Ratio Analysis Tata Tea Limited

Year 2007
Year ending on,31st March
Rs. in Lakhs
Liquidity Ratios
1 Current ratio: Current assets / Current Liabilities
CA:Current assets,Loans and advances 38696.27
CL:Current liabilities and provisions 33288.7
(CA/CL) 1.16
2 Quick ratio or Acid test ratio: (Current assets-inventories)/ Current Liabilities
CA:Current assets,Loans and advances 38696.27
Less:In:Inventories 18000.8
20695.47
CL:Current liabilities and provisions 33288.7
(CA-In)/(CL) 0.62
3 Cash ratio or Absolute liquidity ratio: (Cash +Marketable securities)/Current l
Ca: Cash and bank Balances 2153.12
Add: Marketable securities (Ms) 0
2153.12
CL:Current liabilities and provisions 33288.7
(Ca+Ms)/(CL) 0.06
Solvency Ratios
4 Debt – equity ratio: Long term debt/ equity (net worth)
Lf:Loan funds 79699.87
Sf:Shareholders funds 156555.77
(Lf)/(Sf) 0.51
5 Debt ratio: debt (long term)/ (debt (long term) + equity) or debt/capital employ
Lf:Loan funds 79699.87
Sf:Shareholders funds 156555.77
(Lf)+(Sf) 236255.64
(Lf)/(Lf+Sf) 0.34
6 Interest Coverage ratio : (earnings before interest and tax) / Interest
Profit Before Tax (PBT) 34976.66
Add:Interest (Net) (I) 1162.52
PBIT 36139.18
(PBIT/I) 31.09
Turnover Ratios
 7 Inventory turnover: Cost of goods sold or net sales/Average (or closing) inve
Sales and Services- Net (NS) 105447.32
E:Expenditure NA
Add:Excise Duty NA
Less:Interest NA
Cost of good sold [C] NA
Inventories (In) 18000.8
(C or Ns)/In 5.86
8 Days of Inventory holding: Number of days in the year (say 360)/ Inventory tu
Number of days in a year 360
Inventories turnover ratios 5.86
(360)/(ITR) 61.45
9 Debtors turnover ratio: Credit sales or net sales/ Average (or closing) debtor
S: Net Sales 105447.32
D:Debtors 6485.86
S/D 16.26
10 Collection period: Number of days in the year (say 360)/ Debtors turnover
Number of days in the year 360
Debtors turnover 16.26
(360)/(DTR) 22.14
11 Current assets turnover: Net sales/ Current assets
S: Net Sales 105447.32
CA:Current assets,Loans and advances 38696.27
S/CA 2.72
12 Net current assets turnover: Net sales/ Net current assets
S: Net Sales 105447.32
Net Current Assets 5407.57
S/(NCA) 19.5
13 Fixed assets turnover: Net sales/ Net fixed assets
S: Net Sales 105447.32
FA:Net Fixed Assets 24658.04
S/FA 4.28
14 Net assets turnover: Net sales/ Net assets or capital employed : (Net assets =
S: Net Sales 105447.32
FA:Net Fixed Assets 24658.04
Inv: Investments 204591.81
Net Current assets 5407.57
 Net assets 234657.42
(P/L:IB)/(NA) 0.45
Profitability Ratios
15 Profit Margin: (Profit before interest and tax (PBIT)/ Net sales)×100
PBIT 36139.18
S: Net Sales 105447.32
(PBIT/S)x100 34.27
16 Net margin: Profit after tax (PAT) ×100 / Net sales
PAT:Profit after taxation 30656.66
S:Net Sales 105447.32
(PAT/S)X100 29.07
17 Before tax return on investment: (PBIT/Net assets) ×100
PBIT 36139.18
FA:Net Fixed Assets 24658.04
Inv: Investments 204591.81
Net Current assets 5407.57
Net assets 234657.42
(PBIT)/(NA)×100 15.4
18 Return on equity: (PAT/Equity (net worth)) ×100
PAT:Profit after taxation 30656.66
Sf:Shareholders funds 156555.77
(PAT)/(Sf)×100 19.58
Equity-related Ratios
19 Earning per share (EPS): PAT/Number of ordinary shares
PAT:Profit after taxation (In Unit Rs.) 3065666000
Number of Equity Shares (N) 57236000
(PAT)/(N) 53.56
20 Dividends per share (DPS): Dividends/ Number of ordinary shares
PD:Proposed Dividend (In Unit Rs.) 927599000
Number of Equity Shares (N) 57236000
(PD)/(N) 16.21
Dividend per share declared by the company 15
21 Pay out ratios: (DPS/EPS)x100 or (Dividends/PAT)x100
DPS 15
EPS 53.56
(DPS)x100/(EPS) 28.01
22 Dividend Yield: (DPSx100)/Market value per share
 DPS 15
Market Value per share (Average)**1 740.39
(DPSx100)/Market value per share 2.03
23 Price/Earning ratio: Market value per share/ EPS
Market Value per share (Average)**1 740.39
EPS 53.56
Market Value per share/EPS 13.82
24 Earning Yield: (EPSx100)/ Market value per share
EPS 53.56
Market Value per share (Average)**1 740.39
(EPSx100)/ Market value per share 7.23
25 Book value per share: Net worth/ Number of ordinary shares
Sf:Shareholders funds (In Unit Rs.) 15655577000
Number of Equity Shares (N) 57236000
((Sf)/(N)) 273.53
Declared by the company:Book value
per Share (Rs.)*Computation excludes Investment Revaluation Reserves. 261.51
Investment-related Ratios
26 Return on assets or earning power (ROA): (PAT/ Average total assets (of the
PAT:Profit after taxation 30656.66
Fixed assets (Current Year) 24658.04
Investments (Current Year) 204591.81
Current assets (Current Year) 38696.27
Fixed assets (Last Year) 25031.35
Investments (Last Year) 110683.44
Current assets (Last Year) 30661.76
Average total assets 72387.11
(PAT/ATA)×100 42.35
27 Return on capital employed (ROCE): (EBIT(PBIT)/ Capital employed) ×100
PAT:Profit after taxation 30656.66
Sf:Shareholders funds 156555.77
(PAT)/(Sf)×100 19.58
Other Ratios
28 ROOSE (return on ordinary shareholders equity) / RONW (return on net worth
PAT:Profit after taxation 30656.66
Sf:Shareholders funds 156555.77
(PAT)/(Sf)×100 19.58
29 Du Pont analysis
 Interest Charges
Corporate Income tax
Cost of goods sold
Operating Expenses
Net sales+/-non operating surplus/deficit
Total Costs
Net Profit after tax 30656.66
Net sales 105447.32
Net Profit margin 29.07

Inventories
Other Current assets
Cash bank and marketable securities
Receivables
Current Assets 38696.27
Fixed Assets 25031.35
Total Assets 63727.62
Net sales 105447.32
Total Assets turnover 1.65

Return on Total assets 48.11

30 Operating Expenses Ratio

Operating Expenses (Annual Report Page 74) 25892.11
Expenditure (E) NA
Less:Interest (I) NA
Less:Depreciation (D) NA
E-(I+D) NA
Net Sales (S) 105447.32
(Operating Expenses or (E-(I+D)))x100 /S 24.55

**1 Tata Tea Company’s Share Price NSE

– As on 3rd April, 2006 875
– As on 30th March 2007 607.35
Average Price 740.39
Tata Tea Company’s Share Price NSE
– As on 1st April, 2005 540
– As on 31st March 2006 866.9
Average Price 714.67
GoodRick Stock Price Data:Year 2006(In Rs.)
Month The BombayStock Exchan
High
January 74.55
February 129.95
March 145.25
April 119.95
May 123
June 91.9
July 76.75
August 102.9
September 101.4
October 90.65
November 95.9
December 89.9
Total 1242.1
Average Price 2124.2/24=
ea Limited Goodricke Group Ltd.
Year 2006 Year 2006 Year 2005 Year 2007
nding on,31st March Year ending on,31st December
Rs. in Lakhs Rs.

30661.76 971,868,580 1,012,034,480

27237.79 372,003,451 390,040,222
1.13 2.61 2.59 times
Current Liabilities
30661.76 971,868,580 1,012,034,480
13956.85 481,118,763 506,135,998
16704.91 490,749,817 505,898,482
27237.79 372,003,451 390,040,222
0.61 1.32 1.3 times
ecurities)/Current liabilities
661.97 36,136,577 23,546,199
0 0 0
661.97 36136577 23546199
27237.79 372,003,451 390,040,222
0.02 0.1 0.06 times

24135.74 317,576,895 384,738,816

116126.51 694,352,890 670,156,381
0.21 0.46 0.57 times
ebt/capital employed
24135.74 317,576,895 384,738,816
116126.51 694,352,890 670,156,381
140262.25 1011929785 1,054,895,197
0.17 0.31 0.36 times
/ Interest
23052.02 76,431,890 45,297,738
896.59 30,043,900 31,179,900
23948.61 106,475,790 76,477,638
26.71 3.54 2.45 times
e (or closing) inventory.
96820.86
NA 2,201,211,258 2,111,916,728
NA 984,182 2,104,377
NA 30,043,900 31,179,900
NA 2,172,151,540 2,082,841,205
13956.85 481,118,763 506,135,998
6.94 4.51 4.12 times
360)/ Inventory turnover ratio.
360 360 360
6.94 4.52 4.12
51.9 79.73 87.48 Days
or closing) debtors (or accounts receivable (total debtors +bills receivable)
96820.86 2,212,835,693 2,098,444,640
5022.14 181,239,494 196,208,815
19.28 12.21 10.69 times
btors turnover
360 360 360
19.28 12.22 10.71
18.67 29.47 33.63 Days

96820.86 2,212,835,693 2,098,444,640

30661.76 971,868,580 1,012,034,480
3.16 2.28 2.07 times

96820.86 2,212,835,693 2,098,444,640

3423.97 599,865,129 621,994,258
28.28 3.69 3.37 times

96820.86 2,212,835,693 2,098,444,640

25031.35 451,841,662 476,341,614
3.87 4.9 4.41 times
yed : (Net assets = all assets – accumulated depreciation)
96820.86 2,212,835,693 2,098,444,640
25031.35 451,841,662 476,341,614
110683.44 470,116 470,116
3423.97 599,865,129 621,994,258
 139138.76 1,052,176,907 1,098,805,988
0.7 2.1 1.91 times

es)×100
23948.61 106475790 76477638
96820.86 2,212,835,693 2,098,444,640
24.73 4.81 3.64 %

18693.28 54,983,259 37,583,581

96820.86 2,212,835,693 2,098,444,640
19.31 2.48 1.79 %

23948.61 106475790 76477638

25031.35 451,841,662 476,341,614
110683.44 470,116 470,116
3423.97 599,865,129 621,994,258
139138.76 1052176907 1098805988
17.21 10.12 6.96 %

18693.28 54,983,259 37,583,581

116126.51 694,352,890 670,156,381
16.1 7.92 5.61 %

1869328000 54,983,259 37,583,581

56219857 21,600,000 21,599,759
33.25 2.55 1.74 3.58 Rs

674639000 27,000,000 16,200,000

56219857 21,600,000 21,599,759
12 1.25 0.75 Rs
12 Rs

12 1.25 0.75
33.25 2.55 1.74
36.09 49.12 43.1 %
 12 1.25 0.75
714.67 88.51 NA
1.68 1.41 NA %

714.67 88.51 NA
33.25 2.55 1.74
21.49 34.78 NA times

33.25 2.55 1.74

714.67 88.51 NA
4.65 2.88 NA %

11612651000 694,352,890 670,156,381

56219857 21,600,000 21,599,759
206.56 32.15 31.03 Rs
202.67 32.15 31.03 31.97 Rs

otal assets (of the given years, here 1998&97)) ×100 or ((PAT+ Interest)/Average fixed assets)
18693.28 54,983,259 37,583,581
25031.35 451,841,662 476,341,614
110683.44 470,116 470,116
30661.76 971,868,580 1,012,034,480
30268.7 476,341,614 NA
86586.32 470,116 NA
26596.6 1,012,034,480 NA
51638.03 485504428 NA
36.2 11.32 NA %
mployed) ×100
18693.28 54,983,259 37,583,581
116126.51 694,352,890 670,156,381
16.1 7.92 5.61 %

eturn on net worth): ((PAT-preferential dividends)/Net worth) ×100

18693.28 54,983,259 37,583,581
116126.51 694,352,890 670,156,381
16.1 7.92 5.61 %
 18693.28 54,983,259 37,583,581
96820.86 2,212,835,693 2,098,444,640
19.31 2.48 1.79 %

30661.76 971,868,580 1,012,034,480

30268.7 451,841,662 476,341,614
60930.46 1423710242 1488376094
96820.86 2,213,819,875 2,100,549,017
1.59 1.55 1.41 times

30.68 3.86 2.53 %

22840.15
NA 2,201,211,258 2,111,916,728
NA 30,043,900 31,179,900
NA 54,718,455 55,322,439
NA 2,116,448,903 2,025,414,389
96820.86 2,212,835,693 2,098,444,640
23.59 95.64 96.52 %

BSE CSE
874.8 870
607.85 607.35

BSE CSE
 527 526.15
867.95 960

mbayStock Exchange Ltd. (BSE)

Low Total
65.05
64.5
95.2
90.55
75.3
60.05
55
62
84
79.65
78.5
72.3
882.1 2124.2
88.51
/Average fixed assets) ×100