HDFC STANDARD LIFE INSURANCE

A STUDY ON FINANCIAL PERFORMANCE at HDFC Standard Life Insurance, Bangalore

A Dissertation Submitted to the Bangalore University For the Partial Fulfilment of the Degree of

Master of Business Administration

Course of Bangalore University 2009-2011, Bangalore Submitted By:

APOORVA PARE
IVth SEM. ( Reg. No. 09QZCMA015) Under the guidance of

MS.SHWETHA N.S.
(Asst.prof.)

BANGALORE INSTITUTE OF MANAGEMENT STUDIES #35, Opp R.V. College of Engineering Mysore Road, Bangalore-560059

BANGALORE INSTITUTE OF MANAGEMENT STUDIES

HDFC STANDARD LIFE INSURANCE

STUDENTS DECLARATION

I hereby declare that the dissertation titled A study on Financial Performance at HDFC Standard Life Insurance, Bangalore Submitted by me to the Department of Management, Bangalore University in Partial fulfilment of requirements of MBA Programme is a bonafide work carried by me under the guidance of Asst.Prof. MS. SHWETHA.N.S. This has not been submitted earlier to any other university or Institution for the award of any degree diploma / certificate or published any time before.

DATE: PLACE: BANGALORE

APOORVA PARE (09QZCMA015)

BANGALORE INSTITUTE OF MANAGEMENT STUDIES

HDFC STANDARD LIFE INSURANCE

ACKNOWLEDGEMENT

I would like to place on record, sincere thanks to all those who helped me in the completion of this project. At the very outset, I want to thank God for giving me the strength and enlightenment I needed for the completion of this project.

I owe my sincere thanks and gratitude to my project guide Asst.Prof. Shwetha.N.S. & Mr. K.Sai Prasad (Branch Manager) HDFC Standard Life Insurance, for all the encouragement, support and guidance they gave me during the preparation of this project. Last but not the least I would like to thank my family for all their encouragement and support.

DATE: PLACE: BANGALORE

APOORVA PARE (09QZCMA015)

BANGALORE INSTITUTE OF MANAGEMENT STUDIES

HDFC STANDARD LIFE INSURANCE

EXECUTIVE SUMMARY

This is a finance research project-specifically focused on the Financial Performance aspects of HDFC STANDARD LIFE INSURANCE. It has been comprehensively considered i.e. performance analysis of this company has been made. The study of financial Performance is considered to know the financial performance in terms of profitability, solvency, and growth in business and overall performance. The study covers in detail the evaluation of performance of the company with respect to the past years. Since the companies have become responsible with regard to performance they have to follow the norms or standards to as to maintain liquidity, solvency, and profitability. Financial performance is measuring the results of a firm's policies and operations in monetary terms. These results are reflected in the firm's return on investment, return on assets, value added, etc. In other words, it is a subjective measure of how well a firm can use assets from its primary mode of business and generate revenues. This term is also used as a general measure of a firm's overall financial health over a given period of time.

BANGALORE INSTITUTE OF MANAGEMENT STUDIES

HDFC STANDARD LIFE INSURANCE

Financial performance includes analysis of capital structure, financial statements, ratio analysis and cash flow forecast, etc. This work includes arranging of key financial statement, balance sheet, income statement and cash flow statement based on the trial balance with some addition. The arranging process is fully described with all calculations presented in Excel format. It also contains a discussion of a company performance with financial ratio analysis. The procedure has been followed accordingly with the help of the company and the employees. The information has been obtained from the data that is present in the annual report. The main tool being the balance sheet and the profit and loss account with the main objectives being the effectiveness and to obtain efficiency and the methodology of the study, the scope is mainly restricted to balance sheet and the information available in the annual reports. The main tool for analyzing the financial performance is the ratio analysis which is the most powerful tool of financial analysis and a prime indicator of the liquidity, solvency and profitability position of the company, with this as a main tool for the study, analysis, summary of findings has been made and implications which is the result of the study has been made. The researcher, having a brief knowledge that there exists scope for research in this area, opted this area for undertaking the research activity of literature review, the researcher, along with gaining knowledge and understanding of the topic, was able to know what exactly have not been covered in erstwhile research work. The activity of reviewing for research assisted the researcher to map up structure and design the research project.

BANGALORE INSTITUTE OF MANAGEMENT STUDIES

HDFC STANDARD LIFE INSURANCE

TABLE OF CONTENTS:

CHAPTER NUMBER 1 2 3 4 5 6 7

CHAPTER HEADINGS INTRODUCTION COMPANY PROFILE RESEARCH DESIGN DATA ANALYSIS AND INTERPRETATION FINDINGS,SUGGESTIONS AND CONCULSION BIBLIOGRAPHY ANNEXTURE

PAGE NUMBER 1-24 25-40 41-45 46-68 69-72 73-74 75-81

BANGALORE INSTITUTE OF MANAGEMENT STUDIES

HDFC STANDARD LIFE INSURANCE

List of Graphs

GRAPH TITLE OF THE GRAPH NUMBER 1 Graph showing the position of current ratio 2 3 4 5 6 7 8 9 10 Graph showing the position of quick asset ratio Graph showing the position of debt equity ratio Graph showing the position of proprietary ratio Graph showing the position of fixed asset ratio Graph showing the position of gross profit ratio Graph showing the position of net profit ratio Graph showing the position of operating ratio Graph showing the position of return on assets ratio Graph showing the position of total capital turnover ratio

PAGE NUMBER 48 50 52 54 56 58 60 62 64 66

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HDFC STANDARD LIFE INSURANCE

11 Graph showing the position of fixed asset turnover ratio 68

BANGALORE INSTITUTE OF MANAGEMENT STUDIES