infosys - financial analysis

Financial Analysis Presentation

Presented By - Dhruv ShahKhusboo ShahTrilok UpadhyayPrasad KadamAkash Dhar

History

“If we wanted to start a great company we must be optimistic about it .“

• Idea began on Jan 1981 in Pune• Started the company on Jul 2, 1981• Previously known as Infosys Consultants

Pvt. Ltd.• Started with a capital on $250

Vision & Mission

VisionTo be a globally respected corporation that provides best-of-breed business solutions, leveraging technology, delivered by best-in-class people."

MissionTo achieve our objectives in an environment of fairness, honesty, and courtesy towards our clients, employees, vendors and society at large."

Shareholdings

Shareholders ShareholdingPromoters group 15.94%Life Insurance Corporation of India 04.95%Aberdeen Asset Management PLC 03.89%Abu Dhabi Investment Authority 02.48%Oppenheimer Developing Markets Fund 02.33%Government of Singapore 01.98%Others 68.43%

The current shareholding positions as of 30th September 2013

Stock market Position

Current Market Position as of Jan 03, 2014

BSE

NSE

▲ 90.70

3565.15

3565.45

▲ 84.60

Total Market shares 5,74,151,559Total Income 2013 Rs.39,063 Cr.

Market Capitalization 32.66 Billion

Ratio Analysis

Liquidity and Solvency Ratios

Current Ratio

20132012

4.754.91

• Healthy standard• Current Assets > Current Liabilities• potential to cover liabilities• Standard 2:1

Ratio Analysis

Liquidity and Solvency Ratios

Quick Ratio

20132012

4.694.88

• Healthy standard• High Liquidity position • Potential to cover liabilities• Standard: 1:1

Ratio Analysis

Management Efficiency Ratios

20132012

6.256.50

• 60 days collection period• Shorter debtor recovery

Debtors Turnover Ratio

Ratio Analysis

Management Efficiency Ratios

20132012

1.121.15

• Ratio as per standards• Uses assets efficiently • Standard: 1.2

Asset Turnover Ratio

Ratio Analysis

Management Efficiency Ratios

20132012

255.87256.89

• Ratios are increasing• Higher Retention rate • Higher share price

Days in working Capital

Ratio Analysis

Profitability Ratios

20132012

23.38 %25.60%

• Good Earnings• High profitability

Net Profit Margin Ratio

Ratio Analysis

Cashflow indicator Ratios

20132012

30.87 %37.03%

• Ratios are declining • Investors lose interest • An unstable dividend rate

Dividend Payout Ratio

Ratio Analysis

Cashflow indicator Ratios

20132012

68.84 %60.72%

• Ratios are increasing• Higher Retention rate • Higher share price

Earning Retention Ratio

Ratio Analysis

Cashflow indicator Ratios

20132012

25.28 %28.46%

• Attractive return rates• Shows good position of the

company• Standard : 15-20 %

Return on Proprietors fund

Revenue Break Up

Overview

• Rs.11,015 crore (March 2013)

Operating PROFIT

• Rs 36,059 Crores (March 2013)TOTAL ASSETS

• Equity & Reserves : Rs 287 +35772 Crores (March 2013)

TOTAL Net Worth

Just to Conclude ..

•They will continue to focus on and collaborate with leading national and international universities, product vendors and technology start-up companies. •Plans to hire 30,000 employees this fiscal year.•Target to be the top IT Industry

THANK YOU ALL

‘‘ The primary purpose of corporate leadership is to create wealth legally and ethically ‘’

N. R. Narayana MurthyChairman of the Board and Chief Mentor