SAINTGITS INSTITUTE OF

MANAGEMENT

PROJECT
OF
FINANCIAL STATEMENT ANALYSIS

Submitted To Submitted By
JINOMOL Ma’am AJIN PAUL
Associate Professor Batch- B
MBA 2019-2021

SUBMITTED ON-23-11-2020
ULTRATECH CEMENTS
UltraTech Cement Limited is the largest manufacturer of cement in India and ranks among the
world’s leading cement makers. UltraTech’s vision is to be ‘The Leader’ in Building Solutions. The
company has a consolidated capacityof 102.75 million tonnes per annum (MTPA) of grey cement.
UltraTech has a strong presence in international markets such as Bangladesh, UAE, Sri Lanka and
Bahrain. UltraTech is a founding member of the Global Cement & Concrete Association.
It operates 20 integrated units, 26 grinding units, seven bulk terminals and one clinkerisation plant
for grey cement, one integrated white cement unit, two wallcare putty plants and over 100 RMC
plants. UltraTech has a dealer and retailer network of over 80,000 partners across the country, with a
market reach of more than 80% Indian cities and towns.
DuPont Analysis
The DuPont analysis (also known as the DuPont identity or DuPont model) is a framework for
analyzing fundamental performance popularized by the DuPont Corporation. DuPont analysis is a
useful technique used to decompose the different drivers of return on equity (ROE). The
decomposition of ROE allows investors to focus on the key metrics of financial performance
individually to identify strengths and weaknesses.
A DuPont analysis is used to evaluate the component parts of a company's return on equity (ROE).
This allows an investor to determine what financial activities are contributing the most to the changes
in ROE. An investor can use analysis like this to compare the operational efficiency of two similar
firms. Managers can use DuPont analysis to identify strengths or weaknesses that should be
addressed.
DuPont Analysis Components
DuPont analysis breaks ROE into its constituent components to determine which of these factors are
most responsible for changes in ROE.

Net Profit Margin

Profit Margin=Net Profit/Sales

Asset Turnover Ratio

Asset Turnover Ratio=Net Sales/Long term Assets

Financial Leverage

Financial Leverage=Long term Asset/Equity

Return On Equity
Return On Equity= Net Profit/Equity
Return On Asset
Return On Asset=Net Profit/Long term Asset

DUPONT ANALYSIS OF ULTRA TECH CEMENTS FOR LAST 10 YEARS

YEAR SALES EQUITY NET PROFIT ASSETS
2019-20 42124.83 288.63 5816.07 57065.40
2018-19 41608.81 274.64 2402.97 56593
2017-18 30978.62 274.61 2222.30 43787.39
2016-17 25374.9 274.51 2714.90 26806.04
2015-16 28391.59 274.43 2479.61 28555.12
2014-15 2438.96 274.40 2102.11 27302.53
2013-14 21652.20 274.24 2212.78 20756.34
2012-13 21319.09 274.18 2688.07 19592.67
2011-12 19235.70 274.07 2397.26 16141.06
2010-11 13798.10 274.04 1361.07 12916.36

DUPONT ANALYSIS OF ULTRATECH CEMENTS

ROE ROA ATR NET PROFIT FINANCIAL
MRGIN LEVERAGE

20.15061 0.101919 0.738185 0.138067501 197.7112566

8.749527 0.042461 0.735229 0.057751471 206.0624818
8.092568 0.050752 0.707478 0.071736572 159.4530061
9.889986 0.101279 0.946611 0.106991555 97.65050454
9.035492 0.086836 0.994273 0.087336074 104.0524724
7.660751 0.076993 0.089331 0.861887854 99.49901603
8.068772 0.106607 1.043161 0.102196544 75.68677071
9.804034 0.137198 1.088116 0.126087464 71.45915092
8.746889 0.148519 1.191725 0.124625566 58.89393221
4.966684 0.105376 1.068265 0.098641842 47.13311925
 Ambuja Cements

year Sales Equity Net Profit Assets

2020 27103 397 2763 40182
2019 26040 397 2960 37340
2018 23608 397 1932 35512
2017 20093 397 1422 32823
2016 9481 310 807 14132
2015 9819 310 807 14161
2014 10407 309 1496 13900
2013 9553 309 1294 12964
2012 10079 308 1297 12424
2011 8802 306 1228 11541
Return return on asset net profit leverage
on asset turn margin
equity over
ratio
6.96 0.07 0.67 0.102 101.21411
7.46 0.08 0.70 0.114 94.055416
4.87 0.05 0.66 0.082 89.450882
3.58 0.04 0.61 0.071 82.677582
2.60 0.06 0.67 0.085 45.587097
2.60 0.06 0.69 0.082 45.680645
4.84 0.11 0.75 0.144 44.983819
4.19 0.10 0.74 0.135 41.954693
4.21 0.10 0.81 0.129 40.337662
4.01 0.11 0.76 0.140 37.715686
Inference:
Comparing with ultra tech cements, there was decrease in return on equity and also there was a
decline in net profit margin and asset turnover ratio also showed a decrease.
Ramco Cements

year Sales Equity Net Profit Assets

2020 5357 23 604 10132
2019 5136 23 507 8203
2018 4318 23 560 7158
2017 3856 23 654 7070
2016 3559 23 531 6944
2015 3604 23 243 7074
2014 3632 23 114 6845
2013 3830 23 403 6471
2012 3223 23 385 6058
2011 2616 23 210 5704
 Return on equity return on asset asset turn over net profit margin leverage
ratio
26.26 0.06 0.53 0.113 440.52174
22.04 0.06 0.63 0.099 356.65217
24.35 0.08 0.60 0.130 311.21739
28.43 0.09 0.55 0.170 307.3913
23.09 0.08 0.51 0.149 301.91304
10.57 0.03 0.51 0.067 307.56522
4.96 0.02 0.53 0.031 297.6087
17.52 0.06 0.59 0.105 281.34783
16.74 0.06 0.53 0.119 263.3913
9.13 0.04 0.46 0.080 248
Inference:
Compared to ultratech cements, Ramco has an increase in return on equity, and a slight decrease in
asset turnover ratio and an increase in net profit margin.

ACC

asset
Return return turn net
Net on on over profit
year Sales Equity Pro Assets equity asset ratio margin Leverage
fit
2020 15343 187 1358 17135 7.26 0.08 0.90 0.089 91.63101604
2019 14477 187 1506 16055 8.05 0.09 0.90 0.104 85.85561497
2018 12930 187 915 14845 4.89 0.06 0.87 0.071 79.38502674
2017 10767 187 602 13386 3.22 0.04 0.80 0.056 71.5828877
2016 11432 187 591 12799 3.16 0.05 0.89 0.052 68.44385027
2015 11480 187 1150 12681 6.15 0.09 0.91 0.100 67.81283422
2014 10908 187 1081 12101 5.78 0.09 0.90 0.099 64.71122995
2013 11130 187 1049 11928 5.61 0.09 0.93 0.094 63.78609626
2012 10012 187 1289 11920 6.89 0.11 0.84 0.129 63.74331551
2011 8189 187 1074 11215 5.74 0.10 0.73 0.131 59.97326203
 Mar- Mar- Mar- Mar- Mar- Mar- Mar- Mar- Mar- Mar-
Year 20 19 18 17 16 15 14 13 12 11
5,397. 4,919. 4,542. 3,703. 3,531. 3,337. 2,781. 2,904. 2,537. 2,083.
Sales 13 19 59 55 04 32 54 04 85 08
Equity 77.27 77.27 69.93 69.93 69.93 69.93 69.93 69.93 69.93 69.93
Net
Profit 400.38 324.9 341.87 210.78 101.54 156.92 97.03 233.5 177.33 64.05
5
4,977. 4,191. 3,684. 3,784. 3,643. 3,529. 3,414. 2,471. 2,400. 2,394.
Assets 29 91 50 85 24 14 55 79 86 92
Return
on Equity
5.18 4.20 4.89 3.01 1.45 2.24 1.39 3.34 2.54 0.92
Return on
Assets
0.08 0.08 0.09 0.06 0.03 0.04 0.03 0.09 0.07 0.03
Asset
Turnov er
Ratio
1.08 1.17 1.23 0.98 0.97 0.95 0.81 1.17 1.06 0.87
Net Profit
Margin
0.07 0.07 0.08 0.06 0.03 0.05 0.03 0.08 0.07 0.03
Leverage
64.41 54.25 52.69 54.12 52.10 50.47 48.83 35.35 34.33 34.25
Compared to ultra tech Cements, ACC has got decrease in return on equity, the profit had
decreased and increased asset turnover ratio. The leverage was showed an increase.