A study

on
Financial Behavior of
Bottlers Nepal Limited
and
Dabur Nepal Limited
By
Aarju Poudel
Namrata Koirala
Prism Mukhiya
Ranjit Gupta
Sheena Bhatta
Bottlers Nepal limited
• Established in 1979 A.D.

• Engaged in production, manufacture, sale, distribution and

supply of soft drinks.

• Objective: To use Company’s assets, brands, financial strength,

unrivaled distribution system, global reach, talent and
associates to become more competitive and to accelerate
growth in a manner that creates value to share owner.
Dabur Nepal limited
• Established in 1989 and started commercial
production in 1992.

• Offers range of pharmaceutical and personal

care products.

• Established with the objective of producing and

dispensing Ayurvedic medicine to a wide mass of
people who had no access to proper treatment.
Dabur Nepal limited
Activity 1
Function Bottlers Nepal Pvt. Ltd. Dabur Nepal Pvt. Ltd.

Investment Function 2073/74 2074/75 2075/76 2073/74 2074/75 2075/76

Net Fixed Assets 2507207331 2602979683 5659872722 2873680000 2942640000 299070000

Long Term Investment 72275237 65131345 46872112 135098000 186624000 281632000

Financing Function

Long Term Debt 810574979 496608770 2558248457 NA NA NA

Shareholder's Equity 1266778572 1987033423 2340948429 4634610000 5319860000 586437000

Working Capital Function

Total Current Assets 1355337901 1296134832 1623645895 6254640000 6238280000 6354970000

Total Current Liabilities 2588696537 1889639986 3950026228 4599770000 3875010000 3460490000

Market Price Per Share 6085 6813 6890 NA NA NA

Activity 2 (Bottlers Nepal Pvt. Ltd.)
6000000000

5000000000

4000000000

3000000000

Bottlers Nepal Pvt. Ltd. 2073/74

2000000000 Bottlers Nepal Pvt. Ltd. 2074/75
Bottlers Nepal Pvt. Ltd. 2075/76

1000000000

0
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Activity 2 (Dabur Nepal Pvt. Ltd.)
7000000000

6000000000

5000000000

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Dabur Nepal Pvt. Ltd. 2073/74
Dabur Nepal Pvt. Ltd. 2074/75
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Activity 3
Bottlers Nepal Pvt. Ltd. Dabur Nepal Pvt. Ltd.

2073/74 2074/75 2075/76 2073/74 2074/75 2075/76

Current Ratio 0.5 0.7 0.4 1.3 1.6 1.8

Total Debt 810574979 496608770 2558248457

Total Assets 4,203,845,356 4,249,163,646 7,746,715,786 9263418000 9367544000 6935672000

Debt/Assets ratio 0.192817506 0.116872122 0.330236519

Current Assets 1,355,337,901 1,296,134,832 1,623,645,895 6254640000 6238280000 6354970000

Current Assets/Total Assets 0.322404319 0.305032929 0.209591515 0.675197859 0.665946165 0.916273146

Comparative Analysis
• Listed Company Bottlers Nepal Pvt. Ltd. is using liquidity policy
as compared to unlisted company Dabur Nepal Pvt. Ltd. based
on their respective current value.

• Bottlers Nepal Pvt. Ltd. is using long-term debt in the range of

19 times to 33 times of its assets to reduce cost whereas
capital structure of Dabur Nepal Pvt. Ltd. consists of only
shareholder’s equity.

• Considering the percentage of current assets over the total

assets, BNTL seems to use strict working policy whereas DNPL
is using relaxed working capital policy as its current assets
constitute up to 90% of its total assets.