1. Financial Accounting
Ratio Analysis
Manufacturing : Birla Ericsson
BANK: ICICI
IT: Wipro

2. BIRLA ERICSSON

3. Liquidity Ratio
Year Current Ratio Quick Ratio
MAR'08 3.848605578 1.804211725
MAR'09 3.494907658 2.291859166
MAR'10 4.482485756 3.189312903
MAR'11 1.51559245 0.994797229
MAR'12 1.258695258 0.87981811
Analysis:
 The ratios in 2009 & 2010 (3.4*4.48) show a very strong liquidity position of the company.
 In 11 & 12 the decrease in ratio may be due to the reduction in cash balances, the company may
have utilised these funds for the purchase of fixed assets

4. Profitability Ratio
1.4
Year Profit Margin POA ROE
1.2
1
MAR'09 -0.048069897 1.32549442 1.111651789
0.8
Profit Margin
0.6 POA
MAR'10 0.028679927 1.118506349 0.983608547
ROE
0.4
MAR'11 -0.062407124 0.754407331 0.577992019 0.2
0
MAR'12 -0.06235176 0.734744716 0.510221794 MAR'09 MAR'10 MAR'11 MAR'12
-0.2
Analysis:
 Profit Margin: After a increase in 2010 the profit margin has decreased
considerably. This is due to decrease in turn over of the company.
 Return on Equity: The ratio of the company has been on a decreasing trend due
to decrease in the amount of net income of the company. This indicates low
managerial efficiency and low productivity of the capital utilized.

5. Turnover Ratio
7
Year Inventory Turnover Ratio Asset Turnover Ratio 6
5
MAR'09 5.958472531 1.308147749
4 Inventory Turnover
Ratio
3
Asset Turnover Ratio
MAR'10 4.13772068 1.098216194
2
1
MAR'11 3.444529835 0.729297431
0
MAR'09 MAR'10 MAR'11 MAR'12
MAR'12 3.530779271 0.713254882
Analysis:
 Inventory Turn over Ratio: this ratio has decreased from 4137 to 3.44 in 2009 &
2010 resp. This may be due to high inventory/reduction in selling price and the
accumulation of stocks.
 Asset Turn Over Ratio: The decrease in the ratio from the year 2010 to 2011
shows the inability of the company to use its assets to efficiently generate sales.

6. Solvency Ratio
1.2
1
Year DEBT CAPITILISATION DEBT EQUITY
0.8
MAR'09 0.421715314 0.393392767 DEBT
0.6 CAPITILISATION
DEBT EQUITY
MAR'10 0.366285409 0.338435846 0.4
0.2
MAR'11 0.027432388 0.943972875
0
MAR'09 MAR'10 MAR'11 MAR'12
MAR'12 0.012714786 0.984717786
Analysis:
 The debt equity ratio of the company is less than 1, which indicates that the
majority of the assets are financed through equity and not by debt.
 This shows that the common share holder has low risk in investing in the
company.

7. Income and Funds Flow
5000
4500
Year Operating working capital Operating Cash 4000
3500
Mar'09 4331.01 404.75 3000
Operating working
2500 capital
Mar'10 4290.91 449.33 2000 Operating Cash
1500
Mar'11 1462.71 267.88
1000
500
Mar'12 1198.68 167.7
0
Mar'09 Mar'10 Mar'11 Mar'12
Analysis:
 Operating working capital is reducing over the years, because of increasing current
liabilities.

8. WIPRO

9. Liquidity Ratio
2.5
Year Current Ratio Quick Ratio
2
Mar'08 2.176285102 2.042985483
1.5
Mar'09 1.103857733 1.021259802
Current Ratio
1 Quick Ratio
Mar'10 1.971297854 1.846785113
0.5
Mar'11 1.968147448 1.831115312
0
Mar'12 2.359647071 2.228451589 Mar'08 Mar'09 Mar'10 Mar'11 Mar'12
Analysis:
CURRENT RATIO: The current ratio of the company fell from 2.1 times to 1.1 times in the year
2008-09, but has shown an increasing trend in the next 3 years. In the year 2012 the current ratio
has improved to 2.35 which indicates the company has worked on its liquidity management in a
positive way.
QUICK RATIO: The increasing trend in quick ratio after a fall in 2009, is a positive working capital
indicator. In the year 2012, the quick ratio has risen to 2.2 which shows the strong cash position in
managing the day to day affairs of the company.

10. Profitability Ratio
1.4
Profit Margin ROA ROE
1.2
0.1701219 1.166745502 0.958062645 1
0.8
0.141453924 1.199339377 0.910358736 Profit Margin
0.6 ROA
ROE
0.204939811 1.029165805 0.850626054 0.4
0.2
0.179826548 1.033393439 0.859046404
0
0.145667835 1.086742331 0.903962631 Mar'08 Mar'09 Mar'10 Mar'11 Mar'12
Analysis:
PROFIT MARGIN RATIO: This ratio of the company has been consistent over past
five year though a good sign but the company has made investments and has
expanded its production thereby using its profits efficiently.
RETURN ON EQUITY: The ROE ratio of the company has to steady at 0.9 over the
past five years. This is almost to the standard ratio level of 1:1..this states that the
company is giving steady results to its shareholders.

11. Turnover Ratio
9
8
Year Inventory Turnover Ratio Asset Turnover Ratio
7
Mar'08 7.005132783 1.144170646 6
5 Inventory Turnover
Mar'09 7.817232376 1.232980963 Ratio
4
Asset Turnover Ratio
Mar'10 6.442906574 0.99069433 3
2
Mar'11 5.525313836 1.012898523
1
Mar'12 6.264552286 1.074595296
0
Mar'08 Mar'09 Mar'10 Mar'11 Mar'12
Analysis:
INVENTORY TURNOVER RATIO : Company shows control over its stocks and material
management.The inventory turnover ratio of 7times, 6times and 5.7 times over the last 5
years shows the company has control over its stock and material management. the
conversion of stock into finished product which is more than the standard of 4times, shows
the efficiency of production of the company.
ASSET TURNOVER RATIO : This ratio signifies the relationship between asset and turnover.
The ratio of 1and above for the past five years shows that assets are optimally utilized to
get proportionate sales. The operating income has been efficiently applied in assets.

12. Income and Funds Flow
30000
Year OWC Operating Cash 25000
Mar'08 3954.2 16045.83708 20000
Mar'09 577.896 18648.54571 15000 OWC
Operating Cash
Mar'10 4734.3 20387.19459 10000
5000
Mar'11 5121.5 23013.37174
0
Mar'12 8136.4 25915.22883
Mar'08 Mar'09 Mar'10 Mar'11 Mar'12
Analysis:
 Company made considerable investments in buying assets, but in turn the
liabilities of the company are not increased , thus the operating working
capital of the company is strong.
 Net operating profit of the company is increased marginally over the years.
Since the operating income of the company is increased, the company has
strong base of operating cash.

13. ICICI

14. Solvency Ratio
1.6
Year DEBT CAPITILISATION DEBT EQUITY
1.4
Mar'08 0.32921357 1.32921357
1.2
1
Mar'09 0.400631243 1.400631243 DEBT
0.8 CAPITILISATION
0.6 DEBT EQUITY
Mar'10 0.312581958 1.312593262
0.4
Mar'11 0.222509369 1.222509369 0.2
0
Mar'12 0.215304384 1.215304384 Mar'08 Mar'09 Mar'10 Mar'11 Mar'12
Analysis:
 Majority of the assets are financed through equity and not by debt.
 Debt/Asset ratio increased in the year 2009, in this year company made
investments and changes in business plans.
 The consistent Debt/asset ratio shows that the company is in line with the
industry. There is considerable drop in the ratio from 40% to 21%

15. Liquidity Ratio
Year Current Liabilities Current Ratio
Mar'08 42895.39 1.335629773
Mar'09 43746.43 1.196391797
Mar'10 15501.18 3.613464265
Mar'11 15896.35 3.003678203
Mar'12 17576.98 3.171438438
Analysis:
 The current ratio has shown an increasing trend from 2010, which shows sound
liquidity position of the bank. The current ratio of the bank is much higher than the
standard ratio of the bank.

16. Profitability Ratio
0.9
0.8
PROFIT RETURN ON RETURN ON
Year MARGIN EQUITY ASSSETS 0.7
Mar'0 0.6 PROFIT MARGIN
8 0.104815088 0.847223667 0.099218807
0.5
Mar'0 RETURN ON
0.4
9 0.095845455 0.786045231 0.103375193 EQUITY
0.3
Mar'1 RETURN ON
0 0.121971456 0.639294887 0.090807337 0.2 ASSSETS
Mar'1 0.1
1 0.155710674 0.600515548 0.081438252
0
Mar'1 Mar'08 Mar'09 Mar'10 Mar'11 Mar'12
2 0.1559745 0.68621105 0.087513997
Analysis:
 The ROE has fallen from 2008 to 2009 but has shown improvement in 2011
to 2012 which indicates the bank is trying to utilise the capital in an optimal
way.
 The profit margin has increased minimally but the proportion to net income
which acts as a sound indicator of consistency.

17. Turnover Ratio
500000
450000
Year TOTAL ASSETS ASSET TURNOVER RATIO
400000
350000
Mar'08 399795.07 0.099218807
300000
TOTAL ASSETS
Mar'09 379300.96 0.103375193 250000
200000 ASSET
TURNOVER RATIO
Mar'10 363399.71 0.090807337 150000
100000
Mar'11 406233.67 0.081438252
50000
0
Mar'12 473647.09 0.087513997
Mar'08 Mar'09 Mar'10 Mar'11 Mar'12
Analysis:.
 Asset Turn Over Ratio: The decrease in the ratio shows that the bank is
struggling to manipulate its assets to improve the turn over. The ratio has
shown a decreasing trend after2009

18. Solvency Ratio
DEBT EQUITY RATIO
Year DEBT EQUITY RATIO 6.8
6.6
Mar'08 6.622769953 6.4
6.2
Mar'09 5.726828688
6 DEBT EQUITY
Mar'10 5.739820339 5.8 RATIO
5.6
Mar'11 6.083694539
5.4
Mar'12 6.550173536 5.2
Mar'08 Mar'09 Mar'10 Mar'11 Mar'12
Analysis:
 The debt equity ratio has increased from 2010 to 2011 which indicates
increase in volume of deposits and borrowings of the bank.

19. Income and Funds Flow
OPERATING CASH
15000
Year OPERATING CASH
10000
Mar'08 -11631.15
5000
Mar'09 -14188.49 0
Mar'08 Mar'09 Mar'10 Mar'11 Mar'12 OPERATING CASH
-5000
Mar'10 1869.21
-10000
Mar'11 -6908.52
-15000
Mar'12 9683.75 -20000
Analysis:

20. Presented By-
Hitesh Makhijani
Ankit Bhatia
Shweta Gundewar
Anuradha Pai
Kandarp Desai
- Thank You