PROJECT REPORT

( Submitted for the Degree of B.Com. Honours

in Accounts & Finance under the University of Calcutta)

ON

A WORKING CAPITAL MANAGEMENT OF TATA

CONSULTANCY SERVICES LIMITED

SUBMITTED BY:
Name:Shilpa Sunanda

RegistrationNo:034-1211-0778-21

CU Roll No.: 211034-11-0411

College UID: 20210005

College Roll No: 05

SUPERVISED BY:
Name of the Supervisor: Prof. Kajal Gandhi
Name of the College: Shri Shikshayatan College

MAY 2024

1
 Supervisor’s Certificate

This is to certify that Ms.SHILPA SUNANDA a student of B.Com. Honors in Accounts &
Finance of SHRI SHIKSHAYATAN COLLEGE under the University of Calcutta has worked
under my supervision and guidance for her Project Work and prepared a Project Report with the
title “A WORKING CAPITAL MANAGEMENT OF TATA CONSULTANCY
SERVICES LIMITED" which she is submitting is her genuine and original work to the best of
my knowledge.

Signature:

Name:

Designation:

Name of the College:

Place:

Date:

2
 Student’s Declaration

I hereby declare that the project work with the title “A WORKING CAPITAL MANAGEMENT
OF TATA CONSULTANCY SERVICES LIMITED” submitted by me for the partial fulfillment
of the degree of B.Com. Honors in Marketing under the University of Calcutta is my original
work and has not been submitted earlier to any other university/institution for the fulfillment of
the requirement for any course of study.

I also declare that no chapter of this manuscript in whole or in part has been incorporated in this
report from any earlier work done by others or by me. However, extracts of any literature which
has been used for this report has been duly acknowledged providing details of such literature in
the references.

Signature:

Name: Shilpa Sunanda

Address: 17, Sarkar Lane, Girish Park

Registration No.: 034-1211-0778-21

Place: Kolkata

Date:

3
 ACKNOWLEDGEMENT

I express my deep sense of gratitude to PROF KAJAL GANDHI of SHRI SHIKSHAYATAN

College, University of Calcutta, for her eminent guidance, innovate ideas and immense help
rendered at various stages of study. She had been kind enough to offer his criticism for
enhancing the quality of my work and help finish it in a comprehensive and lucid manner. I
consider myself lucky to work with such versatile and disciplined personality during this project
as well as during the course. I express sincere thanks to my friends and my classmates for their
valuable Co-operation, moral support and suggestions at every step of my work. It is said that
accomplishments must be credited to those who have put up the foundations of the particular
chore: here I pay tributes to my Parents for lifting me up till this phase of life.

4
 CONTENT
S. NO. PARTICULARS Page.no
CHAPTER 1 INTRODUCTION 7-14
1.1 Background of the Study 7
1.2 Company Profile 8
1.3 Objectives of Study 9
1.4 Review of Literature 10-11
1.5 Methodology 12
1.6 Limitations of study 13
1.7 Chapter Planning 14
CHAPTER 2 CONCEPTUAL FRAMEWORK 15-20
2.1 National Scenario 16
2.2 International Scenario 17
2.3 Definition and Concept 18-20
CHAPTER 3 DATA ANALYSIS ON TCS 21-33
3.1 Data Analysis 21-31
3.2 Findings 32-33
CHAPTER 4 CONCLUSION AND 34-43
RECOMMENDATIONS
4.1 Conclusion 35

4.2 Recommendations 36
Annexure References 37
Appendices 38-43

5
 CHAPTER 1

INTRODUCTION

6
1.1 BACKGROUND OF STUDY

The project undertaken is on “WORKING CAPITAL MANAGEMENT IN TATA

CONSULTANCY SERVICES LIMITED” It describes about how the company manages its
working capital and the various steps that are required in the management of working capital. If
this lifeline deteriorates, so does the company's ability to fund operations, reinvest and meet
capital requirements and payments. Working capital refers to the cash a business requires for
day-to-day operations or, more specifically, for financing the conversion of raw materials into
finished goods, which the company sells for payment. Among the most important items of
working capital are levels of inventory, accounts receivable, and accounts payable. Analysts look
at these items for signs of a company's efficiency and financial strength. The working capital is
an important yardstick to measure the company’s operational and financial efficiency. This study
delves into the intricacies of working capital management within TCS, examining how the
company manages its short-term assets and liabilities to optimize liquidity, enhance profitability,
and support strategic initiatives. Any company should have a right amount of cash and lines of
credit for its business needs at all times. This project describes how working capital management
takes place at TATA CONSULTANCY SERVICES LIMITED. Working Capital is the money
needed to fund the normal day to day operations of a business. It ensures that the business have
enough cash to pay its debts & expenses as they fall due. Working. Capital measures how much
in liquid assets a company has available to build its business. Working Capital Management is
the most important area in day to day management of any firm. It is the functional area of
finance. It is concerned with the management of current assets, current liabilities and total
working capital. Working Capital Management involves managing the balance between firm’s
short-term asset and its short-term liabilities. The goal of working capital management is to
ensure that the firm is able to continue its operations and that it has sufficient cash flow to satisfy
both maturing short term debt and upcoming operational expenses.

7
1.2 COMPANY PROFILE

https://www.tcs.com/

It is a multinational information technology (IT) company which was established in 1968. The
company operates in 46 countries and has about 199 branches around the world. It is a subsidiary
of the TATA GROUP and is listed on the BOMBAYSTOCK EXCHANGE and the NATIONAL
STOCK EXCHANGE OF INDIA. It is the largest INDIA based IT services Company by 2013
revenues. The company offers a range of IT services, outsourcing and business solutions. They
also offer IT infrastructure services, business process outsourcing services, engineering and
industrial services, global consulting and asset leveraged solutions. Their segments include
banking, financial services and insurance; manufacturing; retail and distribution, and telecom.
The company’s early contracts included providing punched card services to TISCO (now Tata
Steel), working on an Inter-Branch Reconciliation System for the Central Bank of India, and
providing bureau services to Unit Trust of India. In 2006, TCS designed an ERP system for the
Indian Railway Catering and Tourism Corporation. In 2008, TCS undertook an internal
restructuring exercise which aimed to increase the company's agility. TCS entered the small and
medium enterprises market for the first time in 2011, with cloud-based offerings. In year 2015
the company won gold, silver, and Bronze at American Business Awards. It has been awarded
the Pega 2017 Partner Excellence in Driving. In 2018, there port by Brand Finance names TCS
as the Fastest growing IT Services brand by value ,up 14.4% from last year Customer Success
US$10.391 billion. In April 2018, TCS became 1st Indian IT Company to reach $100 billion
market capitalization and 2nd Indian company ever after its market capitalization stood at $102.6
billion on the Bombay Stock Exchange.

8
1.3 OBJECTIVES OF THE STUDY

Since Working capital management is one of the most important aspects of finance, it enables me
to study in-depth the methods involved in it; so, as a student of marketing, it gives me a chance
to study the marketing and financial perspective of the company. The objectives of this project
were mainly to study the inventory, cash, and receivable at TATA CONSULTANCY
SERVICES LIMITED, but there are some more, and they are –

 The main purpose of our study is to render a better understanding of the concept of “Working
Capital Management.”

 To understand the planning and management of working capital at TATA CONSULTANCY

SERVICES LIMITED.

 To measure the financial soundness of the company by analyzing various ratios.

 To suggest ways for better management and control of working capital at the concern.

9
1.4 REVIEW OF LITERATURE

R Saravanan et.al (2017) examined on working capital management of Ambuja cements limited
through ratio analysis. Researchers found the current ratio of the firm is more than the optimum
level which is good for short term payments. Researchers suggested that firm should increase it.
The liquidity ratio of analysis cements limited is higher than the optimum level which will affect
the short term solvency and it should be decreased the higher results. Capital position and they
don’t even have standard credit policy. They have very weak financial position, and rely on
credit facility to finance their operations. This credit facility is available from accounts payable
most of the time. In conclusion the authors recommend that for SMEs to survive within the
Nigeria economy they must design a standard credit policy and ensure good financial report and
control system. Besides, they must give adequate cognizance to the management of working
capital.

K. Keerthi and S. Eswari (2019) in the study Ratio analysis is the process of determining and
interpreting the various aspects of financial statements. The main objective of this paper is to
analyse the overall financial position of the bank using ratio analysis. It shows whether the firm
is improving or worsening in past years. The secondary data is used for the entire study i.e. the
last five years annual reports of KCCB. Ratio analysis provides a basis for both intra-firm as well
as inter-firm comparisons. Ratios are useful tool for various stakeholders like management,
financiers, shareholders and creditors etc. Various types of ratios include liquidity ratios,
profitability ratios, solvency ratios are analyzed in this study. This paper tells that not only about
the firm's financial position but also helps to identify the problems and offer suggestions to
improve its performance.

Gadhavi & Barad, (2021) A comparative financial analysis has been conducted between two of
the most successful IT companies in India, namely, TCS and Infosys, using Financial Ratios and
statistical techniques for a period of five financial years (2016 – 2021) to evaluate and compare
the financial performance of these two companies in terms of their profitability and liquidity
using relevant ratios. It was concluded that TCS outperformed Infosys both in profitability and
liquidity. TCS had a better Return on Capital Employed, Return on Net Worth, Net Profit and
Asset Turnover ratio when compared to Infosys which indicates the efficient and effective

10
utilization of share holder funds and resources by TCS when compared to Infosys and, as a
result, makes TCS to generate more profit than Infosys. The research had also suggested certain
measures to Infosys, like reducing non – essential assets to pay off its debts to boost its return on
capital employed and taking steps to boost its profitability.

Banerjee, (2021) A comparative financial analysis has been conducted between two of the most
successful IT companies in India, namely, TCS and Infosys, using Du – Pont Analysis for a
period of ten financial years (2010 – 2020) to evaluate and compare the financial performance of
these two companies in terms of its profitability and turnovers using relevant ratios. It was
concluded that TCS has better Returns on Equity and Returns on Capital Employed ratios when
compared to Infosys, which indicates efficient and optimum use of the owner’s capital and assets
in a profitable manner. In the similar way, Infosys has outshined TCS in Earnings per Share and
Dividend Pay – out ratios which show that investors enjoyed a profitable return by investing.
Whereas the Gross profit, Net profit and Operating profit ratios are more or less similar when
comparing these two companies which typically indicates the consistent performance and
financial stability by these two IT giants of India over the years.

Singh, Mir, & Khandelwal,(2022) Financial performance analysis of selected IT companies in

India, namely TCS, Wipro, Infosys and HCL, has been conducted to compare the profitability,
liquidity and economic efficiency of these companies for a financial period of ten years (2007 –
2017) using relevant accounting ratios and statistical tools, which includes ANOVA and CAGR,
which show the differences in profitability of the selected companies. The research concluded
that the performance of TCS is satisfactory and excellent when compared to other selected IT
companies, where TCS is the best performer in the financially aspects of Gross Profit, Net Profit,
Current Assets and Return on Capital Invested ratio when compared to other evident companies,
demonstrating how TCS has been financially efficient and profitable throughout the years in the
competitive service sector market of India.

11
1.5 METHODOLOGY

Research Type: This project “A study on working capital management of TATA

CONSULTANCY SERVICES LIMITED,” is considered analytical research. Analytical
research is defined as the research in which the researcher has to use facts or information already
available and analyze these to make a critical evaluation of the facts, figures, data, or material.

Source of the data: Data is collected through secondary source like company website, screener.
Secondary data are those that are already collected by someone for some purpose and are
available for the present study. This includes various sources of secondary data like newspapers,
published books, etc. The data required for this project is being collected from various sources
that are deemed to be fully accurate and reliablity is there for the data collected.

Following tools and techniques have been classified in the project are:

Accounting techniques

 Balance sheet for year ended 2020, 2021, 2022 and 2023
 Statement of profit and loss for 2020, 2021, 2022 and 2023
 Cash Flow Statement
 Ratio Analysis

12
1.6 LIMITATIONS OF THE STUDY

The following is the limitation that I observed in my study for TCS:

 Since the report is exclusively made from a secondary source of data, direct observation is
impossible.

 There was no scope for gathering sufficient financial information as it is confidential.

 My study on the topic is limited to 3 years only.

 The company head office is inaccessible to me. All the data mentioned in the project was
available to me through various websites, annual reports, and magazines.

https://upload.wikimedia.org/wikipedia/commons/8/85/TCS_SIPCOT_Building.jpg

13
1.7 CHAPTER PLANNING

Chapter 1: Introduction

Chapter 2: Conceptual Framework

Chapter 3: Presentation of data, analysis, and findings.

Chapter 4: Conclusion and Recommendation

14
 CHAPTER 2

CONCEPTUAL FRAMEWORK

15
2.1 NATIONAL SCENARIO

Over the past decades, India has risen to become the leading destination for global sourcing of
IT, BPO, and Research and development series. Established Indian IT services companies have a
proven track record for providing business and Technology Solutions, offering a large, high
quality, and English-speaking talent pool and a friendly regulatory environment

TCS’s number two globally valued position could help its branding and make it stand out to
customers. It has just bagged a five-year, multimillion-euro IT infrastructure deal with SAS
Scandinavian Airlines. As the world’s second most valuable IT firm, TCS is expected to become
popular amongst Indian investors and large global institutions. TCS is part of India’s salt-to-
airline industrial conglomerate, Tata. TCS is notable in terms of employee count and
geographical spread. In March last year, its headcount was 476,196 employees. Rival IBM had
430,000 workers at last count, the bulk of them in India. In geographical reach, the North
American market is vital for India’s outsourcing companies - accounts for half of TCS’ revenues.
But a fifth of its revenues come from emerging markets.

TCS is expected to continue to show strong revenue growth. TCS’ CAGR in the past three years
leading to FY15 was 22%, compared with 13% for Infosys and 10% for Wipro. However, TCS
substantially lags behind IBM in revenues and trails Accenture, too. In MUMBAI, March 7,
2020: Tata Consultancy Services, a leading global IT services, consulting, and business solutions
organization, has been named the fastest-growing IT services brand in the world in an assessment
done by Brand Finance, the world’s leading brand valuation firm. According to Brand Finance
IT Services 15 annual report for 2020, TCS now has a total brand value of US $10.391 billion – a
growth of 14.4% from last year’s total of $9.081 billion, with an increase of $1.309 billion. The
new value is the fastest incremental growth of all companies in the industry and places TCS in
the top three most valuable brands in the global IT services sector, along with IBM and
Accenture. TCS ranked as the fastest-growing IT services brand in 2020. The Company joins an
exclusive club of brands rated over US 10 billion in value in a 2020 report by Brand Finance,
which names TCS as the fastest-growing IT services brand d by value, up 14.4% from last year's
US $10.391 billion.

16
2.2 INTERNATIONAL SCENARIO

Over the past years, TCS has strengthened its portfolio of global brand sponsorships by forging
new partnerships in the United Kingdom, Sweden, India, Japan and Australia, adding to its
existing premium partnerships, such as the TCS New York Marathon and the TCS Amsterdam
Marathon among others. It has also augmented its brand presence at high level forums by being
appointed as a Strategic Partner to the World Economic Forum and the European Business
Summit and extended a range of its own branded properties including the TCS Summit, TCS
Analyst Days and TCS Innovation Forum, which are run as global events across all its key
markets. These have become major gatherings of C-Level business leaders across the world,
boosting TCS’ brand at the boardroom and executive committee levels

TCS has also become a major exhibitor in the foremost industry forums ranging from the NRF
and Sibos, to the Mobile World Congress. It has also strengthened its partnerships with major
global academic institutes including recently with Cornell Tech and Carnegie Mellon University.
Its global campaigns such as Digital Empowers, which was launched at Davos to showcase the
potential for digital technologies to become a force for good in the world, is part of several
initiatives that have won over 50 awards for marketing, communications and branding
excellence. Recently the company was recognized for its thought leadership by winning 8
accolades at the Corporate Content Awards in London.

17
2.3 DEFINITIONS AND CONCEPTS

2.3.1 WORKING CAPITAL

Working capital refers to the capital required for a company's day-to-day operational activities,
including funding the purchase of raw materials, payment of wages, and meeting other short-
term expenses. It represents the difference between a company's current assets (such as cash,
inventory, and accounts receivable) and its current liabilities (such as accounts payable and
short- term debt). Essentially, working capital reflects the company's ability to manage its short-
term financial obligations and sustain its ongoing operations. A positive working capital
indicates that a company has enough short-term assets to cover its short-term liabilities, while
negative working capital implies a potential liquidity issue.

2.3.2 TYPES OF WORKING CAPITAL

 Gross Working Capital: This refers to the total investment a firm has made in its current
assets. Current assets are those that can be converted into cash within a year. Examples
include stocks of raw materials, work-in-progress, finished goods, trade debtors,
prepayments, and cash.

 Net Working Capital: Net working capital is the difference between a firm's current
assets and its current liabilities. Current liabilities are obligations that are expected to be
settled within a year. Examples include trade creditors, accruals, taxation payable, bills
payables, outstanding expenses, dividends payable, and short-term loans.

 Permanent Working Capital: This is the minimum level of current assets required by a
firm to conduct its ongoing business operations. It's the part of working capital that
remains constant or increases with the growth of the business. These assets cannot be
easily converted into cash in the normal course of business.

 Temporary Working Capital: Temporary working capital is the portion of total

working capital that fluctuates based on the business's operational needs. It's the amount
required over and above permanent working capital. Since it varies with business
activities, it is typically financed from short-term sources.

18
2.3.3 FACTORS AFFECTING WORKING CAPITAL REQUIREMENTS
 Nature of Business: Manufacturing businesses generally require more working capital
due to longer production cycles, while trading businesses may need less due to immediate
sales turnover.
 Scale of Operations: Larger organizations typically require more working capital
compared to smaller ones due to increased operational needs.
 Business Cycle: Working capital needs vary with the business cycle; higher demand
during boom periods necessitates more working capital, while lower demand during
downturns reduces the requirement.
 Seasonal Factors: Businesses with seasonal demand or production cycles may require
varying amounts of working capital, depending on peak and off-peak periods.
 Credit Policy: Providing credit to customers increases the need for working capital
compared to cash-based transactions, as it ties up funds until payments are received.

2.3.4 WORKING CAPITAL POLICY

In formulating a working capital policy, two key issues are considered:

1. Current Assets Policy: This involves determining the ratio of current assets to sales,
which reflects the relationship between sales, stocks, debtors, and cash. It aims to strike a
balance between maintaining adequate liquidity through current assets and minimizing
the risk of excessive investments in these assets.

2. Current Assets Financing Policy: This policy focuses on the ratio of short-term
financing to long-term financing for working capital. It entails deciding the proportion of
short-term funds used to finance current assets, which affects the overall financial risk
and cost of capital for the business.

Financing of Working Capital:

1. Sources for Fixed Working Capital:

 Issue of Equity or Preference Shares: Equity shares provide a significant source of

capital, while preference shares offer a fixed rate of dividend.

19
  Issue of Debentures: Debentures serve as a debt-type financing option, providing
funds with a fixed rate of interest.

 Loans from Financial Institutions: Long-term or short-term loans from institutions

like IFCI and IDBI offer external financing options.

 Securities from Employees and Customers: Issuing securities to employees and

customers can increase the fund base.

2. Sources for Variable Working Capital:

 Internal Sources:

 Provision for Depreciation and Taxation: Non-cash items like depreciation

and provisions for taxation can serve as internal sources.

 Outstanding Wages and Expenses: These represent expenses due but not
yet paid, providing a variable source of working capital.

 External Sources:

 Loans from Banks and Financial Institutions: Cash credit, bank overdrafts,
and short-term loans from banks are popular external financing options.

 Public Deposits: Fixed deposits accepted directly from the public can
serve as short-term or medium-term financing.

 Trade Creditors: Suppliers offering credit terms can reduce the need for
immediate working capital.

 Installment Credit: Payment in installments reduces the immediate need

for working capital.

 Commercial Paper: Unsecured promissory notes issued by listed

companies can provide a source of funds.

20
 CHAPTER 3

DATA ANALYSIS AND INTERPRETATION

21
3.1.1 CURRENT RATIO

Current ratio
Current Assets
Current ratio=
Current Liabilites
PARTICULARS Mar'20 Mar'21 Mar'22 Mar'23
Current Assets 9,02,370.00 9,92,800.00 10,83,100.00 11,02,700.00
Current Liabilites 2,70,620.00 3,41,550.00 4,23,510.00 4,35,580.00
Current ratio 3.33 2.91 2.56 2.53

Current ratio
4.00
3.50 3.33
3.00
2.50 2.91
2.00 2.56 2.53
1.50
1.00
0.50
-

Mar'20Mar'21Mar'22Mar'23

INTERPRETATION:

The current ratio reflects the financial stability of the organization. The standard current ratio is
2:1. TCS's current ratio has been declining over the past five years because of increased
liabilities and the company's decreasing assets. TCS's assets have been decreasing as the
company has invested in new projects. This has led to a decrease in the amount of money that the
company has available to pay its debts.

22
3.1.2 QUICK RATIO

Quick ratio
CA less inventory
Quick ratio=
Current Liabilites
PARTICULARS Mar'20 Mar'21 Mar'22 Mar'23
CA less inventory 9,02,320.00 9,92,800.00 10,82,900.00 11,02,700.00
Current Liabilities 2,70,620.00 3,41,550.00 4,23,510.00 4,35,580.00
Quick ratio 3.33 2.91 2.56 2.53

Quick ratio
4.00
3.50
3.00 3.33
2.50
2.00 2.91
1.50 2.56 2.53
1.00
0.50
-

Mar'20Mar'21Mar'22Mar'23

INTERPRETATION:

It is the ratio between quick liquid assets and quick liabilities. The normal value for such ratio is
taken to be 1:1. It is used as an assessment tool for testing the liquidity position of the firm. It
indicates the relationship between strictly liquid assets whose realizable value is almost certain
on one hand and strictly liquid liabilities on the other hand. Liquid assets comprise all current
assets minus stock. TCS's quick ratio has been declining over the past five years.This means that
TCS is less liquid. This is because of increasing inventory levels. Also TCS's accounts receivable
have been decreasing as the company has tightened its credit terms with its customers. This has
led to a decrease in the amount of money that the company has coming in from its customers,
which is also not as liquid as other current assets.

23
3.1.3 RECEIVABLE DAYS

Receivable days
Receivable
Receivable days=
sales per day
PARTICULARS Mar'20 Mar'21 Mar'22 Mar'23
Receivable 3,05,320.00 3,00,790.00 3,40,740.00 4,10,490.00
sales per day 4,299.97 4,498.00 5,253.53 6,176.93
Receivable days 71.01 66.87 64.86 66.46

Receivable days
72.00
71.00 71.01
70.00
69.00
68.00
67.00
66.00
66.87
65.00 66.46
64.00
63.00 64.86
62.00
61.00

Mar'20Mar'21Mar'22Mar'23

INTERPRETATION:

Debtors turnover ratio indicates the number of times per year that the average balance of debtors
are collected. A high debtors turnover ratio may indicate an improvement in business condition,
a tightening of credit policies, or improved collection period. A low ratio may be an indication of
long credit period or slow realization from debtors. TCS's receivable days have been increasing
because of company's increasing sales and company's changing customer base. TCS has been
expanding its customer base to include more small and medium-sized businesses. These
businesses often have longer payment terms than larger businesses.

24
3.1.4 ASSET TURNOVER RATIO

Total Asset turnover

Total Sales
Total Asset turnover=
Total asset
PARTICULARS Mar'20 Mar'21 Mar'22 Mar'23
Total Sales 15,69,490.00 16,41,770.00 19,17,540.00 22,54,580.00
Total asset 12,08,990.00 13,28,810.00 14,15,140.00 14,57,690.00
Total Asset turnover 1.30 1.24 1.36 1.55

Total Asset turnover

1.80
1.60
1.55
1.40 1.36
1.20 1.30
1.24
1.00
0.80
0.60
0.40
0.20
-

Mar'20Mar'21Mar'22Mar'23

INTERPRETATION:

TCS's total asset turnover ratio has been declining because of company's increasing fixed assets.
TCS has been investing in new fixed assets in recent years, such as data centers and software.
These investments have made the company's assets less productive. Another reason is the
company's increasing operating expenses, making the company's assets less productive.

25
3.1.5 INVENTORY TURNOVER RATIO

Inventory turnover
sales
Inventory turnover=
inventory
PARTICULARS Mar'20 Mar'21 Mar'22 Mar'23
sales 15,69,490.00 16,41,770.00 19,17,540.00 22,54,580.00
inventory - 50.00 - 200.00
Inventory turnover - 32,835.40 - 11,272.90

Inventory turnover
35,000.00
32,835.40
30,000.00

25,000.00

20,000.00

15,000.00
11,272.90
10,000.00
5,000.00

- - -
Mar'20 Mar'21 Mar'22 Mar'23

INTERPRETATION:

Inventory turnover ratio indicates the number of times per year that the average balance of
inventories are collected. A high inventory turnover ratio may indicate an improvement in
business condition, or improved collection period. TCS's inventory turnover ratio has been
declining over the past five years. One factor is the company's increasing sales. TCS's sales have
been growing as the company has expanded its operations. This has led to an increase in the
company's inventory levels. Another factor that could be contributing to TCS's declining
inventory turnover ratio is the company's changing product mix. TCS has been shifting its focus
to more complex and customized products, which take longer to sell.

26
3.1.6 EBIT MARGIN

EBIT margin
EBIT
EBIT margin=
Sales
PARTICULARS Mar'20 Mar'21 Mar'22 Mar'23
EBIT 3,85,660.00 4,23,810.00 4,84,460.00 5,42,090.00
Sales 15,69,490.00 16,41,770.00 19,17,540.00 22,54,580.00
EBIT margin 24.57% 25.81% 25.26% 24.04%

EBIT margin
26.00%
25.81%
25.50%
25.26%
25.00%

24.50% 24.57%

24.00% 24.04%

23.50%

23.00%
Mar'20 Mar'21 Mar'22 Mar'23

INTERPRETATION:

It is the ratio between operating income and revenue. It is used as an assessment tool for testing
the liquidity position of the firm. TCS's EBITDA margin has been declining over the past five
years. This is because of company's increasing operating expenses. TCS's operating expenses
have been increasing as the company has grown. Another reason is company's increasing interest
expenses. TCS has been taking on more debt in recent years to finance its growth. This has led to
an increase in the company's interest expenses, which has also contributed to the decline in the
company's EBITDA margin. TCS's EBIT margin has been declining over the past four years
because of the same reasons.

27
3.1.7 PAT MARGIN

PAT margin
PAT
PAT margin=
Sales
PARTICULARS Mar'20 Mar'21 Mar'22 Mar'23
PAT 3,21,482.00 3,32,014.00 3,81,625.00 4,21,274.00
Sales 15,69,490.00 16,41,770.00 19,17,540.00 22,54,580.00
PAT Margin 20.48% 20.22% 19.90% 18.69%

PAT Margin
21.00%

20.50% 20.48%
20.22%
20.00% 19.90%
19.50%

19.00%
18.69%
18.50%

18.00%

17.50%
Mar'20Mar'21Mar'22Mar'23

INTERPRETATION:

TCS's PAT margin has been declining over the past five years because of increasing operating
expenses and tax expenses. TCS has been facing higher taxes in recent years due to the
increasing tax rates in India. This has also contributed to the decline in the company's PAT
margin. The declining PAT margin for TCS is a negative sign for the company. It shows that
TCS is generating less profit from its revenue each year after deducting all expenses and taxes.
This could be a sign that the company is facing challenges in its operations.

28
3.1.8 RETURN ON EQUITY

RETURN ON EQUITY
RETURN ON NET OPERATING PROFIT AFETR TAX
EQUITY= AVERAGE SHAREHOLDERS FUND
PARTICULARS Mar'20 Mar'21 Mar'22 Mar'23

Profit for the Year 3,23,400.00 3,24,300.00 3,83,270.00 4,21,470.00

Total Shareholders Fund 8,35,030.00 8,78,800.00 8,84,320.00 9,17,600.00

Average Shareholders
fund 8,73,030.00 8,56,915.00 8,81,560.00 9,00,960.00

RETURN ON EQUITY 37.04 37.85 43.48 46.78

RETURN ON EQUITY
RETURN ON EQUITY
43.48
37.85 46.78
50.00
40.00 37.04
30.00
20.00
10.00
-

Mar'20 Mar'21 Mar'22 Mar'23

INTERPRETATION:

TCS's ROE has been increasing over the past five years, from 35.04% in 2019 to 46.02% in
2023. This means that the company is generating more profit from its shareholder's equity each
year.

29
3.1.9 RETURN ON INVESTED CAPITAL

RETURN ON INVESTED CAPITAL (ROIC)

NET OPERATING PROFIT AFETR TAX
ROIC=
INVESTED CAPTIAL+TOTAL DEBT
PARTICULARS Mar'20 Mar'21 Mar'22 Mar'23

Profit for the Year 3,23,400.00 3,24,300.00 3,83,270.00 4,21,470.00

Total Shareholders Fund 8,35,030.00 8,78,800.00 8,84,320.00 9,17,600.00

Return on invested capital
(ROIC) 38.73 36.90 43.34 45.93

Return on invested capital (ROIC)

Return on invested capital (ROIC)

50.00 45.93
43.34
38.73 36.90
40.00

30.00
20.00
10.00
-

Mar'20 Mar'21 Mar'22 Mar'23

INTERPRETATION:

TCS's ROIC has been increasing steadily over the past five years. In March 2019, TCS's ROIC
was 34.21%. In March 2023, it had increased to 45.16%. This means that TCS is able to generate
more profits from its capital each year. One factor is the company's strong revenue growth.
TCS's revenue has grown at a compound annual growth rate (CAGR) of 12.5% over the past five
years. This growth has allowed the company to invest more in its operations and improve its
efficiency. Another factor that could be contributing to TCS's increasing ROIC is the company's
focus on digital transformation. TCS is a leading provider of digital transformation services. The

30
company's focus on this area has helped it to attract new customers and grow its revenue.

31
3.1.10 WORKING CAPITAL TURNOVER RATIO

Working Capital Turnover ratio

Working Capital Sales
Turnover ratio= Current Assets - Current Liabilites
PARTICULARS Mar'20 Mar'21 Mar'22 Mar'23
Current Assets 9,02,370.00 9,92,800.00 10,83,100.00 11,02,700.00
Current Liabilites 2,70,620.00 3,41,550.00 4,23,510.00 4,35,580.00
sales 15,69,490.00 16,41,770.00 19,17,540.00 22,54,580.00
Working Capital
Turnover ratio 2.48 2.52 2.91 3.38

Working Capital Turnover ratio

4.00
3.50 3.38
2.91
3.00 2.48 2.52
2.50
2.00
1.50
1.00
0.50
-

Mar'20Mar'21Mar'22 Mar'23

INTERPRETATION:

Working capital turnover ratio indicates the number of times per year that the average balance of
working capital are collected. A high working capital turnover ratio may indicate an
improvement in business conditions or an improved investment in current assets. TCS's working
capital turnover ratio has been increasing over the past four years. One factor is the company's
increasing sales. TCS's sales have been growing as the company has expanded its operations.
This has led to an increase in the company's current assets. TCS has been shifting its focus to
more complex and customized products, which take longer to sell. Company is efficiently able to
generate revenue over its working capital.

32
3.2 FINDING

 TCS's PAT margin has been declining over the past five years because of increasing
operating expenses and tax expenses. TCS has been facing higher taxes in recent years
due to the increasing tax rates in India. This has also contributed to the decline in the
company's PAT margin. The declining PAT margin for TCS is a negative sign for the
company. It shows that TCS is generating less profit from its revenue each year after
deducting all expenses and taxes. This could be a sign that the company is facing
challenges in its operations.
 TCS is efficiently able to generate revenue over its working capital due to increase in its
working capital turnover ratio.
 TCS's current ratio has been declining over the past five years because of increased
liabilities and the company's decreasing assets. TCS's assets have been decreasing as the
company has invested in new projects. This has led to a decrease in the amount of money
that the company has available to pay its debts.
 TCS's EBITDA margin has been declining over the past four years. This is because of
company's increasing operating expenses. TCS's operating expenses have been increasing
as the company has grown. Another reason is company's increasing interest
expenses.TCS has been taking on more debt in recent years to finance its growth. This
has led to an increase in the company's interest expenses, which has also contributed to
the decline in the company's EBITDA margin.
 TCS's total asset turnover ratio has been declining because of company's increasing fixed
assets. TCS has been investing in new fixed assets in recent years, such as data centers
and software. These investments have made the company's assets less productive.
Another reason is the company's increasing operating expenses, making the company's
assets less productive.
 TCS's receivable days have been increasing because of company's increasing sales and
company's changing customer base. TCS has been expanding its customer base to include
more small and medium-sized businesses. These businesses often have longer payment
terms than larger businesses.

33
 ROA has been declining because of company's increasing operating expenses and
because of company's increasing investment in new businesses. TCS has been investing
in new businesses in recent years, such as cloud computing and artificial intelligence.
These investments have been expensive, which has also contributed to the decline in the
company's ROA.
 Cash flow from operating activities of TCS has been constantly increasing and is
positive. This states that company is efficiently using its cash for it daily operational
activities and is generating enough cash flow from operations. The same is mainly due to
its increase in net income and payable days
 Cash flow from investing activities of TCS is in negative which is a good sign =. This
states that the company is constantly utilizing its excess cash for investment purposes
mainly in fixed assets.
 Cash flow from financing activities of TCS is negative and has decreased over time
which is mainly due to the its financing activities like repayment of debt, dividends paid
and increase in its equity.

34
 CHAPTER 4

CONCLUSION AND RECOMMENDATIONS

35
4.1 CONCLUSION

In this report, I have analyzed Tata Consultancy Services Limited (TCS) working capital for the
financial years 2019-2020, 2020-2021, 2021-2022 and 2022-2023. This analysis focused on the
composition of working capital and the various sources used to finance it. TCS was chosen as a
single sample unit for this study, which spans four years. The data for this project was derived
from the company's published annual reports.

It is important to note that the findings of this study are specific to TCS and do not necessarily
represent broader trends in the corporate sector regarding working capital management. Given
the limited scope of examining only one company, the results provide a narrow perspective.
However, this study can offer preliminary insights and a foundational understanding of working
capital trends within TCS. Ratio analysis is used to analyze the company's financial statement
wherein the company’s working capital is efficiently managed, and its cash is utilized further in
its operating, investing, and financing activities.

A broader study incorporating a larger number of companies would be necessary for a more
comprehensive analysis of working capital management trends across the corporate sector. Such
an extensive study would help draw more generalized conclusions and identify sector-wide
patterns.

36
4.2 RECOMMENDATIONS

 Optimize Working Capital: The working capital of Tata Consultancy Services (TCS) has
increased over the analyzed period. It increased in 2019, significantly decreased in 2020,
and showed some improvement in 2021. The company must implement strategies to
stabilize and optimize its working capital management.
 Improve Current Ratio: While the current ratio has generally been stable, it fell below the
standard in the 2020-2021 period, with current liabilities exceeding current assets. TCS
should focus on improving this ratio to meet or exceed industry standards.
 Maintain Quick Ratio: The quick ratio of TCS is satisfactory and exceeds the standard
ratio. The company should continue to maintain this positive performance.
 Enhance collection period: Although the debtor turnover ratio has increased, TCS should
tighten its credit policy and strive for faster realization of debts to improve liquidity.
 Take Effective Measures: TCS should take immediate and effective measures to improve
its overall working capital management, ensuring better financial health and operational
efficiency.

37
REFERENCES
Annual report from the company’s website

https://upload.wikimedia.org/wikipedia/commons/8/85/TCS_SIPCOT_Building.jpg

https://www.tcs.com/

Saravanan, R., et al. (2017). Analysis of Working Capital Management in Ambuja Cements Limited.
Journal of Business and Management Studies, 23(4), 45-56.

https://www.citefactor.org/article/index/133471/pdf/working-capital-management-of-ambuja-cements- limited-
through-ratio-analysis

Keerthi, K., & Eswari, S. (2019). A Study on Financial Performance Using Ratio Analysis of Kumbakonam Central Co-
Operative Bank. ICTACT Journal on Management Studies (I-Scholar)

https://www.i-scholar.in/index.php/IJMgmtS/article/view/207997

Gadhavi, H., & Barad, K. (2021). Comparative Financial Analysis of TCS and Infosys.

https://www.ijfmr.com/papers/2024/2/15313.pdf

Banerjee, Z. (2021). A comparative financial analysis of TCS and Infosys using Du – Pont Analysis.
Journal of Financial Management, 13(3), 78-89.

https://ijsret.com/wp-content/uploads/2021/05/IJSRET_V7_issue3_329.pdf

Singh, A., Mir, B., & Khandelwal, C. (2022). Financial performance analysis of selected IT companies in India: A
comparative study. Journal of Financial Research, 9(1), 112-125.

https://www.jetir.org/papers/JETIR2401547.pdf

38
ANNEXURE
INCOME STATEMENT
In Millions of INR except Per Share FY 2020 FY 2021 FY 2022 FY 2023
12 Months Ending 03/31/2020 03/31/2021 03/31/2022 03/31/2023
Revenue 15,69,490.0 16,41,770.0 19,17,540.0 22,54,580.0
+ Sales & Services Revenue 15,69,490.0 16,41,770.0 19,17,540.0 22,54,580.0
- Cost of Revenue 0.0 9,71,380.0 0.0 13,62,680.0
+ Cost of Goods & Services 0.0 9,40,530.0 0.0 13,24,480.0
+ Depreciation & Amortization 0.0 30,850.0 0.0 38,200.0
Gross Profit 15,69,490.0 6,70,390.0 19,17,540.0 8,91,900.0
+ Other Operating Income 0.0 0.0 0.0 0.0
- Operating Expenses 11,83,830.0 2,46,580.0 14,33,080.0 3,49,810.0
+ Selling, General & Admin 0.0 2,35,780.0 0.0 3,37,500.0
+ Research & Development 3,060.0 0.0 0.0 0.0
+ Depreciation & Amortization 35,290.0 9,800.0 46,040.0 12,030.0
+ Prov For Doubtful Accts 0.0 0.0 0.0 0.0
+ Other Operating Expense 11,45,480.0 1,000.0 13,87,040.0 280.0
Operating Income (Loss) 3,85,660.0 4,23,810.0 4,84,460.0 5,42,090.0
- Non-Operating (Income) Loss -34,080.0 -24,810.0 -30,060.0 -26,700.0
+ Interest Expense, Net -31,300.0 0.0 -23,980.0 0.0
+ Interest Expense 4,320.0 0.0 2,650.0 0.0
- Interest Income 35,620.0 25,120.0 26,630.0 32,630.0
+ Other Investment (Inc) Loss -100.0 -25,120.0 -40.0 -32,630.0
+ Foreign Exch (Gain) Loss -7,270.0 0.0 -10,450.0 0.0
+ (Income) Loss from Affiliates 0.0 0.0 0.0 0.0
+ Other Non-Op (Income) Loss 4,590.0 25,430.0 4,410.0 38,560.0
Pretax Income (Loss), Adjusted 4,19,740.0 4,48,620.0 5,14,520.0 5,68,790.0
- Abnormal Losses (Gains) -2,740.0 11,020.0 -2,350.0 -280.0
+ Disposal of Assets -460.0 -130.0 -230.0 -260.0
+ Legal Settlement — 12,180.0 — —
+ Sale of Investments -2,140.0 -30.0 -1,980.0 —
+ Unrealized Investments — — — —
+ Other Abnormal Items -140.0 -1,000.0 -140.0 -20.0
Pretax Income (Loss), GAAP 4,22,480.0 4,37,600.0 5,16,870.0 5,69,070.0
- Income Tax Expense (Benefit) 98,010.0 1,11,980.0 1,32,380.0 1,46,040.0
+ Current Income Tax 1,03,780.0 — 1,36,540.0 —
+ Deferred Income Tax -5,770.0 — -4,160.0 —
+ Tax Allowance/Credit — — — —
Income (Loss) from Cont Ops 3,24,470.0 3,25,620.0 3,84,490.0 4,23,030.0

39
 - Net Extraordinary Losses (Gains) 0.0 0.0 0.0 0.0
+ Discontinued Operations 0.0 0.0 0.0 0.0
+ XO & Accounting Changes 0.0 0.0 0.0 0.0
Income (Loss) Incl. MI 3,24,470.0 3,25,620.0 3,84,490.0 4,23,030.0
- Minority Interest 1,070.0 1,320.0 1,220.0 1,560.0
Net Income, GAAP 3,23,400.0 3,24,300.0 3,83,270.0 4,21,470.0
- Preferred Dividends 0.0 0.0 0.0 0.0
- Other Adjustments 0.0 0.0 0.0 0.0
Net Income Avail to Common, GAAP 3,23,400.0 3,24,300.0 3,83,270.0 4,21,470.0

Net Income Avail to Common, Adj 3,21,482.0 3,32,014.0 3,81,625.0 4,21,274.0

Net Abnormal Losses (Gains) -1,918.0 7,714.0 -1,645.0 -196.0
Net Extraordinary Losses (Gains) 0.0 0.0 0.0 0.0

Basic Weighted Avg Shares 3,752.4 3,740.1 3,698.8 3,659.1

Basic EPS, GAAP 82.06 82.29 97.26 106.95
Basic EPS from Cont Ops, GAAP 86.19 86.71 103.62 115.19
Basic EPS from Cont Ops, Adjusted 85.67 88.77 103.17 115.13

Diluted Weighted Avg Shares 3,752.4 3,740.1 3,698.8 3,659.1

Diluted EPS, GAAP 86.19 86.71 103.62 115.19
Diluted EPS from Cont Ops, GAAP 86.19 86.71 103.62 115.19
Diluted EPS from Cont Ops, Adjusted 85.67 88.77 103.17 115.13

40
BALANCE SHEET
In Millions of INR except Per Share FY 2020 FY 2021 FY 2022 FY 2023
12 Months Ending 03/31/2020 03/31/2021 03/31/2022 03/31/2023
Total Assets
+ Cash, Cash Equivalents & STI 3,55,890.0 3,82,800.0 4,82,570.0 4,72,440.0
+ Cash & Cash Equivalents 94,490.0 68,580.0 1,79,950.0 71,230.0
+ ST Investments 2,61,400.0 3,14,220.0 3,02,620.0 4,01,210.0
+ Accounts & Notes Receiv 3,05,320.0 3,00,790.0 3,40,740.0 4,10,490.0
+ Accounts Receivable, Net 3,05,320.0 3,00,790.0 3,40,740.0 4,10,490.0
+ Notes Receivable, Net 0.0 0.0 0.0 0.0
+ Unbilled Revenues 1,06,450.0 65,830.0 1,30,580.0 89,050.0
+ Inventories 50.0 0.0 200.0 0.0
+ Raw Materials 50.0 0.0 170.0 0.0
+ Work In Process 0.0 0.0 0.0 0.0
+ Finished Goods 0.0 0.0 30.0 0.0
+ Other Inventory 0.0 0.0 0.0 0.0
+ Other ST Assets 1,34,660.0 2,43,380.0 1,29,010.0 1,30,720.0
+ Prepaid Expenses 17,880.0 0.0 32,220.0 0.0
+ Taxes Receivable 13,840.0 190.0 13,210.0 80.0
+ Misc ST Assets 1,02,940.0 2,43,190.0 83,580.0 1,30,640.0
Total Current Assets 9,02,370.0 9,92,800.0 10,83,100.0 11,02,700.0
+ Property, Plant & Equip, Net 1,98,410.0 1,97,680.0 1,96,150.0 1,91,550.0
+ Property, Plant & Equip 3,53,440.0 — 3,91,410.0 —
- Accumulated Depreciation 1,55,030.0 — 1,95,260.0 —
+ LT Investments & Receivables 2,900.0 2,680.0 3,680.0 4,150.0
+ LT Investments 2,160.0 2,130.0 2,230.0 2,660.0
+ LT Receivables 740.0 550.0 1,450.0 1,490.0
+ Other LT Assets 1,05,310.0 1,35,650.0 1,32,210.0 1,59,290.0
+ Total Intangible Assets 19,930.0 44,280.0 28,880.0 48,730.0
+ Goodwill 17,100.0 39,480.0 17,870.0 40,060.0
+ Other Intangible Assets 2,830.0 4,800.0 11,010.0 8,670.0
+ Prepaid Expense 8,390.0 — 12,910.0 —
+ Deferred Tax Assets 28,280.0 39,030.0 37,080.0 32,770.0
+ Investments in Affiliates 0.0 0.0 0.0 0.0
+ Misc LT Assets 48,710.0 52,340.0 53,340.0 77,790.0
Total Noncurrent Assets 3,06,620.0 3,36,010.0 3,32,040.0 3,54,990.0
Total Assets 12,08,990.0 13,28,810.0 14,15,140.0 14,57,690.0
Liabilities & Shareholders' Equity
+ Payables & Accruals 1,66,300.0 1,76,010.0 2,84,170.0 2,39,250.0

41
 + Accounts Payable 67,400.0 78,600.0 80,450.0 1,05,150.0
+ Accrued Taxes 65,860.0 62,430.0 1,57,450.0 93,450.0
+ Interest & Dividends Payable 530.0 — 460.0 —
+ Other Payables & Accruals 32,510.0 34,980.0 45,810.0 40,650.0
+ ST Debt 12,720.0 12,920.0 14,500.0 14,850.0
+ ST Borrowings 12,680.0 0.0 — 0.0
+ ST Lease Liabilities 20.0 12,920.0 14,500.0 14,850.0
+ ST Finance Leases — — — —
+ ST Operating Leases 20.0 — — —
+ Other ST Liabilities 91,600.0 1,52,620.0 1,24,840.0 1,81,480.0
+ Deferred Revenue 29,150.0 36,500.0 36,350.0 38,430.0
+ Derivatives & Hedging — 0.0 — —
+ Misc ST Liabilities 62,450.0 1,16,120.0 88,490.0 1,43,050.0
Total Current Liabilities 2,70,620.0 3,41,550.0 4,23,510.0 4,35,580.0
+ LT Debt 69,060.0 65,030.0 63,680.0 62,030.0
+ LT Borrowings 0.0 0.0 — 0.0
+ LT Lease Liabilities 69,060.0 65,030.0 63,680.0 62,030.0
+ LT Finance Leases — — — —
+ Other LT Liabilities 21,840.0 29,930.0 29,490.0 26,840.0
+ Accrued Liabilities — 0.0 — 0.0
+ Pension Liabilities — 7,490.0 — 5,360.0
+ Deferred Compensation 4,170.0 — 6,770.0 —
+ Deferred Revenue 6,970.0 11,970.0 11,100.0 10,030.0
+ Deferred Tax Liabilities 7,790.0 7,670.0 5,900.0 7,920.0
+ Derivatives & Hedging — 0.0 — —
+ Misc LT Liabilities 2,910.0 2,800.0 5,720.0 3,530.0
Total Noncurrent Liabilities 90,900.0 94,960.0 93,170.0 88,870.0
Total Liabilities 3,61,520.0 4,36,510.0 5,16,680.0 5,24,450.0
+ Preferred Equity and Hybrid Capital 0.0 0.0 0.0 0.0
+ Share Capital & APIC 3,750.0 3,700.0 3,660.0 3,660.0
+ Common Stock 3,750.0 3,700.0 3,660.0 3,660.0
+ Additional Paid in Capital 0.0 0.0 0.0 0.0
- Treasury Stock 0.0 0.0 0.0 0.0
+ Retained Earnings 7,91,850.0 8,27,450.0 7,83,200.0 7,75,940.0
+ Other Equity 45,660.0 54,400.0 1,04,530.0 1,45,820.0
Equity Before Minority Interest 8,41,260.0 8,85,550.0 8,91,390.0 9,25,420.0
+ Minority/Non Controlling Interest 6,230.0 6,750.0 7,070.0 7,820.0
Total Equity 8,35,030.0 8,78,800.0 8,84,320.0 9,17,600.0
Total Liabilities & Equity 11,96,550.0 13,15,310.0 14,01,000.0 14,42,050.0

42
CASH FLOW STATEMENT
Tata Consultancy Services Ltd (TCS IN)
In Millions of INR except Per Share FY 2020 FY 2021 FY 2022 FY 2023
12 Months Ending 03/31/2020 03/31/2021 03/31/2022 03/31/2023
Cash from Operating Activities
+ Net Income 3,23,400.0 3,24,300.0 3,83,270.0 4,21,470.0
+ Depreciation & Amortization 35,290.0 40,650.0 46,040.0 50,220.0
+ Non-Cash Items 22,900.0 25,550.0 41,000.0 29,440.0
+ Other Non-Cash Adj 22,900.0 25,550.0 41,000.0 29,440.0
+ Chg in Non-Cash Work Cap -29,770.0 20,570.0 -50,730.0 -56,080.0
+ (Inc) Dec in Accts Receiv -32,950.0 12,600.0 -42,100.0 -65,010.0
+ (Inc) Dec in Inventories 50.0 — -120.0 0.0
+ Inc (Dec) in Accts Payable 4,460.0 -930.0 1,860.0 20,360.0
+ Inc (Dec) in Other -1,330.0 8,900.0 -10,370.0 -11,430.0
+ Net Cash From Disc Ops 0.0 0.0 0.0 0.0
Cash from Operating Activities 3,51,820.0 4,11,070.0 4,19,580.0 4,45,050.0

Cash from Investing Activities

+ Change in Fixed & Intang -30,880.0 -31,390.0 -29,640.0 -30,630.0
+ Disp in Fixed & Intang 1,610.0 370.0 310.0 370.0
+ Disp of Fixed Prod Assets 1,610.0 370.0 310.0 370.0
+ Disp of Intangible Assets 0.0 0.0 0.0 0.0
+ Acq of Fixed & Intang -32,490.0 -31,760.0 -29,950.0 -31,000.0
+ Acq of Fixed Prod Assets -30,570.0 -28,200.0 -24,980.0 -27,450.0
+ Acq of Intangible Assets -1,920.0 -3,560.0 -4,970.0 -3,550.0
+ Net Change in LT Investment 0.0 0.0 0.0 0.0
+ Dec in LT Investment 0.0 0.0 0.0 0.0
+ Inc in LT Investment 0.0 0.0 0.0 0.0
+ Net Cash From Acq & Div 0.0 0.0 0.0 0.0
+ Cash from Divestitures 0.0 0.0 0.0 0.0
+ Cash for Acq of Subs 0.0 0.0 0.0 0.0
+ Cash for JVs 0.0 0.0 0.0 0.0
+ Other Investing Activities 79,160.0 -79,290.0 -6,400.0 -2,170.0
+ Net Cash From Disc Ops 0.0 0.0 0.0 0.0
Cash from Investing Activities 48,280.0 -1,10,680.0 -36,040.0 -32,800.0

Cash from Financing Activities

+ Dividends Paid -3,76,340.0 -1,08,500.0 -1,33,170.0 -4,13,470.0
+ Cash From (Repayment) Debt -10,620.0 -13,360.0 -14,170.0 -15,150.0

43
 + Cash From (Repay) ST Debt 0.0 0.0 — 0.0
+ Cash From LT Debt 0.0 0.0 — 0.0
+ Repayments of LT Debt -10,620.0 -13,360.0 -14,170.0 -15,150.0
+ Cash (Repurchase) of Equity 0.0 -1,97,570.0 -1,80,670.0 180.0
+ Increase in Capital Stock 0.0 0.0 1,620.0 180.0
+ Decrease in Capital Stock 0.0 -1,97,570.0 -1,82,290.0 0.0
+ Other Financing Activities -2,950.0 -570.0 -820.0 -42,550.0
+ Net Cash From Disc Ops 0.0 0.0 0.0 0.0
Cash from Financing Activities -3,89,910.0 -3,20,000.0 -3,28,830.0 -4,70,990.0

Effect of Foreign Exchange Rates 4,030.0 1,730.0 1,590.0 5,090.0

Net Changes in Cash 14,220.0 -17,880.0 56,300.0 -53,650.0

Cash Paid for Taxes 58,460.0 90,920.0 1,14,860.0 1,29,660.0

Cash Paid for Interest 9,240.0 6,340.0 6,980.0 7,790.0

44