BRITANNIA

FINANCIAL
OVERVIEW
Team Members:

1-Subhesh n Padhi (500110081)

2-Achintya Tyagi (500109588)

3-Abhishek Chauhan (500107485)

4-Sachin Upadhyay (500100089)

5- Jesbin Geo Baburaj (500110521)

 Presentation Overview

 Introduction

 Industry profile

 Financial Analysis

 Conclusion
Chapter 1.

Introduction
 Brief Overview
Study of Financial Overview is concerned with assessment of

(1) effectiveness with which funds (investment and debt) are

employed in a firm,
(2) efficiency and profitability of its operations, and
(3) value and safety of debtors' claims against the firm's asset

A financial ratio or accounting ratio is a relative magnitude of two

selected numerical values taken from an enterprise's financial
statements. Often used in accounting, there are many standard
ratios used to try to evaluate the overall financial condition of a
corporation or other organization.
 Objectives of the study
>To study the financial performance of Britannia
Industries Ltd. over a period of five years ( 2018/19 in
2022/23)

>Evaluate financial position of the company in terms of

solvency, profitability, liquidity and efficiency

>Behavior in terms of allocation of various funds to

different Assets
 Chapter 2.

Industry Profile
 Shareholding Pattern

Category No. of Shares Percentage

Promotcrs 4,551 0 004

Foreign Promotcrs 60,868,345 50.734

General Public 20,721,555 17.271

Financial Institutions I 8,347,414 I 5.293

Foreign Institutions 7,429,685 6.193

NBFC and Mutual Funds 7,293,850 6.079

Others 5,310,415 4.426

 BUSINESS VOLUME

Annual Turnover of more than Rs. 8,500 crores

Rs 622 crore as Net Profit

 lt has market capitalization of Rs 32,534 crore

 It delivers products in over 5 categories through 4.1miillion

retail outlets to more than half the Indian population. ‘ '
 Chapter 3.

Analysis of Financial Performance

 RATIO ANALYSIS

•Ratio Analysis is a method and defining relationships among Various

financial statement items.

• It helps to identify trends over time for one company or to compare two nr wore
companies at one point in time. Ratio
Analysis

Liquidity Leverage Activity Profitability

gatios Ratios Ratios gatios

7beser*oa

fern’s a b propon•n of e*tait

Iity to me et

obtgat in s. effg<Ilve ness

of the f++m.
 Current Ratio (CR)

LOO

0.50

000
2018/19 2019/20 2020/21 2021/22 2022/23

Interpretation
Ideal CR is 2:1

CR between 1.7-2.0 is encouraging for business

CR less than 1.5 suggests the company is not placed well to pay its debts
 0.50 0.5
4

2018/1 2019/2 2020/2 2021/22 2022/2

9 0 1 3

Ideal QR is 1:1

QR lower than I :1 indicates that the company relies

too much on inventory or other assets to pay its shnrt-tetrn liabilities.
 2. SOLVENCY RATIOS

1.00

0.50 g.Ag —

0.00
2018/19 2019/20 2020/21 2021/22 2022/23

Shows The percentage of total assets financed by Debt.

High Ratio increased the financial risk in terms of fixed interest payments
 Debt -Equity Ratio

3.50
3.00
2.50
2.00
1.50
1.00
0.50
0.00
2018/19 2019/20 2020/21 2021/22 2022/23

Low Debt-to equity ratio suggests that the company is not fully utilizing the
cheaper source of finance (i.e. debt)

High Debt-to-equity ratio Indicates that the company is facing a very high
financial risk.
 Interest Coverage ratio
350.00
3OD.00 293.
25D.OO 55
200.00
160.00
100.00 89.7
50.00 4
0.00
2018/19 2019/20 2020/21 2021/22 2022/23

Interpretation