55

Eicher motors limited

21.

Revenue from operations (Continued)

Particulars

For the year ended

December 31, 2013

Rs. in crores
For the year ended
December 31, 2012

Details of products sold

Manufactured goods
1,763.06

Two wheelers

1,073.65

124.67

100.14

Total

1,887.73

1,173.79

22.95

Total

22.95

Spare parts and other components

Stock-in-trade
Spare parts and other allied products
22.

Other income

Particulars

For the year ended

December 31, 2013

Rs. in crores
For the year ended
December 31, 2012

Profit on sale of fixed assets

0.18

0.09

Dividend on unquoted non trade current investments

6.91

14.40

Dividend on long term unquoted trade investment in subsidiary company *

40.80

Profit on sale of unquoted non trade current investments

29.26

30.05

Exchange gain (net)

0.08

Rent income

1.20

- from banks on deposits

0.98

0.57

- from others

0.04

0.37

0.65

0.30

80.10

45.78

Interest income

Other income
Total
* Refer note no. 50
23.

Cost of raw materials and components consumed

Particulars

For the year ended

December 31, 2013

Inventory at the beginning of the year

Add: Purchases
Less: inventory at the end of the year
Less: material cost of vehicles capitalised
Less: Sale of raw materials and components to suppliers on cost to cost basis
Net consumption
24.

Rs. in crores
For the year ended
December 31, 2012

23.54

15.52

1,118.17

709.93

1,141.71

725.45

58.39

23.54

0.81

0.25

1,082.51

701.66

3.28

4.28

1,079.23

697.38

Purchase of stock-in-trade

Particulars

For the year ended

December 31, 2013

Spare parts and other allied products

Total

Rs. in crores
For the year ended
December 31, 2012

12.56

12.56

Annual Report 2013

56

25.

Change in inventories of finished goods, work-in-progress and stock-in-trade

Particulars

For the year ended

December 31, 2013

Rs. in crores
For the year ended
December 31, 2012

Inventories at the end of the year

Finished goods
Work-in-progress
Stock-in-trade
A

67.66

45.85

10.13

3.15

3.17

80.96

49.00

45.85

22.93

3.15

4.80

Inventories at the beginning of the year

Finished goods
Work-in-progress

49.00

27.73

Net change (B-A)

(31.96)

(21.27)

Stock-in-trade

26.

Employee benefits expenses

Particulars

For the year ended

December 31, 2013

Salaries, wages, bonus etc.

Contribution to provident and other funds
Staff welfare expenses
Total
27.

Rs. in crores
For the year ended
December 31, 2012

92.96

67.08

3.92

2.94

14.02

8.84

110.90

78.86

Finance costs

Particulars

For the year ended

December 31, 2013

Rs. in crores
For the year ended
December 31, 2012

Interest expense
On income tax

0.10

On other borrowings

0.17

0.22

0.27

0.26

Total
28.

0.04

Depreciation and amortisation expenses

Particulars

For the year ended

December 31, 2013
27.83

Depreciation of tangible assets

Amortisation of intangible assets
Total

Rs. in crores
For the year ended
December 31, 2012
15.79

2.58

1.36

30.41

17.15

57

Eicher motors limited

29.

Other expenses

Particulars

For the year ended

December 31, 2013

Rs. in crores

For the year ended

December 31, 2012

39.25

Stores and machinery spares consumed (including loose tools and packing material)

24.36

Increase/decrease in excise duty on finished goods

4.06

3.42

Loss on sale of fixed assets

0.06

0.08

Fixed assets discarded

Power and fuel
Insurance

0.02

0.30

17.68

11.01

1.91

1.12

Repairs and maintenance

Buildings

2.37

3.61

Plant and machinery

7.31

4.44

Others

4.56

2.79

Rates and taxes

3.23

1.45

Advertisement

6.71

7.23

22.58

13.36

Freight and handling charges

Incentives

2.47

2.50

Warranty

12.48

9.02

Other selling and distribution expenses

34.36

16.88

Rent

10.60

6.69

Legal and professional charges

13.06

12.98

Travelling expenses

10.99

7.84

3.87

Development expenses
0.23

Bad debts/advances written off

3.31
0.06

Less: Charged against provision for doubtful debts

0.04

and advances

0.19

Exchange loss (net)

Miscellaneous expenses
Total

30.

0.06

0.02

Provision for doubtful debts and advances

0.47

0.10

20.23

15.84

218.01

148.86

Estimated amount of contracts remaining to be executed on capital account and not provided for Rs. 62.49 crores (Rs. 31.95 crores).
The Company has other commitments, for purchase/sales orders which are issued after considering requirements per operating cycle for
purchase /sale of goods and services, employees benefits including union agreement in normal course of business. The Company does not
have any long term commitments or material non-cancellable contractual commitments/contracts, which might have material impact on the
financial statements.

31.

Research and development expenses:

Revenue expenditure on research and development incurred and expensed off during the year through the appropriate heads of account
aggregate Rs. 20.88 crores (Rs. 16.75 crores). The capital expenditure incurred during the year for research and development purposes
aggregate Rs. 10.89 crores (Rs 3.95 crores). The details of capital expenditure and revenue expenditure are as below:
Rs. in crores
Capital expenditure

For the year ended

December 31, 2013

For the year ended

December 31, 2012

Building - factory

0.08

0.25

Plant and equipment

2.24

1.90

Furniture and fittings

0.10

0.11

Office equipment

1.16

1.05

0.46

0.64

Vehicles
Intangible assets

1.34

Capital work in progress including intangible assets

under development

5.22

0.29

Pre-operative expenditure
Total

10.89

3.95

Annual Report 2013

58

31.

Research and development expenses: (Continued)

Rs. in crores
Revenue expenditure

For the year ended

December 31, 2013

For the year ended

December 31, 2012

10.68

7.56

Development expenses

3.43

3.20

Depreciation

2.60

2.04

Overheads

4.17

Employees costs

Total
32.

3.95

20.88

16.75

Provision for liabilities, other than for taxes on income and employee benefits
Rs. in crores
Warranty provisions

For the year ended

December 31, 2013

Opening balance
Additions during the year

33.

5.24

3.93

12.48

9.02

8.65

Amount utilised during the year

Closing balance

For the year ended

December 31, 2012

9.07

7.71

5.24

Contingent liabilities not provided for in respect of:

Rs. in crores
Particulars

As at
December 31, 2013

As at
December 31, 2012

a) In respect of demands contested by the Company:

54.98

54.99

- Sales tax matters

6.87

10.43

- Service tax matters

0.40

0.77

- Income tax matters

6.79

8.80

- Excise duty matters

b) Claims against the Company not acknowledged as debts

5.51

5.00

All the above matters are subject to legal proceedings in the ordinary course of business. The legal proceeding when ultimately concluded will
not, in the opinion of management, have a material effect on the result of operations or the financial position of the Company.
34.

Disclosure as per Micro, Small and Medium Enterprises Development Act, 2006 (MSMED)
Rs. in crores
Particulars

As at
December 31, 2013

As at
December 31, 2012

a) Amount payable to supplier under MSMED

(suppliers) as at the end of year
-Principal
- Interest due there on

8.27

4.32

b) Payment made to supplier beyond the appointed day

during the year
-Principal

- Interest due there on

c) Amount of interest due and payable for delay in payment (which

has been paid but beyond the appointed day during the year) but
without adding the interest under MSMED

d) Amount of interest accrued and remaining unpaid as at the

end of year

e) Amount of interest remaining due and payable to suppliers

disallowable as deductible expenditure under Income
Tax Act, 1961