1.infosys PPT Final

NAME : TAPAN ANKLESHWARIA
(207370592039)
: JAY PANDYA (207370592009)
CLASS : M.B.A. SEM-1
SUBJECT : MANAGERIAL ACCOUNTING
REPORT : FSA ANALYSIS ON INFOSYS LTD.
Introduction of Infosys Ltd.
 Infosys Limited is an Indian multinational Information
Technology company that provides business consulting, information
technology and outsourcing services. The company is headquartered
in Bangalore. Infosys is the second-largest Indian IT company after Tata
Consultancy Services by 2020 revenue figures and the 602nd largest
public company in the world according to Forbes Global 2000 ranking.
On 31 December 2020, its market capitalization was $71.92 billion.
The credit rating of the company is A− (rating by Standard & Poor's).
 Infosys was founded by seven engineers
in Pune, Maharashtra, India with an initial capital of $250 in 1981.It
was registered as Infosys Consultants Private Limited on 2 July 1981. In
1983, it relocated its office to Bangalore, Karnataka, India.
 The company changed its name to Infosys Technologies Private
Limited in April 1992 and to Infosys Technologies Limited when it
became a public limited company in June 1992. It was later renamed
to Infosys Limited in June 2011.
In 2012, Infosys announced a new office in Milwaukee, Wisconsin, to

serve Harley-Davidson, being the 18th international office in
the United State. Infosys hired 1,200 United States employees in 2011,
and expanded the workforce by an additional 2,000 employees in
2012. In April 2018 Infosys announced expanding in Indianapolis,
Indiana. The development will include more than 120 acres and is
expected to result in 3,000 new jobs—1,000 more than previously
announced.
WHAT IS FSA?
Financial statement analysis is the process of reviewing
and analyzing a company’s financial statements to make
better economic decisions.
Financial statement analysis includes four type of

analysis-:
1. Comparative analysis
2. Common size analysis
3. Trend analysis
4. Ratio analysis
COMPARATIVE FINANCIAL
STATEMENTS
 These are the statements in which figures for two or
 more periods are placed side by side along with the
 change in figures in absolute and percentile form.
 Both balance sheet and profit and loss account are

 prepared in the form of comparative financial statements.
 Thus, comparison is done through comparative analysis.

 Comparative Balance sheet of Infosys Ltd.xlsx
COMMON SIZE FINANCIAL
SATEMENT
These statements express all figures of a financial

statements as percentage of some common base.
In profit and loss account, sale figure is assumed to be

100 and all figures are expressed as a percentage of
sales.
In the balance sheet the sum of assets or liabilities is

assumed to be 100 and all figures are expressed as
percentage of total.
Common size financial statement balance sheet of Infosys Ltd.xlsx

TREND ANALYSIS
 Any year may be taken as a base year, each time of the base year is
taken as 100.
 On the basis the percentage for each of the following years are
calculated.
 Here 2018 is taken as a base year.
 Trend analysis balance sheet of Infosys Ltd.xlsx
RATIO ANALYSIS
 Ratio analysis is a widely used tool for financial analysis. It is defined as the
systematic use of ratio to interpret the financial statement, so that the strength &
weakness of a firm as well its historical performance and current financial
condition can be determined. The term ratio refers to the numerical & quantitative
relationship between two items/variables.
RATIO ANALYSIS
1) Current Ratio:
Current
Ratio
Particulars 2020 2019 2018
Current Assets 39422.00 40966 36659
Current
Liabilities 13528.00 13972 9686
Ratio 2.9141 2.932 3.7847
3.5
2.5
1.5
0.5
0
2020 2019 2018
2020 2019 2018
2) Debt Equity Ratio:
Debt
Equity
Ratio
Debt 12,555.00 12,909.00 9,453.00
Equity 62234.00 62711.00 63502.00
Ratio 0.2017 0,2058 0.1488
2020 2019 2018

3) TOTAL ASSETS TO DEBT RATIO
Total
Assets to
Debt
Ratio
Total Assets 81,041.00 78,930.00 75,877.00
Debt 18,807.00 16,219.00 12,375.00
Ratio 4.309 4.8665 6.1314
2018
2019
2020
0 1 2 3 4 5 6 7
4) Net Profit Ratio:
Net
Profit
Ratio
Net Profit 15543.00 14702.00 16155.00
Net Sales 79047.00 73107.00 61941.00
Ratio (in %) 0.1966 0.2011 0.2608
2020 2019 2018

5) Earning Per Share:
Earning
Per Share
PAT 15543.00 14702.00 16155.00
No. of Equity
Shares 2129.00 2178.00 1092.00
Ratio (in Rs.) 7.3006 6.7502 14.7939
16
Chart Title
14
12
10
0
2020 2019 2018
2020 2019 2018

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NAME : TAPAN ANKLESHWARIA

In 2012, Infosys announced a new office in Milwaukee, Wisconsin, to

Financial statement analysis includes four type of

2. Common size analysis

 Both balance sheet and profit and loss account are

 Thus, comparison is done through comparative analysis.

These statements express all figures of a financial

In profit and loss account, sale figure is assumed to be

In the balance sheet the sum of assets or liabilities is

Common size financial statement balance sheet of Infosys Ltd.xlsx

2020 2019 2018

2020 2019 2018

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