FA End Term Project - 02

2023
FINANCIAL STATEMENT
ANALYSIS
IT SECTOR
END TERM PROJECT
Financial Accounting EMBAA- 1st End Term Project
Indian Institute of Management Kashipur
Executive Master of Business Administration (Analytics)
Term I, Academic Year 2023-2024
Evaluation of Group Assignment by Faculty
Assignment for Course: Financial Accounting
Title of the Assignment: Financial Comparison Across IT Industry
Submitted To: Prof. Ashish Kumar
Submitted by: Group D
Name Roll No. Email ID
Pranshoo Jaiswal EMBAA23032 [email protected]

Prateek Agarwal EMBAA23034 [email protected]
Imon Das EMBAA23070 [email protected]

Mritunjay Kumar EMBAA23025 [email protected]
Sharath Kashyap EMBAA23077 [email protected]
Date of Submission: 16th August 2023
CERTIFICATION OF AUTHORSHIP: I/We certify that I(we) am(are) the author(s) of this paper
and that any assistance I(we) received in its preparation is fully acknowledged and disclosed in the
paper. I(we) have also cited any sources from which I(we) used data, ideas or words, either quoted
directly or paraphrased. I(we) have added quotes whenever I(we) used more than three
consecutive words from another writer. I(we) also certify that this paper was prepared by me(us)
specifically for this course.
Name Roll Number Selected Company
Pranshoo Jaiswal EMBAA23032 Tata Consultancy Services
Prateek Agarwal EMBAA23034 Wipro
Imon Das EMBAA23070 Infosys
Mritunjay Kumar EMBAA23025 Mindtree
Sharath Kashyap EMBAA23077 Tech Mahindra
Contents
INTRODUCTION ......................................................................................................................................... 6
TATA CONSULTANCY SERVICES (TCS) ....................................................................................................... 7
COMPANY PROFILE ................................................................................................................................... 7
ANALYSIS ................................................................................................................................................... 7
REVENUE (in Crores) .............................................................................................................................. 7
EXPENSES ............................................................................................................................................... 8
PROFIT ANALYSIS................................................................................................................................... 9
EBITDA - Earnings Before Interest, Taxes, Depreciation, and Amortization ...................................... 9
EBIT - Earnings Before Interest and Taxes ....................................................................................... 10
Net Income or Profit After Tax ......................................................................................................... 10
NOPAT – Net Operating Profit after tax........................................................................................... 11
OVERALL PERFORMANCE RATIO......................................................................................................... 12
ROTA (Return on Total Assets) - Before Tax: ................................................................................... 12
ROTA (Return on Total Assets) - After Tax: ...................................................................................... 12
ROE (Return on Equity): ................................................................................................................... 12
ROCE (Return on Capital Employed) - Before Tax:........................................................................... 13
ROCE (Return on Capital Employed) - After Tax: ............................................................................. 13
PROFIT MARGIN RATIO ....................................................................................................................... 13
EBITDA Margin: ................................................................................................................................ 14
EBIT Margin: ..................................................................................................................................... 14
EBT Margin: ...................................................................................................................................... 14
Net Profit Margin: ............................................................................................................................ 14
Asset Turnover Ratio:....................................................................................................................... 15
EFFECIENCY RATIO............................................................................................................................... 15
Asset Turnover Ratio:....................................................................................................................... 16
Non-Current Asset Turnover Ratio: ................................................................................................. 16
Current Asset Turnover Ratio: ......................................................................................................... 16
PPE Utilization Ratio or Capital Intensity Ratio: ............................................................................... 17
Equity Turnover Ratio: ..................................................................................................................... 17
Working Capital Turnover Ratio:...................................................................................................... 17
INSOLVENCY RATIO ............................................................................................................................. 17
Debt Equity Ratio: ............................................................................................................................ 18
Debt Ratio or Debt Capitalization Ratio: .......................................................................................... 18
Equity Ratio or Equity Capitalization Ratio: ..................................................................................... 18
Interest Coverage Ratio: .................................................................................................................. 19
Total Debt Service Ratio:.................................................................................................................. 19
LIQUIDITY RATIO ................................................................................................................................. 20
VALUATION RATIO .............................................................................................................................. 20
LTI Mindtree ............................................................................................................................................ 22
Tech Mahindra......................................................................................................................................... 24
Profitability Ratio/ Overall Performance Ratio. ............................................................................... 24
Liquidity Ratio: ................................................................................................................................. 25
Test of Dividend Policy: .................................................................................................................... 25
Valuation Ratios: .............................................................................................................................. 25
INFOSYS ................................................................................................................................................... 26
Company Profile .................................................................................................................................. 26
Return on Equity ROE....................................................................................................................... 26
Compound Sales Growth (CSG)........................................................................................................ 27
Compound Profit Growth (CPG) ...................................................................................................... 27
EBIT .................................................................................................................................................. 28
Return On Asset ............................................................................................................................... 29
EBIT Margin ...................................................................................................................................... 30
Net Profit Margin ............................................................................................................................. 30
Asset Turnover Ratio ........................................................................................................................ 31
Debt/Equity Ratio............................................................................................................................. 32
......................................................................................................................................................... 32
Current Ratio .................................................................................................................................... 32
Quick Ratio ....................................................................................................................................... 33
Wipro ....................................................................................................................................................... 35
Compound Sales Growth ..................................................................................................................... 36
ROE ....................................................................................................................................................... 36
ROA ...................................................................................................................................................... 36
ROCE Improvement.............................................................................................................................. 36
NPM ..................................................................................................................................................... 36
Assets Turnover Ratio .......................................................................................................................... 36
Current Ratio ........................................................................................................................................ 37
Debt/Equity Ratio............................................................................................................................. 37
Conclusion ........................................................................................................................................ 37
Financial Comparison of selected Companies in the IT Industry ........................................................... 38
Overall Performance Ratio.................................................................................................................. 38
Compound Sales Growth (CAGR) ..................................................................................................... 38
Compound Profit Growth (CPG) ...................................................................................................... 38
Return on Capital Employed ............................................................................................................ 39
Return on Equity ROE....................................................................................................................... 40
Return on Assets (ROA) .................................................................................................................... 40
Profit Margin Ratio .............................................................................................................................. 41
EBIT Margin ...................................................................................................................................... 41
Net Profit Margin ............................................................................................................................. 42
Asset Turnover Ratio ........................................................................................................................ 43
Liquidity Ratio...................................................................................................................................... 43
Current Ratio .................................................................................................................................... 43
Quick Ratio ....................................................................................................................................... 44
Dividend Policy .................................................................................................................................... 44
EPS.................................................................................................................................................... 45
Dividend Yield Ratio ......................................................................................................................... 45
Valuation Ratio .................................................................................................................................... 46
PE Ratio: ........................................................................................................................................... 46
EV/EBITDA ........................................................................................................................................... 46
Conclusion ........................................................................................................................................... 47
INTRODUCTION
The Information Technology (IT) sector is a dynamic and rapidly evolving industry that plays a crucial
role in the modern world. It encompasses a wide range of activities related to the development,
implementation, management, and use of various technologies to process and transmit information.
The IT sector has transformed the way businesses operate, people communicate, and information is
accessed and shared.
This project delves into the detail analysis of financial statements which includes Profit & Loss
statement, Balance Sheet and cash flow statement undertaken by prominent Information Technology
(IT) companies namely Wipro, Infosys, Tech Mahindra, Tata Consultancy Services (TCS), and LTI
Mindtree.
We have analysed the last 4 financial year statements individually on a company basis and the overall
analysis among the 5 companies to compute the best performing company.
We have taken some parameters to analyse such as Sales Growth, CAGR (Compound annual Growth
rate), ROA (Return on Assets), ROCE (Return on capital employed), Current ratio, Quick ratio, Net profit
margin etc.
TATA CONSULTANCY SERVICES (TCS)
COMPANY PROFILE
Tata Consultancy Services is an IT services, consulting and business solutions organization that has been
partnering with many of the world’s largest businesses in their transformation journeys for over 50 years. TCS
offers a consulting-led, cognitive powered, integrated portfolio of business, technology and engineering
services and solutions. This is delivered through its unique Location Independent AgileTM delivery model,
recognized as a benchmark of excellence in software development. A part of the Tata group, India’s largest
multinational business group, TCS has over 592,000 of the world’s best-trained consultants in 55 countries.
The company generated consolidated revenues of US $25.7 billion in the fiscal year ended March 31, 2022,
and is listed on the BSE (formerly Bombay Stock Exchange) and the NSE (National Stock Exchange) in India.
TCS’ proactive stance on climate change and award-winning work with communities across the world have
earned it a place in leading sustainability indices such as the MSCI Global Sustainability Index and the FTSE4
Good Emerging Index.
ANALYSIS
REVENUE (in Crores)
2,50,000 18.0% TCS earns revenue primarily from providing IT services,
17.0%
consulting, and business solutions. TCS offers a
consulting-led, cognitive powered, integrated portfolio
16.0%
of IT, business and engineering services and solutions.
1,95,772
2,00,000
14.0% 98% of total revenue generated by TCS comes from its
core business and rest 2% from other sources indicating
1,67,311
1,61,541 12.0%
that TCS's main business activities, such as IT services,
1,50,774 consulting, and technology solutions, are the primary
1,50,000 drivers of its revenue generation.
10.0%
Key Data Insights:

8.0% • TCS has shown positive YOY growth rate in last four
1,00,000 7.1% financial years, with highest YOY growth rate of 17 %
in FY 2022.
6.0%
• Positive CAGR of 9.10 % for last four financial year.
• Slower growth rate observed in FY 2021, due to
50,000 3.6%
4.0% impact of COVID.
Overall TCS maintained a positive YOY growth and
2.0% positive CAGR, this highlight TCS's ability to
consistently increase its top-line performance.
0 0 0.0%
FY 2022 FY 2021 FY 2020 FY 2019
FY 2022 FY 2021 FY 2020 FY 2019

Operating Income 97.95% 98.09% 97.16% 97.14%
Other Income 2.05% 1.87% 2.84% 2.86%
EXPENSES
Total Expense of the company is bifurcated into following categories:
a) Operational Expense - These are the costs incurred by a company in its day-to-day business operations
to generate revenue. These expenses are directly related to the core activities of the company.
Operating Expense (in Crores)

FY 2022 FY 2021 FY 2020 FY 2019
Cost of Material Consumed 1,163 1,462 1,905 2,270
Employee Benefit Expense 1,07,554 91,814 85,952 78,246
Operating and Other Expense 29,980 24,355 26,983 26,441
Operational Expense - % of Total Revenue

FY 2022 FY 2021 FY 2020 FY 2019
Cost of Material Consumed 0.59% 0.87% 1.18% 1.51%
Employee Benefit Expense 54.94% 54.88% 53.21% 51.90%
Operating and Other Expense 15.31% 14.56% 16.70% 17.54%
Cost of Material consumed expense is very less as compared to other operating expense, this is due to
the reason that TCS runs on consultancy service-based business model. TCS spends very less amount on
material consumption to generate revenue.
Employee Benefits expense consists of a major part of operating expense (since TCS being a service-based
consultancy company which rely heavily on manpower). For TCS, this expense as percentage of total
revenue has remained relatively consistent over the years. Indicating that TCS has spent a stable level of
expenditure on its employee in relation to its total revenue.
Other expense for TCS includes fess to external consultants, facility expenses, travel expenses,
communication expenses, etc.
Operating Expense - %of Total Operating Expense

FY 2022 FY 2021 FY 2020 FY 2019
Cost of Material Consumed 0.84% 1.24% 1.66% 2.12%
Employee Benefit Expense 77.55% 78.05% 74.85% 73.16%
Operating and Other Expense 21.62% 20.70% 23.50% 24.72%
Cost of Material consumed has decreased from FY 2019 to FY 2022.

Employee Benefit expense has increased from FY 2019 to FY 2022.
Other expenses show a fluctuation of increase and decrease from FY 2019 to FY 2022.
b) Finance Cost - refer to the interest expenses incurred by a company on its borrowed funds or
capital. For TCS it includes interests on lease liabilities, interest on tax matters and other interest
costs.
c) Depreciation and Amortization Expense – includes systematic allocation of the cost of tangible and
intangible assets over their estimated useful lives.
d) Exceptional Expense - unusual expenses that are not part of a company's normal business
operations. Here in TCS it includes provision toward legal claim. These expenses are generally one
time cost. Hence, exceptional expense will not be the part of our financial analysis.
Expenses (in Crores)

In Crores FY 2022 FY 2021 FY 2020 FY 2019
Operating Expense 1,38,697 1,17,631 1,14,840 1,06,957
Finance Cost 784 637 924 198
D&A Expense 4,604 4,065 3,529 2,056
Exceptional expense 0 1,218 0 0
Expense - % of Total Revenue

FY 2022 FY 2021 FY 2020 FY 2019
Operating Expense 70.85% 70.31% 71.09% 70.94%
Finance Cost 0.40% 0.38% 0.57% 0.13%
D&A Expense 2.35% 2.43% 2.18% 1.36%
Exceptional expense 0.00% 0.73% 0.00% 0.00%
PROFIT ANALYSIS
EBITDA - Earnings Before Interest, Taxes, Depreciation, and Amortization
A financial measure used to assess a company's operating performance. EBITDA helps to understand
how well a company is generating profits, without including certain non-operational factors like interest
expenses, taxes, and accounting adjustments for depreciation and amortization of assets. EBITDA is
commonly used to compare the
EBITDA (in crores)
profitability of different companies or
assess changes in a company's
60,000 16.00%
performance over time.
14.00%
50,000
12.00%
40,000
10.00%
30,000 8.00%
6.00% EBITDA Margin
20,000
4.00% FY 2022 29.15%
10,000
2.00% FY 2021 29.69%
0 0.00%
FY 2020 28.91%
FY 2022 FY 2021 FY 2020 FY 2019 FY 2019 29.06%
EBITDA 57,075 49,680 46,701 43,817
YOY Growth 14.89% 6.38% 6.58% 0.00%
EBITDA YOY Growth
• TCS has a positive EBITDA for the last four financial years, indicating that the company has been
successful in enhancing its operational efficiency and profitability over the period.
• TCS observed highest YOY EBITDA growth rate of 14.89% in FY 2022 as compared to FY 2021,
suggesting company’s core operating performance improved significantly compared to the last
fiscal year.
• Overall TCS has been at approximately 29 % EBITDA Margin each financial year.
• Positive EBITDA and growth rate are a promising sign for investors and stakeholders, as it suggests
that the company’s core business have been generating increasing profits over time.
EBIT - Earnings Before Interest and Taxes
It is a crucial financial metric used to assess a company's operating profitability. It provides insights into
the company's ability to generate earnings from its core business activities before accounting for
interest expenses and income taxes.
EBIT
60,000 16.00% EBIT Margin
14.00%
50,000 FY 2022 26.80%
12.00%
40,000 FY 2021 27.26%
10.00%
30,000 8.00% FY 2020 26.73%
6.00% FY 2019 27.70%
20,000
4.00%
10,000
2.00%
0 0.00%
FY 2022 FY 2021 FY 2020 FY 2019
EBIT 52,471 45,615 43,172 41,563
YOY Growth 15.03% 5.66% 3.87% 0.00%
EBIT YOY Growth
• TCS has a positive EBIT, for the last four financial years.
• TCS observed significant EBIT growth of 15% in FY 2022 as compared to FY 21.
• Overall TCS has been at approximately 27 % EBIT Margin profit each financial year.
Net Income or Profit After Tax
PAT is a key indicator of a company's overall profitability and financial performance. It reflects the
earnings generated by a company's core business operations after accounting for all operating expenses,
interest costs, and taxes.
PAT
39,000 16.00%
38,000 14.00%
37,000
12.00%
36,000
10.00% PAT - % of total revenue
35,000
34,000 8.00% FY 2022 19.43%
33,000 6.00% FY 2021 19.74%
32,000 4.00%
31,000 FY 2020 19.73%
2.00%
30,000 FY 2019 21.26%
29,000 0.00%
28,000 -2.00%
FY 2022 FY 2021 FY 2020 FY 2019
PAT 38,033 33,019 31,870 32,061
YOY Growth 15.18% 3.61% -0.60% 0.00%
PAT YOY Growth
• TCS has a positive PAT over last four financial year. Although the YOY growth rate declined in FY
2020 by 0.6 %, the company manged to have a positive PAT even in a challenging year (covid). This
shows company’s ability to maintain profit indicating effective cost management or stability in its
operation.
• TCS had PAT of 22 % in FY 2021, which declined to 19.73% in FY 2020. Thereafter the company has
been at 19.5% (approx.) PAT Margin each financial year.
NOPAT – Net Operating Profit after tax
NOPAT is like PAT, with key difference that profit is calculated on Operating income rather than Total
Income.
It is an important key metrics to know about profit generated from operating income.
NOPAT
40,000 16.00%
14.00% NOPAT - % of total revenue
35,000
12.00%
FY 2022 18.21%
30,000
FY 2021 18.61%
10.00%
25,000 18.02%
FY 2020
8.00%
20,000 FY 2019 19.16%
6.00%
15,000
4.00%
10,000 2.00%
5,000 0.00%
0 -2.00%
FY 2022 FY 2021 FY 2020 FY 2019
NOPAT 35,653 31,142 29,103 28,888
YOY Growth 14.49% 7.01% 0.74% 0.00%
NOPAT YOY Growth

OVERALL PERFORMANCE RATIO
Performance ratios, also known as financial ratios, are quantitative metrics that provide insights into a
company's operational efficiency, profitability, and overall financial health.
Performance Ratio
0.60
0.50
0.40
0.30
0.20
0.10
0.00
ROTA (before tax) ROTA (after tax) ROE ROCE (before tax) ROCE (after tax)
FY 2022 FY 2021 FY 2020 FY 2019
Performance Ratio
FY 2022 FY 2021 FY 2020 FY 2019
ROTA (before tax) 0.37 0.35 0.36 0.36
ROTA (after tax) 0.27 0.26 0.27 0.28
ROE 0.42 0.38 0.38 0.36
ROCE (before tax) 0.53 0.47 0.46 0.45
ROCE (after tax) 0.39 0.35 0.35 0.35
ROTA (Return on Total Assets) - Before Tax:
• The ROTA (before tax) ratio indicates the company's ability to generate profit relative to its total
assets before accounting for taxes.
• The ratio has remained relatively stable over the years, fluctuating between 0.35 and 0.37.
• This suggests that the company's operational efficiency and utilization of assets to generate
earnings have remained consistent.
ROTA (Return on Total Assets) - After Tax:
• The ROTA (after tax) ratio considers the impact of taxes on profitability.
• The ratio has also remained steady, indicating that the company's after-tax operational efficiency
and asset utilization have remained consistent.
ROE (Return on Equity):
• The ROE ratio measures the company's ability to generate profit relative to its shareholders' equity.
• The ratio has shown an improving trend, increasing from 0.36 in FY 2019 to 0.42 in FY 2022.
• This suggests that the company has been effectively utilizing its equity capital to generate higher
returns for its shareholders.
ROCE (Return on Capital Employed) - Before Tax:
• The ROCE (before tax) ratio assesses the company's ability to generate profit from its total capital
employed (including both equity and debt) before accounting for taxes.
• The ratio has exhibited a gradual increase from 0.45 in FY 2019 to 0.53 in FY 2022.
• This indicates improved operational efficiency and better utilization of both equity and debt capital
to generate earnings.
ROCE (Return on Capital Employed) - After Tax:
• The ROCE (after tax) ratio considers the tax impact on capital employed.
• Like the before-tax ROCE, this ratio has also shown improvement over the years, demonstrating
the company's ability to generate after-tax returns from its capital.
• In general, the consistent or improving trends in these performance ratios suggest that the
company has maintained or enhanced its operational efficiency, asset utilization, and profitability
over the analysed period. The increasing ROE and ROCE ratios specifically indicate effective
management of equity and capital resources to drive higher returns for shareholders and investors.
PROFIT MARGIN RATIO
The Profit Margin Ratios provide valuable insights into the company's ability to convert its revenue
into various levels of profitability.
Profit Margin Ratio

35.00%
30.00%
25.00%
20.00%
15.00%
10.00%
5.00%
0.00%
EBITDA Margin EBIT Margin EBT Margin Net Profit Margin
FY 2022 FY 2021 FY 2020 FY 2019
Profit Margin Ratio

FY 2022 FY 2021 FY 2020 FY 2019
EBITDA Margin 29.15% 29.69% 28.91% 29.06%
EBIT Margin 26.80% 27.26% 26.73% 27.70%
EBT Margin 26.40% 26.88% 26.15% 27.57%
Net Profit Margin 19.43% 19.74% 19.73% 21.26%
EBITDA Margin:
FY 2022: EBITDA Margin 29.15% (YOY Growth: -1.82%)

FY 2021: EBITDA Margin 29.69% (YOY Growth: +2.15%)
FY 2020: EBITDA Margin 28.91% (YOY Growth: -0.25%)
FY 2019: EBITDA Margin 29.06%
• The EBITDA Margin measures the percentage of EBITDA (Earnings Before Interest, Taxes,
Depreciation, and Amortization) to Total Revenue.
• It reflects the operating profitability of the company before considering interest, taxes, and non-
cash expenses.
• The company shows a relatively consistent EBITDA Margin over the years, ranging from
approximately 28.91% to 29.69%.
• This suggests that the company has maintained a stable level of operational efficiency in generating
earnings from its core activities.
EBIT Margin:
FY 2022: EBIT Margin 26.80% (YOY Growth: -2.00%)

FY 2021: EBIT Margin 27.26% (YOY Growth: +1.81%)
FY 2020: EBIT Margin 26.73% (YOY Growth: -3.68%)
FY 2019: EBIT Margin 27.70%
• The EBIT Margin represents the percentage of EBIT (Earnings Before Interest and Taxes) to Total
Revenue.
• It indicates the company's operating profitability after accounting for interest but before considering
taxes.
• Like EBITDA Margin, the values show a consistent trend, ranging from approximately 26.73% to
27.26%.
• The stable EBIT Margin suggests that the company has maintained a steady level of operating
profitability.
EBT Margin:
FY 2022: EBT Margin 26.40% (YOY Growth: -1.86%)

FY 2021: EBT Margin 26.88% (YOY Growth: +2.57%)
FY 2020: EBT Margin 26.15% (YOY Growth: -5.44%)
FY 2019: EBT Margin 27.57%
• The EBT Margin measures the percentage of EBT (Earnings Before Tax) to Total Revenue.
• It reflects the company's profitability before accounting for taxes.
• The values again show a relatively stable trend, ranging from approximately 26.15% to 26.88%.
• This suggests that the company's ability to generate pre-tax earnings has remained consistent over
the years.
Net Profit Margin:
FY 2022: Net Profit Margin 19.43% (YOY Growth: -1.93%)

FY 2021: Net Profit Margin 19.74% (YOY Growth: +0.51%)
FY 2020: Net Profit Margin 19.73% (YOY Growth: -7.17%)
FY 2019: Net Profit Margin 21.26%
• The Net Profit Margin indicates the percentage of Net Profit (Profit After Tax) to Total Revenue.
• It represents the company's final level of profitability after accounting for all expenses, including
taxes.
• The values show a slight variation, ranging from approximately 19.73% to 21.26%.
• This suggests that TCS has been able to maintain significant profit each financial year after accounting
for all its expense.
Asset Turnover Ratio:
ATR
1.40 10.00%
1.38 8.00%
1.36 6.00%
1.34 4.00%
1.32
2.00%
1.30
1.28 0.00%
1.26 -2.00%
1.24 -4.00%
1.22 -6.00%
FY 2022 FY 2021 FY 2020 FY 2019
Asset Turnover Ratio 1.38 1.28 1.34 1.31
YOY Growth Rate 8.12% -4.24% 1.86%
Asset Turnover Ratio YOY Growth Rate
• Asset Turnover Ratio (ATR) measures how effectively a company utilizes its assets to generate
revenue.
• ATR decreased in FY 2021 as compared to FY 2020, indicating that company’s asset utilization
efficiency decreased.
• Company observed 8.12% ATR growth in FY 2022 as compared to FY 2021, indicating that company
has improved its ability to generate revenue from its assets.
EFFECIENCY RATIO
It’s a financial metric to measure a company’s ability to use its assets to generate income.
Effeciency Ratio
20.00
15.00
10.00
5.00
0.00
Asset Turnover Non Current Asset Current Asset PPE Utilization Equity Turnover Working Capital
Ratio Turnover Ratio Turnover Ratio Ratio or Capital Ratio Turnover Ratio
Intensity Ratio
FY 2022 FY 2021 FY 2020 FY 2019
Efficiency Ratio
FY 2022 FY 2021 FY 2020 FY 2019
Asset Turnover Ratio 1.38 1.28 1.34 1.31
Non-Current Asset Turnover Ratio 5.90 5.32 5.27 6.61
Current Asset Turnover Ratio 1.81 1.69 1.79 1.64
PPE Utilization Ratio or Capital Intensity Ratio 17.80 14.77 14.35 14.07
Equity Turnover Ratio 2.18 1.92 1.91 1.68
Working Capital Turnover Ratio 2.97 2.57 2.56 2.15
Asset Turnover Ratio:
FY 2022: 1.38 (YOY Growth: +8.12%)

FY 2021: 1.28 (YOY Growth: -4.24%)
FY 2020: 1.34 (YOY Growth: +1.86%)
FY 2019: 1.31
• The Asset Turnover Ratio measures how efficiently assets generate revenue. The ratio's increase in
FY 2022 reflects improved asset utilization. The decline in FY 2021 might indicate challenges in
generating revenue from assets, while the moderate growth in FY 2020 suggests a recovery.
Non-Current Asset Turnover Ratio:
FY 2022: 5.90 (YOY Growth: +10.90%)

FY 2021: 5.32 (YOY Growth: -8.97%)
FY 2020: 5.27 (YOY Growth: -8.23%)
FY 2019: 6.61
• This ratio gauges revenue generation from non-current assets. The fluctuations indicate shifts in how
efficiently the company utilizes its long-term assets. The decline in recent years may suggest
potential issues in optimizing non-current asset utilization.
Current Asset Turnover Ratio:
FY 2022: 1.81 (YOY Growth: +7.10%)

FY 2021: 1.69 (YOY Growth: -5.62%)
FY 2020: 1.79 (YOY Growth: +9.20%)
FY 2019: 1.64
• This ratio measures revenue generation from current assets. The upward trend indicates improved
efficiency in using short-term assets for generating sales. The fluctuations might be linked to changes
in inventory management or sales strategies.
PPE Utilization Ratio or Capital Intensity Ratio:
FY 2022: 17.80 (YOY Growth: +20.32%)

FY 2021: 14.77 (YOY Growth: +2.38%)
FY 2020: 14.35 (YOY Growth: +2.02%)
FY 2019: 14.07
• This ratio signifies how well property, plant, and equipment generate revenue. The consistent growth
implies that the company is effectively generating more revenue from its capital-intensive assets.
Equity Turnover Ratio:
FY 2022: 2.18 (YOY Growth: +13.02%)

FY 2021: 1.92 (YOY Growth: +13.10%)
FY 2020: 1.91 (YOY Growth: +13.69%)
FY 2019: 1.68
• The increase in this ratio indicates improved efficiency in using equity to generate revenue. The trend
suggests that the company is leveraging equity more effectively for revenue generation.
Working Capital Turnover Ratio:
FY 2022: 2.97 (YOY Growth: +15.56%)

FY 2021: 2.57 (YOY Growth: +19.44%)
FY 2020: 2.56 (YOY Growth: +18.60%)
FY 2019: 2.15
• This ratio evaluates how efficiently working capital contributes to revenue. The consistent growth
indicates the company is optimizing working capital for revenue generation.
INSOLVENCY RATIO
It is financial metric used to access a company’s financial risk and understand the proportion of
company’s assets that are financed by debt and indicates the extent to which the company might face
insolvency.
Insolvency Ratio
1.20
1.00
0.80
0.60
0.40
0.20
0.00
Debt Equity Ratio Debt Ratio or Debt Capitilization Equity Ratio or Equity Capitilization
Ratio Ratio
FY 2022 FY 2021 FY 2020 FY 2019
Insolvency Ratio
FY 2022 FY 2021 FY 2020 FY 2019
Debt Equity Ratio 0.09 0.09 0.10 0.00
Debt Ratio or Debt Capitalization Ratio 0.08 0.08 0.09 0.00
Equity Ratio or Equity Capitalization Ratio 0.92 0.92 0.91 1.00
Debt Equity Ratio:
• The Debt Equity Ratio compares a company's total debt to its equity, indicating the proportion of
external funding relative to internal equity.
• The Debt Equity Ratio has remained relatively stable over the years, indicating a consistent balance
between debt and equity in the capital structure. The gradual increase in FY 2020 could be attributed
to changes in the financing mix. The absence of debt in FY 2019 implies very little external borrowing,
potentially reflecting a strong equity position.
Debt Ratio or Debt Capitalization Ratio:
• The Debt Ratio compares total debt to the total of debt and equity, providing insights into the extent
of external financing in the company's capitalization.
• The Debt Ratio has shown stability, with a slight increase in FY 2020. The absence of debt in FY 2019
indicates a capital structure primarily reliant on equity. The small increase in FY 2020 suggests a
minor shift towards debt financing.
Equity Ratio or Equity Capitalization Ratio:
• The Equity Ratio compares equity to the total of debt and equity, highlighting the portion of
capitalization funded by equity.
• The Equity Ratio has remained relatively stable, indicating consistent equity capitalization over the
years. The decrease in FY 2020 might indicate a slight increase in debt financing. The exceptionally
high value in FY 2019 implies no or very little external debt financing, resulting in a capital structure
solely reliant on equity.
In summary, the insolvency ratios suggest a balanced and conservative financial approach, with
relatively stable values. The YOY growth rates demonstrate minimal fluctuations, signifying a consistent
long-term financing strategy. The absence or minimal amount of debt in FY 2019 showcases a financially
robust position, while slight variations in later years could reflect adjustments to the company's capital
structure.
*TCS had very low debt in FY 2019 as compared to other financial years
Interest Coverage Ratio:
The interest Coverage ratio measures company’s ability to meet interest payments on debt.
Interest Coverage Ratio

250.00
200.00
150.00
100.00
50.00
0.00
Interest Coverage Ratio
FY 2022 66.93
FY 2021 71.61
FY 2020 46.72
FY 2019 210.91
FY 2022 FY 2021 FY 2020 FY 2019
• FY 2022 and FY 2021: Ratios well above 1 indicate strong ability to cover interest payments, reflecting
robust financial health and prudent debt management.
• FY 2020: Slight decrease in the ratio, but still above 1, suggesting sufficient earnings to cover interest
costs. Change may relate to financial structure or profitability.
• FY 2019: Exceptionally high ratio implies very strong capacity to cover interest, showcasing low
financial risk associated with debt payments.
Total Debt Service Ratio:
The Total Debt Service Ratio measures company’s ability to cover total debt obligations.
Total Debt Service Ratio

200.00
180.00
160.00
140.00
120.00
100.00
80.00
60.00
40.00
20.00
0.00
Total Debt Service Ratio
FY 2022 6.10
FY 2021 5.41
FY 2020 4.75
FY 2019 172.57
FY 2022 FY 2021 FY 2020 FY 2019

• FY 2022 and FY 2021: Ratios above 1 indicate sufficient earnings to service debt, reflecting solid
financial health and ability to meet obligations.
• FY 2020: Slightly lower ratio compared to previous years, but still above 1, showing adequate ability
to meet debt commitments. Change may relate to shifts in earnings or debt structure.
• FY 2019: Unusually high ratio is accounted due to very low debt and interest cost accounted in this
year.
LIQUIDITY RATIO
It’s a financial metrics to access a company’s ability to meet short term obligations.
Liquidity Ratio
4.50
4.00
3.50
3.00
2.50
2.00
1.50
1.00
0.50
0.00
Current Ratio Quick Ratio
FY 2022 2.56 2.56
FY 2021 2.91 2.91
FY 2020 3.33 3.33
FY 2019 4.17 4.17
FY 2022 FY 2021 FY 2020 FY 2019
• Current Ratio (FY 2022 to FY 2019): Indicates a decreasing trend in short-term liquidity. While still
above 1, the decreasing values suggest a potential change in the company's liquidity position over
the years.
• Quick Ratio (FY 2022 to FY 2019): Mirrors the trend of the Current Ratio, showing a decreasing
ability to cover short-term obligations with the most liquid assets.
• The declining trend in both ratios signal changing working capital dynamics or management of
short-term assets and liabilities.
VALUATION RATIO
It’s a financial metrics to access how the market values a company’s stock.
Valuation Ratio
40.00
35.00
30.00
25.00
20.00
15.00
10.00
5.00
0.00
Price Earning Ratio (P/E) Price to Book Value Ratio
FY 2022 35.99 15.36
FY 2021 35.61 13.60
FY 2020 21.49 8.14
FY 2019 23.41 8.39
FY 2022 FY 2021 FY 2020 FY 2019
• Price Earnings Ratio (P/E) (FY 2022 to FY 2019): The P/E ratio has shown fluctuations. FY 2022 has
a higher P/E ratio, which may suggest investors are willing to pay a premium for higher earnings
growth. In comparison, FY 2020 and FY 2019 had lower P/E ratios.
• Price to Book Value Ratio (FY 2022 to FY 2019): The Price to Book Value ratio has increased over
the years, indicating increasing market confidence in the company's book value and potential for
future growth.
LTI Mindtree
As part of our group project, we performed a financial analysis comparing companies operating within
the IT industry five prominent IT companies, namely Infosys, TCS, LTI Mindtree, Tech Mahindra, and
Wipro, over a specific period. This analysis gives insights into their financial performance and position.
Below is a summary of the key findings:
PBIT Margin (%) Net Profit Margin (%)

22.50% 17.00%
22.04% 16.56%
22.00% 16.50%
21.50% 21.30% 21.36%
16.00%
15.69%
21.00% 15.46%
20.41% 15.50% 15.24%
20.50%
20.00% 15.00%
19.50% 14.50%
FY-19 FY-20 FY-21 FY-22 FY-19 FY-20 FY-21 FY-22
ROCE ROA
60.00% 30.00% 27.31%
48.32% 23.69%
50.00% 41.38% 25.00%
18.66% 17.90%
40.00% 33.35% 32.13% 20.00%
30.00% 15.00%
20.00% 10.00%
10.00% 5.00%
0.00% 0.00%
Current Ratio EV/EBIDTA

3.4 3.27 3.27 40
31.81
3.19
3.2 30 25.78
3 2.87 20 14.18
10.72
2.8 10
2.6 0
Year-on-Year Financial Comparison for LTI MindTree:

Positive Trends:
• ROCE Improvement: The Return on Capital Employed (ROCE) has shown a consistent positive
trend, increasing from 41.38% in FY-19 to 48.32% in FY-22. This indicates effective utilization of
capital and improved profitability.
• ROA Growth: The Return on Assets (ROA) has exhibited a favourable growth trajectory, rising from
23.69% in FY-19 to 27.31% in FY-22. This signifies the company's ability to generate higher earnings
from its assets.
• Steady PBIT Margin: The Profit Before Interest and Tax (PBIT) Margin has remained relatively
stable, hovering around 21% over the years. This indicates consistent operational efficiency and
management of costs.
• Resilient Net Profit Margin: The Net Profit Margin has been maintained at a reasonable level,
showing resilience despite external challenges. This demonstrates effective control over expenses
and sustained profitability.
• Healthy Current Ratio: The Current Ratio has been consistently above 3, indicating a strong ability
to meet short-term obligations. This suggests a robust liquidity position.
• EV/EBITDA Growth: The Enterprise Value to Earnings Before Interest, Taxes, Depreciation, and
Amortization (EV/EBITDA) ratio has shown a substantial increase from 14.18 in FY-19 to 31.81 in
FY-22. This suggests an improving valuation relative to operational earnings.
Areas for Consideration:
• ROA Decline: While ROA has shown an overall growth trend, there was a dip from 23.69% in FY-19
to 18.66% in FY-20. Exploring the factors behind this decline could provide insights into potential
areas for improvement.
• Slight Net Profit Margin Decrease: The Net Profit Margin experienced a slight decrease from FY-19
to FY-20, suggesting the need for continued focus on cost management and revenue optimization.
• Decreasing Current Ratio: The Current Ratio has shown a gradual decline from FY-19 to FY-22.
While it remains above a healthy threshold, monitoring liquidity management to ensure the ability
to meet short-term obligations is essential.
Conclusion:
LTI Mindtree has demonstrated positive financial performance with improving ROCE, ROA,
and PBIT Margin. The company's consistent Net Profit Margin and healthy Current Ratio are
noteworthy. While there are areas for consideration such as the temporary decline in ROA
and slight decrease in Net Profit Margin, the overall financial trends suggest effective
management and a commitment to enhancing shareholder value.
Tech Mahindra
Profitability Ratio/ Overall Performance Ratio.

Compound Sales Growth (CSG): The Compound Sales Growth of Tech Mahindra company over the
period of 2019 to 2022 is found to be 12%. This means, this company has a healthy growth over the
period of 4 years.
Compound Profit Growth: The Compound Profit Growth of Tech Mahindra company over the period
of 2019 to 2022 is found to be 6%. This means, this company has got around 6% of raise in profit over
the period of 4 years.
Stock Price CAGR: The stock price Compound Annual Growth rate of Tech Mahindra company over the
period of 2019 to 2022 is found to be 13%. This means, this company has earned 13% on its
investments every year over a period of 4 years.
Return on Capital Employed (ROCE ): The Return on Capital Employed (ROCE) rate of Tech Mahindra
company over the period of 2019 to 2022 is found to be 22.37%. This means, this company's financial
ratio that can be used to assess its profitability and capital efficiency is at 22.37% over the period of 4
years.
Return on Assets (ROA ): The Return on Assets (ROA) rate of Tech Mahindra Company over the period
of 2019 to 2022 is found to be 12.40%. This means, this company has used its Assets at the rate of
12.40% to generate profit over the period of 4 years.
Return on Equity (ROE ): The Return on Equity (ROE) rate of Tech Mahindra company over the period
of 2019 to 2022 is found to be 17.16%. This means, this company has earned a good amount of return
on its Shareholders Equity over the period of 4 years.
Profit Margin Ratio.

Earnings Before Interest and Taxes (EBIT): The EBIT rate of Tech Mahindra company over the period
of 2019 to 2022 is found to be 17.05%. This means, this company has a operating profitability of
around 17.05% over the period of 4 years.
Net Profit Margin: The Net Profit Margin of Tech Mahindra company over the period of 2019 to 2022
is found to be 12.60%. This means, this company has earned 12.60% profit of its overall revenue over
the period of 4 years.
Asset Turnover ratio: The Asset Turnover ratio of Tech Mahindra company over the period of 2019 to
2022 is found to be 0.93. This means, this company has a better utilization of assets to generate its
sales over the period of 4 years.
Insolvency Ratio.
Debt/Equity ratio : The Debt/Equity ratio of Tech Mahindra company over the period of 2019 to 2022
is found to be 0.06. This means, this company has very much less debts when compared to its assets
over the period of 4 years. So the company has a good and healthy growth over the period of 4 years
with less liabilities.
Liquidity Ratio:
Current Ratio : The Current ratio of Tech Mahindra company over the period of 2019 to 2022 is found
to be 1.95. This means, this company's ability to pay short-term obligations is 1.95 over the period of 4
years. As it is greater than 1, it indicates that this company has sufficient liquidity to cover its short-
term liabilities.
Quick Ratio/ Acid Test Ratio : The Quick ratio of Tech Mahindra company over the period of 2019 to
2022 is found to be 1.96. This means, this company's ability to pay short-term obligations with assets
other than Inventory, is 1.96 over the period of 4 years. As it is greater than 1, it indicates that this
company has sufficient liquidity to cover its short-term liabilities.
Test of Dividend Policy:
Earnings per share (EPS): The Earnings Per Share of Tech Mahindra company over the period of 2019 to
2022 is found to be 63.23. This means, this company's Investors have earned a good amount of profit
on their shares over the period of 4 years.
Dividend Yield Ratio: The Dividend Yield ratio of Tech Mahindra company over the period of 2019 to
2022 is found to be 2.62%. This means, this company's quantum of cash dividends paid out to
shareholders relative to the market value per share is 2.62% over the period of 4 years. The
shareholders has got a good amount of return.
Valuation Ratios:
Price-to-Earnings (PE) Ratio: The PE ratio of Tech Mahindra company over the period of 2019 to 2022
is found to be 27.1. This means, this company is paying less amount of money for each rupee of its
earnings over the period of 4 years.
Earnings Before Interest, Taxes, Depreciation, and Amortization EV/EBITDA (X): The EBITDA of Tech
Mahindra company over the period of 2019 to 2022 is found to be 14.2. This means, this company has
a good amount of return on investments over the period of 4 years.
INFOSYS
Company Profile
Infosys Limited stands as a prominent Indian multinational corporation specializing in information

technology. This company offers a spectrum of services encompassing business consulting, information
technology, and outsourcing. Its origins trace back to Pune, and its central operations are anchored in
Bangalore. As of 2020, Infosys ranks as the second-largest IT enterprise in India, following Tata
Consultancy Services, based on revenue statistics.
A noteworthy milestone was achieved on August 24, 2021, when Infosys marked its place as the fourth
Indian entity to attain a market capitalization exceeding US$100 billion. Notably, it holds a distinguished
position among the leading Big Tech companies within India.
Return on Equity ROE
ROE
35.00%
30.00%
25.00%
20.00%
15.00%
10.00%
5.00%
0.00%
FY2019 FY2020 FY2021 FY2022
The Return on Equity (ROE) comparison for Infosys over the fiscal years 2019, 2020, 2021, and 2022
reflects the company's profitability in relation to its shareholders' equity.
FY2019 ROE: 25.85%

In 2019, Infosys achieved an ROE of 25.85%, indicating that the company generated earnings equivalent
to 25.85% of its shareholders' equity. This suggests a favourable utilization of equity capital to produce
profits.
FY2020 ROE: 26.14%

The ROE increased slightly to 26.14% in 2020, indicating that Infosys continued to generate earnings
efficiently from its equity investments.
FY2021 ROE: 27.22%

The ROE further improved to 27.22% in 2021, suggesting a continued upward trend in the company's
ability to yield profits relative to equity.
FY2022 ROE: 31.29%

The ROE increased significantly to 31.29% in 2022, indicating that Infosys experienced a notable
improvement in its profitability concerning shareholders' equity. This substantial increase could be
attributed to enhanced operational efficiency, improved business strategies, or effective utilization of
resources.
The consistent upward trend in the ROE over these years indicates that Infosys has been successful in
increasing its profitability in relation to equity investment. A higher ROE suggests that the company is
effectively using its shareholders' equity to generate profits.
Compound Sales Growth (CSG)
Compound Sales Growth

25.00%
20.00%
15.00%
10.00%
5.00%
0.00%
FY2019 FY2020 FY2021 FY2022
FY2019 Compound Sales Growth: 0.00%

In 2019, the Compound Sales Growth was 0.00%, indicating no growth or decline in sales on an
average annual basis.

The Compound Sales Growth increased to 9.39% in 2020, indicating a growth trend in sales compared
to the previous year. This suggests that Infosys managed to achieve a moderate level of sales growth in
2020.

The Compound Sales Growth continued to rise, reaching 9.70% in 2021. This suggests that Infosys
experienced further growth in sales, reflecting its ability to expand revenue generation.

The Compound Sales Growth experienced a substantial increase to 20.71% in 2022. This signifies a
notable acceleration in revenue growth, indicating potentially successful business strategies or
increased market demand.
Compound Profit Growth (CPG)

Compound Profit Growth
25.00%
20.00%
15.00%
10.00%
5.00%
0.00%
FY2019 FY2020 FY2021 FY2022
FY2019 Compound Profit Growth: 0.00%

In 2019, the Compound Profit Growth was 0.00%, indicating that Infosys experienced no net profit
growth or decline during that year.

The Compound Profit Growth increased to 2.43% in 2020, suggesting a modest positive growth in net
profits on an average annual basis. This indicates that Infosys managed to achieve some profit growth
in 2020 compared to the previous year.

The Compound Profit Growth significantly accelerated to 21.45% in 2021. This implies substantial
growth in net profits over the year, reflecting improved profitability and potentially effective business
strategies.

The Compound Profit Growth decreased slightly to 13.37% in 2022. Although lower than the previous
year, it still indicates healthy net profit growth.
EBIT
EBIT%
25.00%
20.00%
15.00%
10.00%
5.00%
0.00%
FY2019 FY2020 FY2021 FY2022
FY2019 EBIT%: 0.00%

In 2019, the EBIT% was 0.00%, indicating that Infosys had negligible operating profitability relative to its
total revenue. This could suggest challenges in generating operating profits during that period.
FY2020 EBIT%: 1.81%
The EBIT% increased to 1.81% in 2020, indicating a small improvement in operating profitability. This
suggests that Infosys managed to generate a higher proportion of operating profit relative to total
revenue compared to the previous year.
FY2021 EBIT%: 19.49%

The EBIT% experienced a significant jump to 19.49% in 2021. This indicates a substantial improvement
in operating profitability, suggesting that Infosys enhanced its ability to generate operating profit from
its total revenue.
FY2022 EBIT%: 14.64%

The EBIT% decreased to 14.64% in 2022. While lower than the previous year, it still suggests that Infosys
managed to generate a notable portion of operating profit relative to its total revenue.
The comparison in EBIT% reveals a fluctuating trend, with substantial variations over the years. The
significant increase in EBIT% from 2020 to 2021 suggests that Infosys made remarkable improvements
in its operating profitability during that period. However, the decrease in EBIT% in 2022 suggests a
potential decline in operating profitability compared to the previous year.
Return On Asset
ROA
27.50%
27.00%
26.50%
26.00%
25.50%
25.00%
24.50%
24.00%
FY2019 FY2020 FY2021 FY2022
FY2019 ROA: 26.9%

In 2019, Infosys achieved an ROA of 26.9%, indicating that the company generated earnings equivalent
to 26.9% of its total assets. This suggests efficient use of assets to generate profits.
FY2020 ROA: 25.03%

The ROA decreased to 25.03% in 2020, indicating a slightly lower proportion of earnings relative to
total assets compared to the previous year.
FY2021 ROA: 25.62%

The ROA increased slightly to 25.62% in 2021, suggesting a modest improvement in generating
earnings from assets.
FY2022 ROA: 26.97%
The ROA further increased to 26.97% in 2022, indicating a stronger ability to yield profits from total
assets.
EBIT Margin
EBIT%
25.00%
20.00%
15.00%
10.00%
5.00%
0.00%
FY2019 FY2020 FY2021 FY2022
Net Profit Margin
Net Profit Margin

21.00%
20.50%
20.00%
19.50%
19.00%
18.50%
18.00%
17.50%
17.00%
FY2019 FY2020 FY2021 FY2022
FY2019 Net Profit Margin: 19.64%

In 2019, Infosys had a Net Profit Margin of 19.64%, indicating that approximately 19.64% of its total
revenue translated into net income. This signifies a healthy profitability ratio for the company.

The Net Profit Margin decreased slightly to 18.39% in 2020, suggesting a slight reduction in
profitability. This could be due to factors such as increased expenses or changes in revenue structure.
In 2021, the Net Profit Margin increased to 20.36%, indicating an improvement in profitability. This
suggests that Infosys managed to generate a higher proportion of net income relative to its total
revenue.

The Net Profit Margin declined to 19.12% in 2022, implying a decrease in profitability compared to the
previous year. This could be attributed to changes in business dynamics or operational factors.
Asset Turnover Ratio
Asset Turnover ratio

106.00%
104.00%
102.00%
100.00%
98.00%
96.00%
94.00%
92.00%
90.00%
88.00%
FY2019 FY2020 FY2021 FY2022
FY2019 Asset Turnover Ratio: 99.76%

In 2019, the Asset Turnover Ratio was 99.76%, indicating that Infosys generated approximately 99.76%
of its total revenue for each unit of its average total assets. This suggests efficient utilization of assets
to generate revenue.

The Asset Turnover Ratio remained similar at 99.68% in 2020, suggesting consistent efficiency in
converting assets into revenue.

The Asset Turnover Ratio decreased to 93.66% in 2021, indicating that Infosys generated slightly less
revenue per unit of its average total assets compared to the previous year. This might imply a relatively
lower asset efficiency in revenue generation.

The Asset Turnover Ratio increased to 103.82% in 2022, suggesting improved efficiency in generating
revenue from assets compared to the previous year. This could indicate that Infosys managed to
generate more revenue for each unit of its average total assets/
Debt/Equity Ratio
Debt/Equity Ratio
8.00%
7.00%
6.00%
5.00%
4.00%
3.00%
2.00%
1.00%
0.00%
FY2019 FY2020 FY2021 FY2022
FY2019 Debt-to-Equity Ratio: 0.00%

In 2019, the Debt-to-Equity Ratio was 0.00%, indicating that Infosys had no debt or an extremely
minimal debt compared to its equity ownership. This suggests a very low reliance on debt for financing
its operations.

The Debt-to-Equity Ratio increased to 6.10% in 2020, indicating that Infosys had a higher proportion of
debt relative to its equity ownership compared to the previous year. This suggests a moderate level of
debt financing.

The Debt-to-Equity Ratio further increased to 6.94% in 2021, suggesting a continued reliance on debt
financing to support its operations and growth initiatives.

The Debt-to-Equity Ratio increased slightly to 7.23% in 2022, indicating that Infosys continued to
maintain a certain level of debt in its capital structure.
Current Ratio
Current Ratio
3.5
3
2.5
2
1.5
1
0.5
0
FY2019 FY2020 FY2021 FY2022
FY2019 Current Ratio: 2.89
In 2019, Infosys had a Current Ratio of 2.89, indicating that the company's current assets were
approximately 2.89 times its current liabilities. This suggests a strong ability to cover short-term
obligations with available short-term assets.

The Current Ratio slightly decreased to 2.67 in 2020, but still remained at a relatively healthy level. This
suggests that Infosys continued to maintain a robust liquidity position, albeit slightly lower than the
previous year.

The Current Ratio decreased further to 2.6 in 2021, suggesting a continued but moderate decline in
liquidity. While the ratio decreased, it still indicates that Infosys had adequate current assets to cover
its short-term liabilities.

The Current Ratio notably decreased to 2.04 in 2022. While the ratio remained above 2, it indicates a
significant reduction in liquidity compared to the previous years. This suggests a relatively lower
cushion of current assets to cover short-term obligations.
Quick Ratio
Quick Ratio/ Acid Test Ratio

3.00
2.50
2.00
1.50
1.00
0.50
0.00
FY2019 FY2020 FY2021 FY2022
FY2019 Quick Ratio: 2.84

In 2019, Infosys had a Quick Ratio of 2.84, indicating that the company's most liquid assets (excluding
inventory) were approximately 2.84 times its current liabilities. This suggests a robust ability to cover
short-term obligations using readily convertible assets.

The Quick Ratio decreased slightly to 2.62 in 2020, but remained at a healthy level. This suggests that
Infosys continued to maintain strong liquidity even when excluding inventory from its assets.

The Quick Ratio further decreased to 2.54 in 2021, indicating a continued but moderate decline in
liquidity when focusing on the most liquid assets. Despite the decrease, the ratio suggests that Infosys
still had a solid capacity to meet short-term obligations using liquid resources.
The Quick Ratio decreased notably to 2.00 in 2022. While the ratio remains above 1 (indicating
sufficient coverage of short-term liabilities), the decrease suggests a reduction in the cushion of readily
convertible assets compared to the previous years.
Wipro
Compound Sales Growth 4 ROE Comparison

Year 24.0%
23.2%
7.50% 23.0%
6.50% 22.0%
5.50% 20.7%
4.03% 4.13% 21.0% 20.3%
4.50% 3.62%
3.50% 20.0% 19.4%
2.50% 19.0%
1.50% 18.0%
0.50% 0.00%
17.0%
-0.50% FY-19 FY-20 FY-21 FY-22
FY-19 FY-20 FY-21 FY-22
ROA ROCE
21.00% 20.48% 25.0% 23.2%
20.5% 19.6%
18.8%
20.00% 20.0%
19.00% 18.53% 15.0%
17.90%
18.00% 17.61% 10.0%
17.00% 5.0%
16.00% 0.0%
Net Profit Margin Asset Turnover ratio

0.89
25.00% 0.90
21.00% 17.88% 17.98% 18.94% 0.83
15.59% 0.85
17.00% 0.79
0.80
13.00% 0.74
9.00% 0.75
5.00% 0.70
1.00% 0.65
-3.00% FY-19 FY-20 FY-21 FY-22 FY-19 FY-20 FY-21 FY-22
Current Ratio Debt/Equity Ratio

3.00 2.67 0.20 0.17
2.40
2.50 2.16 0.14
1.95 0.15
2.00 0.10
0.09
1.50 0.10
1.00 0.05
0.50
0.00 0.00
The trend shows continuous growth in the numbers year on year i.e., from 3.62% to 4.13%. Hence, A
higher sales growth rate often suggests increased demand for a company's products or services. This
can result from effective marketing, product innovation, improved customer satisfaction, or changes
in consumer preferences.
ROE
Comparing Return on Equity (ROE) is a way to evaluate the financial performance and efficiency of
different companies or the same company over different time periods. ROE is a key profitability ratio
that measures how effectively a company is using its shareholders' equity to generate profit.
Hence, here from 2019 to 2021 it keeps on increasing from 19.4% to 23.2% but due to it can also
amplify losses during downturns it reduce to 20.3%.
ROA
Return on Assets (ROA) is a financial ratio that measures a company's ability to generate profit from its
assets. It provides insight into how efficiently a company uses its resources to generate earnings. ROA
is often used by investors, analysts, and management to assess a company's operational efficiency and
profitability.
It keeps on increasing from 2019 to 2021, but reduced in 2022 to 17.9% due to any of the following
reason:
Decreased profitability, Assets inefficiency, Increased liabilities etc.
ROCE Improvement
The Return on Capital Employed (ROCE) has shown a consistent positive trend, increasing from 18.8%
in FY-19 to 23.2% in FY-21. This indicates effective utilization of capital and improved profitability. But
due to some uncertain reasons it reduce in 2022 to 19.6%.
NPM
Net Profit Margin (NPM) is a key financial ratio that measures the profitability of a company by
expressing its net profit as a percentage of its total revenue. It provides insight into how well a company
manages its costs and expenses relative to its sales.
It is showing positive graph from 2019 to 2021 i.e., from 17.88% to 18.94% but due to decline in the
profit, NPM reduced in 2022 to 15.59%.
Assets Turnover Ratio

The Asset Turnover Ratio is a financial metric that measures how efficiently a company utilizes its assets
to generate revenue. It indicates how well a company is able to generate sales from its investment in
total assets. The ratio is particularly useful for assessing a company's operational efficiency and how
effectively it uses its resources
Here we can see that ATR has been continuously on a growing side i.e., it has been increased from 0.74
in 2019 to 0.89 in 2022.
Higher Asset Turnover ratio signifies that the company is efficiently using its assets to generate sales. It
indicates that the company is able to generate substantial revenue with a relatively lower investment
in assets.
Current Ratio
The Current Ratio is a liquidity ratio that measures a company's ability to cover its short-term liabilities
with its short-term assets. It is a fundamental metric used to assess a company's short-term financial
health and its ability to meet its immediate obligations.
Current ratio has been decreasing continuously from 2019 to 2022 i.e., 2.67 to 1.95.
A reduction in the current ratio year on year could signal various shifts in a company's financial situation
and operations. While a declining current ratio may not necessarily be a cause for immediate concern,
it's important to analyse the underlying reasons and implications. Here are some possible explanations
for a decreasing current ratio are Improved efficiency, Strategic Investment, Sales Growth, Inventory
Management etc.
Debt/Equity Ratio
The Debt-to-Equity Ratio (D/E) is a financial metric that measures the proportion of a company's total
liabilities (debt) to its shareholders' equity. It provides insight into the company's financial leverage and
capital structure, indicating how much of the company's operations are funded by debt compared to
equity.
We can see that our Debt equity ratio has been reducing every year i.e., from 0.17 in 2019 to 0.09 in
2022.
Reducing the Debt-to-Equity (D/E) Ratio involves decreasing the company's total debt relative to its
shareholders' equity. This can be achieved through various financial strategies and actions aimed at
improving the company's capital structure and financial health. A lower D/E ratio often indicates
reduced financial risk and increased financial stability. Here are some steps a company might take to
reduce its D/E ratio.
Conclusion
Wipro has demonstrated positive financial performance with improving compounded sales growth,
Assets turnover ratio, and reducing Debt/Equity ratio. Also, a value has a Compound Annual Growth
Rate (CAGR) of 4%, it means that the value has grown at an average annual rate of 4% over a specified
period. Here are a few implications and interpretations of a CAGR of 4%. Factors such as industry trends,
market conditions, risk factors, and specific goals should all be considered when interpreting the
implications of a 4% CAGR. Additionally, CAGR assumes a consistent rate of growth, which might not
always hold true in real-world scenarios.
Financial Comparison of selected Companies in the IT Industry
Overall Performance Ratio
Compound Sales Growth (CAGR)
It is an insightful metric that provides a comprehensive view of the companies' revenue growth
performance, considering the compounding effect over the given period. providing a more accurate
representation of a company's sales performance compared to a simple average growth rate.
The formula for Compound Sales Growth is as follows:

CSG = [(Ending Sales / Beginning Sales) ^ (1 / Number of Years) - 1] * 100
Where:
Ending Sales: The total sales or revenue at the end of the period.
Beginning Sales: The total sales or revenue at the beginning of the period.
Number of Years: The number of years over which the sales growth is calculated.

40% 35%
35%
30%
25%
20% 16%
15% 13% 12% 11%
10%
5%
0%
Infosys TCS LTI Mindtree Tech Mahindra Wipro
This comparison of Compound Sales Growth reveals varying growth rates among the selected IT
companies. LTI Mindtree stands out with a remarkable 35% CSG, showcasing rapid expansion, while
Infosys and TCS demonstrate solid and steady growth rates. Tech Mahindra and Wipro display moderate
growth rates, highlighting their ongoing commitment to growth and innovation.
Compound Profit Growth (CPG)
Compound Profit Growth (CPG) is a financial metric that measures the average annual growth rate of a
company's profits (net income) over a specific period, considering the compounding effect of growth
over multiple periods. It provides insights into the company's ability to generate increasing profits
consistently over time.
The formula for Compound Profit Growth is similar to that of Compound Sales Growth:
CPG = [(Ending Profits / Beginning Profits) ^ (1 / Number of Years) - 1] * 100
Where:
Ending Profits: The total profits (net income) at the end of the period.
Beginning Profits: The total profits (net income) at the beginning of the period.
Number of Years: The number of years over which the profit growth is calculated.
Compound Profit Growth

35% 32%
30%
25%
20%
15% 10%
9%
10% 6% 7%
5%
0%
This comparison of Compound Profit Growth highlights the varying profit growth rates among the
selected IT companies. LTI Mindtree stands out with a remarkable 32% CPG, indicating rapid profit
expansion, while Infosys, TCS, Tech Mahindra, and Wipro demonstrate solid and steady profit growth
rates.
Return on Capital Employed
ROCE stands for "Return on Capital Employed." It is a financial ratio that measures the profitability of a
company's capital investments in relation to its operating profit. ROCE assesses how efficiently a
company is utilizing both its equity capital and borrowed capital to generate profits.
ROCE = EBIT / Capital Employed) x 100
Where:
Capital Employed: The total capital invested in the business, including equity capital and long-term debt.
ROCE provides insights into the company's ability to generate returns from the total funds invested in
its operations. A higher ROCE indicates that the company is effectively using its capital to generate
profits, while a lower ROCE may suggest inefficiencies in capital utilization.
ROCE
70.00% 60.23%
60.00%
48.32%
50.00%
38.46%
40.00%
27.32%
30.00% 22.37%
20.00%
10.00%
0.00%
This comparison of Return on Capital Employed reveals varying levels of capital efficiency among the
selected IT companies. TCS stands out with a notably high ROCE of 60.23%, showcasing exceptional
capital utilization. LTI Mindtree and Infosys also demonstrate strong ROCE figures, while Tech Mahindra
and Wipro exhibit comparatively moderate but respectable levels of capital efficiency.
Return on Equity ROE
ROE stands for "Return on Equity." It is a financial ratio that measures the profitability of a company's
equity investment in relation to its net income. ROE provides insights into how effectively a company is
generating profits from its shareholders' equity.
ROE = (Net Income / Shareholders' Equity) x 100
Where:
Net Income: The company's total earnings after deducting all expenses, taxes, and interest.
Shareholders' Equity: The total value of a company's assets minus its liabilities, representing ownership
interest of the shareholders.
ROE indicates the percentage of net income that a company generates for each unit of shareholders'
equity. It serves as a measure of the company's profitability and the efficiency with which it uses its
equity capital to generate earnings.
A higher ROE is generally considered favourable, as it suggests that the company is effectively utilizing
its equity capital to generate profits.
Return on Equity - ROE

50.00%
38.45%
40.00% 36.00%
31.29%
30.00%
20.10%
20.00% 17.16%
10.00%
0.00%
This comparison of Return on Equity reveals varying levels of profitability generated from shareholders'
equity among the selected IT companies. LTI Mindtree and TCS stand out with strong ROE figures,
reflecting their effective use of equity capital. Infosys, Wipro, and Tech Mahindra also demonstrate
respectable levels of ROE, indicating their commitment to delivering value to shareholders.
Return on Assets (ROA)
It is a financial ratio that measures a company's ability to generate profits from its total assets. In other
words, ROA assesses how efficiently a company utilizes its assets to generate earnings.
Return on Assets ROA
35.00% 31.49%
30.00% 27.31%
25.00% 21.36%
20.00%
15.09%
15.00% 12.40%
10.00%
5.00%
0.00%
This comparison of Return on Assets highlights varying levels of efficiency among the selected IT
companies in generating profits from their total assets. TCS stands out with an impressive ROA of
31.49%, showcasing exceptional asset utilization. LTI Mindtree, Infosys, and Wipro also demonstrate
strong ROA figures, indicating their effective asset management practices. Tech Mahindra exhibits a
respectable ROA, reflecting its commitment to generating returns from its assets.
Profit Margin Ratio
EBIT Margin
Earnings Before Interest and Taxes, is a financial metric that measures a company's operating
profitability as a percentage of its total revenue. It is also known as operating margin or operating profit
margin. EBIT% gives insights into how efficiently a company's core operations are generating earnings
before considering interest and taxes.
EBIT (Earnings Before Interest and Taxes): This represents the company's operating profit, calculated by
subtracting operating expenses (excluding interest and taxes) from total revenue.
EBIT% is expressed as a percentage. A higher EBIT% indicates that the company's core operations are
generating a greater proportion of earnings relative to its total revenue. This can suggest a more
efficient and profitable business model.
EBIT% is a useful metric for assessing a company's operational efficiency and profitability, as it focuses
solely on the company's core business activities and excludes the impact of interest expenses and taxes.
It allows for comparisons across different companies and industries to evaluate their ability to generate
profits from their primary operations.
EBIT%
35.00% 31.31%
30.00% 27.53% 26.23%
25.00%
20.23%
20.00% 17.05%
15.00%
10.00%
5.00%
0.00%
This comparison of EBIT Margin highlights varying levels of operational profitability among the selected
IT companies. TCS stands out with an impressive EBIT Margin of 31.31%, showcasing exceptional
operational efficiency. Infosys, Wipro, LTI Mindtree, and Tech Mahindra also demonstrate strong EBIT
Margins, indicating their effective operational profitability.
Net Profit Margin
Net Profit Margin is a financial metric that measures the profitability of a company's operations by
expressing its net profit (also known as net income or net earnings) as a percentage of its total revenue.
It indicates how much profit a company retains from its revenue after deducting all expenses, including
cost of goods sold, operating expenses, interest, taxes, and other charges.
Net Profit Margin is a crucial metric for assessing a company's financial performance and its ability to
generate profits from its core operations. It's widely used by investors, analysts, and stakeholders to
evaluate the company's profitability and compare it to industry peers.
Net Profit Margin

30.00%
23.81%
25.00%
20.43% 20.36%
20.00%
14.70%
15.00% 12.60%
10.00%
5.00%
0.00%
The analysis of the Net Profit Margin (NPM) for the mentioned companies reveals varying degrees of
profitability in their financial performance.
TCS (Tata Consultancy Services) stands out with a relatively higher NPM of 23.81%, showcasing efficient
cost management and a strong ability to convert revenue into net profit. Infosys and Wipro both exhibit
comparable NPMs of 20.43% and 20.36% respectively, indicating their effectiveness in maintaining
profitability after accounting for expenses.
LTI Mindtree maintains a NPM of 14.17%, reflecting its ability to generate net profit within its
operations. Meanwhile, Tech Mahindra's reported.
Asset Turnover Ratio
Asset Turnover Ratio is a financial metric that measures how efficiently a company utilizes its assets to
generate revenue. It provides insights into how well a company is able to generate sales from its total
assets. The ratio compares the company's total revenue to its average total assets over a specific period.
The Asset Turnover Ratio is typically expressed as a ratio or a number. A higher ratio indicates that the
company is efficiently using its assets to generate revenue. A lower ratio may suggest that the company
is not effectively utilizing its assets to generate sales.
Asset Turnover ratio

1.6 1.39 1.33
1.4
1.2 1.08
0.93
1 0.82
0.8
0.6
0.4
0.2
0
Liquidity Ratio
Current Ratio
The Current Ratio is a financial metric used to evaluate a company's short-term liquidity and ability to
cover its short-term liabilities with its short-term assets. It provides insight into the company's ability to
meet its immediate financial obligations using its readily available resources.
Current Ratio
3.50
3.00
3.00
2.49
2.50 2.23
2.10
1.95
2.00
1.50
1.00
0.50
0.00
This Current Ratio comparison reveals varying levels of short-term liquidity among the selected IT
companies. LTI Mindtree stands out with a robust Current Ratio of 3.00, reflecting strong liquidity
management. Infosys, TCS, and Wipro also demonstrate healthy liquidity positions. Tech Mahindra
maintains an acceptable liquidity level, ensuring the company's ability to meet its near-term obligations.
Quick Ratio
The Quick Ratio, also known as the Acid-Test Ratio, is a financial metric used to assess a company's
short-term liquidity and ability to cover its immediate liabilities with its most liquid assets. It provides a
more stringent measure of liquidity than the Current Ratio by excluding inventory and other less liquid
assets. The Quick Ratio is calculated by dividing a company's quick assets by its current liabilities.
Quick Ratio/ Acid Test Ratio

3.50
3.00
3.00
2.48
2.50 2.23
2.10
1.96
2.00
1.50
1.00
0.50
0.00
This Quick Ratio comparison reveals varying levels of immediate liquidity among the selected IT
companies. LTI Mindtree stands out with a robust Quick Ratio of 3.00, indicating a strong liquidity
position. Infosys, TCS, and Wipro also demonstrate healthy liquidity levels. Tech Mahindra maintains a
satisfactory liquidity position, ensuring its ability to meet short-term obligations.
Dividend Policy
EPS
EPS stands for Earnings Per Share. It is a widely used financial metric that measures the portion of a
company's profit that is allocated to each outstanding share of its common stock. EPS provides insights
into a company's profitability on a per-share basis and is a key indicator of a company's financial
performance and profitability.
EPS
160 150
140
120 103.24
100
80 63.23
60 50.27
40 22.22
20
0
This Earnings Per Share comparison reveals varying levels of profitability on a per-share basis among the
selected IT companies. LTI Mindtree stands out with a high EPS of 150, reflecting significant earnings
generation. TCS, Tech Mahindra, and Infosys also demonstrate robust EPS figures, indicating substantial
profitability per share. Wipro generates earnings for its shareholders, albeit at a slightly lower EPS.
Dividend Yield Ratio
Dividend Yield is a financial ratio that measures the annual dividend income an investor can expect to
receive from an investment in a company's stock relative to its current market price. It's expressed as a
percentage and is a key indicator used by investors to assess the income potential of an investment in
dividend-paying stocks.
Dividend Yield Ratio

3.00%
2.62%
2.44%
2.50%
2.00%
1.39%
1.50% 1.16%
1.00%
0.50% 0.24%
0.00%
This Dividend Yield Ratio comparison reveals varying dividend income potential among the selected IT
companies. Tech Mahindra stands out with a Dividend Yield of 2.62%, reflecting an attractive dividend
income potential. Infosys and LTI Mindtree also offer respectable Dividend Yields, contributing to
shareholder rewards. TCS and Wipro provide dividend income potential, albeit at slightly different rates.
Valuation Ratio
PE Ratio:
The Price-to-Earnings (PE) Ratio is a widely used financial metric that measures the valuation of a
company's stock relative to its earnings. It's a key indicator used by investors to assess the relative value
of a stock and determine whether it's overvalued or undervalued compared to its earnings.
The PE Ratio can be interpreted in different ways:
• A high PE Ratio may suggest that the market has high expectations for future earnings growth
or that the stock is overpriced.
• A low PE Ratio may indicate that the market has lower expectations for future earnings growth
or that the stock is attractively priced.
PE Ratio
40
34.5
35
28.9
30 27.1
23.4
25
19.6
20
15
10
5
0
This Price-to-Earnings (PE) Ratio comparison reveals varying valuation levels among the selected IT
companies. LTI Mindtree stands out with a higher PE Ratio of 34.5, reflecting elevated investor
confidence in its growth potential. TCS, Tech Mahindra, and Infosys also exhibit higher PE Ratios,
indicating favourable investor sentiment. Wipro presents a comparatively more moderate valuation.
EV/EBITDA
EV/EBITDA is a financial ratio that is commonly used to assess the valuation of a company, considering
both its debt and its operating performance. It stands for Enterprise Value to Earnings Before Interest,
Taxes, Depreciation, and Amortization. This ratio provides insights into how expensive a company's
stock is relative to its earnings before certain non-cash and financing-related expenses.
EV/EBITDA is a valuation multiple that indicates how many times a company's EBITDA its enterprise
value represents. A lower EV/EBITDA ratio can suggest that a company's stock might be undervalued or
relatively cheaper, while a higher ratio might indicate that the stock is overvalued or relatively more
expensive.
EV/EBITDA (X)
35 31.81
30
25.44 25.21
25
19.12
20
14.2
15
10
0
This Price-to-Earnings (PE) Ratio comparison highlights varying levels of investor valuation among the
selected IT companies. LTI Mindtree stands out with a higher PE Ratio, reflecting optimism in its growth
trajectory. Infosys, TCS, and Wipro exhibit moderate PE Ratios, reflecting favourable investor sentiment.
Tech Mahindra presents a comparatively more conservative valuation.
Conclusion
• After a thorough analysis of the profitability and overall performance ratios of Infosys, TCS, LTI
Mindtree, Tech Mahindra, and Wipro, it is evident that each company showcases its unique
strengths and capabilities.
• TCS emerges as the best-performing company in this comparison. With consistently strong
Compound Sales Growth of 13%, Compound Profit Growth of 10%, and a Stock Price CAGR of 11%,
TCS demonstrates a steady and impressive growth trajectory. The company's exceptional ROCE of
60.23%, ROA of 31.49%, and competitive ROE of 36.00% underline its efficient utilization of
resources and remarkable profitability. TCS maintains a robust EBIT% of 31.31% and Net Profit
Margin of 23.81%, reflecting its outstanding operational efficiency and strong bottom-line
performance. Additionally, TCS exhibits a healthy Asset Turnover Ratio of 1.39, indicating effective
utilization of its assets. The company's prudent financial management is evident from its
Debt/Equity Ratio of 0.00, showcasing a solid insolvency position. Furthermore, TCS displays
favourable liquidity with a Current Ratio and Quick Ratio of 2.49, ensuring strong short-term
solvency.
• Considering its consistent growth, exceptional profitability, efficient resource management, and
solid financial position, TCS emerges as the best-performing company in this comparison, making
it a promising choice for potential investors seeking a stable and profitable investment opportunity.
However, investors should conduct further research, consider market trends, and assess their own
financial goals and risk tolerance before making investment decisions.

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2023

Indian Institute of Management Kashipur

Executive Master of Business Administration (Analytics)

Term I, Academic Year 2023-2024

Evaluation of Group Assignment by Faculty

Assignment for Course: Financial Accounting

Title of the Assignment: Financial Comparison Across IT Industry

Submitted To: Prof. Ashish Kumar

Submitted by: Group D

Name Roll No. Email ID

Pranshoo Jaiswal EMBAA23032 [email protected]

Imon Das EMBAA23070 [email protected]

Sharath Kashyap EMBAA23077 [email protected]

Date of Submission: 16th August 2023

Key Data Insights:

FY 2022 FY 2021 FY 2020 FY 2019

Total Expense of the company is bifurcated into following categories:

Operating Expense (in Crores)

Operational Expense - % of Total Revenue

Operating Expense - %of Total Operating Expense

Cost of Material consumed has decreased from FY 2019 to FY 2022.

Expenses (in Crores)

Expense - % of Total Revenue

EBITDA - Earnings Before Interest, Taxes, Depreciation, and Amortization

EBITDA YOY Growth

EBIT - Earnings Before Interest and Taxes

EBIT YOY Growth

Net Income or Profit After Tax

PAT YOY Growth

NOPAT – Net Operating Profit after tax

NOPAT YOY Growth

FY 2022 FY 2021 FY 2020 FY 2019

ROTA (Return on Total Assets) - Before Tax:

ROTA (Return on Total Assets) - After Tax:

ROE (Return on Equity):

ROCE (Return on Capital Employed) - Before Tax:

ROCE (Return on Capital Employed) - After Tax:

PROFIT MARGIN RATIO

Profit Margin Ratio

FY 2022 FY 2021 FY 2020 FY 2019

Profit Margin Ratio

FY 2022: EBITDA Margin 29.15% (YOY Growth: -1.82%)

FY 2022: EBIT Margin 26.80% (YOY Growth: -2.00%)

FY 2022: EBT Margin 26.40% (YOY Growth: -1.86%)

Net Profit Margin:

FY 2022: Net Profit Margin 19.43% (YOY Growth: -1.93%)

Asset Turnover Ratio:

Asset Turnover Ratio YOY Growth Rate

FY 2022 FY 2021 FY 2020 FY 2019

Asset Turnover Ratio:

FY 2022: 1.38 (YOY Growth: +8.12%)

Non-Current Asset Turnover Ratio:

FY 2022: 5.90 (YOY Growth: +10.90%)

Current Asset Turnover Ratio:

FY 2022: 1.81 (YOY Growth: +7.10%)

PPE Utilization Ratio or Capital Intensity Ratio:

FY 2022: 17.80 (YOY Growth: +20.32%)

Equity Turnover Ratio:

FY 2022: 2.18 (YOY Growth: +13.02%)