Bank of Baroda Consolidated balance sheet ( in rupee crores)

EQUITY AND LIABILITIES

SHAREHOLDERS FUNDS
Share Capital
Reserves and Surplus
MINORITY INTEREST
NON-CURRENT LIABILITIES
Policy Liabilities (Policyholders Fund)
Long-term borrowings
Long-term provisions
CURRENT LIABILITIES
Short-term borrowings
Trade Payables
Other current liabilities
policy liabilities (policyholder's fund)
Borrowings
Others
Short-term provisions
TOTAL EQUITY AND LIABILITIES
ASSETS
NON-CURRENT ASSETS:
Fixed assets
(i) Tangible assets
(ii) Intangible assets
(iii) Capital work in Progress
(iv) Intangible assets under Development
GOODWILL ON CONSOLIDATION
Non-current investments
Deferred tax asset (net)
Long-term loans and advances
Loans
Others
Other non-current assets
CURRENT ASSETS:
Current investments
Trade receivables
Cash and bank balances with RBI
balances with BANKS, call money
Short-term loans and advances
Loans

31.03.2013
422.51
32,859.25
33,281.76
110.05
344,944.55
13,276.47
16,804.67
408,417.50
13,276.47

137,694.34

559,388.31
408,417.50

2550.42

93,453.04

333,625.19
9,893.58
439522.23
32164.01

14,151.18
73,550.88

Others
Other current assets
TOTAL ASSETS

559,388.30

31.03.2012
412.38
28,103.10
28,515.48
91.18
279,121.60
11,799.02
12,590.51
332,117.79
11,799.02

113,494.34

457,411.15
332,117.79

2428.19

61,080.00

292077.13
10,399.32
365984.64
25617.05

22,268.34
43,542.00

457,412.03

Reformulated balance sheet

as at 31.03.2013
Net operating assets
Operating assets
current investments
trade receivables
cash and bank balances
short term loans and advances
other current assets
Fixed assets
Intangible assets
Cash and bank balances with RBI
balances with BANKS, call money
goodwill on consolidation
deferred tax asset(net)
Non-current Investments
long term loans and advances
deficit in the revenue account
other non-current assets
total operating assets
Operating liabilities
short term borrowings (deposits)
trade payables
short term provisions
policy liabilities (current)
Borrowings
others
policy liabilities (non-current)
long term borrowings(deposits)
other long-term liabilities
long-term provisions
total operating liabilities
Net operating assets
Net financial obligations
short term borrowings(other than deposits)
Long term borrowings(other than deposits)

Share Capital
Reserve & Surplus
Minority Interest
CSE

0.00
0
14,151.18
0.00
0.00
2550.42
0
14,151.18
73,550.88
0
0
93,453.04
333,625.19
9,893.58
541,375.47
13,276.47
0.00
0.00
137,694.34
0.00
0.00
344,944.55
13,276.47
16,804.67
525,996.50
15,378.97

-18,012.84
0.00
-18,012.84
422.51
32,859.25
110.05
33,391.81

NFO+CSE

15,378.97

as at 31.03.2012

0.00
0
22,268.34
0.00
0.00
2428.19
0
22,268.34
43,542.00
0
0
61,080.00
292,077.13
10,399.32
454,063.32
11,799.02
0.00
0.00
113,494.34
0.00
0.00
279,121.60
11,799.02
12,590.51
428,804.49
25,258.83

-3,347.83
0.00
-3,347.83
412.38
28,103.10
91.18
28,606.66

25,258.83

BOB Consolidated Income statement

INCOME
Interest Earned
profit on sale of investments
Other Income
Premium from Insurance Business
Other Operating Income from Insurance Business
Total Revenue
EXPENSES
Finance Cost
Operating Expense
Provisions and Contingencies
Other Expenses
Total
Consolidated Profit before Minority Interest and share of earning in Associates
Share of earnings in Associates
Consolidated Net Profit for the year
before deducting Minority interest
Less : Minority Interest
Consolidated Profit for the year
attributable to the group
Balance in Profit and Loss A/c brought
forward
Amount available for appropriation
Transfer to Statutory Reserve
Transfer to Capital Reserve
Transfer to Special Reserve u/s 36 (1) (viii)
Transfer to Revenue & Other Reserves
Proposed Dividend (Including Dividend Tax
Balance carried over to consolidated
Balance Sheet
Investment Reserve Account
Total
Diluted

36,442.05
0
4510.62

30,488.49
0
4100.41

0
40,952.67

0
34,588.90

24,486.41
6306.36
5409.42

19,724.24
5455.54
4192.73

36,202.19
4,750.48
78.54

29,372.51
5,216.28
53.12

4,829.02
-24.79

5,269.40
-20.83

4,804.23

5,248.57

178.72
4,982.95
1,148.70
81.44
852.48
1559.49
1,059.62

138.66
5,387.23
1,272.75
47.72
537.15
2607.32
812.29

281.19

178.72
-68.73
5,455.95

4,982.92

Reformulated Income statement

Operating Revenue
Interest Earned
profit on sale of investments
Premium from Insurance Business
Operating Income from Insurance Business

36,442.05
0

30,488.49
0

36,442.05

30,488.49

24,486.41
6306.36
5409.42
78.54

19,724.24
5455.54
4192.73
53.12

Balance in Profit and Loss A/c brought

forward
Transfer to Statutory Reserve
Transfer to Capital Reserve

178.72
1,148.70
81.44

138.66
1,272.75
47.72

Transfer to Special Reserve u/s 36 (1) (viii)

Transfer to Revenue & Other Reserves

852.48
1,559.49

537.15
2,607.32

Proposed Dividend (Including Dividend Tax

1,059.62

812.29

281.19
0.00

178.72
-68.73

36,160.86

30,309.77

36,160.86

30,309.77

-1827.7
-1827.7
34,333.16
-24.79
34,308.37

-1744.47
-1744.47
28,565.30
-20.83
28,544.47

Operating Expenses
Finance Cost
Operating Expense
Provisions and Contingencies
Share of earnings in Associates

Balance carried over to consolidated

Balance Sheet
Investment Reserve Account
Operating income from sales(before tax)
Tax as reported
less tax allocated to other operating income
operating income from sales(after tax)
Other Operating Income
less tax on other operating income
Other operating Income (after tax)
operating income(after tax)
less Minority interest
comprehensive income available to common

BOB Consolidated cash flow statement(Rupee in crores)

A Cash flow from operating activities
net Profit before taxes
Depreciation on fixed assets
Depreciation on investments
Bad debts written-off/Provision in respect of
Provision for Standard Asse
Provision for Other items
(Profit)/loss on sale of fixed assets
Payment/provision for interest on subordinated debt
Sub total
Adjustments for:
(Increase)/Decrease in investments
(Increase)/Decrease in advances
(increase)/Decrease in other assets
Increase/(Decrease)in borrowings
Increase/(Decrease) in deposits
Increase/(Decrease) in other liabilities and
Direct taxes paid (Net of Refund)
net cash from operating activities (A)
B. Cash flow from investing activities :
Purchase of fixed assets
Sale of fixed assets
net cash from investing activities (B)
C. Cash flow from financing activities:
Share Capital
Share premium
Unsecured Subordinated BOBds
Dividend
Interest paid / payable on unsecured
net cash from financing activities (C)
net increase in cash & cash equivalents
Cash and cash equivalents as at the beginning
Cash and cash equivalents as at end beginning

5,248.36
321.70
220.55
3,501.01
395.21
848.5
1.22
930.27
11,466.82

6,336.03
295.48
238.81
1,892.81
449.66
523.98
-79.87
914.36
10,571.26

-39140.62
-45049.05
1889.31
2,852.58
90022.94
2981.62
-1827.7
23,195.90

-12781.62
-61884.83
-3545
1,031.35
81012.69
1928.7
-1744.47
14,588.08

-560.09
45.94
-514.15

-456.14
40.02
-416.12

10.13
839.86
102.3
-812.29
-930.27
-790.27

19.57
1625.11
188.37
-753.35
-914.36
165.34

21,891.48
65810.38
87,701.86

14,337.30
51423.72
65,761.02

Reformulated cash flow statement

Reported cash from operations
cash investments reported
free cash flow

23,195.90
514.15
22,681.75

14,588.08
416.12
14,171.96

financing flows
Debt & Equityfinancing
Change in Cash

790.27
21,891.48

-165.34
14,337.30

financing flows

22,681.75

14,171.96

(in Rs crore)
LIC housing finance
GRUH finance
HDFC

sales

earnings
7,659.60
650.44
35,948.18

1,054.00
145.88
5,465.25

average multiples for comparables * BOB's number

sales
earnings
book value
average valuation
no of outstanding shares(IN crores)
Share price from valuation

5.5506638629
27.323729947
7.2163397338

x
x
x

Book value
Market value
P/S
P/E
6532.5516
14,044.77
1.8336166379 13.3252087287
490.7784
6028.09
9.2677110879 41.3222511653
32060.4

ables * BOB's number

36,442.05
34,308.37
33,391.81

BOB's valuation
=
=
=

202277.57
937432.64
240966.65
460225.62
349
1318.70

P/B
2.149966944
12.2827125236

2009
EPS
DPS
BPS
ROCE
RE(10% charge)
discount rate(1.10^t)
present value of RE
total present value of RE
Continuing value
(assuming 5% growth in RE)
present value of CV
value per share

485.27

90.4010607199

400.4070760194
976.0781367393

2010
91.57
0
576.84
0.1886990747
43.043
1.1
39.13

2011
2012
75
89
0
0
651.84
740.84
0.1300187227
0.1365365734
17.316
23.816
1.21
1.331
14.3107438017 17.8933132983

2013
102
0
842.84
0.1376815507
27.916
1.4641
19.06700362
586.236

1429.076

summarized reformulated balance sh

Operating assets
operating liabilities
net operating assets
net financial Obligations
CSE

summarized reformulated income state

Operating Revenues
total Operating expenses
operating income from sales(after tax)
operating income after tax
comprehensive income to common(after minority interest)

Ratio analysis
Operating liability leverage
capitalization ratio
Financial leverage ratio
return on net operating assets
operating profit margin
sales profit margin
other items profit margin
comprehensive income profit margin
operating expense ratio
ROCE
asset turnover

Residual Earnings( in rupee crores) ( Assuming cost of capital=10%)

Growth Rate in sales
Growth Rate in operating income(after tax)
Growth rate in CSE

rized reformulated balance sheet (in rupee crores)

as on 31.03.2013
as on 31.03.2012
541,375.47
454,063.32
525,996.50
428,804.49
15,378.97
25,258.83
-18,013
-3,348
33,392
28,607

ed reformulated income statement (in rupee crores)

as on 31.03.2013
as on 31.03.2012
36,442.05
30,488.49
281.19
178.72
36,160.86
30,309.77
34,333.16
28,565.30
34,308.37
28,544.47

2588.71%
65.55%
34.45%
168.97%
94.21%
99.23%
-5.02%
94.15%
0.77%
102.74%
179.35%

26531.2081075791
19.53%
20.19%
16.73%

-0.3911447997

Residual operating income valuation

Operating income (OI)

NOA
RNOA
Residual operating income (ReOI)
Discount rate
PV of ReOI
Total PV of ReOI
Continuing value
PV of CV
Enterprise value
Book value of net financial assets
Value of common equity
value per share

2013
36,160.86
15,378.97

83902.355007
176337.91066
275619.23567
-18,013
257606.39567
1666.2768155

2014E
2015E
2016E
2017E
40138.5546 44553.8 49454.71 54894.73
17685.8155 20338.69 23389.49 26897.91
261.00% 251.92% 243.16%
36908.9709 40839.77 45183.59 49982.94
1.21
1.4641 1.771561
30503.28174 27894.12 25504.96

beta
rf
rm
d
cv-

312393.4

1.3
0.08
0.18
0.21
312393.4