Hero Motocorp

Consolidated Balance Sheet

Source- Moneycontrol.com

Year Mar-22 Mar-21

EQUITIES AND LIABILITIES
SHAREHOLDER'S FUNDS
Equity Share Capital 39.96 39.96
Total Share Capital 39.96 39.96
Reserves and Surplus 15782.24 15357.42
Total Reserves and Surplus 15782.24 15357.42
Employees Stock Options 24.45 19.04
Total Shareholders Funds 15846.65 15416.42
Minority Interest 148.05 143.19
NON-CURRENT LIABILITIES
Long Term Borrowings 36.17 45.18
Deferred Tax Liabilities [Net] 378.21 452.74
Other Long Term Liabilities 370.55 358.46
Long Term Provisions 181.13 175.57
Total Non-Current Liabilities 966.06 1031.95
CURRENT LIABILITIES
Short Term Borrowings 317.31 285.16
Trade Payables 4343.09 5264.18
Other Current Liabilities 678.08 779.37
Short Term Provisions 179.15 175.82
Total Current Liabilities 5517.63 6504.53
Total Capital And Liabilities 22478.39 23096.09
ASSETS
NON-CURRENT ASSETS
Tangible Assets 5872.24 6061.91
Intangible Assets 321.3 318.48
Capital Work-In-Progress 149.13 236.4
Intangible Assets Under Development 368.09 258.73
Fixed Assets 6710.76 6875.52
Non-Current Investments 4657.56 4356.28
Long Term Loans And Advances 59.44 52.64
Other Non-Current Assets 478.41 441.17
Total Non-Current Assets 11906.17 11725.61
CURRENT ASSETS
Current Investments 5870.31 6225.34
Inventories 1472.41 1789.27
Trade Receivables 2158.49 2274.68
Cash And Cash Equivalents 299.74 396.24
Short Term Loans And Advances 22.81 39.77
OtherCurrentAssets 748.46 645.18
Total Current Assets 10572.22 11370.48
Total Assets 22478.39 23096.09
OTHER ADDITIONAL INFORMATION
CONTINGENT LIABILITIES, COMMITMENTS
Contingent Liabilities 659.37 488.61
BONUS DETAILS
Bonus Equity Share Capital 23.96 23.96
NON-CURRENT INVESTMENTS
Non-Current Investments Quoted Market Value 989.37 614.74
Non-Current Investments Unquoted Book Value 3668.19 3741.78
CURRENT INVESTMENTS
Current Investments Quoted Market Value 85.48 89.44
Current Investments Unquoted Book Value 5786.62 6136.94

Debt to equity Ratio 0.0223408 0.0214543

Total current assets - trade receivables - inventory- prepaid

expenses 6941.32 7306.53
Liquidity Coverage 2.7456667 2.4497102

Quick Ratio = B67/ Current Liabilities 1.2580256 1.1232987

Consolidated Profit & Loss account ------------------- in Rs. Cr. ---------------

Mar 22 Mar-21

12 mths 12 mths

INCOME
Revenue From Operations [Gross] 28977.64 30451.59
Less: Excise/Sevice Tax/Other Levies 0 0
Revenue From Operations [Net] 28977.64 30451.59
Other Operating Revenues 573.64 507.6
Total Operating Revenues 29551.28 30959.19
Other Income 555.01 557.9
Total Revenue 30106.29 31517.09
EXPENSES
Cost Of Materials Consumed 20845.74 21968.04
Purchase Of Stock-In Trade 45.95 31.14
Changes In Inventories Of FG,WIP And Stock-In Trade 28.67 -255.57
Employee Benefit Expenses 1995.78 1951.02
Finance Costs 53.1 46.41
Depreciation And Amortisation Expenses 689.52 715.12
Other Expenses 3190.37 3165.05
Total Expenses 26849.13 27621.21
Profit/Loss Before Exceptional, ExtraOrdinary Items And Tax 3257.16 3895.88
Exceptional Items 0 0
Profit/Loss Before Tax 3257.16 3895.88
Tax Expenses-Continued Operations
Current Tax 805.44 931.38
Deferred Tax -76.38 -18.11
Total Tax Expenses 729.06 913.27
Profit/Loss After Tax And Before ExtraOrdinary Items 2528.1 2982.61
Profit/Loss From Continuing Operations 2528.1 2982.61
Profit/Loss For The Period 2528.1 2982.61
Minority Interest -12.17 -18.3
Share Of Profit/Loss Of Associates -199.05 -46.56
Consolidated Profit/Loss After MI And Associates 2316.88 2917.75
OTHER ADDITIONAL INFORMATION
EARNINGS PER SHARE
Basic EPS (Rs.) 116 146
Diluted EPS (Rs.) 116 146
DIVIDEND AND DIVIDEND PERCENTAGE
Equity Share Dividend 1898.13 1897.81
Tax On Dividend 1.12 2.49
Historical Data for the Period : 2012-22 on NSE
Date Open High
2022 2463 2938.6
2021 3115 3629.05
2020 2454.9 3394.9
2019 3089 3135
2018 3810 3825
2017 3042 4091.95
2016 2689 3740
2015 3111 3146.9
2014 2083 3269.95
2013 1905.35 2209.95
2012 1914.8 2279
 Mar-20 Mar-19 Mar-18

39.95 39.95 39.94

39.95 39.95 39.94
14350.9 13070.87 11931.52
14350.9 13070.87 11931.52
15.44 9.59 0
14406.29 13120.41 11971.46
140.6 116.11 93.21

44.02 124.84 149.63

472.58 612.88 581.89
207.62 0 0
123.9 120.94 119.18
848.12 858.66 850.7

165.88 183.68 75.37

3127.62 3438.24 3375.26
825.87 727.55 970.44
159.69 59.71 60.29
4279.06 4409.18 4481.36
19674.07 18504.36 17396.73

6305.03 4792.5 4771.39

167.9 159.86 189.57
 204.64 384.85 239.02
186.69 187.97 116.46
6864.26 5525.18 5316.44
3649.52 2939.95 2078.12
67.68 60.12 45.85
443.41 1565.9 954.09
11024.87 10091.15 8394.5

4709.12 3173.88 5591.12

1282.32 1249.53 962.68
1511.91 2745.11 1426.97
435.41 303.9 237.57
23.75 25.08 28.5
686.69 915.71 755.39
8649.2 8413.21 9002.23
19674.07 18504.36 17396.73

510.1 875.17 444.05

23.96 23.96 23.96

214.87 257.6 279.02

3441.7 2681.68 1955.49

150.35 27.48 0
4559.92 3146.42 5591.12

0.0145857 0.0235317 0.0187947

5854.97 4418.57 6612.58

 1.6152622 1.2974463 1.8005615

1.3682842 1.0021296 1.4755744

---- in Rs. Cr. -------------------

Mar-20 Mar-19 Mar-18

12 mths 12 mths 12 mths

28813.93 33431.36 32448.35

1.35 1.41 642.57
28812.58 33429.95 31805.78
441.39 540.87 652.59
29253.97 33970.82 32458.37
730.56 686.73 523.17
29984.53 34657.55 32981.54

20004.29 23503.46 21995.94

0 0 0
-173.34 -59.04 -110.12
1889.32 1778.03 1583.71
46.64 37.18 30.8
845.76 624.44 574.98
3472.78 3729.94 3663.79
26085.45 29614.01 27739.1
3899.08 5043.54 5242.44
677.37 0 0
4576.45 5043.54 5242.44

1096.79 1608.81 1450.99

-145.12 29.14 118.94
951.67 1637.95 1569.93
3624.78 3405.59 3672.51
3624.78 3405.59 3672.51
3624.78 3405.59 3672.51
-21.3 -22.26 -1.77
34.63 60.76 49.66
3638.11 3444.09 3720.4

182 172 186

182 172 186

1937.44 1897.35 1697.5

401.46 390.01 345.57
Low Close
2146.85 2857.9
2310 2462.1
1475 3110
2225.6 2443.05
2648 3104.25
2962.55 3785.15
2377.15 3043.65
2251.3 2694.1
1907.1 3106.65
1435 2075.3
1662 1900.6
 Mar-17 Mar-16 Mar-15
EQUITIES AND LIABILITIES
SHAREHOLDER'S FUNDS
Equity Share Capital 39.94 39.94 39.94
Preference Share Capital 0 0 0
Total Share Capital 39.94 39.94 39.94
Revaluation Reserves 0 0 0
Reserves and Surplus 10275.57 8794.17 6500.06
Total Reserves and Surplus 10275.57 8794.17 6500.06
Money Received Against Share Warrants 0 0 0
Employees Stock Options 0 0 0
Total Shareholders Funds 10315.51 8834.11 6540
Preference Shares Issued By Subsidiary Companies 0 0 0
Equity Share Application Money 0 0 0
Preference Share Application Money 0 0 0
Share Capital Suspense 0 0 0
Hybrid/Debt/Other Securities 0 0 0
Statutory Consumer Reserves 0 0 0
Special Appropriation Towards Project Cost 0 0 0
Service Line Contribution From Consumers 0 0 0
Government/Other Grants 0 0 0
Minority Interest 67.38 54.63 18.54
Policy Holders Funds 0 0 0
Group Share In Joint Ventures 0 0 0
NON-CURRENT LIABILITIES
Long Term Borrowings 207.9 145.98 12
Deferred Tax Liabilities [Net] 468.9 221.77 0
Other Long Term Liabilities 0 0 31.33
Long Term Provisions 75.62 67.8 66.25
Total Non-Current Liabilities 752.42 435.55 109.58
Foreign Currency Monetary Item Translation Difference A/C 0 0 0
CURRENT LIABILITIES
Short Term Borrowings 40.08 84.06 88
Trade Payables 3266.2 2675.34 2854.93
Other Current Liabilities 827.84 782.32 308.9
Short Term Provisions 42.57 29.8 734.4
Total Current Liabilities 4176.69 3571.52 3986.23
Total Capital And Liabilities 15312 12895.81 10654.35
ASSETS
NON-CURRENT ASSETS
Tangible Assets 4495.03 3654.64 2850.86
Intangible Assets 103.82 129.07 101.42
Capital Work-In-Progress 386.5 325.23 719.2
Intangible Assets Under Development 194.46 328.14 0
Other Assets 0 0 0
Cnstruction Stores 0 0 0
Mining Development Expenditure 0 0 0
Assets Held For Sale 0 0 0
Fixed Assets 5179.81 4437.08 3671.48
Non-Current Investments 1522.31 1029.51 821.15
Deferred Tax Assets [Net] 0 0 73.54
Long Term Loans And Advances 48.52 26.7 648.27
Other Non-Current Assets 990.85 1099.19 60.19
Total Non-Current Assets 7741.49 6592.48 5274.63
Minority Interest 0 0 0
Group Share In Joint Ventures 0 0 0
Foreign Currency Monetary Item Translation Difference A/C 0 0 0
CURRENT ASSETS
Current Investments 4544.06 3471.57 2297.35

Inventories 708.58 761.99 861.39

Trade Receivables 1551.75 1282.07 1371.82
Cash And Cash Equivalents 195.39 179.09 215.78
Short Term Loans And Advances 24.93 23.21 573.41
OtherCurrentAssets 545.8 585.4 59.97
Total Current Assets 7570.51 6303.33 5379.72
Total Assets 15312 12895.81 10654.35
OTHER ADDITIONAL INFORMATION
CONTINGENT LIABILITIES, COMMITMENTS
Contingent Liabilities 514.39 694.5 826.22
Other Earnings 0 0 0
BONUS DETAILS
Bonus Equity Share Capital 23.96 23.96 23.96
NON-CURRENT INVESTMENTS
Non-Current Investments Quoted Market Value 274.38 387.79 615.33
Non-Current Investments Unquoted Book Value 1397.79 797.94 437.41
CURRENT INVESTMENTS
Current Investments Quoted Market Value 123.08 70.19 346.01
Current Investments Unquoted Book Value 4423.01 3402.13 1991.35

Consolidated Profit & Loss account ------------------- in Rs. Cr. -------------------

Mar 17 Mar-16 Mar-15

12 mths 12 mths 12 mths

INCOME
Revenue From Operations [Gross] 30654.63 30477.11 29188.38
Less: Excise/Sevice Tax/Other Levies 2373.23 2258.21 1717.65
Revenue From Operations [Net] 28281.4 28218.9 27470.73
Other Operating Revenues 329.03 238.22 67.3
Total Operating Revenues 28610.43 28457.12 27538.03
Other Income 521.95 412.83 492.11
Group Share In Joint Ventures 0 0 0
Total Revenue 29132.38 28869.95 28030.14
EXPENSES
Cost Of Materials Consumed 19019.34 19357.96 19790.4
Purchase Of Stock-In Trade 0 0 0
Purchase of Crude Oil And Others 0 0 0
Cost of Power Purchased 0 0 0
Cost Of Fuel 0 0 0
Aircraft Fuel Expenses 0 0 0
Aircraft Lease Rentals 0 0 0
Operating And Direct Expenses 0 0 0
Changes In Inventories Of FG,WIP And Stock-In Trade 96.74 -49.86 -75.1
Employee Benefit Expenses 1432.49 1339.46 1178.72
Finance Costs 27.28 14.61 11.7
Provsions and Contingencies 0 0 0
Depreciation And Amortisation Expenses 502.25 443.25 540.45
Miscellaneous Expenses Written Off 0 0 0
Other Expenses 3485.89 3411.86 3147.28
Less: Inter Unit / Segment / Division Transfer 0 0 0
Less: Transfer to / From Investment / Fixed Assets / Others 0 0 0
Less: Amounts Transfer To Capital Accounts 0 0 0
Less: Share of Loss From Partnership Firm 0 0 0
Group Share In Joint Ventures 0 0 0
Total Expenses 24563.99 24517.28 24593.45
Profit/Loss Before Exceptional, ExtraOrdinary Items And Tax 4568.39 4352.67 3436.69
Exceptional Items 0 0 -144.73
Profit/Loss Before Tax 4568.39 4352.67 3291.96
Tax Expenses-Continued Operations
Current Tax 1082.24 960.91 899.18
Less: MAT Credit Entitlement 0 0 0
Deferred Tax 256.86 313.8 44.27
Other Direct Taxes 0 0 0
Tax For Earlier Years 0 0 0
Total Tax Expenses 1339.1 1274.71 943.45
Profit/Loss After Tax And Before ExtraOrdinary Items 3229.29 3077.96 2348.51
Prior Period Items 0 0 0
Extraordinary Items 0 0 0
Profit/Loss From Continuing Operations 3229.29 3077.96 2348.51
Profit Loss From Discontinuing Operations 0 0 0
Total Tax Expenses Discontinuing Operations 0 0 0
Net Profit Loss From Discontinuing Operations 0 0 0
Profit/Loss For The Period 3229.29 3077.96 2348.51
Minority Interest 37.97 29.69 1.04
Share Of Profit/Loss Of Associates 317.01 34.33 15.15
Consolidated Profit/Loss After MI And Associates 3584.27 3141.98 2364.7
OTHER ADDITIONAL INFORMATION
EARNINGS PER SHARE
Basic EPS (Rs.) 179 157 118
Diluted EPS (Rs.) 179 157 118
Imported Raw Materials 0 0 0
Indigenous Raw Materials 0 0 0
Imported Stores And Spares 0 0 0
Indigenous Stores And Spares 0 0 0
DIVIDEND AND DIVIDEND PERCENTAGE
Equity Share Dividend 1737.34 1397.81 1198.12
Preference Share Dividend 0 0 0
Tax On Dividend 353.69 284.54 223.76
Mar-14

39.94
0
39.94
0
5582.7
5582.7
0
0
5622.64
0
0
0
0
0
0
0
0
0
0.85
0
0

0
0
 24.45
50.02
74.47
0

0
2291.01
588.19
1544.42
4423.62
10121.58

1897.37
349.92
854.74
0
0
0
0
0
3102.03
830.05
105.98
477.43
47.81
4563.3
0
0
0

3275.89

669.55
 920.58
119.83
550.38
22.05
5558.28
10121.58

487.63
0

23.96

653.22
256.06

986.31
2351.11

r. -------------------
Mar-14

12 mths

27126.21
1880.35
25245.86
29.61
25275.47
444.19
 0
25719.66

18221.53
0
0
0
0
0
0
0
8.36
930.35
11.82
0
1107.37
0
2576.13
0
0
0
0
0
22855.56
2864.1
0
2864.1

828.21
-168.35
-238.39
0
0
758.17
2105.93
0
0
2105.93
0
0
0
2105.93
0.35
-3.62
2102.66

105
105
0
0
0
0

1299.13
0
220.79
 Mar-22 Mar-21 Mar-20 Mar-19 Mar-18

Cash & Cash

equivalence 299.74 396.24 435.41 303.9 237.57
Current investments 5870.31 6225.34 4709.12 3173.88 5591.12

Cash & Cash

equivalence + Current
investments 6170.05 6621.58 5144.53 3477.78 5828.69

Current Liabilities 5517.63 6504.53 4279.06 4409.18 4481.36

Liquidity Cover 1.1182428 1.01799515 1.20225704 0.78875891 1.30065203

Quick Assets 6941.32 Quick Assets = Current Assets - Inventory - Trade Rec
Current Assets 10572.22

Proportion of quick
assets within current
assests 0.6565622

Comment on the company’s liquidity situation. How has the company’s liquidity cover varied through time? What is
Hero Motor Corp is very good in terms of liquidity. This is evident from the fact that the liquidity cover is greater tha
The companies liquidity cover has increased over time signalling a strong ability of the company to meet its financia
As on 2022, 0.65 is the proportion of quick assets within current assets.
 Mar-17 Mar-16 Mar-15 Mar-14 Mar-13

195.39 179.09 215.78 119.83 181.04

4544.06 3471.57 2297.35 3275.89 3,009.36

4739.45 3650.66 2513.13 3395.72 3190.4

4176.69 3571.52 3986.23 4423.62 4,170.68

1.13473827 1.02215863 0.63045283 0.7676337479 0.76495919 Liquidity Cover = (Cash & Cash equ

s - Inventory - Trade Receivables - Prepaid expense (if any)

d through time? What is the proportion of quick assets within current assets?
dity cover is greater than 1 which means they have more assests which they liquidate and convert into cash to meet their liabi
any to meet its financial obligations and secure further investments for the company.
quidity Cover = (Cash & Cash equivalence + Current investments)/ Current Liabilities

vert into cash to meet their liabilities in case of liquidation. The company also has the ability to meet short term financial obliga
o meet short term financial obligations without a need to borrow.
Hero Motor Corporation
Mar-22 Mar-21 Mar-20 Mar-19

Total Equity 15846.65 15416.42 14406.29 13120.41

Total Assets 22478.39 23096.09 19674.07 18504.36

Leverage 1.4184947607223 1.49814873 1.36565833 1.41034922

Eicher Bajaj Auto TVS Motor

Motors Company
Total Equity 10,794.57 26,668.80 4,822.04
Total Assets 14,284.55 31,921.94 11,847.73

Leverage 1.32330885 1.19697699 2.45699538

Industry Average 1.65909374

Eicher Motors
Mar-22 Mar-21 Mar-20 Mar-19

Total Equity 10,794.57 9,705.00 8,275.34 7,126.45

Total Assets 14,284.55 12,624.91 10,579.01 9,477.41

Leverage 1.32330884880083 1.30086656 1.27837769 1.32989216

Bajaj Auto
Mar-22 Mar-21 Mar-20 Mar-19
 Total Equity 26,668.80 25,202.26 19,925.49 21,779.90

Total Assets 31,921.94 31,530.20 24,773.30 27,380.39

Leverage 1.19697699184065 1.25108621 1.2432969 1.2571403

Bajaj Auto
Mar-22 Mar-21 Mar-20 Mar-19

Total Equity 4,822.04 4,170.95 3,618.09 3,347.32

Total Assets 11,847.73 10,197.45 9,353.32 8,369.36

Leverage 2.4569953795489 2.44487467 2.58515405 2.50031667

Is the company underleveraged or overleveraged relative to its peers? Has the company been leveraging up or delev
The potential peers taken under consideration are Eicher Motors, Bajaj Auto, TVS Motor company. Hero Motor Corp
The company has been underleveraging around the time. Leverage during 2013 was 1.92 and has decreased to 1.42
The ideal leverage ratio can be assumed at 2. This signifies that the assets are equally funded by equity and liabilitie

Year Mar-22 Mar-21 Mar-20 Mar-19

Leverage 1.4184947607223 1.49814873 1.36565833 1.41034922
 Mar-18 Mar-17 Mar-16 Mar-15 Mar-14 Mar-13

11971.46 10315.51 8834.11 6540 5622.64 5,006.24

17396.73 15312 12895.81 10654.35 10121.58 9,641.65

1.45318366 1.48436674 1.459774669 1.6291055 1.80014726 1.925926444

Mar-18 Mar-17 Mar-16 Mar-15 Mar-14 Mar-13

5,372.23 3,922.59 2,336.41 0 1,233.66 821.34

7,794.67 5,540.26 3,623.91 0 2,228.89 1,483.18

1.45091889 1.41239844 1.551059103 #DIV/0! 1.80672957 1.805805148

Mar-18 Mar-17 Mar-16 Mar-15 Mar-14 Mar-13

 19,103.86 17,034.13 13,266.55 10,692.15 9,608.02 7,901.95

23,819.49 20,814.89 16,486.50 15,562.32 14,747.60 12,478.62

1.24684174 1.22195205 1.242711933 1.45549024 1.53492603 1.579182354

Mar-18 Mar-17 Mar-16 Mar-15 Mar-14 Mar-13

2,880.42 2,408.33 1,958.34 1,645.36 1,415.28 1,224.67

7,179.47 5,904.67 4,952.18 4,604.20 3,564.70 3,119.27

2.49250804 2.45176948 2.528764157 2.79829338 2.51872421 2.547028996

een leveraging up or deleveraging through time? Should I be concerned about the company’s current level of leverage and/or i
ompany. Hero Motor Corp is over leveraged compared to its peers except for TVS Motor Company.
and has decreased to 1.42 in 2022
ed by equity and liabilities. Current leverage ratio is 1.42 well below 2, so there is no concern regarding leverage.

Mar-18 Mar-17 Mar-16 Mar-15 Mar-14

1.45318366 1.48436674 1.459774669 1.6291055 1.80014726
urrent level of leverage and/or interest cover?

egarding leverage.
Total
current
assets -
trade
receivables -
inventory-
prepaid
expenses 6941.32 7306.53 5854.97 4418.57 6612.58

Liquidity
Coverage 2.74566671 2.44971015 1.61526217 1.29744626 1.80056147

Quick Ratio
= B67/
Current
Liabilities 1.25802564 1.12329869 1.36828416 1.00212965 1.47557438

Quick
Assets/
Current
Assets 0.6565622 0.64258765 0.67693775 0.52519431 0.73454911

cash and
cash
equivalence
+ Current
investments
Current
Liabilaities

Leverage Ratio
Debt 724.03 688.8 417.52 308.52
Debt to equit 0.04576039 0.04473488 0.02901288 0.02353171

Debt to Capital
Debt to net cash flow
 225
0.0187947