FINANCIAL MANAGEMENT

TERM PAPER
ASIAN PAINTS
PRESENTED BY,
S.SWETHA (1791057)
INTRODUCTION
 Asian Paints Limited is an
Indian multinational paint company
headquartered in Mumbai, Maharashtra.
 The Company is engaged in the business
of manufacturing, selling and distribution
of paints, coatings, products related to
home decor, bath fittings and providing of
related services.
 Asian Paints is India's largest and Asia's
fourth largest paints corporation.
 As of 2015, it has the largest market share
with 54.1% in the Indian paint industry.
 Asian Paints is the holding company
of Berger International.
Product Range
 Product range of the company
includes:
 Automotive Paints
 Decorative Paints ( kids world,
stencils, plain finishes, wall decals,
texture)
 Industrial Paints
Sources of finance
DIVIDENDS PAID FOR 3 YEARS:
 RATIO ANALYSIS:

 DEBT EQUITY RATIO:

2016 2017

Debt 116.49 122.44

Equity 95.92 95.92

ratio 1.21 1.28

 debt equity ratio
3

2.5

1.5
debt equity ratio

0.5

0
2016 2017
 DIVIDEND PAID OUT RATIO:

particulars 2016 2017

Dividend to equity holder 258.98 167.86

Net profit 1004.50 562.36

ratio 26 30
 dividend paid out ratio

30

29

28

27 dividend paid out ratio

26

25

24
2016 2017
 Earnings per share:
 Formula: Net profit
Number of ordinary shares
outstanding
particulars 2016 2017

Net profit 1004.50 562.36

Number of equity shares 9.592 9.592

ratio 104.72 58.63

earnings per share

2016
2017
 Inventory turnover ratio:
 Formula: cost of goods sold
Average inventory

particulars 2016 2017

Cost of goods sold 2623.81 2599.19

Average inventory 654.925 542.84

ratio 4 4.79
 inventory turnover ratio

4.8

4.6

4.4
inventory turnover
4.2 ratio

3.8

3.6
2016 2017
 Debtor turnover ratio
:
 Formula:Average debtors + bills receivabl
es
Credit sales
Particulars 2016 2017

Average debtors + bills 5125.08 4270.05

receivable

Credit sales 331.4 311.02

ratio 23.6 26.58

 debtors turn over ratio

27
26.5
26
25.5
25
24.5 debtors turn over ratio
24
23.5
23
22.5
22
2016 2017
Financial leverage
particulars 2016 2017
EBIT 19 695 25 207
EBT 20 769 26 284
LEAVERAGE 0.94 0.95

FINANCIAL LEAVERAGE

0.95

0.945
FINANCIAL
LEAVERAGE
0.94

0.935
2016 2017