2023

FINANCIAL
MODELING
MAHINDRA & MAHINDRA

PREPARED BY :

Aniruddha Shingre

+ 91 9322360644 shingre.career@gmail.com
 Market Cap Revenue Net Profit Revenue Growth Net Profit Growth ROE % ROCE % ROA % ROIC %
182594.54 121268.55 7413.03 34.49% 83.10% 18.10% 13.60% 3.63% 8.80%

Financial Year 2023 Company Registered Name: Mahindra&Mahindra Ltd Sector: Automobiles Ticker: M&M BSE Code:500520 CMP:1535 Status: Buy

Sales Growth (INR Crores) Gross Profit Growth (INR Crores) EBITDA (INR Crores) Net Profit Growth (INR Crores)

1,21,269 32,934
20,285 7,413

25,105 26,315
90,171 24,936
75,382 74,278 14,683
4,049
11,487
10,158

361

2020 2021 2022 2023

2020 2021 2022 2023 2020 2021 2022 2023 2020 2021 2022 2023 -1,206

EPS vs DPS Margins Multiples Trade Cycle

29
Net Profit Margin 2.91% -101
₹ 14.6
P/E 16.05x
EBT Margin 5.37%

₹ 10.3
EBIT Margin 10.66% EV/EBITDA 11.46x
45 174

₹ 7.8 EBITDA Margin 14.30%

₹ 2.1 ₹ 59.6 EV/Revenue 2.17x Debtor Days Payable Days
₹ 2.9 ₹ 32.6
(₹ 9.7) Gross Margin 27.74% Inventory Days Cash Conversion Cycle

Football Field Analysis ShareHolding Pattern Price Target by Different Methods

Football Field Analysis- Valuation Summary
3,000
₹ 2,372
2,500

2,000 ₹ 1,595
1,500
₹ 1,625
1,000
₹ 1,123
500

0 -₹ 302 -₹ 253 -₹ 220

-500
Promoters + FIIs + DIIs + Government + Public + Others +
MAHINDRA & MAHINDRA LTD
(M&M | BSE Code: 500520)

INR 1467.8
52 Week (High- 1594.80 & Low-1123.40)

About the Company

Mahindra & Mahindra Ltd is one of the most diversified automobile company in India with presence across 2-wheelers, 3-wheelers, PVs,
CVs, tractors & earthmovers.
It also has presence across financial services, auto components, hospitality, infrastructure, retail, logistics, steel trading and processing, IT
businesses, agri, aerospace, consulting services, defence, energy and industrial equipment through its subsidiaries and group companies.
It was incorporated in 1945 by Ghulam Mohammad and two Mahindra Brothers (KC & JC Mahindra) and was later renamed as Mahindra
& Mahindra in 1948.

Financial Summary

Revenues in (Cr) Net Profit in (Cr) Average Total Assets in (Cr)

1,21,269 10,282 1,88,336

90,171
75,382 6,577
74,278
1,68,678
1,63,802 1,65,342

1,812
127

2020 2021 2022 2023 2020 2021 2022 2023 2020 2021 2022 2023

Return on Equity % Return on Assets % Financial Leverage

5.46%
4.10x
19.87% 4.05x

3.90%
14.83%
3.80x

3.64x
4.45% 1.10%

0.32% 0.08%

2020 2021 2022 2023 2020 2021 2022 2023 2020 2021 2022 2023

Recent Updates

• Q3 Consolidated PAT at Rs 2,677 crores up 35%

• Consolidated Revenues at Rs 30,620 crores up 30%
• Standalone Revenue at Rs 21,654 crores up 41%
• Auto achieved highest ever Q3 volumes M&M continues to remain No.1 in SUV Revenue Market Share (20.6%) in Q3 F23. Open bookings of SUV
at 266k+ (as on 1st Feb’23), reflecting continued strong automotive demand
• Q3 F23 Market share at 41.0% (gain of 160 bps vs PY)
• Successful launch of XUV 400 on 26th Jan: Becomes the fastest booked Electric SUV in India with 15k+ booking within 13 days
• M&M operating margin at 13.0% up 130 bps YoY
• Vehicle sales up 45% YoY
 Dupont Analysis - Return On Equity & Return on Asset
Return on Equity (ROE)
Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Net Profit 3,698.0 7,510.4 5,315.5 127.0 1,812.5 6,577.3 10,281.5
Average Shareholder Equity 28,135.2 33,276.4 38,379.3 39,976.4 40,775.6 44,352.3 51,744.2
Return On Equity (ROE) 13.14% 22.57% 13.85% 0.32% 4.45% 14.83% 19.87%

ROE - Dupont Equation

Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Net Profit 3,698.0 7,510.4 5,315.5 127.0 1,812.5 6,577.3 10,281.5
Revenue 83,773.1 92,094.0 1,04,720.7 75,381.9 74,277.8 90,170.6 1,21,268.6
Net Profit Margin (A) 4.41% 8.16% 5.08% 0.17% 2.44% 7.29% 8.48%

Revenue 83,773.1 92,094.0 1,04,720.7 75,381.9 74,277.8 90,170.6 1,21,268.6

Average Total Asset 1,06,843.7 1,25,102.4 1,49,129.0 1,63,802.4 1,65,342.2 1,68,678.4 1,88,335.8
Asset Turnover Ratio (B) 0.78x 0.74x 0.70x 0.46x 0.45x 0.53x 0.64x

Average Total Asset 1,06,843.7 1,25,102.4 1,49,129.0 1,63,802.4 1,65,342.2 1,68,678.4 1,88,335.8
Average Shareholder Equity 28,135.2 33,276.4 38,379.3 39,976.4 40,775.6 44,352.3 51,744.2
Equity Multiplier (C) 3.80x 3.76x 3.89x 4.10x 4.05x 3.80x 3.64x

Return on Equity (A*B*C) 13.14% 22.57% 13.85% 0.32% 4.45% 14.83% 19.87%

Return On Asset (ROA)

Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Net Profit 3,698.0 7,510.4 5,315.5 127.0 1,812.5 6,577.3 10,281.5
Average Total Assets 1,06,843.7 1,25,102.4 1,49,129.0 1,63,802.4 1,65,342.2 1,68,678.4 1,88,335.8
Return On Asset (ROA) 3.46% 6.00% 3.56% 0.08% 1.10% 3.90% 5.46%

ROA - Dupont Equation

Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Net Profit 3,698.0 7,510.4 5,315.5 127.0 1,812.5 6,577.3 10,281.5
Revenue 83,773.1 92,094.0 1,04,720.7 75,381.9 74,277.8 90,170.6 1,21,268.6
Net Profit Margin (A) 4.41% 8.16% 5.08% 0.17% 2.44% 7.29% 8.48%

Revenue 83,773.1 92,094.0 1,04,720.7 75,381.9 74,277.8 90,170.6 1,21,268.6

Average Total Asset 1,06,843.7 1,25,102.4 1,49,129.0 1,63,802.4 1,65,342.2 1,68,678.4 1,88,335.8
Asset Turnover Ratio (B) 0.78x 0.74x 0.70x 0.46x 0.45x 0.53x 0.64x

Return on Asset (A*B) 3.46% 6.00% 3.56% 0.08% 1.10% 3.90% 5.46%

Dupont Summary
• ROE of M&M was 13.40% in FY2017 and in FY2018 ROE maded a high of 22.57%.
• COVID badly affected the ROE hence in FY2020 ROE Dropped to 0.32% and again coming back to normal level in FY2023 its standing at 19.87%.
• Net Profit Margins of M&M were not stable it maded low in covid at 0.17% but now in FY2023 at 8.48% as compared to FY2022 was 7.29%.
• The Asset Efficiency of company is Stable but not so good its always been below 1x.
• Equity Multiplier is within the range of 3-4x since 2017.
• ROA of M&M was 3.46% in FY2017, COVID affected the ROA hence in FY2020 ROA was 0.08%.
• after the covid ROA has seen recovery from 0.08% to 5.46% in March FY2023

Disclaimer : This report is made as part of educational assignment and is meant for educational purpose only. The author of the report is not liable for any losses due to
actions taken basis this report. It is advisable to consult SEBI registered reasearch analyst before making any investments
 Historical Financial Statement - MAHINDRA & MAHINDRA LTD
Years Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
# Income Statement
Sales ₹ 74,000.9 ₹ 71,448.0 ₹ 75,841.4 ₹ 83,773.1 ₹ 92,094.0 ₹ 1,04,720.7 ₹ 75,381.9 ₹ 74,277.8 ₹ 90,170.6 ₹ 1,21,268.6
Sales Growth NA -3.45% 6.15% 10.46% 9.93% 13.71% -28.02% -1.46% 21.40% 34.49%

COGS ₹ 55,288.0 ₹ 53,392.5 ₹ 56,073.9 ₹ 63,464.4 ₹ 67,869.4 ₹ 76,462.9 ₹ 50,445.5 ₹ 49,173.0 ₹ 63,855.5 ₹ 88,334.4
COGS as % of Sales 74.71% 74.73% 73.94% 75.76% 73.70% 73.02% 66.92% 66.20% 70.82% 72.84%

Gross Profit ₹ 18,712.9 ₹ 18,055.5 ₹ 19,767.5 ₹ 20,308.7 ₹ 24,224.6 ₹ 28,257.8 ₹ 24,936.5 ₹ 25,104.8 ₹ 26,315.1 ₹ 32,934.1
Gross Profit Margin 25.29% 25.27% 26.06% 24.24% 26.30% 26.98% 33.08% 33.80% 29.18% 27.16%

Selling & General Exp ₹ 8,542.5 ₹ 9,262.2 ₹ 9,685.1 ₹ 9,573.9 ₹ 10,998.5 ₹ 13,051.3 ₹ 14,778.7 ₹ 13,617.8 ₹ 11,632.3 ₹ 12,648.9
S&G as % of Sales 11.54% 12.96% 12.77% 11.43% 11.94% 12.46% 19.61% 18.33% 12.90% 10.43%

EBITDA ₹ 10,170.5 ₹ 8,793.3 ₹ 10,082.4 ₹ 10,734.8 ₹ 13,226.1 ₹ 15,206.5 ₹ 10,157.8 ₹ 11,487.0 ₹ 14,682.9 ₹ 20,285.3
EBITDA Margin 13.74% 12.31% 13.29% 12.81% 14.36% 14.52% 13.48% 15.46% 16.28% 16.73%

Depreciation & Amortization ₹ 2,169.6 ₹ 2,123.8 ₹ 2,441.7 ₹ 2,812.7 ₹ 3,279.9 ₹ 3,990.8 ₹ 3,366.7 ₹ 3,378.1 ₹ 3,507.5 ₹ 4,356.8
Depreciation as % of Sales 2.93% 2.97% 3.22% 3.36% 3.56% 3.81% 4.47% 4.55% 3.89% 3.59%

EBIT ₹ 8,000.9 ₹ 6,669.5 ₹ 7,640.8 ₹ 7,922.1 ₹ 9,946.2 ₹ 11,215.7 ₹ 6,791.1 ₹ 8,108.9 ₹ 11,175.4 ₹ 15,928.5
EBIT Margin 10.81% 9.33% 10.07% 9.46% 10.80% 10.71% 9.01% 10.92% 12.39% 13.13%

Interest ₹ 2,953.9 ₹ 3,156.7 ₹ 3,367.6 ₹ 3,648.5 ₹ 3,987.1 ₹ 5,021.4 ₹ 6,021.2 ₹ 6,102.2 ₹ 5,018.1 ₹ 5,829.7
Interest as % of Sales 3.99% 4.42% 4.44% 4.36% 4.33% 4.79% 7.99% 8.22% 5.57% 4.81%

EBT ₹ 5,047.0 ₹ 3,512.8 ₹ 4,273.2 ₹ 4,273.7 ₹ 5,959.1 ₹ 6,194.4 ₹ 769.9 ₹ 2,006.7 ₹ 6,157.3 ₹ 10,098.8
EBT Margin 6.82% 4.92% 5.63% 5.10% 6.47% 5.92% 1.02% 2.70% 6.83% 8.33%

Tax ₹ 1,496.2 ₹ 1,720.0 ₹ 2,117.5 ₹ 2,299.7 ₹ 2,367.7 ₹ 2,854.0 ₹ 1,975.6 ₹ 1,645.8 ₹ 2,108.8 ₹ 2,685.8
Effective Tax Rate 29.65% 48.96% 49.55% 53.81% 39.73% 46.07% 256.60% 82.02% 34.25% 26.59%

Net Profit ₹ 3,550.8 ₹ 1,792.8 ₹ 2,155.7 ₹ 1,973.9 ₹ 3,591.4 ₹ 3,340.4 (₹ 1,205.7) ₹ 360.9 ₹ 4,048.5 ₹ 7,413.0
Net Profit Margin 4.80% 2.51% 2.84% 2.36% 3.90% 3.19% -1.60% 0.49% 4.49% 6.11%

No of Equity Shares 123.18 124.22 124.22 124.22 124.32 124.32 124.32 124.32 124.32 124.35

Earnings Per Share ₹ 28.8 ₹ 14.4 ₹ 17.4 ₹ 15.9 ₹ 28.9 ₹ 26.9 (₹ 9.7) ₹ 2.9 ₹ 32.6 ₹ 59.6
EPS Growth NA -49.93% 20.24% -8.43% 81.80% -6.99% -136.09% -129.93% 1021.85% 83.06%

Dividend Per Share ₹ 6.7 ₹ 5.7 ₹ 5.2 ₹ 6.5 ₹ 6.6 ₹ 7.4 ₹ 2.1 ₹ 7.8 ₹ 10.3 ₹ 14.6
Dividend Growth NA -14.85% -8.56% 24.42% 0.82% 13.51% -71.83% 272.93% 32.22% 40.85%

Dividend Payout Ratio 23.28% 39.59% 30.10% 40.90% 22.68% 27.68% -21.61% 269.21% 31.73% 24.41%

Retained Earnings 76.72% 60.41% 69.90% 59.10% 77.32% 72.32% 0.00% 0.00% 68.27% 75.59%
# Balance Sheet
Equity Share Capital ₹ 295.2 ₹ 295.7 ₹ 270.4 ₹ 310.6 ₹ 543.1 ₹ 544.0 ₹ 554.3 ₹ 555.2 ₹ 556.1 ₹ 556.8
Reserves ₹ 23,011.7 ₹ 25,560.7 ₹ 26,222.3 ₹ 29,467.1 ₹ 36,232.1 ₹ 39,439.5 ₹ 39,415.0 ₹ 41,026.8 ₹ 46,566.6 ₹ 55,809.0
Borrowings ₹ 35,166.8 ₹ 37,911.5 ₹ 41,552.9 ₹ 48,761.9 ₹ 55,897.9 ₹ 70,848.3 ₹ 82,092.3 ₹ 80,624.8 ₹ 77,605.2 ₹ 92,246.9
Other Liabilities ₹ 29,414.9 ₹ 30,608.4 ₹ 31,806.2 ₹ 35,295.9 ₹ 43,696.2 ₹ 51,057.0 ₹ 43,654.5 ₹ 42,761.6 ₹ 47,660.6 ₹ 55,670.5
Total Liabilities ₹ 87,888.6 ₹ 94,376.2 ₹ 99,851.8 ₹ 1,13,835.5 ₹ 1,36,369.3 ₹ 1,61,888.7 ₹ 1,65,716.1 ₹ 1,64,968.3 ₹ 1,72,388.5 ₹ 2,04,283.1

Fixed Assets Net Block ₹ 18,381.0 ₹ 19,046.7 ₹ 20,584.7 ₹ 20,989.0 ₹ 26,181.9 ₹ 28,982.7 ₹ 29,689.3 ₹ 21,379.7 ₹ 26,018.5 ₹ 27,140.0
Capital Work in Progress ₹ 2,191.1 ₹ 3,032.1 ₹ 2,371.4 ₹ 4,278.9 ₹ 4,269.5 ₹ 4,759.8 ₹ 6,856.5 ₹ 7,872.6 ₹ 6,702.8 ₹ 3,968.6
Investments ₹ 8,082.4 ₹ 10,027.1 ₹ 11,602.6 ₹ 14,662.4 ₹ 16,017.6 ₹ 18,268.1 ₹ 19,210.3 ₹ 28,777.7 ₹ 30,060.4 ₹ 35,272.4
Other Assets ₹ 38,632.5 ₹ 43,428.8 ₹ 45,831.9 ₹ 53,165.8 ₹ 65,527.3 ₹ 80,265.0 ₹ 84,009.0 ₹ 78,463.2 ₹ 80,519.4 ₹ 1,02,745.7
Total Non Current Assets ₹ 67,286.8 ₹ 75,534.8 ₹ 80,390.6 ₹ 93,096.2 ₹ 1,11,996.3 ₹ 1,32,275.7 ₹ 1,39,765.1 ₹ 1,36,493.2 ₹ 1,43,301.1 ₹ 1,69,126.7

Receivables ₹ 5,725.4 ₹ 5,476.2 ₹ 5,817.6 ₹ 7,199.3 ₹ 8,489.8 ₹ 8,677.9 ₹ 6,928.3 ₹ 6,007.8 ₹ 6,374.0 ₹ 7,028.0
Inventory ₹ 8,353.5 ₹ 8,453.4 ₹ 9,116.1 ₹ 8,886.0 ₹ 9,335.6 ₹ 12,200.2 ₹ 11,111.9 ₹ 9,615.4 ₹ 11,595.8 ₹ 16,855.0
Cash & Bank ₹ 6,522.8 ₹ 4,911.8 ₹ 4,527.6 ₹ 4,654.0 ₹ 6,547.6 ₹ 8,734.9 ₹ 7,910.9 ₹ 12,852.0 ₹ 11,117.6 ₹ 11,273.4
Total Current Assets ₹ 20,601.8 ₹ 18,841.4 ₹ 19,461.3 ₹ 20,739.3 ₹ 24,373.0 ₹ 29,613.0 ₹ 25,951.0 ₹ 28,475.2 ₹ 29,087.4 ₹ 35,156.4

Total Assets 87888.59 94376.21 99851.82 113835.48 136369.31 161888.66 165716.13 164968.33 172388.49 204283.13

Bal Check 0 0 0 0 0 0 0 0 0 0

# Cash Flow Statement

Profit from operations ₹ 8,086.0 ₹ 6,454.0 ₹ 7,595.0 ₹ 7,911.0 ₹ 10,159.0 ₹ 11,112.0 ₹ 7,774.0 ₹ 7,588.0 ₹ 10,515.0 ₹ 15,642.0
Receivables (₹ 2,258.0) (₹ 575.0) ₹ 177.0 (₹ 8,609.0) (₹ 11,918.0) (₹ 13,712.0) (₹ 1,516.0) ₹ 4,896.0 (₹ 2,506.0) (₹ 21,702.0)
Inventory (₹ 78.0) (₹ 62.0) (₹ 1,113.0) ₹ 241.0 (₹ 256.0) (₹ 2,276.0) ₹ 1,316.0 ₹ 226.0 (₹ 2,173.0) (₹ 5,252.0)
Payables ₹ 1,094.0 ₹ 1,169.0 ₹ 1,939.0 ₹ 2,645.0 ₹ 5,361.0 ₹ 3,466.0 (₹ 6,775.0) ₹ 7,049.0 ₹ 4,972.0 ₹ 7,013.0
Loans Advances (₹ 5,814.0) (₹ 4,229.0) ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0
Other WC items ₹ 0.0 ₹ 0.0 (₹ 4,241.0) ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0
Working capital changes (₹ 7,055.0) (₹ 3,698.0) (₹ 3,238.0) (₹ 5,724.0) (₹ 6,813.0) (₹ 12,522.0) (₹ 6,974.0) ₹ 12,171.0 ₹ 293.0 (₹ 19,941.0)
Direct taxes (₹ 1,275.0) (₹ 1,701.0) (₹ 1,973.0) (₹ 2,005.0) (₹ 2,664.0) (₹ 2,937.0) (₹ 2,257.0) (₹ 1,850.0) (₹ 1,560.0) (₹ 2,775.0)
Cash From Operating Activities (₹ 244.0) ₹ 1,055.0 ₹ 2,385.0 ₹ 183.0 ₹ 682.0 (₹ 4,347.0) (₹ 1,457.0) ₹ 17,909.0 ₹ 9,248.0 (₹ 7,074.0)

Fixed assets purchased (₹ 3,665.0) (₹ 4,759.0) (₹ 4,172.0) (₹ 5,026.0) (₹ 5,906.0) (₹ 7,340.0) (₹ 6,896.0) (₹ 5,989.0) (₹ 6,040.0) (₹ 6,305.0)
Fixed assets sold ₹ 58.0 ₹ 43.0 ₹ 59.0 ₹ 63.0 ₹ 115.0 ₹ 142.0 ₹ 102.0 ₹ 1,364.0 ₹ 120.0 ₹ 138.0
Investments purchased (₹ 66,102.0) (₹ 80,047.0) (₹ 87,898.0) (₹ 1,32,173.0) (₹ 1,55,159.0) (₹ 1,96,474.0) (₹ 1,98,568.0) (₹ 1,20,055.0) (₹ 65,421.0) (₹ 50,165.0)
Investments sold ₹ 64,789.0 ₹ 79,778.0 ₹ 86,436.0 ₹ 1,30,940.0 ₹ 1,54,631.0 ₹ 1,95,898.0 ₹ 1,98,132.0 ₹ 1,11,749.0 ₹ 65,127.0 ₹ 46,269.0
Interest received ₹ 231.0 ₹ 356.0 ₹ 311.0 ₹ 346.0 ₹ 254.0 ₹ 314.0 ₹ 372.0 ₹ 431.0 ₹ 420.0 ₹ 464.0
Dividends received ₹ 24.0 ₹ 169.0 ₹ 208.0 ₹ 409.0 ₹ 316.0 ₹ 466.0 ₹ 722.0 ₹ 577.0 ₹ 1,247.0 ₹ 1,397.0
Investment in group cos ₹ 0.0 ₹ 0.0 (₹ 147.0) (₹ 647.0) (₹ 704.0) (₹ 319.0) (₹ 418.0) (₹ 359.0) (₹ 222.0) (₹ 62.0)
Issue of shares on acq (₹ 21.0) ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0
Redemp n Canc of Shares ₹ 0.0 ₹ 401.0 ₹ 0.0 ₹ 88.0 ₹ 1,677.0 ₹ 717.0 ₹ 175.0 ₹ 316.0 ₹ 617.0 ₹ 1,863.0
Acquisition of companies ₹ 0.0 ₹ 0.0 (₹ 208.0) (₹ 83.0) (₹ 401.0) ₹ 0.0 (₹ 59.0) ₹ 0.0 (₹ 42.0) (₹ 587.0)
Inter corporate deposits ₹ 86.0 (₹ 22.0) ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 6.0 (₹ 262.0) (₹ 552.0) (₹ 93.0)
Other investing items ₹ 77.0 (₹ 275.0) (₹ 94.0) ₹ 209.0 (₹ 290.0) (₹ 577.0) (₹ 437.0) (₹ 7,457.0) ₹ 1,494.0 (₹ 1,786.0)
Cash from Investing Activities (₹ 4,524.0) (₹ 4,357.0) (₹ 5,506.0) (₹ 5,875.0) (₹ 5,467.0) (₹ 7,174.0) (₹ 6,870.0) (₹ 19,686.0) (₹ 3,252.0) (₹ 8,866.0)

Proceeds from borrowings (₹ 171.0) ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 71,389.0 ₹ 52,618.0 ₹ 38,100.0 ₹ 53,880.0 ₹ 55,622.0
Repayment of borrowings ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 (₹ 56,352.0) (₹ 44,044.0) (₹ 37,505.0) (₹ 57,223.0) (₹ 37,056.0)
Interest paid fin (₹ 583.0) (₹ 489.0) (₹ 443.0) (₹ 471.0) (₹ 521.0) (₹ 723.0) (₹ 624.0) (₹ 809.0) (₹ 680.0) (₹ 734.0)
Dividends paid (₹ 1,094.0) (₹ 1,200.0) (₹ 932.0) (₹ 936.0) (₹ 963.0) (₹ 1,134.0) (₹ 1,398.0) (₹ 271.0) (₹ 1,037.0) (₹ 1,522.0)
Financial liabilities ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 ₹ 0.0 (₹ 558.0) (₹ 553.0) (₹ 583.0) (₹ 751.0)
Other financing items ₹ 7,242.0 ₹ 3,355.0 ₹ 4,324.0 ₹ 7,503.0 ₹ 7,794.0 ₹ 12.0 (₹ 304.0) ₹ 1,444.0 (₹ 240.0) ₹ 386.0
Cash from Financing Activities ₹ 5,577.0 ₹ 1,669.0 ₹ 2,967.0 ₹ 6,108.0 ₹ 6,314.0 ₹ 13,194.0 ₹ 6,933.0 ₹ 406.0 (₹ 5,883.0) ₹ 15,946.0

Net Cash Flow ₹ 809.0 (₹ 1,633.0) (₹ 154.0) ₹ 416.0 ₹ 1,529.0 ₹ 1,673.0 (₹ 1,394.0) (₹ 1,371.0) ₹ 113.0 ₹ 6.0
# Common Size Income Statement - MAHINDRA & MAHINDRA LTD
Particulars Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23

Sales 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
Raw Material Cost 60.99% 59.59% 60.10% 60.47% 58.05% 59.09% 49.87% 51.52% 58.41% 62.69%
Change in Inventory 0.32% -0.38% 0.60% 0.02% -0.09% 1.65% -1.10% -0.18% 0.96% 1.68%
Power and Fuel 1.25% 1.10% 0.84% 0.78% 0.80% 0.78% 0.70% 0.58% 0.60% 0.68%
Other Mfr. Exp 3.49% 3.57% 3.45% 3.89% 3.90% 4.06% 4.35% 3.40% 3.46% 3.17%
Employee Cost 9.31% 10.08% 10.14% 10.64% 10.86% 10.74% 10.90% 10.52% 9.30% 7.98%
Selling and admin 8.11% 8.38% 7.59% 7.46% 8.24% 9.22% 8.38% 6.23% 6.63% 6.33%
Other Expenses 3.44% 4.58% 5.18% 3.96% 3.70% 3.24% 11.23% 12.10% 6.27% 4.10%
Other Income 1.04% 1.12% 1.84% 2.48% 4.74% 2.56% 1.17% 1.55% 3.55% 3.27%
Depreciation 2.93% 2.97% 3.22% 3.36% 3.56% 3.81% 4.47% 4.55% 3.89% 3.59%
Interest 3.99% 4.42% 4.44% 4.36% 4.33% 4.79% 7.99% 8.22% 5.57% 4.81%
Profit before tax 7.86% 6.04% 7.48% 7.58% 11.21% 8.47% 2.19% 4.25% 10.38% 11.59%
Tax 2.02% 2.41% 2.79% 2.75% 2.57% 2.73% 2.62% 2.22% 2.34% 2.21%
Net profit 6.31% 4.39% 4.15% 4.41% 8.16% 5.08% 0.17% 2.44% 7.29% 8.48%
Dividend Amount 1.12% 0.99% 0.86% 0.96% 0.88% 0.88% 0.35% 1.31% 1.42% 1.49%

EBITDA 13.74% 12.31% 13.29% 12.81% 14.36% 14.52% 13.48% 15.46% 16.28% 16.73%

# Common Size Balance Sheet - MAHINDRA & MAHINDRA LTD

Particulars Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23

Total Liabilities 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
Equity Share Capital 0.34% 0.31% 0.27% 0.27% 0.40% 0.34% 0.33% 0.34% 0.32% 0.27%
Reserves 26.18% 27.08% 26.26% 25.89% 26.57% 24.36% 23.78% 24.87% 27.01% 27.32%
Borrowings 40.01% 40.17% 41.61% 42.84% 40.99% 43.76% 49.54% 48.87% 45.02% 45.16%
Other Liabilities 33.47% 32.43% 31.85% 31.01% 32.04% 31.54% 26.34% 25.92% 27.65% 27.25%

Total Assets 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
Net Block 20.91% 20.18% 20.62% 18.44% 19.20% 17.90% 17.92% 12.96% 15.09% 13.29%
Capital Work in Progress 2.49% 3.21% 2.37% 3.76% 3.13% 2.94% 4.14% 4.77% 3.89% 1.94%
Investments 9.20% 10.62% 11.62% 12.88% 11.75% 11.28% 11.59% 17.44% 17.44% 17.27%
Other Assets 43.96% 46.02% 45.90% 46.70% 48.05% 49.58% 50.69% 47.56% 46.71% 50.30%
Receivables 6.51% 5.80% 5.83% 6.32% 6.23% 5.36% 4.18% 3.64% 3.70% 3.44%
Inventory 9.50% 8.96% 9.13% 7.81% 6.85% 7.54% 6.71% 5.83% 6.73% 8.25%
Cash & Bank 7.42% 5.20% 4.53% 4.09% 4.80% 5.40% 4.77% 7.79% 6.45% 5.52%
 Ratio Analysis - MAHINDRA & MAHINDRA LTD
Years Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Trend Mean Median
Sales Growth NA -3.45% 6.15% 10.46% 9.93% 13.71% -28.02% -1.46% 21.40% 34.49% 7.02% 9.93%
EBITDA Growth NA -13.54% 14.66% 6.47% 23.21% 14.97% -33.20% 13.09% 27.82% 38.16% 10.18% 14.66%
EBIT Growth NA -16.64% 14.56% 3.68% 25.55% 12.76% -39.45% 19.41% 37.82% 42.53% 11.14% 14.56%
EBT Growth NA -30.40% 21.65% 0.01% 39.44% 3.95% -87.57% 160.64% 206.84% 64.01% 42.06% 21.65%
Dividend Growth NA -14.85% -8.56% 24.42% 0.82% 13.51% -71.83% 272.93% 32.22% 40.85% 32.17% 13.51%
EPS Growth NA -49.93% 20.24% -8.43% 81.80% -6.99% -136.09% -129.93% 1021.85% 83.06% 97.29% -6.99%

Gross Margin 25.29% 25.27% 26.06% 24.24% 26.30% 26.98% 33.08% 33.80% 29.18% 27.16% 27.74% 26.98%
EBITDA Margin 13.74% 12.31% 13.29% 12.81% 14.36% 14.52% 13.48% 15.46% 16.28% 16.73% 14.30% 14.36%
EBIT Margin 10.81% 9.33% 10.07% 9.46% 10.80% 10.71% 9.01% 10.92% 12.39% 13.13% 10.66% 10.71%
EBT Margin 6.82% 4.92% 5.63% 5.10% 6.47% 5.92% 1.02% 2.70% 6.83% 8.33% 5.37% 5.63%
Net Profit Margin 4.80% 2.51% 2.84% 2.36% 3.90% 3.19% -1.60% 0.49% 4.49% 6.11% 2.91% 2.84%

Selling Exp as % of Sales 11.54% 12.96% 12.77% 11.43% 11.94% 12.46% 19.61% 18.33% 12.90% 10.43% 13.44% 12.77%
Depreciation exp as % of Sales 2.93% 2.97% 3.22% 3.36% 3.56% 3.81% 4.47% 4.55% 3.89% 3.59% 3.64% 3.59%
Operating Exp as % of Sales 10.81% 9.33% 10.07% 9.46% 10.80% 10.71% 9.01% 10.92% 12.39% 13.13% 10.66% 10.71%

Return on Capital Employed 13.68% 10.46% 11.23% 10.09% 10.73% 10.12% 5.56% 6.64% 8.96% 10.72% 9.82% 10.12%
Retained Earnings % 76.72% 60.41% 69.90% 59.10% 77.32% 72.32% 0.00% 0.00% 68.27% 75.59% 55.96% 68.27%
Return on Equity 15.23% 6.93% 8.14% 6.63% 9.77% 8.35% -3.02% 0.87% 8.59% 13.15% 7.46% 8.14%
Self Sustained Growth Rate 11.69% 4.19% 5.69% 3.92% 7.55% 6.04% 0.00% 0.00% 5.87% 9.94% 5.49% 5.69%

Interest Coverage Ratio 2.71x 2.11x 2.27x 2.17x 2.49x 2.23x 1.13x 1.33x 2.23x 2.73x 2.14x 2.23x
Debtor Turnover Ratio 12.92x 13.05x 13.04x 11.64x 10.85x 12.07x 10.88x 12.36x 14.15x 17.26x 12.82x 12.36x
Creditor Turnover Ratio 2.52x 2.33x 2.38x 2.37x 2.11x 2.05x 1.73x 1.74x 1.89x 2.18x 2.13x 2.11x
Inventory Turnover Ratio 8.86x 8.45x 8.32x 9.43x 9.86x 8.58x 6.78x 7.72x 7.78x 7.19x 8.30x 8.32x
Fixed Asset Turnover Ratio 4.03x 3.75x 3.68x 3.99x 3.52x 3.61x 2.54x 3.47x 3.47x 4.47x 3.65x 3.61x
Capital Turnonver Ratio 1.27x 1.12x 1.11x 1.07x 0.99x 0.94x 0.62x 0.61x 0.72x 0.82x 0.93x 0.94x

(In Days)
Debtor Days 28 28 28 31 34 30 34 30 26 21 29 30
Payable Days 145 156 153 154 173 178 211 210 193 168 174 173
Inventory Days 41 43 44 39 37 43 54 47 47 51 45 44
Cash Conversion Cycle -76 -85 -81 -84 -103 -105 -124 -133 -120 -96 -101 -103

CFO/Sales -0.33% 1.48% 3.14% 0.22% 0.74% -4.15% -1.93% 24.11% 10.26% -5.83% 2.77% 0.74%
CFO/Total Assets -0.28% 1.12% 2.39% 0.16% 0.50% -2.69% -0.88% 10.86% 5.36% -3.46% 1.31% 0.50%
CFO/Total Debt (Borrowings) -0.69% 2.78% 5.74% 0.38% 1.22% -6.14% -1.77% 22.21% 11.92% -7.67% 2.80% 1.22%
 MAHINDRA & MAHINDRA LTD - Sales Forecasting MAHINDRA & MAHINDRA LTD - EBITDA Forecasting MAHINDRA & MAHINDRA LTD - Earnings Per Share Forecasting
Weight Year Sales Growth Weight Year EBITDA Growth Weight Year EPS Growth
1 2014A ₹ 74,000.9 NA 1 2014A ₹ 10,170.5 NA 1 2014A ₹ 28.8 NA
2 2015A ₹ 71,448.0 -3.45% 2 2015A ₹ 8,793.3 -13.54% 2 2015A ₹ 14.4 -49.93%
3 2016A ₹ 75,841.4 6.15% 3 2016A ₹ 10,082.4 14.66% 3 2016A ₹ 17.4 20.24%
4 2017A ₹ 83,773.1 10.46% 4 2017A ₹ 10,734.8 6.47% 4 2017A ₹ 15.9 -8.43%
5 2018A ₹ 92,094.0 9.93% 5 2018A ₹ 13,226.1 23.21% 5 2018A ₹ 28.9 81.80%
6 2019A ₹ 1,04,720.7 13.71% 6 2019A ₹ 15,206.5 14.97% 6 2019A ₹ 26.9 -6.99%
7 2020A ₹ 75,381.9 -28.02% 7 2020A ₹ 10,157.8 -33.20% 7 2020A (₹ 9.7) -136.09%
8 2021A ₹ 74,277.8 -1.46% 8 2021A ₹ 11,487.0 13.09% 8 2021A ₹ 2.9 -129.93%
9 2022A ₹ 90,170.6 21.40% 9 2022A ₹ 14,682.9 27.82% 9 2022A ₹ 32.6 1021.85%
10 2023A ₹ 1,21,268.6 34.49% 10 2023A ₹ 20,285.3 38.16% 10 2023A ₹ 59.6 83.06%
11 2024E ₹ 1,04,167.7 -14.10% 11 2024E ₹ 17,133.7 -15.54% 11 2024E ₹ 30.2 -49.35%
12 2025E ₹ 1,07,416.8 3.12% 12 2025E ₹ 17,979.4 4.94% 12 2025E ₹ 31.7 5.08%
13 2026E ₹ 1,10,665.9 3.02% 13 2026E ₹ 18,825.0 4.70% 13 2026E ₹ 33.3 4.83%
14 2027E ₹ 1,13,915.0 2.94% 14 2027E ₹ 19,670.7 4.49% 14 2027E ₹ 34.8 4.61%
15 2028E ₹ 1,17,164.1 2.85% 15 2028E ₹ 20,516.3 4.30% 15 2028E ₹ 36.3 4.41%

₹ 1,50,000.0 0.4 ₹ 25,000.0 0.6 ₹ 80.0 15

0.2 ₹ 20,000.0 0.4 ₹ 60.0

₹ 1,00,000.0 10
₹ 15,000.0 0.2
0 ₹ 40.0
₹ 10,000.0 0 5
₹ 50,000.0 ₹ 20.0
-0.2 ₹ 5,000.0 -0.2
₹ 0.0 0
₹ 0.0 -0.4 ₹ 0.0 -0.4
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 (₹ 20.0) -5

Sales Growth EBITDA Growth EPS Growth

 Beta Calculated by comparable companies

MAHINDRA
&
MAHINDRA
Weighted Average Cost of Capital
All Figures are in INR except stated ones

Peer Comps
Debt/ Debt/ Levered Unlevered
1 2 3
Name Of the Comp Total Debt Total Equity Tax Rate Equity Capital Beta Beta
M&M 92246.85 182594.54 30.00% 50.52% 33.56% 1.34 0.99
Tata Motors 134113.4 231267.18 30.00% 57.99% 36.71% 1.88 1.34
Maruti Suzuki 1247.3 292268.75 30.00% 0.43% 0.42% 0.86 0.86
Bajaj Auto 124.23 138444.02 30.00% 0.09% 0.09% 1.00 1.00
Eicher Motors 288.41 91714.44 30.00% 0.31% 0.31% 0.85 0.85

Average 30.00% 21.87% 14.22% 1.19 1.01

Median 30.00% 0.43% 0.42% 1.00 0.99

# Cost of Debt Cost of Equity

Pre Tax Cost of Debt 6.32% Risk Free Rate 7.16%

Tax Rate 30.00% Return on Markets 15.41%
Post Tax Cost of Debt 4.42% Equity Risk Premium 8.25%
4
Levered Beta 1.11
Cost of Equity 16.29%

# Capital Structure Levered Beta

Current Target
Total Debt 92246.85 33.56% 14.22% Comps Median Unlevered Beta 0.99
Total Equity 182594.5 66.44% 85.78% Target Debt/Equity 16.58%
Total Capital 274841.4 100.00% 100.00% Tax Rate 30.00%
Levered Beta 1.11
Debt/Equity 50.52% 16.58%

# notes Weighted Average Cost of Caoital

1. Tax Rate considered as marginal tax rate of country
2. Levered Beta is based on 5 year monthly data Cost of Equity 16.29%
3. Unlevered Beta = Levered Beta/1+(1-tax rate)*Debt/Equity) Weight of Equity 85.78%
4. Levered Beta = Unlevered Beta*1+(1-tax rate)*Debt/Equity)
Cost of Debt 4.42%
Weight of Debt 14.22%
WACC 14.60%
# Calculation of ROIC Mar-19 Mar-20 Mar-21 Mar-22 Mar-23

Current Assets
Inventories 12200.0 11112.0 9615.0 11596.0 16855.0
Trade receivables 8678.0 6928.0 6008.0 6374.0 7028.0
Short term loans 30392.0 29505.0 31407.0 31556.0 36127.0
Other asset items 49873.0 54504.0 47056.0 48963.0 66619.0
Total Current Assets 101143.0 102049.0 94086.0 98489.0 126629.0

Current Liabilities
Trade Payables 20992.0 14985.0 15506.0 19037.0 23836.0
Advance from Customers 0.0 0.0 0.0 0.0 0.0
Other liability items 21704.0 20977.0 18185.0 18921.0 21119.0
Total Current Liabilties 42696.0 35962.0 33691.0 37958.0 44955.0
# Net Working Capital 58447.0 66087.0 60395.0 60531.0 81674.0

Non Current Assets

Land 4295.0 4511.0 1712.0 1931.0 1977.0
Building 9037.0 11956.0 8482.0 9728.0 10862.0
Plant Machinery 35762.0 38492.0 22386.0 26484.0 24928.0
Equipments 384.0 417.0 418.0 445.0 452.0
Furniture n fittings 1079.0 1160.0 805.0 844.0 925.0
Vehicles 847.0 1068.0 986.0 1090.0 1238.0
Intangible Assets 9696.0 9733.0 6932.0 7046.0 10625.0
Other fixed assets 1113.0 1265.0 937.0 958.0 1084.0
Gross Block 62213.0 68602.0 42658.0 48526.0 52091.0
Accumulated Depreciation (33,229.0) (38,913.0) (21,278.0) (22,508.0) (24,950.0)
# Net Non Curret Assets 28984.0 29689.0 21380.0 26018.0 27141.0

EBIT 11215.7 6791.1 8108.9 11175.4 15928.5

# Invested Capital 87431.0 95776.0 81775.0 86549.0 108815.0
# ROIC 12.83% 7.09% 9.92% 12.91% 14.64%

# Calculation of Reinvestment Rate Mar-19 Mar-20 Mar-21 Mar-22 Mar-23

Net Capex 7198.0 6794.0 4625.0 5920.0 6167.0

Change in Working Capital 7640.0 -5692.0 136.0 21143.0

EBIT 11215.7 6791.1 8108.9 11175.4 15928.5

Marginal Tax Rate 25.00% 25.00% 25.00% 25.00% 25.00%
EBIT*(1-t) 8411.8 5093.3 6081.7 8381.5 11946.4

Reinvestment 14434.0 -1067.0 6056.0 27310.0

# Reinvestment rate 283.39% -17.54% 72.25% 228.61%

4 Year Average 141.68%

4 Year Median 150.43%

# Calculation of Intrensic Growth Mar-19 Mar-20 Mar-21 Mar-22 Mar-23

Reinvestment Rate 283.39% -17.54% 72.25% 228.61%

ROIC 7.09% 9.92% 12.91% 14.64%

# Intrensic Growth Rate 20.09% -1.74% 9.33% 33.46%

4 Year Average 15.29%

4 Year Median 14.71%
# Calculation of PV of FCFF Mar-23A Mar-24F Mar-25F Mar-26F Mar-27F Mar-28F

EBIT 18,796.95 21,562.33 24,734.55 28,373.46 32,547.72 37,336.09

Tax Rate 25.00% 25.00% 25.00% 25.00% 25.00% 25.00%
EBIT*(1-t) 14,097.71 16,171.75 18,550.91 21,280.09 24,410.79 28,002.06
Less: Reinvestment Rate 85.50% 85.50% 85.50% 85.50% 85.50% 85.50%
Free Cash Flow to Firm (FCFF) 2,044.17 2,344.90 2,689.88 3,085.61 3,539.56 4,060.30
Mid Year Convention 0.5 1.5 2.5 3.5 4.5
Discounting Factor 0.934 0.815 0.711 0.621 0.542
PV OF FCFF 2,190.44 2,192.57 2,194.70 2,196.83 2,198.97

Expected Growth 14.71%

Terminal Growth 6.40%
WACC 14.60%

# Calculation of Terminal Value Sensitivity Analysis

-287.46 13.85% 14.60% 15.35% 16.10%
FCFF (n+1) 4,657.64 5.40% -294.8 -314.3 -330.9 -345.2
WACC 14.60% 5.90% -279.7 -301.7 -320.2 -335.9
Terminal Growth Rate 6.40% 6.40% -262.6 -287.4 -308.2 -325.7
6.90% -243.0 -271.4 -294.8 -314.3
Terminal Value 56,797.00 7.40% -220.4 -253.1 -279.7 -301.7

# Calculation of Equity Value Per Share

PV Of FCFF 10,973.51
PV of Terminal Value 30,759.97
Enterprise Value 41,733.48

Add: Cash 11,273.43

Less: Debt 88,767.00
Value Of Equity -35,760.09
No of Shares 124.40

# Equity Value Per Share -287.46

Share Price 1468

Discount/Premium 5.11x
 Amount in Crores
# Comparable Company Valuation
Market Data Financials Valuation

Share Shares Equity Enterprise Net

Company Ticker Price Outstanding Value Net Debt Value Revenue EBITDA Income EV/Revenue EV/EBITDA P/E
M&M 1,468 124 1,82,521 80,973 2,63,494 1,21,269 22,993 11,374 2.17x 11.46x 16.05x
Maruti Suzuki 9,670 30 2,92,140 1,206 2,93,345 1,17,571 13,334 8,211 2.50x 22.00x 35.58x
Tata Motors 635 332 2,11,015 97,098 3,08,113 3,76,268 44,784 10,941 0.82x 6.88x 19.29x
Bajaj Auto 4,893 28 1,38,458 -566 1,37,892 38,762 8,845 6,541 3.56x 15.59x 21.17x
Eicher Motors 3,355 27 91,765 -569 91,196 14,442 4,355 2,914 6.31x 20.94x 31.49x
TVS Motor Co. 1,358 48 64,511 20,496 85,008 33,714 4,527 1,454 2.52x 18.78x 44.36x
Hero Motocorp 3,173 20 63,387 145 63,531 34,158 4,551 2,800 1.86x 13.96x 22.64x
Ashok Leyland 179 294 52,644 28,974 81,618 42,894 5,971 1,924 1.90x 13.67x 27.36x
Escorts Kubota 2,537 13 33,461 -415 33,046 8,429 1,048 637 3.92x 31.52x 52.56x
Force Motors 2,484 1 3,278 813 4,092 5,029 374 134 0.81x 10.95x 24.51x
High 6.31x 31.52x 52.56x
75th Percentile 3.30x 20.40x 34.56x
Average 2.64x 16.58x 29.50x
Median 2.33x 14.78x 25.94x
25th Percentile 1.87x 12.01x 21.54x
Low 0.81x 6.88x 16.05x
# Mahindra & Mahindra Comparable Valuation EV/Revenue EV/EBITDA P/E
Implied Enterprise Value 2,83,032 3,39,715 3,75,978
Net Debt 80,973 80,973 80,973
Implied Market Value 2,02,059 2,58,741 2,95,004
Shares Oustanding 124 124 124
# Implied Value Per Share 1,625 2,081 2,372
UnderValued UnderValued UnderValued
 Football Field Analysis- Valuation Summary
3,000

₹ 2,372
2,500

2,000
₹ 1,595
1,500
₹ 1,625

1,000
₹ 1,123

500

0 -₹ 302 -₹ 253 -₹ 220

-500

Return On Markets

Year Annual
2000 -14.65%
2001 -16.18%
2002 3.25%
2003 71.90% Nifty Returns
2004 10.68% 100.00%
2005 36.34% 80.00%
2006 39.83% 60.00%
2007 54.77% 40.00%
2008 -51.79% 20.00%
2009 75.76% 0.00%
2010 17.95% -20.00%
2011 -24.62% -40.00%
2012 27.70% -60.00%
1995 2000 2005 2010 2015 2020 2025
2013 6.76%
2014 31.39%
2015 -4.06%
2016 3.01% Average Return 15.41%
1
2017 28.65% Dividend Yield 1.36%
2018 3.15% Total Return 15.41%
2019 12.02%
2020 14.17%
2021 24.12%
2022 4.32%
 MAHINDRA & MAHINDRA LTD
(M&M | BSE Code: 500520)

INR 1467.8
52 Week (High- 1594.80 & Low-1123.40)

Altman's Z Score Analysis

Working Capital / Total Assets Retained Earnings / Total Assets EBIT / Total Assets

0.40x 2.74%
0.40x
7.80%
0.39x
6.48%
1.60%
4.92%
4.10%
0.36x

0.00% 0.00%

2020 2021 2022 2023 2020 2021 2022 2023 2020 2021 2022 2023

Market cap / Long Term Sales / Total Assets Altman Z Score

Liabilities
59.36% 10.40
52.31%
1504.94% 45.49% 45.03% 8.13
7.65
1095.15% 1155.84%

3.66
431.52%

2020 2021 2022 2023 2020 2021 2022 2023 2020 2021 2022 2023

Altman's Z Score Analysis - Calculation

Working Capital / Total Assets
Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Working Capital 38,609.2 46,204.1 58,821.0 66,305.5 64,176.8 61,946.1 82,231.7
Total Assets 1,13,835.5 1,36,369.3 1,61,888.7 1,65,716.1 1,64,968.3 1,72,388.5 2,04,283.1
Working Capital / Total Assets 33.92% 33.88% 36.33% 40.01% 38.90% 35.93% 40.25%

Retained Earnings / Total Assets

Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Retained Earnings 1,166.5 2,776.7 2,415.7 0.0 0.0 2,764.0 5,603.4
Total Assets 1,13,835.5 1,36,369.3 1,61,888.7 1,65,716.1 1,64,968.3 1,72,388.5 2,04,283.1
Retained Earnings / Total Assets 1.02% 2.04% 1.49% 0.00% 0.00% 1.60% 2.74%

EBIT / Total Assets

Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
EBIT 7,922.1 9,946.2 11,215.7 6,791.1 8,108.9 11,175.4 15,928.5
Total Assets 1,13,835.5 1,36,369.3 1,61,888.7 1,65,716.1 1,64,968.3 1,72,388.5 2,04,283.1
EBIT / Total Assets 6.96% 7.29% 6.93% 4.10% 4.92% 6.48% 7.80%

Market Cap / Long Term Liabilities

Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Market Cap 3,99,641.9 9,18,595.0 8,37,787.5 3,54,247.7 8,82,964.4 8,96,989.1 13,88,259.6
Long Term Liabilities 48,761.9 55,897.9 70,848.3 82,092.3 80,624.8 77,605.2 92,246.9
Market Cap / Long Term Liabilities 819.58% 1643.34% 1182.51% 431.52% 1095.15% 1155.84% 1504.94%

Sales / Total Assets

Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Total Sales 83,773.1 92,094.0 1,04,720.7 75,381.9 74,277.8 90,170.6 1,21,268.6
Total Assets 1,13,835.5 1,36,369.3 1,61,888.7 1,65,716.1 1,64,968.3 1,72,388.5 2,04,283.1
Sales / Total Assets 73.59% 67.53% 64.69% 45.49% 45.03% 52.31% 59.36%

Altman's Z Score
Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Final Score 6.30 11.21 8.43 3.66 7.65 8.13 10.40
Financial Stability Strong Strong Strong Strong Strong Strong Strong

Disclaimer : This report is made as part of educational assignment and is meant for educational purpose only. The author of the report is not liable for any losses due to actions taken
Dupont
basis Summary
this report. It is advisable to consult SEBI registered reasearch analyst before making any investments
Date Adj Close Return Sorted Returns Replication Simulated Returns Calculation VAR- Historical
28-07-2005 136.65 2.319958 1.014 1 -0.032
02-03-1999 41.16 -0.22586 1.000 2 0.001 Historical Approach
12-11-1996 53.17 -0.29269 1.000 3 -0.021 Mean 0.18%
23-11-1999 75.17 1.79649 1.000 4 0.081 Std 5.30%
25-12-1998 26.88 -0.0184 1.000 5 0.045 min -52.44%
25-11-1998 27.38 -0.54918 1.000 6 0.006 max 101.41%
07-03-1997 60.74 0.016672 1.000 7 -0.004 CMP 1468.00
08-11-1999 59.75 0.169617 1.000 8 -0.043
14-04-1997 51.08 0.345092 1.000 9 -0.004 Monte Carlo simulation
29-03-1999 37.98 0.027967 1.000 10 0.042 Mean 0.16%
27-04-1999 36.94 0.503076 1.000 11 0.041 Std 5.31%
04-11-1998 24.58 -0.70104 1.000 12 0.088 min -17.88%
31-10-2008 82.21 -0.41112 0.240 13 0.004 max 18.76%
18-05-2009 139.61 1.105446 0.239 14 0.084 CMP 1468.00
29-10-2008 66.31 -0.81788 0.204 15 0.037
09-04-2020 364.08 0.188162 0.169 16 0.006 Percentile Confidence VAR % Stock Price VAR (INR)
07-04-2020 306.42 3.906284 0.144 17 -0.021 5% 95.00% -8.58% 1593.9 -125.91
10-12-2008 62.46 0.549741 0.143 18 -0.021 1% 99.00% -12.37% 1649.7 -181.66
23-01-2004 40.30 1.101185 0.122 19 -0.046 0.5% 99.50% -13.84% 1671.2 -203.16
25-05-2000 19.18 -0.83992 0.120 20 -0.010 10% 90.00% -6.66% 1565.7 -97.71
04-05-2009 119.82 5.682178 0.119 21 0.037
27-07-2000 17.93 -0.84285 0.117 22 -0.035
13-10-2008 114.10 -0.83136 0.110 23 0.037
18-11-2020 676.59 37.48305 0.107 24 0.004
17-08-2000 17.58 -0.32619 0.107 25 0.044
05-05-2000 26.09 0.180238 0.106 26 -0.081
02-03-1998 22.11 0.249738 0.100 27 0.015
25-06-1998 17.69 0.874538 0.099 28 0.148
11-12-2001 9.44 -0.98262 0.099 29 -0.109
20-09-2019 543.06 64.13679 0.096 30 -0.009
06-11-2001 8.34 -0.91738 0.095 31 -0.033
06-04-2009 100.92 9.872332 0.093 32 -0.032
14-01-2002 9.28 -0.47288 0.092 33 0.004
17-06-1998 17.61 -0.35023 0.092 34 -0.098
06-10-2003 27.10 0.116707 0.091 35 0.073
01-04-1998 24.27 -0.16483 0.090 36 -0.032
14-06-1996 29.06 1.960256 0.088 37 0.011
17-01-2002 9.82 -0.19724 0.087 38 -0.098
26-04-2001 12.23 -0.38714 0.087 39 -0.114
30-07-2003 19.95 -0.08221 0.087 40 0.063
31-05-2000 21.74 -0.73515 0.085 41 0.013
16-03-2009 82.08 10.03486 0.084 42 0.008
02-11-2001 7.44 -0.95752 0.082 43 0.062
11-10-2007 175.10 9.902743 0.081 44 0.020
07-01-1999 16.06 0.122395 0.080 45 0.074
04-09-1998 14.31 -0.26255 0.080 46 0.041
16-02-1999 19.40 0.085271 0.080 47 0.058
16-04-1999 17.88 -0.11276 0.080 48 0.030
29-04-1999 20.15 -0.32504 0.080 49 0.013
10-03-2000 29.86 0.005783 0.080 50 0.001
07-10-1999 29.68 0.187468 0.080 51 -0.020
07-07-1999 25.00 -0.22032 0.080 52 -0.028
08-10-1999 32.06 -0.28239 0.080 53 -0.005
02-02-2000 44.68 1.131818 0.080 54 -0.006
17-02-1999 20.96 -0.44295 0.080 55 0.088
18-08-1999 37.62 -0.10477 0.080 56 -0.003
04-01-2000 42.03 0.3033 0.080 57 0.086
13-03-2000 32.25 -0.31235 0.080 58 -0.065
08-02-2000 46.89 -0.02533 0.080 59 -0.012
17-01-2000 48.11 1.958472 0.080 60 0.039
10-02-1999 16.26 -0.09469 0.080 61 0.000
15-02-1999 17.96 -0.53835 0.080 62 -0.056
03-01-2000 38.91 0.123683 0.080 63 -0.079
11-10-1999 34.63 -0.03238 0.080 64 0.101
07-12-1999 35.79 0.017944 0.080 65 0.088
04-08-1999 35.16 -0.33609 0.080 66 -0.041
11-02-2000 52.95 1.65315 0.080 67 0.044
20-04-1999 19.96 -0.32702 0.080 68 -0.027
07-04-2000 29.66 -0.82873 0.080 69 0.019
17-07-2009 173.15 -0.77736 0.080 70 0.122
13-04-2021 777.73 14.8625 0.080 71 -0.083
10-02-2000 49.03 3.550994 0.079 72 0.003
14-03-2001 10.77 0.964085 0.079 73 -0.042
04-10-2001 5.49 -0.98147 0.079 74 0.020
01-03-2011 296.03 7.871076 0.079 75 0.008
Regression Beta 5 Year Weekly
Adjusted Beta
X Y
Nifty MAHINDRA & MAHINDRA LTD Beta Drifting

Date Adj Close Returns Date Adj Close Returns Levered Raw Beta 1.34
Jul 17, 2023 16,904.30 NA Jul 17, 2023 1523.5 NA Beta Weight 75.00%
Jul 10, 2023 16,765.45 -0.82% Jul 10, 2023 1514.678 -0.58% Mkt Beta 1.00
Jul 03, 2023 16,564.90 -1.20% Jul 03, 2023 1531.916 1.14% Mkt Beta Weight 25.00%
Jun 26, 2023 16,430.00 -0.81% Jun 26, 2023 1423.644 -7.07%
Jun 19, 2023 16,011.80 -2.55% Jun 19, 2023 1344.95 -5.53% Adjusted Beta 1.26
Jun 12, 2023 16,181.45 1.06% Jun 12, 2023 1374.919 2.23%
Jun 05, 2023 15,877.40 -1.88% Jun 05, 2023 1342.403 -2.36%
May 29, 2023 15,811.20 -0.42% May 29, 2023 1313.756 -2.13% Raw Beta
May 22, 2023 15,696.75 -0.72% May 22, 2023 1255.433 -4.44%
May 15, 2023 15,407.55 -1.84% May 15, 2023 1234.425 -1.67% Beta 1 1.34
May 08, 2023 15,477.35 0.45% May 08, 2023 1249.655 1.23% Beta 2 1.34
May 01, 2023 15,278.60 -1.28% May 01, 2023 1186.239 -5.07% Beta 3 1.34
Apr 24, 2023 15,219.55 -0.39% Apr 24, 2023 1201.616 1.30%
Apr 17, 2023 14,847.10 -2.45% Apr 17, 2023 1187.757 -1.15% SUMMARY OUTPUT
Apr 10, 2023 14,954.25 0.72% Apr 10, 2023 1179.726 -0.68%
Apr 03, 2023 14,759.20 -1.30% Apr 03, 2023 1147.113 -2.76% Regression Statistics
Mar 27, 2023 14,557.85 -1.36% Mar 27, 2023 1134.821 -1.07% Multiple R 0.679288808
Mar 20, 2023 14,279.00 -1.92% Mar 20, 2023 1127.084 -0.68% R Square 0.461433284
Mar 13, 2023 14,420.85 0.99% Mar 13, 2023 1147.357 1.80% Adjusted R Square 0.459337694
Mar 06, 2023 14,679.85 1.80% Mar 06, 2023 1201.42 4.71% Standard Error 0.03716271
Feb 27, 2023 14,774.75 0.65% Feb 27, 2023 1242.456 3.42% Observations 259
Feb 20, 2023 14,630.45 -0.98% Feb 20, 2023 1253.817 0.91%
Feb 13, 2023 15,003.95 2.55% Feb 13, 2023 1313.854 4.79% ANOVA
Feb 06, 2023 15,015.85 0.08% Feb 06, 2023 1337.31 1.79% df SS MS F Significance F
Jan 30, 2023 14,962.35 -0.36% Jan 30, 2023 1359.396 1.65% Regression 1 0.3041006 0.3041006 220.1925045 2.12245E-36
Jan 23, 2023 14,874.75 -0.59% Jan 23, 2023 1292.993 -4.88% Residual 257 0.354934217 0.001381067
Jan 16, 2023 15,347.90 3.18% Jan 16, 2023 1287.655 -0.41% Total 258 0.659034817
Jan 09, 2023 15,346.10 -0.01% Jan 09, 2023 1300.779 1.02%
Jan 02, 2023 15,272.00 -0.48% Jan 02, 2023 1238.833 -4.76% Coefficients Standard Error t Stat P-value Lower 95% Upper 95% Lower 95.0% Upper 95.0%
Dec 26, 2022 15,448.85 1.16% Dec 26, 2022 1223.456 -1.24% Intercept 0.001533078 0.002315068 0.662217473 0.508425237 -0.00302584 0.006091997 -0.00302584 0.006091997
Dec 19, 2022 15,046.00 -2.61% Dec 19, 2022 1199.363 -1.97% X Variable 1 1.341620088 0.09041246 14.83888488 2.12245E-36 1.163576481 1.519663694 1.163576481 1.519663694
Dec 12, 2022 15,636.35 3.92% Dec 12, 2022 1225.807 2.20%
Dec 05, 2022 15,812.75 1.13% Dec 05, 2022 1239.322 1.10%
Nov 28, 2022 15,963.50 0.95% Nov 28, 2022 1238.539 -0.06%
Nov 21, 2022 15,727.25 -1.48% Nov 21, 2022 1234.817 -0.30%
Nov 14, 2022 15,550.85 -1.12% Nov 14, 2022 1201.861 -2.67%
Nov 07, 2022 15,649.10 0.63% Nov 07, 2022 1260.575 4.89%
Oct 31, 2022 15,530.85 -0.76% Oct 31, 2022 1310.72 3.98%
Oct 24, 2022 15,241.60 -1.86% Oct 24, 2022 1284.619 -1.99%
Oct 17, 2022 15,081.10 -1.05% Oct 17, 2022 1230.851 -4.19%
Oct 10, 2022 14,815.10 -1.76% Oct 10, 2022 1204.946 -2.10%
Oct 03, 2022 15,036.70 1.50% Oct 03, 2022 1213.319 0.69%
Sep 26, 2022 14,829.35 -1.38% Sep 26, 2022 1242.064 2.37%
Sep 19, 2022 15,057.65 1.54% Sep 19, 2022 1246.08 0.32%
Sep 12, 2022 15,243.95 1.24% Sep 12, 2022 1224.338 -1.74%
Sep 05, 2022 15,467.40 1.47% Sep 05, 2022 1274.434 4.09%
Aug 29, 2022 15,201.60 -1.72% Aug 29, 2022 1288.831 1.13%
Aug 22, 2022 15,147.55 -0.36% Aug 22, 2022 1248.382 -3.14%
Aug 15, 2022 15,236.65 0.59% Aug 15, 2022 1213.858 -2.77%
Aug 08, 2022 15,140.55 -0.63% Aug 08, 2022 1233.495 1.62%
Aug 01, 2022 14,900.40 -1.59% Aug 01, 2022 1210.43 -1.87%
Jul 25, 2022 14,665.65 -1.58% Jul 25, 2022 1140.453 -5.78%
Jul 18, 2022 14,336.60 -2.24% Jul 18, 2022 1156.76 1.43%
Jul 11, 2022 13,790.20 -3.81% Jul 11, 2022 1136.706 -1.73%
Jul 04, 2022 13,828.25 0.28% Jul 04, 2022 1098.993 -3.32%
Jun 27, 2022 13,394.45 -3.14% Jun 27, 2022 1073.545 -2.32%
Jun 20, 2022 13,322.50 -0.54% Jun 20, 2022 1039.322 -3.19%
Jun 13, 2022 12,994.75 -2.46% Jun 13, 2022 967.1938 -6.94%
Jun 06, 2022 13,781.75 6.06% Jun 06, 2022 1004.858 3.89%
May 30, 2022 14,077.90 2.15% May 30, 2022 997.2474 -0.76%
May 23, 2022 13,873.15 -1.45% May 23, 2022 923.7614 -7.37%
COMPANY NAME MAHINDRA & MAHINDRA LTD
LATEST VERSION 2.10 PLEASE DO NOT MAKE ANY CHANGES TO THIS SHEET
CURRENT VERSION 2.10

META
Number of shares 124.40
Face Value 5
Current Price 1467.8
Market Capitalization 182594.54

PROFIT & LOSS

Report Date Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Sales 74000.93 71448 75841.42 83773.05 92093.95 104720.68 75381.93 74277.78 90170.57 121268.55
Raw Material Cost 45131.56 42575.56 45584.35 50655.2 53457.29 61881.19 37595.3 38271.2 52664.85 76019.87
Change in Inventory 238.97 -274.13 458.51 13.83 -83.33 1730.48 -826.62 -135.59 861.66 2032.31
Power and Fuel 923.38 786.96 639.97 657.06 733.9 817.11 530.92 429.56 541.27 830.48
Other Mfr. Exp 2586.08 2553.39 2618.7 3255.3 3590.26 4253 3277.79 2523.4 3124.27 3838.42
Employee Cost 6885.94 7202.49 7689.4 8910.63 10004.62 11242.08 8214.82 7813.26 8386.74 9677.95
Selling and admin 6000.42 5990.62 5758.86 6253.64 7591.15 9658.98 6316.52 4628.75 5977.67 7681.87
Other Expenses 2542.03 3271.56 3926.21 3320.22 3407.3 3392.29 8462.21 8989 5654.58 4966.98
Other Income 772.61 799.93 1398.83 2076.61 4366.41 2676.45 884.69 1151.51 3204.47 3961.45
Depreciation 2169.57 2123.83 2441.65 2812.72 3279.9 3990.77 3366.68 3378.11 3507.5 4356.81
Interest 2953.93 3156.69 3367.59 3648.46 3987.09 5021.35 6021.15 6102.22 5018.05 5829.7
Profit before tax 5819.6 4312.7 5672.03 6350.26 10325.52 8870.84 1654.61 3158.2 9361.77 14060.23
Tax 1496.22 1720.02 2117.53 2299.73 2367.73 2853.99 1975.61 1645.81 2108.76 2685.75
Net profit 4666.93 3137.47 3148.43 3698.04 7510.39 5315.46 127.04 1812.49 6577.32 10281.5
Dividend Amount 826.45 709.68 648.96 807.43 814.7 924.73 260.51 971.51 1284.5 1809.66

EBITDA 11,286.65 10,138.01 11,075.20 12,458.95 17,145.11 17,181.57 11,490.48 12,938.63 17,211.63 23,153.76
EBIT 9,117.08 8,014.18 8,633.55 9,646.23 13,865.21 13,190.80 8,123.80 9,560.52 13,704.13 18,796.95

Quarters
Report Date Dec-20 Mar-21 Jun-21 Sep-21 Dec-21 Mar-22 Jun-22 Sep-22 Dec-22 Mar-23
Sales 21625.95 21455.98 19171.91 21469.8 23594.46 25934.4 28412.38 29870.38 30620.19 32365.6
Expenses 19103.01 18056.79 18184.44 16578.3 19068.27 21656.71 24015.65 24802.13 25367.56 26797.92
Other Income 527.73 346.55 564.64 689.89 814.76 1135.18 676.59 1348.27 1184.8 751.79
Depreciation 847.08 850.15 801.67 851.66 919.07 935.1 960.48 1091.77 1110.16 1194.4
Interest 1516.4 1402.96 1300.13 1284.65 1211.15 1222.12 1218.88 1381.7 1595.56 1633.56
Profit before tax 687.19 1492.63 -549.69 3445.08 3210.73 3255.65 2893.96 3943.05 3731.71 3491.51
Tax 527.59 342.84 -217.95 953.7 725.49 647.52 533.26 921.67 737.68 493.14
Net profit 704.39 79.63 423.88 1928.64 1987.44 2237.36 2195.54 2772.73 2676.56 2636.67
Operating Profit 2522.94 3399.19 987.47 4891.5 4526.19 4277.69 4396.73 5068.25 5252.63 5567.68

BALANCE SHEET
Report Date Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Equity Share Capital 295.16 295.7 270.4 310.55 543.13 543.96 554.28 555.15 556.06 556.82
Reserves 23011.7 25560.68 26222.25 29467.1 36232.06 39439.45 39415.03 41026.77 46566.58 55808.97
Borrowings 35166.79 37911.46 41552.93 48761.91 55897.92 70848.3 82092.28 80624.83 77605.21 92246.85
Other Liabilities 29414.94 30608.37 31806.24 35295.92 43696.2 51056.95 43654.54 42761.58 47660.64 55670.49
Total 87888.59 94376.21 99851.82 113835.48 136369.31 161888.66 165716.13 164968.33 172388.49 204283.13
Net Block 18380.96 19046.74 20584.71 20989.01 26181.9 28982.74 29689.27 21379.68 26018.49 27139.98
Capital Work in Progress 2191.05 3032.14 2371.35 4278.94 4269.47 4759.84 6856.48 7872.61 6702.81 3968.58
Investments 8082.35 10027.14 11602.58 14662.44 16017.61 18268.1 19210.34 28777.66 30060.43 35272.42
Other Assets 59234.23 62270.19 65293.18 73905.09 89900.33 109877.98 109960.04 106938.38 109606.76 137902.15
Total 87888.59 94376.21 99851.82 113835.48 136369.31 161888.66 165716.13 164968.33 172388.49 204283.13
Receivables 5725.42 5476.16 5817.6 7199.26 8489.82 8677.89 6928.28 6007.76 6373.95 7028.02
Inventory 8353.54 8453.39 9116.12 8886.01 9335.57 12200.16 11111.86 9615.41 11595.82 16854.97
Cash & Bank 6522.79 4911.83 4527.55 4654.03 6547.6 8734.91 7910.9 12851.99 11117.61 11273.43
No. of Equity Shares 615892400 591392278 592633807 621092384 1243192544 1243192544 1243192544 1110297953 1112130815 1198118224
New Bonus Shares 621596272
Face value 5 5 5 5 5 5 5 5 5 5

Other Assets 38,632.48 43,428.81 45,831.91 53,165.79 65,527.34 80,265.02 84,009.00 78,463.22 80,519.38 1,02,745.73

Total Assets 87,888.59 94,376.21 99,851.82 1,13,835.48 1,36,369.31 1,61,888.66 1,65,716.13 1,64,968.33 1,72,388.49 2,04,283.13

CASH FLOW:
Report Date Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23
Cash from Operating Activity -243.74 1054.86 2384.76 183.09 681.86 -4347.29 -1456.93 17908.83 9247.55 -7074.02
Cash from Investing Activity -4523.6 -4357.45 -5505.97 -5875.29 -5467.22 -7173.97 -6869.79 -19685.5 -3251.95 -8866.27
Cash from Financing Activity 5577.38 1669.38 2966.81 6107.97 6314.5 13193.63 6932.75 406.23 -5882.6 15946.11
Net Cash Flow 810.04 -1633.21 -154.4 415.77 1529.14 1672.37 -1393.97 -1370.44 113 5.82

PRICE: 490.35 593.9 605.35 643.45 738.9 673.9 284.95 795.25 806.55 1158.7

DERIVED:
Adjusted Equity Shares in Cr 123.18 124.22 124.22 124.22 124.32 124.32 124.32 124.32 124.32 124.35