RATIO ANALYSIS

Balance sheet of Ashok Leyland

------------------- in Rs. Cr. ------------------Mar '05

12 mths

Sources Of Funds
Total Share Capital
Equity Share Capital
Share Application Money
Preference Share Capital
Reserves
Revaluation Reserves
Networth
Secured Loans
Unsecured Loans
Total Debt
Total Liabilities

12 mths

Mar '07
12 mths

Mar '08
12 mths

118.93
122.16
132.39
133.03
118.93
122.16
132.39
133.03
0
0
0
0
0
0
0
0
1,024.35 1,266.35 1,739.23 1,993.57
24.59
23.95
22.96
22.38
1,167.87 1,412.46 1,894.58 2,148.98
263.5
184.69
360.22
190.24
616.91
507.24
280.18
697.26
880.41
691.93
640.4
887.5
2,048.28 2,104.39 2,534.98 3,036.48
Mar '05 Mar '06 Mar '07 Mar '08
12 mths

Application Of Funds
Gross Block
Less: Accum. Depreciation
Net Block
Capital Work in Progress
Investments
Inventories
Sundry Debtors
Cash and Bank Balance
Total Current Assets
Loans and Advances
Fixed Deposits
Total CA, Loans & Advances
Deffered Credit
Current Liabilities
Provisions
Total CL & Provisions
Net Current Assets
Miscellaneous Expenses
Total Assets

Mar '06

2,002.25
1,108.40
893.85
85.16
229.19
568.08
458.77
207.57
1,234.42
337.62
589.11
2,161.15
0
1,135.92
204.48
1,340.40
820.75
19.33
2,048.28

12 mths

2,138.50
1,195.23
943.27
198.32
368.18
902.56
424.34
165.98
1,492.88
253.35
436.9
2,183.13
0
1,334.19
261.62
1,595.81
587.32
7.31
2,104.40

12 mths

2,620.20
1,313.16
1,307.04
407.7
221.09
1,070.32
522.88
88.55
1,681.75
516.78
346.39
2,544.92
0
1,865.97
104.23
1,970.20
574.72
24.42
2,534.97

12 mths

2,942.44
1,416.89
1,525.55
661.08
609.9
1,223.91
375.84
44.55
1,644.30
708.26
406.82
2,759.38
0
2,196.49
345.23
2,541.72
217.66
22.29
3,036.48

Mar '09
12 mths

133.03
133.03
0
0
1,976.00
1,364.86
3,473.89
304.41
1,657.57
1,961.98
5,435.87
Mar '09
12 mths

4,953.27
1,554.16
3,399.11
1,043.19
263.56
1,330.01
957.97
86.93
2,374.91
819.63
1.15
3,195.69
0
2,207.29
268.08
2,475.37
720.32
9.69
5,435.87

Contingent Liabilities
Book Value (Rs)

699.23
9.61

946.29 1,129.49 1,783.97

11.37
14.14
15.99

754.37
15.85

LIQUIDITY RATIO
current ratio
quick ratio
Debt equity ratio

1.086714 1.118941 0.901274 0.748603 1.075939

0.586608 0.442456 0.327674 0.191392 0.473386
0.75386 0.489876 0.338017 0.412987 0.564779

DEBT COVERAGE RATIO

Interest cover

12.29803 12.80349 20.01603 8.642473 2.351267

MANAGEMENT EFFICIENCY RATIO

Inventory turnover ratio
Debtor turnover ratio
Fixed asset turnover ratio
Asset turnover ratio

8.640544 6.869948 7.954565 7.499587 5.044782

10.6993 14.6122 16.28276 24.42215 7.003988
4.202968 4.389887 4.493835 4.271245 1.93144
2.396411 2.946479 3.358579 3.022849 1.234321

PROFITABILITY RATIO
Gross profit margin(%)
Net profit margin(%)
Return on net worth(%)
EPS (earning per share)

10.08288
5.529365
23.23974
2.28211

9.950262
5.278895
23.17375
2.679465

9.245789 9.80126 8.065148

5.183153 5.112967 2.831759
23.29223 21.83873 5.469373
3.333333 3.52775 1.428208

Profit & Loss account

of Ashok Leyland

------------------in Rs. Cr. -----------------Mar '05

Income
Sales Turnover
Excise Duty
Net Sales
Other Income
Stock Adjustments
Total Income
Expenditure
Raw Materials
Power & Fuel Cost
Employee Cost
Other Manufacturing Expenses
Selling and Admin Expenses
Miscellaneous Expenses
Preoperative Exp Capitalised
Total Expenses

Operating Profit
PBDIT
Interest
PBDT
Depreciation
Other Written Off
Profit Before Tax
Extra-ordinary items
PBT (Post Extra-ord Items)
Tax
Reported Net Profit
Total Value Addition
Preference Dividend
Equity Dividend
Corporate Dividend Tax
Per share data (annualised)

Mar '06

Mar '07

12 mths

12 mths

12 mths

4,908.52
639.16
4,269.36
71.77
18.2
4,359.33

6,200.54
840.6
5,359.94
76.61
300.6
5,737.15

8,513.93
1,155.05
7,358.88
101.02
48.98
7,508.88

3,102.68
49.66
354.05
28.57
151.42
178.84
-0.81
3,864.41
Mar '05

4,197.98
41.41
403.89
33.29
199.36
244.66
-0.41
5,120.18
Mar '06

5,570.18
45.44
480.7
41.7
259.5
324.31
-0.13
6,721.70
Mar '07

12 mths

12 mths

12 mths

423.15
494.92
30.4
464.52
121.36
0.3
342.86
0
342.86
83.6
271.41
761.72
0
118.93
16.91

540.36
616.97
38.37
578.6
126.01
0.31
452.28
0
452.28
124.98
327.32
922.18
0
159.79
22.41

686.16
787.18
31.82
755.36
150.57
0.3
604.49
2.96
607.45
163.22
441.29
1,151.50
0
198.58
27.85

Shares in issue (lakhs)

Earning Per Share (Rs)
Equity Dividend (%)
Book Value (Rs)

11,892.94 12,215.87 13,238.70

2.28
2.68
3.33
100
120
150
9.61

11.37

14.14

Mar '08

Mar '09

12 mths

12 mths

9,178.82
1,206.30
7,972.52
95.15
97.48
8,165.15

6,709.61
657.97
6,051.64
71.07
1.05
6,123.76

5,952.86
45.28
616.17
57.48
263.55
330.84
-0.67
7,265.51
Mar '08

4,554.36
38.42
566.26
50.3
381.48
0
-8.2
5,582.62
Mar '09

12 mths

12 mths

804.49
899.64
83.63
816.01
177.36
0.49
638.16
0
638.16
168.84
469.31
1,312.66
0
199.77
33.95

470.07
541.14
154.27
386.87
178.41
0
208.46
0.26
208.72
18.45
190
1,028.26
0
133.03
22.61

13,303.38 13,303.38
3.53
1.43
150
100
15.99

15.85

LIQUIDITY RATIO
current ratio
quick ratio
Debt equity ratio
DEBT COVERAGE RATIO
Interest cover
MANAGEMENT EFFICIENCY RATIO
Inventory turnover ratio
Debtor turnover ratio
Fixed asset turnover ratio
Asset turnover ratio
PROFITABILITY RATIO
Gross profit margin(%)
Net profit margin(%)
Return on net worth(%)
EPS (earning per share)

This ratio is around 1, however it increased from 0.7 after '08 and after that increase
This ratio shows the true current assets that is current asset minus inventory.we can
This ratio is constantly decreasing that financing through debt is decreasing and amo

This ratio has increased to a large extent but recently it has shown decline which is a

This ratio is decreasing for the period, it will be worse for the company because it wi
This ratio has constantly decreased from 10 to 7 recently, it will be worse for the com
It shows the sales on each rupee of fixed assets of a company.however it decreased
it shows the sales on each rupee of total assets of a company.it is increasing which is

it shows the total profitability of a company without taking into account taxes and de
it shows the net profitability of a company .it is decreased from 5% to 2% recently w
it is decreasing from 23% to 5%,which is a bad sign.
this ratio is increasing and then decreasing.

er '08 and after that increased to 1.

sset minus inventory.we can see that lavel of inventory is quiet high for Ashok Leyland because quick ratio is much less then the current r
h debt is decreasing and amount of equity in capital structure is increasing.

has shown decline which is a matter of concern.

r the company because it will increase the inventory conversion period.

y, it will be worse for the company because it will increase DSO.
mpany.however it decreased from 4 to 2 which shows that company was not able to achieve sales targets or market condition was not goo
pany.it is increasing which is good for the company in long term.

ng into account taxes and depriciation.it decreased mar'09

ed from 5% to 2% recently which is bad for the company to sustain its operations in long term.

tio is much less then the current ratio

s or market condition was not good.