new kalpataru

7/31/2019 New Kalpataru

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1.1 Name and Detail of Company

Its established over 3 decades ago in 1969 by Mr. Mofatraj P. Munot, a first

generation entrepreneur. The Group employs over 4,000 people. Kalpataru borrows its

name from the ancient Indian mythological tree - the Kalpa-Vriksha -beneath which all

wishes are fulfilled. The group's flagship company, Kalpataru Ltd. is a leading real estate

developer with premium residential and commercial complexes in Mumbai and Pune.

Pioneering the concept of creating lifestyle living, it has built more than 75 landmark

edifices in the last 39 years. With a team of 1,000 dedicated, Kalpataru has created an

incomparable brand and reputation for itself in the Property Development and Real Estate

industry.

Its pride at being one of the largest Property Groups in India, with development of

over 1.5 Million sq.ft at any point of time.

Every Kalpataru project reflects a "no compromise" attitude; one that manifests in

the architecture, engineering and construction of every project; from towering structures to

expansive complexes, Kalpataru has proven its commitment and expertise in every segment

of property development.

The residential complexes are replete with landscaped gardens, swimming pools,

gymnasium, and squash courts, clubhouses and several innovative amenities.

In an age where architecture is mainly utilitarian, Kalpataru endeavors to combine the

functional with the aesthetic and maintains the highest standards of quality right down to the

last detail. Kalpataru Power Transmission Limited is one of the leading companies in the

field of Turnkey projects for EHV Transmission Lines up to and including 800 KV in India

and Overseas. As an EPC contractor, scope of work includes design, testing, fabrication,

galvanizing of towers and construction activities from survey, civil works/ foundation,

erection to stringing and commissioning of EHV lines, besides procurement of items such as

conductors, insulators, hardware accessories etc. its also participates in Substation projects

on a partnership basis.

Its provide EPC services for Distribution Projects of 11/33 kv and also construct cross

country Pipelines, besides Telecom Towers.
http://www.kalpatarupower.com/distribution-projects-division.htmlhttp://www.kalpatarupower.com/pipeline-division.htmlhttp://www.kalpatarupower.com/pipeline-division.htmlhttp://www.kalpatarupower.com/distribution-projects-division.html


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Located at Gandhinagar Gujarat, in Western India, Kalpataru Power Transmission is a

public listed company with a turnover of USD 350 Million (Rs. 17.5 Billion) and annual

production of 80,000MTs till 2008-09. The company has a net worth of over USD 200

Million and an order booking of over Rs 30 Billion (USD 600 Million). The company has

also attained distinction of crossing the USD 800 Million (Rs. 40 Billion) market

capitalizations. On a combined basis (with JMC Projects), the consolidated turnover is poised

to cross Rs 32 Billion (USD 640 Million) by March, 2010

It is a part of the diversified Kalpataru Group which has a presence in Real Estate /

Property Development, Civil Contracting, International Trading and Consumer Goods &

Services. The Kalpataru group holds over 63% of the equity.

Kalpataru Power has two large Fabrication Plants with an annual installed capacity of

108,000MTs (with a capacity addition of 24,000MTs in Oct, 2009) one of the largest in the

world and is equipped with modern machineries (including 16 CNC machines) and

automated temperature controlled Galvanizing Baths, besides its own state-of-the-art Testing

Station and R & D Centre. It was the first company in 1994 in the Indian transmission

industry to be ISO 9001 certified.

About 650,000+MTs of towers and substation structures have already been designed,

manufactured and supplied over the last few years of which over 175,000MTs has been

exported. Over 250 Tower Tests of 132-500KV have been carried out successfully, including

125 nos. at our own Testing Station, which is one of the largest facilities of its kind in the

world.

Besides workmen at the plant & construction sites, the Company employs over 1,400

Managers and Staff. Also, a full-fledged Design / Engineering Department with over 35qualified design engineers using PLS Tower, i-tower, STADD, PLSCADD, BOCAD,

AUTOCAD faculties.

The Construction division has completed over 8,000+kms of turnkey projects in India

for various clients such as the Power Grid Corporation of India and various State Electricity

Boards (SEBs) of Gujarat, Karnataka, Maharashtra, Rajasthan, Andhra Pradesh, Rajasthan,

Orissa, Tamilnadu, and Madhya Pradesh.
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With a strong thrust on overseas markets, the Company is/has already exported

Towers or is executing/has completed Turnkey projects in:

Asia Middle East Africa America Australia

Nepal Iraq South Africa USA Tasmania

Bangladesh Turkey Uganda Canada

Thailand Syria Tanzania Mexico

Indonesia Qatar Kenya Peru

Vietnam UAE Nigeria

Malaysia Kuwait ZambiaPhilippines Ethiopia

Company Country Company Country

ABB SAE Italy Downer Australia

Alstom / Cegelec France Enel Power Italy

Cobra Spain Sumitomo Electric JapanETA UAE Siemens


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1.2. Detail of Group Companies

Subsidiaries of Kptl

Shree Shubham Logistics Limited:-

Shree Shubham Logistics Limited was incorporated in January, 2007, and

subsequently converted into a Public Limited company in April, 2007. SSLL is a subsidiary

of Kalpataru Power Transmission Limited (KPTL). KPTL holds around 80% stake in the

company.

SSLL is created to serve the needs of Agri and Non-Agri Commodity Storage in best

Present investment of company in SSLL is Rs. 16 crores in equity shares and Rs. 12.50

crores in preference share capital. SSLL is an 80% subsidiary of our company.

Practice ambient and temperature-controlled warehouses across major markets in

North, South and West India.

The main objectives of SSLL is to offer end-to-end logistics solutions with a pan-

India presence, to all the commodity stake holders in the agricultural and non-agricultural

segment including, but not limited to warehousing, cold storage services, and third party

logistics (3PL), across the country.

Jmc Projects (India) Ltd. (Jmc):-

During reporting period JMC has reported strong consolidated revenue of Rs.

1,311.95 crores (USD 257 million) an annualized rise of 43% as against Rs. 918.47 crores

(USD 180 million) in previous reporting period. Profit before tax as well as profit after tax

stood at Rs. 52.04 crores and Rs. 36.81 crores as against Rs. 47.51 crores and Rs. 30.57

crores respectively, reflecting a good performance.

MC has an order book exceeding Rs. 2,200 crores (USD 432 million). Your company

has strengthened JMC in terms of its capital base, business profile (through diversification)

and improved financial discipline which will enable the company to achieve rapid growth.

The company has invested Rs. 95.30 crores in JMC and hold 53.02% Stake in JMC.


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Energy link (India) Ltd (Ell):-

Energy link (India) Ltd. plans to foray into construction of commercial complexes and

integrated township targeting middle and upper middle class income households. During

reporting period, ELL has entered into MOU, for setting up a Multi Product SEZ with

Government of Gujarat during "Vibrant Gujarat", an Investors Meet for Infrastructure

development and is in the process of acquiring land near Ahmadabad for the same.

Present investment of kptl is ELL is Rs.1 crores in equity shares. ELL is a Wholly

Owned Subsidiary of our company.

Amber Real Estate Ltd. (Amber):

Amber Real Estate Ltd. decided to explore opportunity in the field of construction of

IT Parks, Software Technology Park etc. that company has 100% stake in Amber, to make an

entry by building IT Parks/ Software Technology Parks across the country. Amber is in the

initial stage of developing an IT Park in Mumbai. our company has invested Rs. 0.99 crores

towards equity capital in this company.


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1.3 Activity of Business

The KPTL has undergone activities are as under:-

1.3.1 Conservation of Energy:-

Transmission & Distribution Division:-

Following measures taken by the Company from time to time. Has helped us

maintaining energy consumption at optimum level:

1. Use of Voltage Stabilizer to regulate fluctuations in voltage of the Ahmadabad

Electricity Company supply, which helps to reduce energy consumption and eliminates

wastage.

2. Installed enough number of Capacitors at Electrical Control Panel Boards to

improve the overall power factor.

3. Took PNG Connection, an environment friendly fuel, for galvanizing plant and hot

bending machine to conserve the energy.

Total energy cost is less than 1% total turnover, which reflects success of the

company's efforts in this direction.

Bio-mass Energy Division:-

The company has diversified into Power Generation using renewable/non

conventional energy sources such as agricultural waste and crop residues (biomass) in the

State of Rajasthan.

The plants uses biomass (mustard crop residue / cotton sticks) and has established

infrastructure / logistics enabling it to collect over 75,000 MTs last year. Based on first hand


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experience and holding of buffer stocks, the company foresees no biomass collection risks in

Ganganagar.

Distribution companies of Jaipur, Jodhpur & Ajmer based on the Rajasthan State

Policy of Non-Conventional energy. Third party sale to Large Industrial Customer is also

permitted as per existing Policy & Regulatory guidelines. The Plant sale will be approx. 90

million units/kwh in 2007-08 to the Rajasthan Grid with timely payments.

Besides being environment friendly, the Project is expected to contribute to the prosperity

and sustainable development of the region, besides generating local employment

opportunities.

1.3.2 Infrastructure Division:-

Oil and Gas Pipeline Sector:-

After the Oil & Gas sector has been opened up in India, and the demand of energy per

capita has been rising steadily with the growth in economy, the demand of Pipelines for

natural gas and petroleum products in India has been witnessing a spurt. The phenomenon

has been replicated in many parts of world and as a result, more and more pipelines are being

set up in various parts of the world to facilitate transport connectivity between farthest points

to the source.

Natural gas has emerged as the dominant source of additional energy in world. There

exists a huge deficit of natural gas based on current production and demand data in India.

According to GAIL (India) Limited, the nodal agency for transportation of natural

gas, the demand for natural gas is increasing @12% per annum. Pipeline transports only 25%

of petroleum product consumed by Indian industry in spite of being cheaper than Railways

and Road transportation. It is estimated that total pipeline network would increase from the

present 16,000 km to 40,000 km in the next 3-4 years, total Capital Expenditure required for

Oil & Gas Network is estimated around USD 10 billion.

Logistics & Warehousing Business:-

According to industry estimates, storage capacity in the country vis--vis production

of vegetables and fruits stands at a meager 12% compared with the international average of

50%. The result: nearly 38% of the perishable goods, such as vegetables and fruits, are lost


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1.4 Organization Chart:-

Executive Chairman

Executive

DirectorManagement

VPMarketing

VPEngineering VP

Production

DVGeneralManager

SRManager

ConstructionVPFinance

Commercial

Engineering

Design

Drawing

Tower Test

QualityControl

Fabrication

Galvanizing

Dispatch

TowerTesting

DomesticPlanning

Computer

Raw/LineMaterial

Steel &Zinc

Miscellaneous

Overseas


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1.5 Location Chart:-

GH-7

Sector

28

PethapurGH-6

Kalpataru

power

transmission

limited


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1.6 PLANT LAYOUT

DMSDepartment

Plant

AdministrativeOffice

SecurityOffice

Garden

Parking

Facility

Entrance

G

I

D

C

R

O

A

D


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1.7 Board of Directors:-

POSITION MANAGEMENT BODY

Executive Director Mr. Manish Mohnot

Managing Director Mr. K. V. Mani

Dy. Managing Director Mr. Pankaj Sachdeva

President (Operations) Mr. Dinesh B. Patel

President (Finance &

Administration)

Mr. Kamal K. Jain

President (Engineering &

Marketing)

Mr. B.K. Satish

President (Pipelines) Mr. Gyan Prakash

Company Secretary Mr. Bajarang Ramdharani

1.8 Bankers and Auditors:-

Bankers:-

Indian Bank

Oriental Bank of Commerce

Union Bank of India

State Bank of India

Exim Bank

ICICI Bank Ltd.

HDFC Ltd.

Auditors:-

Mr. Kishan M. Mehta
http://www.kalpatarupower.com/kalpataru-management-team.html#manishhttp://www.kalpatarupower.com/kalpataru-management-team.html#manihttp://www.kalpatarupower.com/kalpataru-management-team.html#pankajhttp://www.kalpatarupower.com/kalpataru-management-team.html#pankajhttp://www.kalpatarupower.com/kalpataru-management-team.html#manihttp://www.kalpatarupower.com/kalpataru-management-team.html#manish


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1.9 Listing on Stock Exchange:-

Kalpataru Power Transmission Limited is a Public Listed Company with its shares

listed.

The Mumbai Stock Exchange Code 522287

The National Stock Exchange of India Ltd. KALPATPOWR

ISIN No. (Dematerialized Shares) INE220B01014

The Promoter Group:-

Kalpataru Group holds 63.68% of the equity share capital of the company with the

remaining shares held by over 12,000 shareholders.

1.10 Basic Detail of Company:-

Corporate Office:-

111, Maker Chambers IV, Nariman Point

Mumbai400 021

India.

Tel No.: 91-22-2282 2888 / 2288 4780

Fax No.: 91-22-2204 1548

Factory & Registered Office:-

Plot No. 101, Part III,

G.I.D.C. Estate, Sector 28,

Gandhinagar382 028, Gujarat, India

Tel No.: 91-79-2321 1951 / /2321 1955

Fax No.: 91-79-2321 1966 / 68 / 71

Email:[email protected]


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Website:-

www.kalpatarupower.com

International Partners:-

ABB SAE (Italy)

Downers (Australia)

Cegelec (France)Cobra (Spain)

Contracts for power utilizing with:-

EAIS (Turkey)

EEPCO (Ethopia)

ZESCO (Zambia)
http://www.kalpatarupower.com/http://www.kalpatarupower.com/


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1.11 Power Sector Scenario:-

The Ministry of Power has set a goal - Mission 2012: Power for All. A comprehensive

Blueprint for Power Sector development has been prepared encompassing an integrated

strategy for the sector development with objectives of sufficient power to achieve GDP

growth rate of 8%, Reliable of power, Quality power, Optimum power cost, and Commercial

viability of power industry and Power for all.

Strategies to achieve the objectives:-

Power Generation Strategy with focus on low cost generation, optimization of

capacity utilization, controlling the input cost, optimization of fuel mix, Technology up

gradation and utilization of Non Conventional energy sources.

Transmission Strategy with focus on development of National Grid including

Interstate connections, Technology up gradation & optimization of transmission cost.

Distribution strategyto achieve Distribution Reforms with focus on System up

gradation, loss reduction, theft control, consumer service orientation, quality power supply

commercialization, Decentralized distributed generation and supply for rural areas.

Regulation Strategy aimed at protecting Consumer interests and making the sector

commercially viable.

Communication Strategy for political consensus with media support to enhance the

genera; public awareness.


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1.11.1 Overview

The Government of India has an ambitious mission ofPOWER FOR ALL BY

2012. This mission would require that our installed generation capacity should be at

least 2, 00,000 MW by 2012 from the present level of 1, 14,000 MW. To be able to

reach this power to the entire country an expansion of the regional transmission

network and inter regional capacity to transmit power would be essential. The latter is

required because resources are unevenly distributed in the country and power needs to

be carried great distances to areas where load centres exist.

Certain provisions in the Electricity Act 2003 such as open access to the transmission

and distribution network, recognition of power trading as a distinct activity, the liberal

definition of a captive generating plant and provision for supply in rural areas are

expected to introduce and encourage competition in the electricity sector. It is

expected that all the above measures on the generation, transmission and distribution

front would result in formation of a robust electricity grid in the country.

The total Installed generating capacity in the country is over 1.35,000 MW and the total number ot consumers is over 144

million. Apart from an extensive transmission system network at 500 kV HVDC ,400kV 220 kV, 132 kV and 66 kV which has

developed to transmit the Power from the generating station to the grid substations, a vast network ot subtransmission in

distnbution system has also come up for the utilization of the power by the ultimate consumers.

However, due to lack of adequate investment on T&D works, the T&D losses have

been consistently on higher side, and reached to the level of 32.86% in the year 2000-

01.The reduction of these losses was essential to bring economic viability to the State

Utilities.

High technical losses in the system are primarily due to inadequate investments over

the years for system improvement works, which has resulted in unplanned extensions

of the distribution lines, overloading of the system elements like transformers and

conductors, and lack of adequate reactive power support.

The commercial losses are mainly due to low metering efficiency, theft & pilferages.

This may be eliminated by improving metering efficiency, proper energy accounting

& auditing and improved billing & collection efficiency. Fixing of accountability ofthe personnel / feeder managers may help considerably in reduction of AT&C loss.


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With the initiative of the Government of India and of the States, the Accelerated

Power Development & Reform Programme (APDRP) was launched in 2001, for the

strengthening of Sub Transmission and Distribution network and reduction in AT&C

losses.

The main objective of the programme was to bring Aggregate Technical &

Commercial (AT&C) losses below 15% in five years in urban and in high-density

areas. The APDRP programme is being restructured by the Government of India, so

that the desired level of 15% AT&C loss could be achieved by the end of 11th plan.

Rural Electricity involves supply of energy for two types of programmes:

a. Production oriented activities like minor irrigation, rural industries etc.;

b. Electrification of villages.

While the emphasis is laid on exploration of ground water potential and energisation of pump

sets/tube wells, which has a bearing on agricultural production, the accent in respect of areas

covered under the Revised Minimum Needs Programme (RMN P), is on village

electrification.

1.11.2 Rajiv Gandhi Grameen Vidyutikaran Yojana

Rajiv Gandhi Grameen Vidyutikaran Yojana (RGGVY) was launched in April-05 by

merging all ongoing schemes. Under the programmed 90% grant is provided by Govt. of

India and 10% as loan by REC to the State Governments. REC is the nodal agency for the

programme. The RGGVY aims at:

Electrifying all villages and habitations as per new definition

Providing access to electricity to all rural households

Providing electricity Connection to Below Poverty Line (BPL) families free of charge


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Infrastructure under RGGVY:

Rural Electricity Distribution Backbone (REDB) with 33/11 KV (or 66/11 KV) sub-

station of adequate capacity in blocks where these do not exist.

Village Electrification Infrastructure (VEI) with provision of distribution transformer

of appropriate capacity in villages/habitations.

Decentralized Distributed Generation (DDG) Systems based on conventional & non

conventional energy sources where grid supply is not feasible or cost-effective.

Size:-

India has the fifth largest electricity generation capacity in the world.

o Low per capita consumption at 631 units; less than half of China.

Transmission & Distribution network of 6.6 million circuit km - the third largest in

the world.

Structure:-

Majority of Generation, Transmission and Distribution capacities are with either

public sector companies or with State Electricity Boards (SEBs).

Private sector participation is increasing especially in Generation and Distribution.

o Distribution licenses for several cities are already with the private sector.

o Three large ultra-mega power projects of 4000MW each have been recently

awarded to the private sector on the basis of global tenders.

Policy:-

100% FDI permitted in Generation, Transmission & Distribution - the Government is

keen to draw private investment into the sector.

Policy framework: Electricity Act 2003 and National Electricity Policy 2005.


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Incentives: Income tax holiday for a block of 10 years in the first 15 years of

operation; waiver of capital goods' import duties on mega power projects (above

1,000 MW generation capacities).

Independent Regulators: Central Electricity Regulatory Commission for central PSUs

and inter-state issues. Each state has its own Electricity Regulatory Commission.

Outlook:-

Over 78,000 MW of new generation capacity is planned in the next five years.

o A corresponding investment is required in Transmission and Distribution

networks.

Power costs need to be reduced from the current high of 8-10 cents/unit by acombination of lower AT & C losses, increased generation efficiencies and added

low-cost generating capacity.

Potential:-

Large demand-supply gap: All India average energy shortfall of 9% and peak demand

shortfall of 14%.

The implementation of key reforms is likely to foster growth in all segments.

o Unbundling of vertically integrated SEBs

o Open Access to Transmission and Distribution networks

o Select distribution circles to be franchised/privatized

o Tariff reforms by regulatory authorities

Opportunities in Generation for:

o Ultra Mega Power Plants (UMPP)9 projects of 4000 MW each

o Coal based plants at pithead or coastal locations (imported coal)

o Natural Gas/CNG-based turbines at load centers or near gas terminals

o Hydel power potential of 150,000 MW is untapped as assessed by the

Government of India.


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o Renovation, modernization, up-rating and life extension of old thermal and

hydro power plants.

Opportunities in Transmission network ventures - additional 60,000 circuit km of

Transmission network expected by 2012

o Private sector participation possible through JV and 100% equity mode

Total investment opportunity of about US$ 150 billion over a 5 year horizon.


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1.RATIO ANALYSIS: -(1) Raw Material Conversation Period: - (In Days)

Stock of Raw material

= 360 days

Cost of Raw material consumed

Raw material holding period shows duration of raw material holding. In the year

2006-07 it is 403, in the year 2007-08 is decreases to 394, in the year 2008-09 it is increases

to 448 and in the year 2009-10 it decreases to 384 but in the year 2010-11 it increases to 40.

So here raw material holding period is decrease so it is not good for the company.

0.00

2,000.00

4,000.00

6,000.00

8,000.00

10,000.00

12,000.00

14,000.00

2006-07 2007-08 2008-09 2009-10 2010-11

Raw Material Inventory

Raw Material Consumed

Raw Material Inventory

Conversation Period

Particular 2006-07 2007-08 2008-09 2009-10 2010-11

Raw Material Inventory 7,682.46 8,400.45 10,466.18 11,168.49 12,476.71

Raw Material Consumed 6,866.57 7,682.46 8,400.45 10,466.18 11,168.49

Raw Material Inventory Conversation

Period 403 394 448 384 402


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(2) Finished Goods Holding Period:-

Stock of finished goods

= 360

Cost of goods sold days

Particular 2006-07 2007-08 2008-09 2009-10 2010-11

Finished goodsinventory 357768818 281053000 553190000 607554000 429189000

Cost of goodsinventory 1367461915 1537022000 2368861000 2689212000 2410372000

Finished goodconversation period 94 66 84 81 64

Finish good inventory shows duration of holding finish good. In the year2006-07 it is

94, in the year2007-08 it is 66 and in the year 2008-09 it is 84.in the year 2009-10 it is 81 and

in the year 2010-11 it is 64. So, company has high risk about the finish good holding.

Therefore company has to decrease it.

0

500000000

1E+09

1.5E+09

2E+09

2.5E+09

3E+09

2006-07 2007-08 2008-09 2009-10 2010-11

Finished goods inventory

Cost of goods inventory

Finished good conversation period


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(3) Debtors Collection Period:-

Debtor 360 days

=

Credit sales

(Note:-Here assumed that the whole sales are Credit Sales.)

The debtors collection period shows he period to which collection made from

debtors. In the year2006-07 it is157.62days, in the year2007-08 it is 125.60 days, in the year

2008-09 it is 157.045 days and in the year 2009-10 it increase to 164.52 days and in the year

2010-11 it also increase to171.52. So company have to think about to reduce collection

period.

0

50000

100000

150000

200000

250000

300000

350000

400000

450000

2006-07 2007-08 2008-09 2009-10 2010-11

Debtors

Bills Receivable

Total

Credit Sales/ Net Sales

Debtors Ratio

Particular 2006-07 2007-08 2008-09 2009-10 2010-11

Debtors 69993.89503 93,320.50 1,41,601.09 182,627.58 207,472.81

Bills Receivable 0 0 0 0 0

Total 69993.89503 65,068.31 97,715.66 132,212.68 207,472.81

Credit Sales/ Net

Sales

159867.55 267485.45 324,596.36 399,631.20 435,465.23

Debtors Ratio 157.617 125.60 157.045 164.52 171.52


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(4) Payable Deferral Period :-(in lacs.)

Creditor 360 days

=

Credit Purchases

(Note:-Here assumed that the whole Purchases are Credit Purchases.)

Payable deferral period shows the period to which payment made to creditors. In the year

2006-07 it is48.78 days, in the year 2007-08 it is 29.76 days and in the year 2008-09 it

decrease to 15.86 days, in the year 2010-11 it is decreases to 12.88 days and in the year 2010-

11 it decrease to 12.60. So it is beneficial for the company. So company has applied sound

payment policy. Therefore company has to reduce it in future.

0

200000

400000

600000

800000

1000000

1200000

1400000

1600000

1800000

2006-07 2007-08 2008-09 2009-10 2010-11

Creditors

Credit Purchase

Total Payment Deferral Period

Particular 2006-07 2007-08 2008-09 2009-10 2010-11

Creditors 24978.73 23450.35 31624.48 48015.88 57334.65

Credit Purchase 184333 283664 717565 1341410 1637350

Total Payment

Deferral Period 48.78 29.76 15.86 12.88 12.60


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(5) Summary of Net Operating Cycle

Particular 2006-07

(Days)

2007-08

(Days)

2008-09

(Days)

2009-10

(Days)

2010-11

(Days)

(1) R/M Conservation period 402.77 393.65 448.52 384.16 402.17

(2) FG Holding Period 94.19 65.82 84.07 81.33 64.10

(3) Debtors Collection period 157.617 125.60 157.045 164.52 171.52

Gross Operating Cycle 654.577 586.07 689.635 360.01 637.79

(-) Decrease in PDP 48.78 29.76 15.86 12.88 12.60

Net Operating Cycle 605.797 556.31 673.775 347.13 625.19

Operating cycle shows duration for which investment made to working capital. Here in the

year 2006-07 it is 606 days, in the year 2007-08 it is 557 days, in the year 2008- 09 it is 674

days and in the year 2009-10 it is 347.13 days and in the year 2010-11 it is 625.19 days. So

company has operated liberal credit policy and holding period. Therefore company needs to

reduce it in future because more operating cycle need more investment in working capital.

0

5E+09

1E+10

1.5E+10

2E+10

2.5E+10

2006-07 2007-08 2008-09 2009-10 2010-11

CA

CL

CR


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(6) Summary of Net Operating Cycle

Particular 2006-07

(Days)

2007-08

(Days)

2008-09

(Days)

2009-10

(Days)

2010-11

(Days)

(1) R/M Conservation period 402.77 393.65 448.52 384.16 402.17

(2) FG Holding Period 94.19 65.82 84.07 81.33 64.10

(3) Debtors Collection period 157.617 125.60 157.045 164.52 171.52

Gross Operating Cycle 654.577 586.07 689.635 360.01 637.79

(-) Decrease in PDP 48.78 29.76 15.86 12.88 12.60

Net Operating Cycle 605.797 556.31 673.775 347.13 625.19

Operating cycle shows duration for which investment made to working capital. Here in the

year 2006-07 it is 606 days, in the year 2007-08 it is 557 days, in the year 2008- 09 it is 674

days and in the year 2009-10 it is 347.13 days and in the year 2010-11 it is 625.19 days. So

company has operated liberal credit policy and holding period. Therefore company needs to

reduce it in future because more operating cycle need more investment in working capital.


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2.Ratio Related To Working Capital Analysis:-

(1) Ratio of Current Assets to Fixed Assets:-The financial manager should determine the optimum level of current assets so that

the wealth of shareholder maximized. A firm needs fixed and current assets to support a

particular level of output. However I, to support the same level; of output, the firm can have

different level of current assets. Generally, current assets do not increases in direct proportion

to output; current assets increases at decreasing rate with output.

Current Assets

=

Fixed Assets

Particular 2006-07 2007-08 2008-09 2009-10 2010-11

Current Assets 14796 14135.10 22028.23 24352.48 22296.74

Fixed Assets 20916.09 22461.90 26839.40 33847.86 37398.43

CA to FA Ratio 70.74 62.92 82.07 71.95 59.62

According to this ratio the aggressive plan is the most risky because a short-term

fund is maximum in this scheme; while short-term funds to total funds is minimum in the

conservative plan and is less risky. As per this approach the year 2006-07 it is 70.74, in the

year 2007-08 it is 62.92, in the year 2008-09 it is 82.07, in the year 2009-10 it is 71.95 and in

the year 2010-11 it is 59.62 .

0

50

100

2006-07 2007-08 2008-09 2009-10 2010-11

CA to FA Ratio

CA to FA Ratio


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(2) Level of Current Assets [Rs]:-

In 2006-07 is 87677.92, in the year 2007-08 is 99198.10 & in 2008-09 is 138324.21, in 2009-

10 it is 175354.97 & in the year 2010-11 it is195499.15 the position of net current assets is

better.

0

50000

100000

150000

200000

2006-07 2007-08 2008-09 2009-10 2010-11

Total Current assets

Total Current assets

Particular 2006-07 2007-08 2008-09 2009-10 2010-11

1) Inventory: - 14796 14135.10 22028.33 24352.48 22296.74

2) Sundry Debtors:- 53705.1 65068.31 97715.65 132212.68 141848.58

3) Cash & Bank Balances:- 9365.24 8917.16 4451.89 3687.15 14425.62

4) Advance Receivable 9811.58 11077.53 14128.34 15102.66 16928.21

Total Current assets 87677.92 99198.10 138324.21 175354.97 195499.15


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Estimation of Working Capital

0

50000

100000

150000

200000

250000

300000

350000

2006-07 2007-08 2008-09 2009-10 2010-11

Net Working Capital

Net Working Capital

Particular2006-07 2007-08 2008-09 2009-10 2010-11

Current Assets 87677.92 99198.10 138324.21 175354.97 195499.15

Less: Current Liabilities 45494.88 51309.59 72142.92 111588.89 128101.11

Net Working Capital 133172.8 47888.51 66181.29 63766.08 323600.26

Working capital = Current AssetsCurrent Liabilities


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CURRENT RATIO =CURRENT ASSET

CURRENT LIABILITY

CURRENT RATIO =CURRENNT ASSET/CURRENTLIABILITIES

2006-07 2007-08 2008-09 2009-10 2010-11

CA 9637156833 11792360582 16138817000 19571275000 22163585000

CL 4549487864 5130958999 7214292000 11158889000 14302033000

CR 2.118294876 2.298276128 2.237061793 1.753873078 1.549680734

This ratio measures the ability of the firm to meet current liability. The ideal

current ratio is 2:1. Here we can see that the ratio is around 2 times in every

year, it is good for the firm.

0

5E+09

1E+10

1.5E+10

2E+10

2.5E+10

2006-07 2007-08 2008-09 2009-10 2010-11

CA

CL

CR


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35/57


36/57


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LONG TERM FUND TO FIXED ASSET RATIO=

LONG TERM FUND

FIXED ASSET

LONG TERM FUND TO FIXED ASSET RATIO

2006-07 2007-08 2008-09 2009-10 2010-11LONG TERMFUND 3367105089 3258507305 6547062000 6043191000 4530836000

FIXED ASSET 2050435538 2226850410 2583990000 3349294000 3593584000

RATIO= 1.642141402 1.463280735 2.53370253 1.804317865 1.260812604

Useful to know whether the fixed assets have been purchase from funds. Here the ratio is

1.64 in 2006-07, 1.46 in 2007-08, 2.53 in 2008-09 .1.80 in 2009-10 and 1.26 in 2010-11.

0

1E+09

2E+09

3E+09

4E+09

5E+09

6E+09

7E+09

2006-07 2007-08 2008-09 2009-10 2010-11

LONG TERM FUND

FIXED ASSET

RATIO=


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P/E RATIO = MARKET PRICE

EPS

P/E RATIO= MARKET PRICE/ EPS

2006-07 2007-08 2008-09 2009-10 2010-11

Market Price 48.44 57.9 62.9 73.67 102.35

EPS 13.06 11.32 7.13 12.86 12.58

RATIO 3.71 5.11 8.82 5.73 8.14

0

20

40

60

80

100

120

2006-07 2007-08 2008-09 2009-10 2010-11

P/E RATIO

=

MARKET PRICE/ EPS

M P

EPS

RATIO


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RETURN ON CAPITAL EMPLOYED=

EBIT *100

CAPITAL EMPLOYED

RETURN ON CAPITAL EMPLOYED= EBIT/CAPITAL EMPLOYED*100

2006-07 2007-08 2008-09 2009-10 2010-11

EBIT 2.33 2.23 1.48 2.66 3.03

Cap. Employed 7.29 8.38 9.68 11.57 17.33

Ratio 31.96159122 26.61097852 15.2892562 22.99049265 17.48413156

Useful to know the profitability of the business. Here in the year 2006-07 the ratio was

31.96%, 26.61% in 2007-08. It was 15.29% in 2008-09 and 22.99% in 2009-10 which was

17.48% in 2010-11.

0

5

10

15

20

25

30

35

2006-07 2007-08 2008-09 2009-10 2010-11

RETURN ON CAPITAL EMPLOYED= EBIT/CAPITAL

EMPLOYED*100

EBIT

Cap.employed

ratio


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Degree of Operating Leverage (D.O.L.) (in millions): =Contribution/EBIT

year Contribution/EBIT Contribution/EBIT D.O.L.

2006-07 = (15669.6-1001.7)/2166.52 =14667.9/2166.52 =6.772007-08 = (17682.03-1386.77)/2015.52 =16295.26/2015.52 =8.08

2008-09 = (19136.22-1109.72)/1205.85 =18026.5/1205.85 =14.952009-10 = (26428.93-1489.91)/2275.96 =24939.02/2275.96 =10.962010-11 = (29344.48-1629.98)/2566.06 =27714.5/2566.06 =10.80

Degree of Financial Leverage (D.F.L.) (in Millions): =EBIT/EBT

Year EBIT/EBT D.F.L.

2006-07 =2166.52/1594.95 =1.36

2007-08 =2015.52/2015.52 =12008-09 =12058.47/9441.09 =1.282009-10 =22759.62/17045.62 =1.342010-11 =2566.06/1905.89 =1.35

Degree of Combine Leverage (D.C.L.): = D.O.L.* D.F.L.

Year D.O.L.*D.F.L. D.C.L.

2006-07 =6.77*1.36 =9.21

2007-08 =8.08*1 =8.082008-09 =14.95*1.28 =19.14

2009-10 =10.96*1.34 =14.69

2010-11 =10.80*1.35 =14.58


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Particulars 2006-07(In Lacs.)

2007-08(In Lacs.)

2008-09(In Lacs.)

2009-10(In Lacs.)

2010-11(In Lacs.)

Direct material

Opening stock of raw material 788.04 764.84 7844.01 9734.93 11790.82

Add: Purchased 7659.72 8420.01 106936.66 114424.96 112562.63

Less: Closing stock 765.30 784.40 9734.93 12475.03 15234.48

Wages 8100.83 6458.85 9669.84 14915.82 17885.06

Prime cost 17313.89 16428.1 114715.58 126600.68 127004.03Factory overheads

Erection & sub- contractingExp.

27675.41 33496.49 36650.66 73279.71 78512.79

Job charges 646.46 747.16 1048.46 1108.28 2567.72

Power & Fuel 608.63 515.5 650.56 612.8 683.26Excise Duty - - - - 184.91

Repairs & Maintenance:

Plant & Machinery 117.44 151.64 211.78 199.83 191.16

Building 73.73 59.73 83.52 136.84 100.77

Others 254.06 44.39 28.48 38.70 55.12

Freight & ForwardingExpenses

1661.36 2303.24 2359.52 2958.82 2496.42

Stores, spares and Toolsconsumed

621.73 660.89 833.62 1027.96 1037.70

Vehicles running & HireCharges

128.99 124.42 237.32 267.07 325.44

Testing Expense 39.23 147.18 131 47.12 176.49

Pollution Control Expenses 33.21 38.43 46.57 61.38 73.68

Other Operating Expenses 52.29 13.41 - - -

TOTAL 31683.90 38302.52 42281.49 79738.51 86405.46

Finished Goods 3577.69 2810.53 5531.9 6075.54 4291.89Semi Finished Goods 1250.73 941.73 1844.13 1145.75 2058.39

Scrap 913.06 60.28 77.23 175.3 224.43W.I.P. - - 1536.92 553.33 121.06

TOTAL 3812.53 4919.73 8990.18 7949.92 6695.77

Works cost 52810.32 59650.35 165987.25 214289.11 220105.26

Office overheads:-

Salaries 6458.85 8100.83 9669.84 14915.82 17885.06

Contribution to P.F. 296.71 474.76 671.51 754.72 925.43

Employee Welfare Expenses 405.52 482.89 520.44 505.19 531.42

TOTAL 7161.09 9058.49 10861.79 16175.73 19341.91

Cost of goods sold 59971.41 68675.84 176849.04 230464.84 239447.17


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Selling and distribution O/H:Insurance Charges 1027.34 1079.75 999.68 1196.15 1032.97Rent 495.67 649.29 910.65 1571.24 1662.31Rates & Taxes 11.58 46.23 26.32 124.03 147.74Stationery, Printing & Drawing Expenses 137.31 155.42 161.79 319.75 284.72

Telecommunication Expenses 201.53 232.21 262.43 357.46 373.52Travelling Expenses 540.15 689.85 918.82 1453.14 1431.64Legal & Professional Expenses 757.59 379.70 396.06 588.58 914.78Conveyance Expenses 42.75 61.39 - - -Service Charges 375.58 464.96 391.72 1688.91 1989.83Audit Fees 17.75 19.5 30 38 42General Expenses 272.30 267.09 379.05 409.18 420.09Preliminary Exp. Written Off 50.08 5.08 - - -Miscellaneous Expenses 513.93 1398.45 764.26 1120.34 1429.14Taxes & Duties 1988.95 2461.26 1266.7 1789.42 1884.97Loss on sale of assets

2.24 6.84 7.74 3.29 -Bad Debts Written Off - 11.09 11.98 8.86 2.3Balances Written Off 17.90 45.74 - 21.94 82.18Performance Warranties Expenses 2206.83 2123.59 1856.15 3698.74 3640.28Loss by Theft/Damage/Fire 28.10 107.58 66.94 244.33 306.07Service Tax 1368.23 3075.52 1491.86 918.63 1813.78Exchange Rate Variation (27.09) 130.72 775.9 (735.77) (1421.65)Carbon Credit Expenses 6.24 9.34 -Loss on Outstanding Contracts foroptions

- 453.77 8.4 31.15 263.04

Foreign Currency Translation Expenses - 3.35 5.89 50.73 .11

Provision for Diminution in value ofInvestments 0.135 - 1.3 - -

TOTAL 9990.06 13867.72 10733.76 14898.10 16299.82

Office Cost/Total cost 69961.47 82543.56 187582.8 245362.94 255746.99

Profit 69264.89 71969.83 3599.21 18119.52 37697.81

Sales 139226.36 154513.39 191185.01 263482.46 293444.80


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2006-07 2007-08 2008-09 2009-10 2010-11 2010-11

RS. IN BILLION USD In Million

Production in MTs 78,404 79,531 93,484 * 121,483 * 127055 * 127055

Gross Revenue 15.67 17.68 19.14 26.78 29.34 657.21

Sales Growth 79.9% 12.8% 8.2% 40.0% 9.6% 9.6%

International Revenue 4.01 5.01 5.19 11.58 9.70 217.27

Total Expenditure 13.18 15.27 17.28 23.58 25.98 581.88

Operating Profit (PBDIT & other income) 2.49 2.42 1.86 3.21 3.36 75.34

Other Income 0.12 0.21 0.31 0.35 0.51 11.44

Interest 0.28 0.40 0.68 0.90 0.85 19.02

Profit before depreciation & tax (PBDT) 2.33 2.23 1.48 2.66 3.03 67.76

Depreciation 0.17 0.22 0.27 0.38 0.46 10.29

Profit before Tax 2.17 2.02 1.21 2.28 2.57 57.47

Provision for Taxation (Incl. FBT & Deferred Tax) 0.57 0.52 0.26 0.57 0.66 14.79

Profit after Tax (PAT) 1.59 1.50 0.94 1.70 1.91 42.68

Profit betore Tax & Int. on Term Loans 2.23 2.08 1.29 2.46 2.73 0.61

Equity Share Capital 0.27 0.27 0.27 0.27 0.31 6.87

Net Worth (excluding Revaluation reserve &Debenture Redemption Reserve) 6.42 7.67 8.33 9.76 15.71 351.77

Total Borrowings 3.37 3.26 6.54 6.04 4.53 101.47

Capital Employed (Net Worth + Term Borrowings) 7.29 8.38 9.68 11.57 17.33 388.08

Debt Equity Ratio 0.52:1 0.43:1 0.79:1 0.62:1 0.29:1 0.29:1

Book Value Per Equity Share (Rs) (excludingrevaluation Reserve & Debenture RedemptionReserve)**

48.44 57.90 62.90 73.67 102.35 2.29

Earning per Equity Share (Rs.) ** 13.06 11.32 7.13 12.86 12.58 0.28


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Operating Profit 15.9% 13.7% 9.7% 12.0% 11.5% 11.5%

Profit before Tax 13.7% 11.3% 6.2% 8.4% 8.6% 8.6%

Profit after Tax 10.1% 8.4% 4.9% 6.3% 6.4% 6.4%

Order Book at year end 16.88 23.57 43.70 50.15 55.00 1231.80

Consolidated Financial highlights :

Gross Revenue 16.41 27.05 32.77 40.43 44.15 988.80

Profit after Tax (PAT) 1.61 1.65 1.11 1.78 2.00 44.81

Earning per Equity Share (Rs.) 13.21 12.44 8.37 13.41 13.21 0.30

Consolidated Order Book at year end 28.50 44.42 65.70 76.86 96.50 2,161.25

* The quantity includes production, on job work basis and purchased from/got processed from third parties.

** Face value of Shares: Rs. 10 each up to 07.09.2010 and Rs. 2 each w.e.f. 08.09.2010 on account of split of

Shares. The pre split EPS and book value per equity share are adjusted to make it comparable with post split

Share capital.

1 USD = Rs.44.65.


45/57

Balance SheetSchedule 2006-07 2007-08 2008-09 2009-10 2010-11

Source of fund:

Share capital A 2.685501 2.401804 1.761435 1.649589 1.493661

Reserve and surplus B 62.41851 67.18438 53.87003 59.85601 75.93755A+B 65.10401 69.58618 55.63147 61.50559 77.43122

Loan funds:Secured loans C 29.98142 26.81417 32.26681 31.9088 17.69391

Unsecure loans D 34.12213 2.719024 11.25102 5.70924 4.355848

C+D 34.12213 29.53319 43.51783 37.61804 22.04976

Deferred TAX 0.773857 0.880625 0.8507 0.876361 0.519028

TOTAL 100 100 100 100 100Application of funds:

Fixed assets: EGross block 26.01888 26.82529 23.86859 29.33508 26.20889

less: depreciation 5.239834 6.642424 6.693002 8.486183 8.72035

Net block a 20.77905 20.18286 17.17559 20.8489 17.48853Capital work inprogress b 0.417247 0.175286 0.66436 0.220933 0.711784

a+b 21.19629 20.35815 17.83995 21.06983 18.20031Investment F 22.18553 13.36987 8.429976 7.875325 19.25127

current asset; loan andadvances:

Inventories G 16.03902 13.93066 15.74564 16.73998 11.73031Accrued value of workdone 17.70833 25.89228 23.61786 20.49275 20.07858sundry debtors H 54.42458 58.97409 64.95087 82.3006 69.032

Cash & Bank Balance I 9.490703 8.081988 2.959138 2.295201 7.020369loan & Advances J 12.26685 13.70171 20.72356 26.6312 24.2894

109.9295 120.5807 127.9971 148.4597 132.1507

less: current liabilitiesand provisions Kcurrent liabilities 46.10436 46.50399 47.95286 69.46257 62.34166

Provisions 7.212121 7.804756 6.31414 7.942323 7.260584

53.31648 54.30875 54.267 77.40489 69.60224

Net current Assets 59.65319 66.27198 73.73008 71.05484 62.54842

Miscellaneousexpenditure L 0.005075

TOTAL 100 100 100 100 100


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Profit and Loss A/C

Particulars 2006-07 2007-08 2008-09 2009-10 2010-11

INCOME :

Sales & Services-Gross 100.7959 101.1598 97.38 100.85 100.75

Less : Excise Duty 2.709977 1.751763 1.58 1.76 2.07Sales & Services-Net 98.0859 99.40808 95.80 99.09 98.68Other Income 0.802204 1.229328 1.56 1.30 1.75

Provision for Diminution in value ofInvestments reversed

- - -

Increase(Decrease) in Stocks

a) Transmission & DistributionDivision: 1.115471 -0.63343 2.63 (0.39) (0.43)

b) Real Estate Division: -0.00358 -0.00398 - -

TOTAL 100 100 100 100 100

EXPENDITURE :

Material Cost (Refer Note :- 35) 50.78362 49.059 54.42 43.10 43.83Employees Emoluments 4.607854 5.182409 5.53 5.87 6.64Manufacturing & Operating Expenses 20.38723 21.91307 21.50 31.58 29.67

Administrative, Selling & OtherExpenses 6.428174 8.086415

5.65 5.61 5.60

Financial Expenses 2.773802 2.980777 5.39 3.82 3.87

Depreciation(Less: Transferred toRevaluation Reserve) 1.078717 1.247424

1.39 1.44 2.61

TOTAL 86.05939 88.46909 93.86 91.43 91.19PROFIT BEFORE TAX 13.94061 11.53091 6.14 8.57 8.81

Provision for TaxationCurrent Tax 0.345086 2.743817 1.11 2.10 2.38

Fringe Benefit Tax 0.108423 0.058612 0.06 - -Deferred Tax 0.118493 0.14964 1.16 0.05 (0.12)

NET PROFIT FOR THE YEAR

AFTER TAX 10.26284 8.5788494.80 6.42 6.54

Balance brought forward 6.334796 12.20242 16.28 14.15 16.73

(Less) : Prior Year's adjustments -0.00329 -0.00414 (0.002) 0.00001 (0.001)(Less)/ Add : Prior Year's Taxes -0.08692 (0.006) 0.03 -

AMOUNT AVAILABLE FORAPPROPRIATION 16.50741 20.77713

21.08 20.60 23.28

APPROPRIATIONS :Proposed Dividend 1.278871 1.137059 1.01 0.87 0.79

Add: Corporate Tax on Dividend 0.217347 0.193246 .17 0.12 0.115Transfer to Debentures RedemptionReserve

0.15 0.32 0.29

Transfer to General Reserve 1.286914 1.14421 0.61 0.94 1.03

Balance carried over to Balance Sheet 13.72428 18.30261 19.13 18..35 21.05

TOTAL 16.50741 20.7769 21.08 20.60 23.28No. of equity shares at the end of theyear

2,65,00,000 2,65,00,000 2,65,00,000 132,500,000

153,460,570

Weighted No. of equity shares at theend of period

2,65,00,000 2,65,00,000 2,65,00,000 132,500,000

151,450,652

Profit for calculation of E.P.S. (Rs.) 15949.53 14,995.23 9,441.09 17,045.62 19058.90

Nominal value of Equity shares (Rs.) 10 10.00 10.00 2.00 2.00

Basic/diluted earnings per share (Rs.) 65.32 56.59 35.63 12.86 12.58


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Trend analysis profit & loss a/c

Particulars 2006-07 2007-08 2008-09 2009-10 2010-11

INCOME :

Sales & Services-Gross 100 112.87 122.16 171 187.32

Less : Excise Duty 100 73 74 111.25 143.38

Sales & Services-Net 100 114 123.5 172.63 188.54

Other Income 100 172.36 246.7 277.65 409


- - - - -

Increase(Decrease) in Stocks

a) Transmission & Distribution Division: 100 (63) 5,177.63 (40) (72)

b) Real Estate Division: (100) (125) - -

TOTAL 100 112.5 126.44 171 187.41

EXPENDITURE :

Material Cost (Refer Note :- 35) 100 108.65 135.5 145 162Employees Emoluments 100 126.5 152 217.84 270

Manufacturing & Operating Expenses 100 121 133.3 264.7 272.71

Administrative, Selling & Other Expenses 100 141.49 111.08 149.10 163.16

Financial Expenses 100 120.86 244.94 235.50 261.64

Depreciation(Less: Transferred toRevaluation Reserve)

100 130.06 162.95 228.09 273.95

TOTAL 100 115.62 137.91 181.56 198.59

PROFIT BEFORE TAX 100 93.03 55.66 105.05 118.44

Provision for Taxation

Current Tax 100 894.28 408.35 1041.58 1294.61Fringe Benefit Tax 100 60.80 70.72 - -

Deferred Tax 100 142.04 167.37 69.51 (185.35)

NET PROFIT FOR THE YEAR AFTER

TAX

100 94.02 59.19 106.87 119.50

Balance brought forward 100 216.65 324.96 381.85 495.07

(Less) : Prior Year's adjustments 100 141.21 78.71 (1.95) 51.36

(Less)/ Add : Prior Year's Taxes 100 - 8.10 (59.37) -

AMOUNT AVAILABLE FOR

APPROPRIATION

100 0.55 0.63 0.83 1.03

APPROPRIATIONS :

Proposed Dividend 100 100 100 115.82 115.82Add: Corporate Tax on Dividend 100 100 100 96.76 99.20

Transfer to Debentures Redemption Reserve - - 300.00 850.00 850.00

Transfer to General Reserve 100 100 60 125 150

Balance carried over to Balance Sheet 100 150 176.25 228.51 287.44

TOTAL 100 141.56 161.45 213.29 264.27

No. of equity shares at the end of the year 2,65,00,000 2,65,00,000 2,65,00,000 132,500,000 153,460,570

Weighted No. of equity shares at the end ofperiod

2,65,00,000 2,65,00,000 2,65,00,000 132,500,000 151,450,652

Profit for calculation of E.P.S. (Rs.) 15949.53 14,995.23 9,441.09 17,045.62 19058.90

Nominal value of Equity shares (Rs.) 10 10.00 10.00 2.00 2.00

Basic/diluted earnings per share (Rs.) 65.32 ss56.59 35.63 12.86 12.58


48/57

Trend analysis

Schedule 7-8 8-9 9-10 10-11 11-12

Source of fund:

Share capital A 100 100 100 100 115.58

Reserve and surplus B 100 120.35 131.58 156.11 253.34A+B 100 119.51 130.27 153.8 247.66

Loan funds:Secured loans C 100 87.86 144.17 152.24 108

Unsecure loans D 300 169 91 89

C+D 100 96.77 194.44 179.48 134.56Deferred TAX 100 127.24 167.6 184.36 139.66

TOTAL 100 111.81 152.46 162./8 208.24Application of funds:

Fixed assets: EGross block 100 115.28 139.86 183.55 209.75

less: depreciation 100 141.74 194.74 136 346.55

Net block a 100 108.6 126.02 163.35 175.26

Capital work in progress b 100 48 242.75 86.20 346.4

a+b 100 107.4 128.3 161.8 178.6Investment F 100 67 58 58 180


Inventories G 100 97 150 170 152.3Accrued value of workdone 100 163.5 203 188.4 236.11sundry debtors H 100 121.16 182 246.18 264

Cash & Bank Balance I 100 95 47 40 154.03loan & Advances J 100 125 257.57 353.43 412.32

100 122.65 177.5 229 250.32less: current liabilitiesand provisions K

current liabilities 100 112.78 158.57 245.28 281 57Provisions 100 121 133.5 179.28 271.79

100 114 155.18 236.35 271.84

Net current Assets 100 124.22 188.44 194 218.34Miscellaneousexpenditure L 100 - - -

TOTAL 100 111.81 152.46 163.13 208.23


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Budgets

Material purchase budget

Direct material

Opening stock of raw

material

788.04 765.30 784.401 973.49 1247.50

Add: Purchased 7659.72 8420.01 10693.6 11442.496 11256.263

Less: Closing stock 765.30 784.40 973.49 1247.50 1523.448

Estimated cost of purchase 7682.46 8400.91 10504.51 11168.49 10980.32

Production budget

Sales 139226.36 154513.39 191185.01 263482.46 293444.80

Less Finished Goods: op 3577.69 2810.53 5531.9 6075.54 4291.89

Add: Finished Goods: clo 2810.53 5531.9 6075.54 4291.89 2058.39

Estimated cost of production 138459.2 157234.76 191728.65 261698.81 291211.3


50/57

After completing of the analysis ofKALPATARU POWER TRANSMISSION

LIMITED I can say that the Analysis is very important for management students like me.

Practical knowledge is a very important in the every field. It was great experience during the

Analysis and I learnt practically knowledge. I also took some experience about the

organizations work. The employees of the company were supportive during the Analysis.

They provide us the proper guidance and information about all the departments like

marketing, finance, production and personnel, etc. The unit maintains the financial position

also because of good relationship with bank, debtors, creditors and others.


51/57

1) Reference Books of Financial Management I M Pandey, Financial Management 8th Edition, Vikas publishing House Pvt Ltd,New Delhi, 2003.

M Y Khan & P K Jain, Financial Management 4th Edition, Tata McGraw- Hill

Publishing Company Limited, New Delhi, 2004.

2) Auditors Report Financial Year 2006-2007.

Financial Year 2007-2008.




3) Website List

http://energybusiness.in/kalptaru-bags-transmission-project-order-kenya

http://www.kalpataru.com/contactus/project.asp

http://www.zimbio.com/Govt+Jobs+in+India/articles/ezDdFII83zh/Kalptaru+Power+Transmission+Ltd+Chhattisgarh
http://energybusiness.in/kalptaru-bags-transmission-project-order-kenyahttp://energybusiness.in/kalptaru-bags-transmission-project-order-kenya


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Schedule 2006-07 2007-08 2008-09 2009-10 2010-11

Source of fund:

Share capital A 265000000 265000000 265000000 265000000 306921000

Reserve and surplus B 6159335775 7412702737 8104504000 9615632000 15603828000A+B 6424335775 7677702737 8369504000 9880632000 15910749000

Loan funds:Secured loans C 2958507305 2958507305 4854396000 5126024000 3635786000

Unsecure loans D 3367105089 300000000 1692666000 917167000 895050000

C+D 3367105089 3258507305 6547062000 6043191000 4530836000Deferred TAX 76362642 97162642 127984000 140784000 106651000

TOTAL 9867803505 11033372684 15044550000 16064607000 20548236000Application of funds:

Fixed assets: EGross block 2567492018 2959733797 3590922000 4712566000 5385465000

less: depreciation 517056481 732883387 1006932000 1363272000 1791878000

Net block a 2050435538 2226850410 2583990000 3349294000 3593584000Capital work inprogress b 41173141 19339934 99950000 35492000 146259000

a+b 2091608679 2246190344 2683940000 3384786000 3739843000Investment F 2189224419 1475147952 1268252000 1265140000 3955797000


Inventories G 1582699085 1537021784 2368861000 2689212000 2410372000Accrued value of workdone 1747423665 2856792251 3553201000 3292080000 4125793000sundry debtors H 5370510150 6506830664 9771566000 13221268000 14184858000

Cash & Bank Balance I 936523933 891715883 445189000 368715000 1442562000loan & Advances J 1210468551 1511760623 3117767000 4278198000 4991044000

1084762538

4 13304121205 19256584000 23849473000 27154629000less: current liabilitiesand provisions K

current liabilities 4549487864 5130958999 7214292000 11158889000 12810111000Provisions 711677891 861127819 949934000 1275903000 1491922000

5261165737 5992086818 8164226000 12434792000 14302033000

Net current Assets 5886459647 7312034388 11092358000 11414681000 12852596000Miscellaneousexpenditure L 500760 - - -

TOTAL 9867803505 11033372684 15044550000 16064607000 20548236000


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PROFIT & LOSS ACCOUNT FOR THE PERIOD ENDED ON 31 ST MARCH, 2008

Particulars 2006-07 2007-08 2008-09 2009-10 2010-11

INCOME :Sales & Services-Gross 156647.40 1,76,820.35 1,91,362.20 267,846.38 293,444.80

Less : Excise Duty 4211.59 3,061.96 3,112.35 4,685.61 6,038.67

Sales & Services-Net 152435.82 1,73,758.39 1,88,249.85 263,160.77 287,406.13Other Income 1246.71 2,148.78 3,075.63 3,461.50 5,107.02


- - - - -

Increase(Decrease) in Stocksa) Transmission & Distribution

Division:1733.56 (1,107.19) 5,177.63 (1,040.26) (1,254.15)

b) Real Estate Division: (5.56) (6.95) - -

TOTAL 155410.53 1,74,793.03 1,96,503.10 265,582.01 291,259.00

EXPENDITURE :

Material Cost (Refer Note :- 35) 78923.09 85,751.71 1,06,946.78 114,480.80 127,679.63Employees Emoluments 7161.09 9,058.49 10,861.79 15,600.21 19,341.91

Manufacturing & Operating Expenses 31683.90 38,302.52 42,248.27 83,871.11 86,405.46Administrative, Selling & OtherExpenses

9990.06 14,134.49 11,097.16 14,894.80 16,299.82

Financial Expenses 4310.78 5,210.19 10,558.82 10,151.70 11,278.93

Depreciation(Less: Transferred toRevaluation Reserve)

1676.44 2,180.41 2,731.81 3,823.77 4592.67

TOTAL 133745.35 1,54,637.80 1,84,444.63 242822.39 265,598.42PROFIT BEFORE TAX 21665.18 20,155.23 12,058.47 22759.62 25,660.58

Provision for Taxation

Current Tax 536.3 4,796.00 2,190.00 5586.00 6,943.00Fringe Benefit Tax 168.5 102.45 119.17 - -Deferred Tax 184.15 261.56 308.21 128.00 (341.32)

NET PROFIT FOR THE YEAR

AFTER TAX

15949.53 14,995.23 9,441.09 17045.62 19,058.90

Balance brought forward 9844.94 21,328.98 31,991.69 37592.54 48739.71

(Less) : Prior Year's adjustments (5.12) (7.23) (4.03) 0.10 (2.63)(Less)/ Add : Prior Year's Taxes (135.09) - (10.94) 80.20 -

AMOUNT AVAILABLE FOR

APPROPRIATION

25654.25 36,316.97 41,417.82 54,718.46 67,795.98

APPROPRIATIONS :

Proposed Dividend 1987.5 1,987.50 1,987.50 2,301.91 2,301.91Add: Corporate Tax on Dividend 337.78 337.78 337.78 326.84 335.09

Transfer to Debentures RedemptionReserve

- - 300.00 850.00 850.00

Transfer to General Reserve 2000 2,000.00 1,200.00 2,500.00 3,000.00Balance carried over to Balance Sheet 21328.98 31,991.69 37,592.54 48,739.71 61,308.98

TOTAL 25654.26 36,316.57 41,417.82 54,718.46 67,795.98No. of equity shares at the end of theyear

2,65,00,000 2,65,00,000 2,65,00,000 132,500,000 153,460,570

Weighted No. of equity shares at theend of period

2,65,00,000 2,65,00,000 2,65,00,000 132,500,000

151,450,652

Profit for calculation of E.P.S. (Rs.) 15949.53 14,995.23 9,441.09 17,045.62 19058.90Nominal value of Equity shares (Rs.) 10 10.00 10.00 2.00 2.00

Basic/diluted earnings per share (Rs.) 65.32 56.59 35.63 12.86 12.58


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Liabilities RS. Assets RS.Source of fund: Application of funds:

Share capital 265000000 Fixed assets:

Reserve and surplus 7412702737 Gross block 2959733797

7677702737 less: depreciation 732883387Loan funds: Net block 2226850410

Secured loans 2958507305 Capital work in progress 19339934

Unsecure loans 300000000 22461903443258507305 Investment 1475147952Deferred TAX 97162642 current asset; loan and advances:

Inventories 1537021784

Accrued value of work done 2856792251

sundry debtors 6506830664

Cash & Bank Balance 891715883

loan & Advances 1511760623

13304121205

less: current liabilities and provisions

current liabilities 5130958999

Provisions 8611278195992086818

Net current Assets 7312034388

Miscellaneous expenditure -

TOTAL 11033372684 TOTAL 11033372684


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8369504000 less: depreciation 1006932000

Loan funds: Net block 2583990000


Unsecure loans 1692666000 2683940000

6547062000 Investment 1268252000Deferred TAX 127984000 current asset; loan and advances:






19256584000



Provisions 9499340008164226000



TOTAL 15044550000 TOTAL 15044550000


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Liabilities RS. Assets RS.

Source of fund: Application of funds:




Loan funds: Net block 3349294000Secured loans 5126024000 Capital work in progress 35492000

Unsecure loans 917167000 33847860006043191000 Investment 1265140000

Deferred TAX 140784000 current asset; loan and advances:






23849473000



Provisions 1275903000

12434792000



TOTAL 16064607000 TOTAL 16064607000


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Loan funds: Net block 3349294000


Unsecure loans 917167000 3384786000

6043191000 Investment 1265140000Deferred TAX 140784000 current asset; loan and advances:






23849473000



Provisions 127590300012434792000



TOTAL 16064607000 TOTAL 16064607000

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