 818.78 0.64

Reliance digital 371616 1002406 0.97

Snapdeal 1767 1669 1.05

Justdial 1891.50 1548 1.22

Ideally, a company with a high total asset turnover ratio can operate with fewer

assets than a less efficient competitor, and so require less debt and equity to

operate. The ideal ratio is 2.5 or more. In the table 4.9, none of the above

companies have attained the ideal standard. Here JustDIAL has achieved the

highest total asset turnover ratio.

0

0.2

0.4

0.6

0.8

1

1.2

1.4

1.6

1.8


Total Asset Turnover ratio

Total Asset Turnover ratio

53

4.5.2. Working Capital Turnover ratio Formulae :- Fixed asset turnover ratio = net sales / working capital Table 4.10 showing fixed asset turnover ratio for the year 2019-20 Company Net sales (in cr) Working capital

(in cr) Times

Myntra 1032 873.7 1.18

IndiaMART 529.66 95.87 5.56


Snapdeal 1767 864.2 2.04

Justdial 1891.50 568.58 3.32

Generally higher the ratio the better is the utilisation of working capital. But a

very high ratio indicates overtrading. This means inadequacy of working

capital to support the increasing volume of sales whereas lower ratio indicates

that the working capital is not effectively utilised in generating sales. The ideal

working capital turnover ratio is 7 or 8 times. Reliance Digital has achieved the

highest working capital turnover ratio.

0

1

2

3

4

5

6

7


Working Capital Turnover Ratio

Working Capital Turnover Ratio

54

4.5.3. Stock Turnover ratio Formulae :- Stock turnover ratio = cost of goods sold / average inventory Table 4.11 showing stock turnover ratio for the year 2019-20 Company Cost of goods sold

(in cr) Average inventory(in cr)

Times

Myntra 867.75 97.69 8.9

IndiaMART 173.57 36.88 4.80


Snapdeal 958.41 99.45 9.67

Justdial 696.30 87.82 7.92

Generally stock turnover ratio of 8 times is considered as ideal. In table 4.11 we

can see that from the above companies Snapdeal has the best ratio.

0

2

4

6

8

10

12


Stock Turnover ratio

Stock Turnover ratio

55

4.6 Market test ratio

Market Test Ratios help investor to estimate the attractiveness of a potential or

existing investment and get an idea of its valuation. These ratios are concerned

with the return on investment for shareholders, and with the relationship

between return and the value of an investment in company's shares. They help

to evaluate the shares and stocks which are traded in the market. If a firm’s

profitability, solvency and turnover ratio are good, then the market test ratios

will be high and its share price is expected to be high.

56

4.6.1 Earnings per share

Formulae :- Earnings per share = net profit to equity shareholders / number of shares

Table 4.12 showing earnings per share ratio for the year 2019–20

Company Net profit to equity shareholders (in cr)

Number of shares

(L)

Earnings per share (in RS.)

Myntra 112.78 21.96 5.10

IndiaMART 368.87 24.37 15.36

Reliance digital 8761.2 592.8 14.79

Snapdeal 138.37 26.85 5.30

Justdial 462.42 37.45 12.48

If Equity per share is higher, market value of equity share will be higher in the

stock exchange. Thus it is a good measure of profitability for investors. Here in

table 4.12 we can see that IndiaMART has performed the best.

0

2

4

6

8

10

12

14

16

18


Earnings Per Share

Earnings Per Share

57

4.6.2. Dividend per share

Formulae:-

Dividend per share ratio = dividend paid to equity shareholders / number of

shares

Table 4.13 showing dividend per share ratio for the year 2019-20

Company Dividend paid to

equity shareholders (in cr)

Number of equity shares(L)

Dividend per share (in RS.)

Myntra 101.6 21.96 4.69

IndiaMART 248.2 24.37 10.33

Reliance digital 2745 592.8 4.63

Snapdeal 136.9 26.85 5.1

Justdial 249.1 37.45 6.6

From the table 4.13 we can see that IndiaMART is having a better dividend per

share ratio than the rest of the companies.

0

2

4

6

8

10

12


Dividend per Share

Dividend per Share

58

Chapter-5 Findings, Suggestions and Conclusions

59

5.1 Findings

• Out of the 5 companies IndiaMART is having a better current ratio.

• Quick ratio of the 5 companies has not met the ideal standard. Out of the 5

companies Snapdeal is having a better quick ratio.

• These companies has not attained the standard goal except snapdeal has

achieved close enough and has better debt equity ratio.

• From the 5 companies, IndiaMART and Justdial has met the standard for

proprietary ratio.

• A solvency ratio indicates the degree of solvency of a business. Justdial has the

best solvency ratio.

• Most industries usually consider 10% to be the average, whereas 20% is high,

or above average. Here net profit ratio is highest in Justdial.

• Ideal gross profit ratio is 20% to 25%. Here lndiaMART has attained the ideal

standard.

• Here Justdial has a better return on shareholders fund than the rest.

• The ideal ratio is 2.5 or more. In the above companies Justdial have attained the

highest for total asset turnover ratio.

• Higher the ratio better would be the utilisation of working capital. Reliance

Digital have the best working capital turnover ratio.

• Generally stock turnover ratio of 8 times is considered as ideal. Here we can

see that Snapdeal has the best ratio.

• As a general rule, the higher a company’s EPS, the more profitable it’s likely to

be, though a higher EPS isn’t a guarantee of future performance.

Here we can see that IndiaMART has performed the best.

• we can see that IndiaMART is having a better dividend per share than the rest

of the companies.

60

5.2 Suggestions

• It will be better if the company decreases its current liability to improve

the liquidity ratio and liquidity position.

• Company had to concentrate on debt capital to have smooth running of

company.

• Company must try to use working capital effectively for generating sales

and increasing activity ratio.

• Company has to increase net sales for increasing profitability of the

company and higher profitability will attract more shareholders.

• The debt makes an impact on the profitability of the organisation. The

company should enlarge its capital base immediately by adopting long

term sources of finance.

• The shareholders fund has to be raised more, so as to bring the debt

equity ratio to the standard level.

5.3 Conclusion

The study highlights that the financial performance for Myntra, IndiaMART,

Justdial, Reliance digital and Snapdeal are satisfactory. This study helps to

know the financial strengths and weakness of these 5 ecommerce

companies.

The project entitled on “A STUDY ON FINANACIAL ANAYSIS OF TOP

5 E-COMMERCE COMPANIES IN INDIA”. Financial performance is the

process of measuring the result of a firm’s overall financial health over a

given period of time and can also use to compare similar firm’s across the

same industries or sectors utmost care has been taken at all levels of project

work right the beginning of analysing accounting information provided by

profit and loss account balance sheet. The project is conducted to find out

their financial performance. From the analysis and interpretation we have a

clear comparison about the top 5 ecommerce companies in India

61

BIBLOGRAPHY

62

BIBLIOGRAPHY Books

1. Dr. Venugopalan, “Business Reaches Methods”. Calicut university

Central stories ltd.no.4347

2. M.Pandey, ”financial management” ninth edition Vikas publishing

house.

3. A.Vinod, “Accounting for management”, Calicut university central

cooperative studios ltd no.4347 Calicut university.

Journals

1. Shaheena Sulthana (2017). “An brief discussion of search engine

marketing and ecommerce companies”. Imperical journal of

interdisciplinary studies, vol.3 issue 1 pp 1-34.

2. Subashini(2016). “Identification and examination of the driverws of

ecommerce companies”. A corporative prospective, working paper 301,

centre for development studies, pp 38-89.

3. Dr.Anukrati Sharma (2013). “A study on e commerce and online

shopping”. Science education development education, vol(2), pp 101-

139.

4. Abhijit Mitra (2013). “E commerce in India -A review”. International

research journal of finanace and economics, vol(4), pp 29-49.

5. Nisha Channa and Sangeeta Goele (2012). “Future of e commerce in

India. International management reviews. Vol 4, pp 69-94.

6. Sarbapriya Ray 2011. “Emerging Trends of E-commerce in India:

Some Crucial Issues Prospects and Challenges”. vol 4, pp 401-438.

7. Aditi Srivatsan, 2001. “Shift in the information technology”. Vol4, pp

789-800.

63

8. Rajendra Sarode, 2003. “Paradigm shift in the ecommerce industry”.

Vol 231-253.

9. Dr Rajeshwari Shettar,2004. “Study and analyse the completely

revolutionized mode of business”. Vol 4 pp 432-489.

10. Pandey.M, 2003. “Brief study of indian e commerce sector”. Vol 3 pp

342-378.

Websites

1. www.myntra.com

2. www.justdial.com

3. m.snapdeal.com

4. www.reliancedigital.in

5. M.indiamart.com

6. www.shodhganga.com

7. www.moneycontrol.com

64

List of Tables

Table No. Title Page no.

4.1 Table showing current ratios

4.2 Table showing quick ratio

4.3 Table showing total debt equity ratio

4.4 Table showing proprietary ratio

4.5 Table showing ratio of total asset to total debt

4.6 Table showing net profit ratio

4.7 Table showing gross profit ratio

4.8 Table showing return in shareholders fund

4.9 Table showing total asset turnover ratio

4.10 Table showing working capital turnover ratio

4.11 Table showing stock turnover ratio

4.12 Table showing earning per share ratio

4.13 Table showing dividend per share ratio

65

APPENDIX

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05/04/21, 8:32 PMIndiamart Intermesh | Standalone Balance Sheet > Miscellaneous …nce Sheet of Indiamart Intermesh - BSE: 542726, NSE: INDIAMART

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This data can be easily copy pasted into a Microsoft Excel sheet PRINT

Indiamart Intermesh Previous Years »Standalone Balance Sheet ------------------- in Rs. Cr. -------------------

Mar 20 Mar 19 Mar 18 Mar 17 Mar 16

12 mths 12 mths 12 mths 12 mths 12 mths

EQUITIES AND LIABILITIES

SHAREHOLDER'S FUNDS

Equity Share Capital 28.88 28.59 9.98 9.17 9.17

Preference Share Capital 0.00 0.00 0.00 67.17 66.22

Total Share Capital 28.88 28.59 9.98 76.34 75.39

Reserves and Surplus 236.02 124.95 -322.25 -60.03 -67.07

Total Reserves and Surplus 236.02 124.95 -322.25 -60.03 -67.07

Employees Stock Options 9.60 7.14 0.00 0.00 0.00

Total Shareholders Funds 274.49 160.68 -312.27 16.30 8.32

NON-CURRENT LIABILITIES

Other Long Term Liabilities 330.96 230.08 539.28 109.01 79.50

Long Term Provisions 25.83 9.39 5.84 0.00 0.00

Total Non-Current Liabilities 356.79 239.46 545.12 109.01 79.50

CURRENT LIABILITIES

Trade Payables 17.71 12.67 41.27 29.17 24.43

Other Current Liabilities 465.81 399.28 270.84 175.56 144.63

Short Term Provisions 3.98 6.69 4.69 5.45 3.39

Total Current Liabilities 487.50 418.64 316.80 210.17 172.46

Total Capital And Liabilities 1,118.78 818.78 549.64 335.49 260.27

ASSETS

NON-CURRENT ASSETS

Tangible Assets 84.77 8.27 7.18 6.63 8.11

Intangible Assets 0.46 0.57 0.76 112.88 0.61

Capital Work-In-Progress 0.18 0.18 0.18 0.18 0.18

Fixed Assets 85.40 9.02 8.12 119.69 8.90

Non-Current Investments 40.57 9.45 13.70 20.46 86.02

Deferred Tax Assets [Net] 24.40 85.81 115.56 0.00 0.00

Long Term Loans And Advances 0.07 0.12 0.09 5.91 5.16

Other Non-Current Assets 60.99 4.06 34.40 0.00 11.35

Total Non-Current Assets 211.43 108.45 171.87 146.05 111.44

CURRENT ASSETS

Current Investments 865.55 604.30 308.77 121.00 125.09

Trade Receivables 1.10 0.35 0.28 0.56 0.50

Cash And Cash Equivalents 19.77 73.46 45.25 40.37 11.52

Short Term Loans And Advances 1.15 1.62 6.32 24.02 10.78

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OtherCurrentAssets 19.79 30.59 17.16 3.50 0.94

Total Current Assets 907.35 710.33 377.78 189.44 148.83

Total Assets 1,118.78 818.78 549.64 335.49 260.27

OTHER ADDITIONAL INFORMATION

CONTINGENT LIABILITIES, COMMITMENTS

Contingent Liabilities 0.00 0.00 0.00 0.00 1.55

CIF VALUE OF IMPORTS

EXPENDITURE IN FOREIGN EXCHANGE

Expenditure In Foreign Currency 10.18 8.87 5.60 10.30 7.48

REMITTANCES IN FOREIGN CURRENCIES FORDIVIDENDSDividend Remittance In Foreign Currency - - - - -

EARNINGS IN FOREIGN EXCHANGE

FOB Value Of Goods - - - - -

Other Earnings 4.02 3.25 2.37 3.02 3.68

BONUS DETAILS

Bonus Equity Share Capital 9.98 9.98 - - -

NON-CURRENT INVESTMENTSNon-Current Investments Quoted MarketValue - - - - -

Non-Current Investments Unquoted BookValue 8.96 9.04 6.53 20.46 86.02

CURRENT INVESTMENTSCurrent Investments Quoted MarketValue 865.55 604.30 - - -

Current Investments Unquoted BookValue 8.96 9.04 308.77 121.00 125.09

Source : Dion Global Solutions Limited

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06/04/21, 11:42 AMIndiamart Intermesh | Standalone Profit & Loss account > Miscell…ss account of Indiamart Intermesh - BSE: 542726, NSE: INDIAMART

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Indiamart Intermesh Previous Years »Standalone Profit & Loss account ------------------- in Rs. Cr. -------------------



INCOME

Revenue From Operations [Gross] 623.51 497.28 403.55 318.20 246.25

Revenue From Operations [Net] 623.51 497.28 403.55 318.20 246.25

Total Operating Revenues 623.51 497.28 403.55 318.20 246.25

Other Income 68.41 36.02 6.51 3.97 4.65

Total Revenue 691.93 533.29 410.06 322.17 250.90

EXPENSES

Operating And Direct Expenses 0.00 65.26 0.00 0.00 0.00

Employee Benefit Expenses 254.84 221.72 188.78 179.38 153.22

Finance Costs 3.28 0.00 0.00 1.04 1.02

Depreciation And Amortisation Expenses 20.92 4.00 2.80 9.88 2.62

Other Expenses 196.03 195.98 405.96 131.43 136.82

Total Expenses 475.06 486.96 597.54 321.74 293.68



Profit/Loss Before Exceptional,ExtraOrdinary Items And Tax 216.86 46.33 -187.48 0.43 -42.78

Exceptional Items -6.88 0.00 0.00 0.00 0.00

Profit/Loss Before Tax 209.99 46.33 -187.48 0.43 -42.78

Tax Expenses-Continued Operations

Current Tax -0.33 3.62 0.00 0.00 0.00

Deferred Tax 32.70 30.12 -115.04 0.00 0.37

Tax For Earlier Years 31.41 0.00 0.00 0.00 0.00

Total Tax Expenses 63.78 33.74 -115.04 0.00 0.37Profit/Loss After Tax And BeforeExtraOrdinary Items 146.21 12.59 -72.44 0.43 -43.15

Profit/Loss From ContinuingOperations 146.21 12.59 -72.44 0.43 -43.15

Profit/Loss For The Period 146.21 12.59 -72.44 0.43 -43.15




EARNINGS PER SHARE

Basic EPS (Rs.) 50.73 4.87 -37.83 0.47 -47.06

Diluted EPS (Rs.) 49.84 4.78 -37.83 0.33 -47.06

VALUE OF IMPORTED AND INDIGENIOUS RAW

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MATERIALSSTORES, SPARES AND LOOSE TOOLS

DIVIDEND AND DIVIDEND PERCENTAGE

Equity Share Dividend 28.88 0.00 0.00 0.00 0.00

Tax On Dividend 5.95 0.00 0.00 0.00 0.00

Equity Dividend Rate (%) 100.00 0.00 0.00 0.00 0.00


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06/04/21, 8:28 PMJust Dial | Standalone Balance Sheet > Miscellaneous > Standalone Balance Sheet of Just Dial - BSE: 535648, NSE: JUSTDIAL

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Just Dial Previous Years »Standalone Balance Sheet ------------------- in Rs. Cr. -------------------




SHAREHOLDER'S FUNDS

Equity Share Capital 64.91 64.76 67.39 69.54 69.47

Total Share Capital 64.91 64.76 67.39 69.54 69.47

Reserves and Surplus 1,173.55 887.96 911.81 835.64 602.01

Total Reserves and Surplus 1,173.55 887.96 911.81 835.64 602.01

Employees Stock Options 49.01 45.91 0.00 0.00 0.00

Total Shareholders Funds 1,287.47 998.63 979.20 905.18 671.48


Long Term Borrowings 0.00 2.76 0.00 0.00 0.00

Deferred Tax Liabilities [Net] 30.37 17.28 0.00 0.00 0.00

Other Long Term Liabilities 86.35 33.26 18.68 10.04 4.56

Total Non-Current Liabilities 116.72 53.30 18.68 10.04 4.56

CURRENT LIABILITIES

Short Term Borrowings 0.00 1.44 0.00 0.00 0.00

Trade Payables 24.75 30.13 21.56 13.71 19.63

Other Current Liabilities 403.12 465.59 390.92 336.72 256.83

Short Term Provisions 0.00 0.00 0.00 0.00 5.05

Total Current Liabilities 427.87 497.16 412.48 350.43 281.52

Total Capital And Liabilities 1,832.06 1,549.09 1,410.36 1,265.65 957.56

ASSETS

NON-CURRENT ASSETS

Tangible Assets 62.55 124.11 146.02 152.21 134.33

Intangible Assets 1.16 2.04 2.88 3.86 4.49

Capital Work-In-Progress 0.00 5.94 0.00 8.59 0.00

Fixed Assets 63.71 132.09 148.90 164.66 138.82

Non-Current Investments 1,535.98 1,269.65 1,120.90 909.97 0.45

Deferred Tax Assets [Net] 0.00 0.00 12.42 23.94 0.73

Long Term Loans And Advances 11.87 12.69 11.84 12.13 62.69

Other Non-Current Assets 114.98 9.76 11.85 14.94 0.00

Total Non-Current Assets 1,726.54 1,424.19 1,305.91 1,125.64 202.69

CURRENT ASSETS

Current Investments 16.72 21.43 22.19 54.73 703.06

Trade Receivables 0.00 0.00 0.00 0.00 0.13

Cash And Cash Equivalents 39.10 40.44 57.50 52.52 33.62

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Short Term Loans And Advances 2.71 1.54 2.44 3.44 15.76

OtherCurrentAssets 46.99 61.49 22.32 29.32 2.29

Total Current Assets 105.52 124.90 104.45 140.01 754.87

Total Assets 1,832.06 1,549.09 1,410.36 1,265.65 957.56


CONTINGENT LIABILITIES, COMMITMENTS

Contingent Liabilities 13.07 11.22 4.86 129.07 22.22

CIF VALUE OF IMPORTS

EXPENDITURE IN FOREIGN EXCHANGE

Expenditure In Foreign Currency 2.18 2.30 2.53 5.79 7.53

REMITTANCES IN FOREIGN CURRENCIES FORDIVIDENDSDividend Remittance In Foreign Currency - - - - 0.11

EARNINGS IN FOREIGN EXCHANGE

FOB Value Of Goods - - - - -

Other Earnings - - - - -

BONUS DETAILS

Bonus Equity Share Capital - - - - -

NON-CURRENT INVESTMENTSNon-Current Investments Quoted MarketValue - - 318.06 - -

Non-Current Investments Unquoted BookValue 64.82 957.80 801.94 590.18 0.45

CURRENT INVESTMENTSCurrent Investments Quoted MarketValue - - - - 220.36

Current Investments Unquoted BookValue 16.72 21.43 22.19 54.73 487.80


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06/04/21, 8:39 PMJust Dial | Standalone Profit & Loss account > Miscellaneous > St…e Profit & Loss account of Just Dial - BSE: 535648, NSE: JUSTDIAL

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Just Dial Previous Years »Standalone Profit & Loss account ------------------- in Rs. Cr. -------------------



INCOME

Revenue From Operations [Gross] 976.23 916.21 804.96 709.81 678.28

Revenue From Operations [Net] 976.23 916.21 804.96 709.81 678.28

Other Operating Revenues 0.00 0.00 0.00 8.80 12.55

Total Operating Revenues 976.23 916.21 804.96 718.61 690.83

Other Income 116.59 68.25 42.67 87.06 58.49

Total Revenue 1,092.82 984.46 847.63 805.67 749.32

EXPENSES

Employee Benefit Expenses 532.94 497.14 441.58 440.88 377.41

Finance Costs 8.91 0.13 0.00 0.00 0.00

Depreciation And Amortisation Expenses 52.07 33.65 36.42 40.14 31.10

Other Expenses 147.25 165.43 175.77 168.17 142.88

Total Expenses 741.17 696.35 653.77 649.19 551.39



Profit/Loss Before Exceptional,ExtraOrdinary Items And Tax 351.65 288.11 193.86 156.48 197.93

Profit/Loss Before Tax 351.65 288.11 193.86 156.48 197.93


Current Tax 64.88 59.89 39.78 32.58 54.51

Deferred Tax 14.46 21.42 10.90 2.56 1.62

Total Tax Expenses 79.34 81.31 50.68 35.14 56.13Profit/Loss After Tax And BeforeExtraOrdinary Items 272.31 206.80 143.18 121.34 141.80

Profit/Loss From ContinuingOperations 272.31 206.80 143.18 121.34 141.80

Profit/Loss For The Period 272.31 206.80 143.18 121.34 141.80




EARNINGS PER SHARE

Basic EPS (Rs.) 42.00 30.95 20.97 17.46 20.12

Diluted EPS (Rs.) 41.81 30.88 20.95 17.35 19.95

VALUE OF IMPORTED AND INDIGENIOUS RAWMATERIALSSTORES, SPARES AND LOOSE TOOLS

73

06/04/21, 12:57 PMReliance Industries | Standalone Balance Sheet > Refineries > St…alance Sheet of Reliance Industries - BSE: 500325, NSE: RELIANCE

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Reliance Industries Previous Years »Standalone Balance Sheet ------------------- in Rs. Cr. -------------------




SHAREHOLDER'S FUNDS

Equity Share Capital 6,339.00 6,339.00 6,335.00 3,251.00 3,240.00

Total Share Capital 6,339.00 6,339.00 6,335.00 3,251.00 3,240.00

Reserves and Surplus 418,244.00 398,983.00 308,297.00 285,058.00 236,936.00

Total Reserves and Surplus 418,244.00 398,983.00 308,297.00 285,058.00 236,936.00

Total Shareholders Funds 424,583.00 405,322.00 314,632.00 288,309.00 240,176.00

Equity Share Application Money 1.00 0.00 15.00 4.00 8.00


Long Term Borrowings 178,751.00 118,098.00 81,596.00 78,723.00 77,866.00

Deferred Tax Liabilities [Net] 50,556.00 47,317.00 27,926.00 24,766.00 13,159.00

Other Long Term Liabilities 3,428.00 504.00 504.00 0.00 0.00

Long Term Provisions 1,410.00 2,483.00 2,205.00 2,118.00 1,489.00

Total Non-Current Liabilities 234,145.00 168,402.00 112,231.00 105,607.00 92,514.00

CURRENT LIABILITIES

Short Term Borrowings 51,276.00 39,097.00 15,239.00 22,580.00 14,490.00

Trade Payables 71,048.00 88,241.00 88,675.00 68,161.00 54,521.00

Other Current Liabilities 186,787.00 73,900.00 85,815.00 60,817.00 54,841.00

Short Term Provisions 1,072.00 783.00 918.00 1,268.00 1,170.00

Total Current Liabilities 310,183.00 202,021.00 190,647.00 152,826.00 125,022.00

Total Capital And Liabilities 968,912.00 775,745.00 617,525.00 546,746.00 457,720.00

ASSETS

NON-CURRENT ASSETS

Tangible Assets 297,847.00 194,895.00 191,879.00 145,486.00 91,477.00

Intangible Assets 8,624.00 8,293.00 9,085.00 9,092.00 39,933.00

Capital Work-In-Progress 15,638.00 105,155.00 92,581.00 128,283.00 97,296.00

Intangible Assets Under Development 12,327.00 6,402.00 6,902.00 4,458.00 9,583.00

Fixed Assets 334,436.00 314,745.00 300,447.00 287,319.00 238,289.00

Non-Current Investments 419,073.00 272,043.00 171,945.00 140,544.00 112,630.00

Long Term Loans And Advances 44,348.00 31,806.00 17,699.00 10,418.00 16,237.00

Other Non-Current Assets 4,458.00 4,287.00 3,522.00 2,184.00 0.00

Total Non-Current Assets 802,315.00 622,881.00 493,613.00 440,465.00 367,156.00

CURRENT ASSETS

Current Investments 70,030.00 59,640.00 53,277.00 51,906.00 39,429.00

Inventories 38,802.00 44,144.00 39,568.00 34,018.00 28,034.00

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06/04/21, 8:05 PMReliance Industries | Standalone Profit & Loss account > Refineri… Loss account of Reliance Industries - BSE: 500325, NSE: RELIANCE

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Reliance Industries Previous Years »Standalone Profit & Loss account ------------------- in Rs. Cr. -------------------



INCOME

Revenue From Operations [Gross] 365,202.00 401,583.00 315,357.00 265,041.00 251,241.00

Less: Excise/Sevice Tax/Other Levies 29,224.00 29,967.00 25,315.00 23,016.00 18,083.00

Revenue From Operations [Net] 335,978.00 371,616.00 290,042.00 242,025.00 233,158.00

Total Operating Revenues 335,978.00 371,616.00 290,042.00 242,025.00 233,158.00

Other Income 14,541.00 8,822.00 8,220.00 8,709.00 7,582.00

Total Revenue 350,519.00 380,438.00 298,262.00 250,734.00 240,740.00

EXPENSES

Cost Of Materials Consumed 237,342.00 265,288.00 198,029.00 164,250.00 152,769.00

Purchase Of Stock-In Trade 7,292.00 8,289.00 7,268.00 5,161.00 4,241.00

Operating And Direct Expenses 21,424.00 24,839.00 0.00 0.00 17,328.00

Changes In Inventories Of FG,WIP AndStock-In Trade 77.00 -3,294.00 -3,232.00 -4,839.00 4,171.00

Employee Benefit Expenses 6,067.00 5,834.00 4,740.00 4,434.00 4,260.00

Finance Costs 12,105.00 9,751.00 4,656.00 2,723.00 2,454.00

Depreciation And Amortisation Expenses 9,728.00 10,558.00 9,580.00 8,465.00 9,566.00

Other Expenses 14,306.00 14,252.00 31,496.00 29,763.00 12,757.00

Less: Transfer to / From Investment /Fixed Assets / Others 0.00 0.00 0.00 0.00 2,507.00

Less: Amounts Transfer To CapitalAccounts 2,383.00 2,446.00 0.00 0.00 0.00

Total Expenses 305,958.00 333,071.00 252,537.00 209,957.00 205,039.00



Profit/Loss Before Exceptional,ExtraOrdinary Items And Tax 44,561.00 47,367.00 45,725.00 40,777.00 35,701.00

Exceptional Items -4,245.00 0.00 0.00 0.00 0.00

Profit/Loss Before Tax 40,316.00 47,367.00 45,725.00 40,777.00 35,701.00


Current Tax 7,200.00 9,440.00 8,953.00 8,333.00 7,802.00

Deferred Tax 2,213.00 2,764.00 3,160.00 1,019.00 482.00

Total Tax Expenses 9,413.00 12,204.00 12,113.00 9,352.00 8,284.00Profit/Loss After Tax And BeforeExtraOrdinary Items 30,903.00 35,163.00 33,612.00 31,425.00 27,417.00

Profit/Loss From ContinuingOperations 30,903.00 35,163.00 33,612.00 31,425.00 27,417.00

Profit/Loss For The Period 30,903.00 35,163.00 33,612.00 31,425.00 27,417.00


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