asian paints11

8/2/2019 Asian Paints11

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RESULTS FOR THE FINANCIAL YEAR 2001 2002 2003

Revenue Account

Gross Sales 1,470 1,599 1,807

Net Sales and Operating Income 1,233 1,371 1,535

Growth Rates (%) 13.18% 11.20% 11.93%

Materials Cost 661 728 807% to Net Sales 53.61% 53.04% 52.58%

Overheads 370 418 459

% to Net sales 0.2999 0.3046 0.2989

Operating Profit 212 241 282

Interest Charges 22 15 8

Depreciation 34 45 49

Profit Before Tax and Exceptional items 156 181 225

% to Net Sales 0.1264 0.1323 0.1465

Growth Rates (%) 9 16 24

Exceptional items - - -

Profit Before Tax and after Exceptional items 156 181 225% to Net Sales 0.1264 0.1323 0.1465

Profit After Tax 106 114 142

Return on average net worth (RONW) (%) 27 28 32

Capital Account

Share Capital 64.2 64.2 64.2

Reserves and Surplus 347 346 412

Deferred Tax Liability (Net) - 61 58

Loan Funds 227 111 104

Fixed Assets 381 390 366

Investments 44 63 148

Net Current Assets 214 130 124Debt-Equity Ratio 0.55 0.27 0.22

Market Capitalisation 1,580 2,106 2,119

Per Share Data

Earnings Per Share (EPS) (Rs.) 11.00 11.90 14.80

Dividend (%) 70.00 90.00 110.00

Book Value (Rs.) 411.20 410.60 476.60

Other Information

Number of Employees 3,197 3,188 3,327


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2004 2005 2006 2007 2008 2009 2010 2011

2,026 2,339 2,777 4133.527 4938.56 6043.84 7106.56 8361.47

1,696 1,955 2,319 3669.973 4407.23 5463.23 6680.94 7706.24

10.49% 15.24% 18.65% 58.24% 20.09% 23.96% 22.29% 15.35%

944 1,128 1,352 2199.395 2577.64 3370.64 3757.96 4474.5655.63% 57.73% 58.29% 59.93% 58.49% 61.70% 56.25% 58.06%

483 532 616 992.499 1169.01 1423.19 1695.58 1918.71

0.2847 0.2724 0.2654 27.04% 26.52% 26.05% 25.38% 24.90%

291 325 388 416.938 601.41 595.02 1143.84 1199.84

5 3 4 18.911 21.16 26.32 28.47 22.23

48 48 46 61.141 59.17 74.38 83.56 113.13

238 275 339 336.886 521.08 494.32 1031.81 1064.48

0.1402 0.1407 0.146 9.18% 11.82% 9.05% 15.44% 13.81%

6 16 23 -0.48% 54.68% -5.14% 108.73% 3.17%

(7) (4) (34) 0 0 -0.59 2.546 0

231 271 305 336.886 521.08 494.91 1029.264 1064.480.1362 0.1385 0.1315 9.18% 11.82% 9.06% 15.41% 13.81%

148 174 187 283.492 428.05 419.48 883.91 881.35

29 31 31

95.9 95.9 95.9 95.9 95.9 95.9 95.9 95.9

436 476 526 681.872 886.45 1107.25 1614.06 2091.5

49 31 29 26.786 39.08 53.31 56.23 85.18

71 88 91 306.176 275.21 308.62 229.23 234.7

344 320 325 479.381 577.56 813.03 872.82 1272.68

243 258 275 192.717 276.65 78.4 624.11 921.95

64 113 143 438.085 341.29 606.58 149 342.050.13 0.15 0.15 0.39 0.28 0.26 0.13 0.11

2,914 3,751 6,178 7,336 11,510 7,539 19,593 29735.2

15.40 18.10 19.50 28.40 39.10 37.78 80.74 95.42

85.00 95.00 125.00 130.00 170.00 175.00 270.00 3200%

531.50 572.20 622.30 777.77 982.35 1,203.15 1,709.96 2,187.40

3,356 3,550 3,681 3,868 3,924 4,260 4,382


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ASIAN PAINTS

INCOME STATEMENT (in INR mn) 2007 2008 2009

INCOME

Sales and operating income (Net of discs) 41,335.27 49385.6 60438.4

Less: Excise duty 4,635.54 5313.3 5806.1TOTAL SALES 36,699.73 44072.30 54632.30

EXPENDITUREMaterial Cost 21,993.95 25776.4 33706.4

Employee Cost 2,620.84 3066.6 3715.2

SG&A costs 7,304.15 8623.5 10516.7EBITDA 4,780.79 6605.80 6694.00

Less : Interest 189.11 211.6 263.2

Less : Depreciation/Amortisation 611.41 591.7 743.8

Add: Other Income 372.51 596 516.8EBT 4,352.78 6398.50 6203.80

Add/(Less) : Exceptional Item (77.56) -68.4 -12.4

PROFIT BEFORE TAX AND PRIOR PERIOD ITEMS 4,275.22 6330.10 6191.40

(Less) : Prior period items (Net) 26.48 -15.9 -22.7

PROFIT BEFORE TAX 4,301.70 6314.20 6168.70

Less: Provision for Taxation:

Current Tax 1,483.23 1847.9 1793.4

Deferred Tax (Refer Note B - 8 in Schedule M) (28.83) 105.6 163.2

Fringe Benefit Tax 48.14 64.3 73.6

(Excess) Tax Provision for earlier years (35.76) 15.9 -56.3PROFIT AFTER TAX 2,834.92 4280.50 4194.80

Less: Minority Interest 20.60 188.7 216.4

NET PROFIT ATTRIBUTABLE TO SHAREHOLDERS 2,814.32 4091.80 3978.40

Add : Balance brought forward from previous year 1,100.00 1500 2000AMOUNT AVAILABLE FOR APPROPRIATION 3,914.32 5591.80 5978.40

APPROPRIATIONS

Dividend to shareholders of parent company:

Equity Shares - Interim dividend 1,151.0 623.4 623.5

Proposed Final dividend 95.9 1,007.1 1,055.1

Tax on Dividend (includes tax on proposed div) 180.6 277.2 288.8

Transfer to General Reserve 982.8 1,684.1 1,711.0

Balance carried to Balance Sheet 1,500.0 2,000.0 2,300.0

3910.30 5591.80 5978.40

Per share data

EPS (Rs.) Basic and Diluted - before exc item 29.30 43.37 41.61EPS (Rs.) Basic and Diluted - after exc item 29.30 42.66 41.48

DPS (Rs) 13.00 17.00 17.50

No of shares - eop 95.92 95.92 95.92

Key Figures

Gross Profit 14,705.78 18,295.90 20,925.90

EBITDA 4,780.79 6,605.80 6,694.00


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Operating Profit (EBIT) 4,541.89 6,610.10 6,467.00

PBT 4,352.78 6,398.50 6,203.80

Net Income 2,834.92 4,280.50 4,194.80

Margins

Gross Profit 40% 42% 38%

EBITDA 13% 15% 12%

Operating Profit (EBIT) 12% 15% 12%

PBT 12% 15% 11%

Net Income 8% 10% 8%

Purchases 26,936.44 34,255.80

Assumptions

Sales (Growth - YoY) 20.09% 23.96%

Material Cost (as a % of Sales) 60% 58% 62%

Overheads

Employee Cost (as a % of sales) 7% 7% 7%

SG&A costs (as a % of sales) 20% 20% 19%

Other income (Growth - YoY) 60.00% -13.29%

Other income (as a % of sales) 1% 1% 1%

Effective Tax Rate (tax /EBT) 34% 32% 32%

Dividend Payout Ratio 44% 38% 40%

Divident Tax Rate 14% 17% 17%

Minority Interest as % of PAT 1% 4% 5%


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2010 2011 2012 2013 2014 2015 2016

71065.6 83614.7

4256.2 6552.366809.40 77062.40 88621.76 101915.02 117202.28 134782.62 155000.01

37579.6 44745.6 51400.62 59110.71 67977.32 78173.92 89900.01

4362.8 4539.9 5317.31 6114.90 7032.14 8086.96 9300.00

12593 14647.2 16838.13 19363.85 22268.43 25608.70 29450.0012274.00 13129.70 15065.70 17325.55 19924.39 22913.05 26350.00

284.7 222.3 222.97 222.97 222.97 222.97 222.97

835.6 1131.3 1329.33 1528.73 1758.03 2021.74 2325.00

1405 826.3 886.22 1019.15 1172.02 1347.83 1550.0012558.70 12602.40 14399.63 16593.01 19115.41 22016.17 25352.04

11.5 0

12570.20 12602.40 14399.63 16593.01 19115.41 22016.17 25352.04

0 0

12570.20 12602.40 14399.63 16593.01 19115.41 22016.17 25352.04

4319.89 4977.90 5734.62 6604.85 7605.61

3731.8 3555

55.4 281.5

0 0

-56.1 -47.68839.10 8813.50 10079.74 11615.11 13380.79 15411.32 17746.43

482.7 381.1 453.59 522.68 602.14 693.51 798.59

8356.40 8432.40 9626.15 11092.43 12778.65 14717.81 16947.84

2300 600010656.40 14432.40 9626.15 11092.43 12778.65 14717.81 16947.84

815.3 815.3

1,774.5 2,254.1 3369.152353 3882.350441 4472.528243 5151.232715 5931.742857

433.3 501.1 539.0643765 621.1760706 715.6045189 824.1972343 949.0788572

1,633.3 4,861.9

6,000.0 6,000.0

10656.40 14432.40 5717.93 6588.90 7590.52 8742.38 10067.02

87.00 87.91 100.36 115.64 133.22 153.44 176.6987.12 87.91

27.00 32.00 35.12 40.47 46.63 53.70 61.84

95.92 95.92 95.92 95.92 95.92 95.92 95.92

29,229.80 32,316.80 37,221.14 42,804.31 49,224.96 56,608.70 65,100.01

12,274.00 13,129.70 15,065.70 17,325.55 19,924.39 22,913.05 26,350.00


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12,843.40 12,824.70 14,622.59 16,815.98 19,338.38 22,239.13 25,575.00

12,558.70 12,602.40 14,399.63 16,593.01 19,115.41 22,016.17 25,352.04

8,839.10 8,813.50 10,079.74 11,615.11 13,380.79 15,411.32 17,746.43

44% 42% 42% 42% 42% 42% 42%

18% 17% 17% 17% 17% 17% 17%

19% 17% 17% 17% 17% 17% 17%

19% 16% 16% 16% 16% 16% 16%

13% 11% 11% 11% 11% 11% 11%

39,448.90 48,241.10 51,020.45 61,011.83 70,163.61 80,688.15 92,791.37

22.29% 15.35% 15% 15% 15% 15% 15%

56% 58% 58% 58% 58% 58% 58%

7% 6% 6% 6% 6% 6% 6%

19% 19% 19% 19% 19% 19% 19%

171.87% -41.19%

2% 1% 1% 1% 1% 1% 1%

30% 30% 30% 30% 30% 30% 30%

29% 35% 35% 35% 35% 35% 35%

17% 16% 16% 16% 16% 16% 16%

5% 4% 5% 5% 5% 5% 5%


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ASIAN PAINTS

BALANCE SHEET (in INR m) 2007 2008 2009

FUNDS EMPLOYED

Shareholders' Funds

Share Capital 959.2 959.2 959.2Reserves and Surplus 6,818.72 8864.5 11072.5Shareholders' equity 7777.92 9823.7 12031.7

Loan Funds

Secured Loans 1,201.05 1211.2 1253.5

Unsecured Loans 1,860.71 1540.9 1832.7Loans 3,061.76 2,752.10 3,086.20

Deferred Tax Liability (Net) 267.86 390.8 533.1

Minority Interest 600.75 573.7 755.7Total 11,708.29 13,540.30 16,406.70

APPLICATION OF FUNDSGoodwill on consolidation 468.62 443.5 505.5

Fixed Assets

Gross Block 10,831.48 12112.2 14614.1

Less: Depreciation/Amortisation 6,037.67 6336.6 6483.8Net Block 4,793.81 5,775.60 8,130.30

Add : Capital Work in Progress 137.84 1141.8 921.1

Net Fixed Assets 4,931.65 6,917.40 9,051.40

Investments 1,927.17 2766.5 784Total Long Term Assets 7,327.44 10,127.40 10,340.90

Current Assets, Loans and Advances

Cash and Bank Balances 1,053.93 1107.1 2103.7

Interest accrued on investments 0.26 0.9 5.5

Inventories 5,980.06 7140.1 7689.5

Current As Sundry debtors (receivables) 4,206.12 4603.3 5719.2

Other Current Assets 693.59 559.6 491.2

Current As Loans and Advances 979.34 1525.2 1978Total Current Assets 12,913.30 14,936.20 17,987.10

Current Liabilities and Provisions

Current Liabilities 7,870.38 9859.3 10111.4

Provisions 662.07 1664 1809.9Total Current Liabilities 8,532.45 11,523.30 11,921.30

Net Current Assets 4,380.85 3,412.90 6,065.80

Total Total 11,708.29 13,540.30 16,406.70

check (moment of truth!) ( A = L + E) True True True

Schedule G

Current Liabilities 7870.38 9859.30 10111.40


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1 Acceptances 1729.27 2183.20 1795.40

2 Sundry Creditors 4485.35 5719.60 5541.50

Trade (payables) 3692.78 4539.40 4416.40

Others 792.57 1180.20 1125.10

3 Investor Education etc 62.89 31.70 29.10

4 Other Liabilities 1592.87 1924.80 2745.40

Assumptions:

Fixed Assets

B Net Fixed Assets - Opening

A Add: Capex

A Add: Acquisitions / (Disposals)/WIP addns

S Less: Depreciation

E Net Fixed Assets - Ending

Capex (as a % of sales) 2.23% 6.99% 5.68%

Depreciation (as a % of sales) 1.67% 1.34% 1.36%

Debt

Average Debt 2906.93 2919.15

Interest paid 211.6 263.2

Interest cost % 7.28% 9.02%

Cash and Bank Balances

Interest earned

Interest rate %

Ratio Analysis

Solvency Ratios

Current ratio 1.51 1.30 1.51

Quick ratio 0.70 0.54 0.70

Cash ratio 0.12 0.10 0.18

Turnover Ratios

Receivables turnover 10.01 10.59

Inventory turnover 3.93 4.55

Payables turnover 6.54 7.65

Average receivables collection period 36.48 34.48

Average inventory processing period 92.89 80.29Average payment period 55.77 47.71

Cash Conversion Cycle 73.60 67.06

Other Receivables

Other Current Assets as % of Sales 1.89% 1.27% 0.90%

Loans and Advances as % of Sales 2.67% 3.46% 3.62%

Other Payables


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Acceptances as % of COGS 7.86% 8.47% 5.33%

Others Creditors as % of COGS 3.60% 4.58% 3.34%

Investor Education etc as % of COGS 0.29% 0.12% 0.09%

Other Liabilities as % of COGS 7.24% 7.47% 8.15%

Operating Efficiency

Total asset turnover

Net fixed asset turnover

Equity turnover

Operating Profitability

Gross Profit Margin 0.40 0.42 0.38

Operating Profit Margin 0.12 0.15 0.12

Net Profit Margin 0.08 0.10 0.08

Return on total capital 0.42 0.53 0.43

Return on total equity 0.36 0.44 0.35

ROE DuPont Analysis

Profit Margin

Asset Turnover

Financial Leverage

ROE

Financial Risk Ratios

Debt to equity ratio

Debt ratio

Interest coverage ratio


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10

2010 2011 2012 2013 2014 2015 2016

959.2 959.2 959.2 959.2 959.2 959.2 959.216140.6 20915 26632.9329 33221.84 40812.36 49554.73334 59621.7483617099.8 21874.2 27592.13285 34181.036 41771.556 50513.93334 60580.94836

637 499.7 499.7 499.7 499.7 499.7 499.7

1655.3 1847.3 1847.3 1847.3 1847.3 1847.3 1847.32,292.30 2,347.00 2,347.00 2,347.00 2,347.00 2,347.00 2,347.00

562.3 851.8 851.8 851.8 851.8 851.8 851.8

944.5 1098.9 1552.4882 2075.168 2677.304 3370.812846 4169.40201220,898.90 26,171.90 32,343.42 39,455.00 47,647.66 57,083.55 67,949.15

367.3 371.9 371.9 371.9 371.9 371.9 371.9

15003.9 19877.5

6275.7 7150.78,728.20 12,726.80

4072.3 433.2

12,800.50 13,160.00 13,603.11 14,112.68 14,698.70 15,372.61 16,147.61

6241.1 9219.5 9219.5 9219.5 9219.5 9219.5 9219.519,408.90 22,751.40 23,194.51 23,704.08 24,290.10 24,964.01 25,739.01

1058.3 1330.4 8067.33 15104.78 22891.87 31861.35 42190.59

2.1 2 2 2 2 2 2

9558.8 13054.3 12674.1257 14575.24 16761.53 19275.76089 22167.12502

5425.2 5855.3 6069.98356 6980.481 8027.553 9231.686249 10616.43919

646.3 893.1 886.22 1019.15 1172.02 1347.83 1550.00

1746.2 2054.4 2304.17 2649.79 3047.26 3504.35 4030.0018,436.90 23,189.50 30,003.83 40,331.45 51,902.24 65,222.97 80,556.15

13796.5 16403.7 16960.82 19825.26 22799.05 26218.91 30151.75

3150.4 3365.3 3908.21673 4503.527 5188.133 5975.429949 6880.82171416,946.90 19,769.00 20,869.04 24,328.79 27,987.19 32,194.34 37,032.57

1,490.00 3,420.50 9,134.79 16,002.66 23,915.05 33,028.63 43,523.58

20,898.90 26,171.90 32,329.30 39,706.74 48,205.14 57,992.64 69,262.59

True True False False False False False

14.12 -251.74 -557.49 -909.09 -1,313.44

13796.50 16403.70 16960.82 19825.26 22799.05 26218.91 30151.75


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2987.70 3152.70 3598.04 4137.75 4758.41 5472.17 6293.00

7183.20 8913.80 8376.92 9953.77 11446.84 13163.87 15138.45

5993.80 7686.10 6989.10 8357.79 9611.45 11053.17 12711.15

1189.40 1227.70 1387.82 1595.99 1835.39 2110.70 2427.30

34.50 41.40 51.40 59.11 67.98 78.17 89.90

3591.10 4295.80 4934.46 5674.63 6525.82 7504.70 8630.40

13,160.00 13,603.11 14,112.68 14,698.70 15,372.61

1772.4352 2038.3 2344.046 2695.652385 3100.000243

-1329.3264 -1528.73 -1758.03 -2021.73929 -2325.00018

13,160.00 13,603.11 14,112.68 14,698.70 15,372.61 16,147.61

5.92% 2.03% 2% 2% 2% 2% 2%

1.25% 1.47% 1.50% 1.50% 1.50% 1.50% 1.50%

2689.25 2319.65 2347 2347 2347 2347 2347

284.7 222.3 222.965 222.965 222.965 222.965 222.965

10.59% 9.58% 9.50% 9.50% 9.50% 9.50% 9.50%

1.09 1.17

0.42 0.41

0.06 0.07

11.99 13.66

4.36 3.96

7.58 7.05

30.44 26.71 25 25 25 25 25

83.76 92.23 90 90 90 90 9048.16 51.75 50 50 50 50 50

66.05 67.19 65 65 65 65 65

0.97% 1.16% 1.00% 1.00% 1.00% 1.00% 1.00%

2.61% 2.67% 2.60% 2.60% 2.60% 2.60% 2.60%


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7.95% 7.05% 7.00% 7.00% 7.00% 7.00% 7.00%

3.17% 2.74% 2.70% 2.70% 2.70% 2.70% 2.70%

0.09% 0.09% 0.10% 0.10% 0.10% 0.10% 0.10%

9.56% 9.60% 9.60% 9.60% 9.60% 9.60% 9.60%

0.44 0.42 0.42

0.19 0.17 0.17

0.13 0.11 0.11

0.66 0.53 0.49

0.52 0.40 0.37


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ASIAN PAINTS

CASH FLOW STATEMENT (in INR mn)

Cash Flow from Operating Activities:

Profit before tax and prior period items

Adjustment for:

Depreciation/Impairment

Impairment of Goodwill

Prior period item (Net)

Profit on sale of investments

Profit on disposal of subsidiaries

Profit on Sale of Fixed Assets

Loss on disposal of Associate Company

Share of (profit)/loss of associate

Fair value adjustment on receivable from disposal of subsidiary

Gain on disposal of assets

Interest Expense

Interest Income

Dividend Income

Effect of exchange rates on op cashflows

Operating Profit before Working Capital changes

Adjustment for:

Changes in working capital

Asset Trade Receivables (sundry debtors)

Asset Other Receivables (loans & advances)

Asset Inventories

Liabilitiy Trade and other payables (current liablilities)

Assets Changes in other current assets

Cash generated from Operations

Income tax paid (net of refund)

Others

Net cash generated from operating activities

Cash Flow from Investing Activities:

Purchase of Fixed Assets / Capex

Proceeds from sale of Fixed Assets

Purchase of Investment

Sale of Investment

investments Interest received

Dividend received

Cash outfl ow on acquisitions made by joint venture.

Cash outflow on additional stake in subsidiary

Cash infl ow/(outfl ow) on disposal of associate company

Cash inflow arising on disposal of subsidiary

Net cash used in investing activities

Cash Flow from Financing Activities

debt Proceeds from long term borrowings

debt Proceeds from short term borrowings


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debt Repayment of long term borrowings

debt Repayment of short term borrowings

Interest Paid

Dividend and Dividend tax paid and Provisions

Net cash used in financing activities

Net Inc/(Dec) in Cash and Cash Equivalents

Cash and Cash Equivalents - bop

Net effect of changes in exchange rateCash and Cash Equivalents - eop


15/21

10.00

2007 2008 2009 2010 2011 2012 2013 2014 2015

4271.20 6330.10 6191.40 12570.20 12602.40 14399.63 16593.01 19115.41 22016.17

611.41 591.70 743.80 835.60 1131.30 1329.33 1528.73 1758.03 2021.74

0.00 12.40 0.00 0.00

26.48 (15.90) (22.70) 0.00 0.00

(3.90) (16.00) (1.30) (627.20) (4.50)

6.85 68.40 0.00 (11.50) 0.00

0.00 0.00 (78.80) (27.10)

70.71 0.00 0.00 0.00 0.00

4.02 0.00 0.00 0.00 0.00

2.75 0.00 0.00 0.00 0.00

(14.67) (37.80) (65.40) 0.00 0.00

189.11 211.60 263.20 284.70 222.30 222.97 222.97 222.97 222.97

(14.31) (44.70) (56.90) (110.60) (104.80)

(115.28) (245.40) (140.80) (226.20) (354.70)

(177.70) 320.60 (172.90) (161.00)

5034.37 6664.30 7244.30 12463.30 13303.90 15951.92 18344.70 21096.41 24260.87

(869.90) 39.90 (1431.10) 1337.70 (1767.00) 465.97 (159.87) (504.17) (579.79)

(1111.80) (888.50) (922.20) (508.80) (819.40) (214.68) (910.50) (1047.07) (1204.13)

- - - - - (249.77) (345.62) (397.47) (457.09)

(1044.80) (1194.30) (549.40) (1913.50) (3495.50) 380.17 (1901.12) (2186.29) (2514.23)

1286.70 2122.70 40.50 3760.00 2547.90 557.12 2864.44 2973.79 3419.86

- - - - - (6.88) 132.93 152.87 175.80

4164.47 6704.20 5813.20 13801.00 11536.90 16417.88 18184.84 20592.24 23681.08

(1585.00) (1906.00) (1919.20) (3169.40) (3924.20) (4319.89) (4977.90) (5734.62) (6604.85)

2579.47 4798.20 3894.00 10631.60 7612.70 12097.99 13206.93 14857.62 17076.23

(819.5) (3,080.5) (3,100.5) (3,953.1) (1,561.0) (1772.44) (2038.30) (2344.05) (2695.65)

133.68 262.40 217.50 120.60 57.90

(395.58) (1981.50) 0.00 (543.60) (3109.90)

53.99 1158.30 1983.80 986.60 4.50

14.05 44.70 52.30 114.00 104.90

115.28 245.40 140.80 226.20 354.70

(269.38) 0.00 0.00 0.00 0.00

(3.60) (12.70) 0.00 0.00

67.32 0.00 0.00 0.00 0.00

5.51 6.90 0.00 59.10 0.00

(1094.63) (3347.90) (718.80) (2990.20) (4148.90) (1772.44) (2038.30) (2344.05) (2695.65)

224.30 0.00 0.00 0.00

736.84 0.00 0.00 (529.70) 119.30


16/21

(280.53) 0.00 (25.60) (145.50) (63.80)

(380.80) (15.60) 0.00 0.00

(189.11) (211.60) (263.20) (284.70) (222.30) (222.97) (222.97) (222.97) (222.97)

(1,374.9) (968.20) (1999.30) (2358.90) (3168.30) (3365.30) (3908.22) (4503.53) (5188.13)

(1107.70) (1336.30) (2303.70) (3318.80) (3335.10) (3588.27) (4131.18) (4726.49) (5411.10)

377.14 114.00 871.50 4322.60 128.70 6737.29 7037.45 7787.08 8969.48

734.08 1053.90 1107.10 2103.70 6374.70 1330.04 8067.33 15104.78 22891.87

(57.00) (60.80) 125.10 (51.60) 11.901054.22 1107.10 2103.70 6374.70 6515.30 8067.33 15104.78 22891.87 31861.35


17/21

2016

25352.04

2325.00

222.97

27900.00

(666.76)

(1384.75)

(525.65)

(2891.36)

3932.84

202.17

27233.24

(7605.61)

19627.63

(3100.00)

(3100.00)


18/21

(222.97)

(5975.43)

(6198.39)

10329.24

31861.35

42190.59


19/21

Valuation Sheet

FY 09 FY 10 FY 11E FY 12E

DCF Summary 2035 2065 2094 2128

Net Income

+ Depreciation

+ Interest*(1-T)

- Capex

+/- Changes in working capital

Free Cash Flow to Firm

Date 2012 2011 2128

FCFF (explicit forecast)

Terminal value

Present value of "explicit forecast period" - till 2015E

PV of Terminal Value

Valuation Assumptions

Terminal g 5.0%

Cost of de 10.0%

Beta 1.1Risk free r 8.0%

Market Pre 5.0%

Cost of Equity

WACC Calculation

Total Debt

Shareholders' equity

Capitalization:

Debt: Equity

Debt: Total Capital

Equity: Total Capital

Cost of Equity

WACC

Historical


20/21

CB ResearcAsian Paints Model

EV Computation

Present value of "explicit forecast period" - till 2015E

PV of Terminal Value

Total Valuation

Less: Debt

Less: Minority Interest

Add: Cash and bank deposits

Other adjustments:

Add: Investments

Add: Other non-operating assets

Intrinsic Value (in mn)

No of Shares (in mn)

Share Price (INR)

SENSITIVITY ANALYSIS

- 4.0% 4.5% 5.0% 5.5% 6.00%12.1%

12.6%

13.1%

13.6%

14.1%


21/21

FY 13E FY 14E FY 15E

1900 1900 1900

1900 1900 1900

Forecast

asian paints11

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