You are on page 1of 8

CADILA HEALTH CARE LIMITED

PROFIT AND LOSS ACCOUNT


PARTICULARS
INCOME: Sales Other income TOTAL EXPENDITURE: Consumption of raw material Excise Duty General Expense Interest and Financial charges Depreciation TOTAL Profit Before Tax Add:/ LESS: Extra ordinary Items LESS: Provision for Taxation Profit after Tax LESS: Prior years' Tax adjustment Net Profit

1998-99
3614 12 3626

1999-2000
4778 14 4792

2000-01
5088 108 5196

2001-02
5888 89 5977

2002-03
10282 276 10558

1884 204 1073 52 50 3263 363 0 50 313 9 304

2476 295 1307 153 109 4340 452 0 53 399 23 376

2185 562 1604 31 149 4531 665 43 52 656 0 656

2524 606 1846 80 188 5244 733 0 62 671 0 671

4340 931 3375 388 382 9416 1142 89 287 766 0 766

COMMON SIZE P AND L ACCOUNT


PARTICULARS
INCOME: Sales Other income

1998-99
100 0.33 100

1999-2000
100 0.29 100

2000-01
100 2.12 102

2001-02
100 1.51 102

2002-03
100 2.68 103

EXPENDITURE: Consumption of raw material Excise Duty General Expense Interest and Financial charges Depreciation TOTAL Profit Before Tax Add: Extra ordinary Items LESS: Provision for Taxation Profit after Tax LESS: Prior years' Tax adjustment Net Profit

52.13 5.64 29.69 1.44 1.38 90 10 0.00 1.38 9 0.25 8

51.82 6.17 27.35 3.20 2.28 91 9 0.00 1.11 8 0.48 8

42.94 11.05 31.53 0.61 2.93 89 13 0.85 1.02 12 0.00 12

42.87 10.29 31.35 1.36 3.19 89 12 0.00 1.05 11 0.00 11

42.21 9.05 32.82 3.77 3.72 92 11 0.87 2.79 7 0.00 7

CDILA HEALTH CARE LIMITED

BALANCE SHEET
1998-99 SOURCES OF FUNDS:
Share holders' fund: Share capital Reserves and surplus TOTAL Deferred tax liability Loan funds: Secured loans Unsecured loans TOTAL TOTAL 244 639 883 0 1008 392 1400 2283 318 4757 5075 0 902 1397 2299 7374 318 5126 5444 0 331 192 523 5967 298 5222 5520 393 1226 1438 2664 8577 314 4298 4612 857 3293 1136 4429 9898

1999-2000

2000-01

2001-02

2002-03

RS IN MILLIONS

APPLICATION OF FUNDS:
Fixed assets: Gross block LESS: Depreciation Net block Capital work in progress Pre operative & project expenses pending TOTAL Investments Net current assets: Current assets, loans & advances: Inventories Sundry Debtors Cash And bank balance Loans and advances TOTAL LESS: Current liabilities & provisions Current liabilities Provisions TOTAL Net current assets: Miscellaneous Expenditure: TOTAL 1314 126 1188 222 11 1421 81 2521 223 2298 241 9 2548 101 2735 349 2386 246 1 2633 1766 3901 527 3374 451 1 3826 1880 7921 1382 6539 284 6 6829 840

626 460 69 198 1353 562 43 605 748 33 2283

707 591 3787 623 5708 939 194 1133 4575 150 7374

837 516 419 750 2522 729 236 965 1557 11 5967

1057 669 57 2185 3968 850 253 1103 2865 6 8577

1756 1368 90 826 4040 1723 310 2033 2007 222 9898

COMMON SIZE BALANCE SHEET

1998-99 SOURCES OF FUNDS:


Share holders' fund: Share capital Reserves and surplus TOTAL Deferred tax liability Loan funds: Secured loans Unsecured loans TOTAL TOTAL 10.69 27.99 38.68 0 44.15 17.17 61.32 100

1999-2000

2000-01

2001-02

2002-03

PERCENTAGE

4.31 64.51 68.82 0 12.23 18.94 31.18 100

5.33 85.91 91.24 0 5.55 3.22 8.76 100

3.47 60.88 64.36 4.58 14.29 16.77 31.06 100

3.17 43.42 46.60 8.66 33.27 11.48 44.75 100

APPLICATION OF FUNDS:
Fixed assets: Gross block LESS: Depreciation Net block Capital work in progress Pre operative & project expenses pending TOTAL Investments Net current assets: Current assets, loans & advances: Inventories Sundry Debtors Cash And bank balance Loans and advances TOTAL LESS: Current liabilities & provisions Current liabilities Provisions TOTAL Net current assets: Miscellaneous Expenditure: TOTAL 57.56 5.52 52.04 9.72 0.48 62.24 3.55 34.19 3.02 31.16 3.27 0.12 34.55 1.37 45.84 5.85 39.99 4.12 0.02 44.13 29.60 45.48 6.14 39.34 5.26 0.01 44.61 21.92 80.03 13.96 66.06 2.87 0.06 68.99 8.49

27.42 20.15 3.02 8.67 59.26 24.62 1.88 26.50 32.76 1.45 100

9.59 8.01 51.36 8.45 77.41 12.73 2.63 15.36 62.04 2.03 100

14.03 8.65 7.02 12.57 42.27 12.22 3.96 16.17 26.09 0.18 100

12.32 7.80 0.66 25.48 46.26 9.91 2.95 12.86 33.40 0.07 100

17.74 13.82 0.91 8.35 40.82 17.41 3.13 20.54 20.28 2.24 100

COMMON SIZE STATEMENT


Ratio analysis apart, another useful way of analyzing financial statement is to convert them into common size statements by expressing absolute rupee amount into percentages. When

this method is pursued, the income statement exhibits each expense item or group of expense item as a percentage of net sales and net sales are taken at 100%. Similarly each individual liability and asset classified is shown as percentage of total assets and liabilities respectively statement prepared in this are referred to as common size statement. Common size comparative statements prepared would highlight the relative changes in each group of expenses, assets and liabilities. These statements can be equally useful for inter firm comparison, given than facts absolute figure of two firm of the same industry are not comparable. It shows that the percentage balance sheet is often known as the commo0n size balancesheet. Such balance sheet are in a broad term ratio analyze. General items in profit and loss account and in balance sheet are expressed in percentages. When expressed in this form the balancesheet and the profit and loss account are refereed to as common size statements. Such statements are useful in comparative analysis of the financial position and the operating result of the business.

COMMON SIZE BALANCE SHEET


Financial statement when read with absolute figure are not easily under sinkable sometimes it become misleading. It is therefore; necessary that figure reported in this statement should be converted into percentage to some common base. The percentage balance sheet is known as the common size balance sheet is in broad sense ratio analysis. General items in the balance sheet are expressed in analytical percentage, when expressed in this form balance sheet is referred are useful in comparative analysis of the financial position and the operating result of the business. In the balance sheet total assets are taken as 100 and all items are presented as percentage of the assets. The below balance sheet shows the percentage of each assets to the total assets well as the percentage of liability to the total liability and capital.

ANALYSIS OF COMMON SIZE BALANCE SHEET

The equity share capital was 5.33%, 3.47% &3.17% of Total Liability of the company in the year 2000-01,2001-02 and 2002-03 respectively. Reserve and surplus of the company was 85.91%, 60.88%and 43.42% in the year 2000-01,2001-02 and 2002-03 respectively. It shows decrease in share capital and Reserve and Surplus. Company has issue Equity capital in scheme of Amalgamation in the year 2002-03 so its percentage to total liability decreases. Loans of the company was 8.76%, 31.06% and 44.75% of the Total liability in the year 2000-01,2001-02 and 2002-03 Respectively. The percentage of secured and unsecured loan of the company shows increasing trend. This is happening because of company has taken more secured working capital loans in 2002-03 as compared to 2001-02.Current liabilities of the company was 12.21%, 9.91% and 17.41%in the year 2000-01,2001-02 and 2002-03 Respectively. Current liabilities increasing from year2001-02 to 2002-03 because of higher sundry creditors portion in current liabilities. Porvision of the company are 3.96%, 2.95% and 3.13% respectively. Fixed assets of the company was 44.13%, 44.61% and 68.99% in the year 200001,2001-02 and 2002-03 respectively. Fixed assets of the company shows increasing trend. Current assets of the company are 42.7%, 46.26% and 40.82% in the year 2000-01,2001-02 and 2002-03 Respectively. Fictitious assets are 0.18%, 0.07% and 2.24% in the year 2000-01,2001-02 and 2002-03 respectively. Fictitious assets shows increase for last year as compared to previous year, because of high compensation under voluntary retirement scheme.

COMMON SIZE PROFIT AND LOSS


The percentage of the profit and loss account is often known as the common size profit and loss account or common size income statement. General items are expressed in

analytical percentage when it expressed in this form of the profit and loss account are reffered to as common size profit and loss account. This statement is useful in comparative analysis of the financial position and the operating result of the business. In profit and loss account sales figure is assumed to be equal to 100 and all other figures are expressed as percentage of sales. This type of analysis is called vertical analysis. This is a static relationship because it is a study of relationship existing at a particular data. The statement so prepared are called common size income statement.