Amara Raja Batteries Ltd

Trend analysis

Presented by : Sagar Barsiya 53 Sefali shah 54 Guided by : Prof. Mital Thakkar

Introduction
Amara Raja Batteries Ltd, (ARBL) is the largest manufacturer of Standby Valve Regulated Lead Acid (VRLA) batteries in the Indian Ocean Rim comprising the area ranging from Africa and the Middle East to South East Asia. Based in Chennai, with a fully integrated manufacturing unit for its industrial batteries at Tirupati, Amara Raja has reached a position of leadership in a short span of 7 years. RBL is the largest suppliers of stand-by power systems,catering to Indian utilities such as, Departments of Telecommunication, Indian Railways, Power Generation Stations, MTNL, VSNL, ITI and HTL Motorola, Nokia ,Ford, GM,Ashok Leyland.

Trend analysis
The average of time series data in order that a smooth curve showing general or decline may be development for some past period of time. y Trend analysis is also trend as intra-firm comparison, y Generally First year, is taken as a based year. y Percentage relationship that each statement item bears to the same item in base year.
y

Trend analysis
Name Net sale Inventories Mar 2011 1759.90 284.70 Mar 2010 1472. 96 217.57 243.38 Mar 2009 1337.52 160.83 157.19 Mar 2008 1100.67 194.33 142.88 Mar 2007 602.48 92.17 72.11

Profit before 219.43 tax Total expenditure 1502.52

1182.07

1131.39

919.52

509.70

COMPUTATION OF Trend PERCENTAGES

To illustrate using 2007 as the base year the net sales value in 2011 be comes as show n below y TREND ANALYSIS 2011 = 2011 NET SALES/2007 NET SALES *100
y

COMPUTATION OF TREND PERCENTAGES

Net sales 2007 Percentage 2008 Percentage 2009 Percentage 2010 Percentage 2011 Percentage 602.48 100 1100.67 182.69 1337.52 222.00 1472.96 244.48 1759.90 292.11 Inventories 92.17 100 194.33 210.84 160.83 174.49 217.57 236.05 284.70 308.89 PBT 72.11 100 142.88 198.14 157.19 217.99 243.38 337.51 219.43 304.30 Total exp. 509.70 100 919.52 180.40 1131.39 221.97 1182.07 231.91 1502.52 294.79

Percentage table
NAME MAR 2011 MAR 2010 MAR 2009 MAR 2008 MAR 2007

NET SALES

292.11

244.48

222

182.69

100

INVENTO 308.89 REIS PBT 304.30 TOTAL 294.79 EXPENDI TURE

236.05 337.51 231.91

174.49 210.84 217.99 198.14 221.97 180.40

100 100 100

Net sales & PBT 400 350 300 250 200 150 100 50 0
NET SALES PBT

Jan/07

Jan/08

Jan/09

Jan/10

Jan/11

INTERPRETATION
 Net

sales has substantially increased from 2007 to 2011. the percentage in 2011 is 292.11 its mean 192.11% increasing so its good for company . figures of inventories have increased all years. 2011 inventories 208.89 % increased camper to based years

 The

INTERPRETATION
Profit before tax has substantially increased. In 2011 PBT increased compar to base year 204.30% but compare to 2010 PBT decreased 33.21% . y the expansion of the firm is good and it has doubled its sales and profit in just five year time. There is a proper control over cost of goods sold.
y

BIBLOGRAPHY
 R.Narayanaswamy;Financial

accounting;4th edition; PHI learning private limited;

 www.moneycontrol.com