“A COMPARATIVE STUDY ON THE

FINANCIAL PERFORMANCE OF SELECTED

AUTOMOBILE COMPANIES”

Submitted in partial fulfilment of the requirements

for the award of the Degree of

MASTER OF BUSINESS ADMINISTRATION

of
BANGALORE NORTH UNIVERSITY

By

Name: PARADESI PRAVEEN KUMAR

Reg. No. P19DU21M0200

Under the guidance of

Name of guide: Dr.B.SENTHIL KUMAR

Assistant Professor

KRUPANIDHI GROUP OFINSTITUTIONS

DEPARTMENT OF MANAGEMENT STUDIES

BANGALORE NORTH UNIVERSITY

2021–2023
A COMPARATIVE STUDY ON THE FINANCIAL
PERFORMANCE OF SELECTED AUTOMOBILE
COMPANIES
Submitted in partial fulfillment of the requirements for the
Award of the degree

MASTER OF BUSINESS ADMINISTRATION

OF
BANGLORE NORTH UNIVERSITY

NAME: PARADESI PRAVEEN KUMAR

REG.NO:P19DU21M0200

Under the guidance of

Name of Guide: Dr.B.SENTHIL KUMAR
Assistant Professor

KRUPANIDHI GROUP OF INSTITUTIONS

DEPARTMENT OF MANAGEMENT STUDIES
Bangalore-560035

Batch: 2021-23
 GUIDE CERTIFICATE

This is to certify that the project titled “A COMPARATIVE STUDY ON

FINANCIAL PERFORMANCE OF SELECTED AUTOMOBILE

COMPANIES” is an original
work of PARADESI PRAVEEN KUMAR., bearing Reg. No. P19DU21M0200 and is

being submitted in partial fulfillment for the award of the Master’s Degree in Business

Administration of Bengaluru North University. The report has not been submitted earlier

either to this University

/Institution or any other institution for the fulfilment of the requirement of a course of study.

SIGNATURE OF THE GUIDE

PLACE: …………………………
DATE: …………………………...
 DECLARATION

I do here by declare that the Project report titled “A COMPARITIVE STUDY

ON THE FINANCIAL PERFORMANCE OF SELECTED

AUTOMOBILE

COMPANIES”, submitted to Bengaluru North University in the partial fulfilment of

the requirement for the award of Degree of Master of Business Administration is a

record of Bonafide and independent internship report carried out by me This report does

not form part of any previous reports submitted to this university or any other university

for the award of any degree/ diploma/associate ship or other similar title.

PARADESI PRAVEEN KUMAR

REG NO:P19DU21M0200
 ACKNOWLEDGEMENT

I proudly utilize the opportunity to express my heart full thanks to Dr. Suresh

Nagpal, Chairman of Krupanidhi Group of Institutions, Bangalore and Dr. Anita

Mathew, Dean, Department of Management Studies for their valuable advice and

encouragement for carrying out this project.

My special thanks to faculty guide, Dr.B.SENTHIL KUMAR Assistant Professor,

Department of Management Studies, who guided me with full support in completing
my project through her constant encouragement and suggestions.

I thank all other Faculty members of Department of management studies for their
continuous support in carrying out this project.

I offer my humble and sincere thanks to my beloved parents who are the never ending
source of inspiration to me.
 TABLE OF CONTENTS
TABLE OF CONTENTS

Chapter CONTENTS PAGE NO

1 Introduction 1-13

2 Industry Profile, Company Profile 14-40

and Respondent Profile

3 Research Methodology 41-4

4 Data Analysis and Interpretation 47-77

5 Findings, Suggestions & Conclusion 78-83

Bibliography

Annexure
 LIST OF TABLES:
1.A Table representing the analysis of Mahindra motors 47-48

comparative income statement

1.B Table representing the analysis of Mahindra motors 49-50

common size income statement
1.C Table representing the analysis of Mahindra motors 52-51
comparative balance sheet
1.D Table representing the analysis of Mahindra Motors 52-53
Common size balance sheet analysis
2.A Table representing the analysis of TATA motors 56-57
comparative income statement
2.B Table representing the analysis of TATA motors 58-59
common size income statement
2.C Table representing the analysis of TATA motors 62-61
comparative balance sheet
2.D Table representing the analysis of TATA motors 62-64
comparative balance sheet analysis
3.A Table representing the analysis of TVS motors 67-69
comparative income statement
3.B Table representing the analysis of TVS motors common 70-71
size income statement
3.C Table representing the analysis of TVS motors 71-73
comparative balance sheet
3.D Table representing the analysis of TVS Motors 74-75
Common size balance sheet analysis
 LIST OF GRAPHS
1 Graph showing MAHINDRA Motors Revenue 54

from past 4 years

1.A Graph showing Mahindra Motors Revenue for the 55

future year 2023
2 Graph showing TATA Motors Revenue from past 65
4 years
2.A Graph showing TATA Motors Revenue for the 66
future year 2023
3 Graph showing TVS Motors Revenue from past 4 76
years
3.A Graph showing TVS Motors Revenue for the 77
future year 2023
 EXCUTIVE SUMMARY

This Project titled “A comparative study on the Financial performance of

selected automobile companies” is to know about the financial position of 3

companies called Mahindra Motors, TVS Motors and TATA Motors with help of

previous year’s Balance sheet and income statement. Which helps the future

investors, creditors, owners. government, employees to know about the company

position on the assets and liabilities value. The Indian Automobile industry

includes two-wheelers, trucks, cars buses and three wheelers which plays an

important role in growth of an Indian economy. India is recognized as fourth

largest exporter of automobiles, behind Japan, South Korea, and Thailand. The

country is expected to top the world in car production with approximately

611million vehicles on the nation’s roads by 2050.We have taken two years

balance sheet and income statement of these 3 automobile companies to evaluate

the financial performance. According to this analysis The TATA MOTORS is

having more profits and assets and liabilities. Which seems that the owners,

management, creditors, employees, investors, government, consumer, stock

exchange can invest in TATA MOTORS. But investing in TVS MOTORS and

Mahindra MOTORS may lead to get less profits as their assets value has been

decreased. But according trend analysis there is a TVS MOTORS getting more

profits in the upcoming year. But all the stakeholders better to go for different

kind of analysis before making decision regarding the investing in particular

company.
 CHAPTER 1
INTRODUCTION

1.1-INDTRODUCTION OF AUTOMOBILE INDUSTRY PROFILE:

Indian Automobile industry plays an important role in increasing the Gross domestic

Product of the Country. The automotive industry consists of a wide Varieties of

companies and Organizations which are involved in design, development, manufacturing,

marketing and selling od different types of motor vehicles. The Automobile industry has

begun in the year of 1960’s with the hundreds of manufacturers.For many decades, the

United States led the world in the total production of the automobile industry. In India in

the year of 2019 the annual production has been recorded as 30.91 million vehicles again

29.08 million in 2018 registering a growth of 6.26%, The first car has launched in India

(MUMBAI) in the year of 1898 since that the automobile industry come long way. The

automobile industry is one of the major sectors of the country contributing to the Indian

economy. It provides more than 10M Employment opportunities to the Indian Population.

India have become the fourth biggest maker of car and bike marketplace in 2019

displacing Germany with approximately 3.99 million gadgets offered withinside the

passenger and industrial automobiles categories. India is predicted to displace Japan

because the 1/3 biggest car and bike marketplace with the aid of using 2021The wheelers

phase dominate the marketplace in phrases of quantity due to a developing Centre

elegance and a younger population. Moreover, the developing hobby of the businesses in

exploring the agricultural markets similarly aided the boom of the sector. India is

likewisea distinguished car exporter and has sturdy export boom expectancies for the

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 future. In addition, numerous projects with the aid of using the Government of Indiaand

foremost car gamers withinside the Indian marketplace is predicted to make India a

frontrunner withinside the Two-Wheeler and four-wheeler marketplace withinside the

global with the aid of using 2020. India has become one of the international players in

the automobile market, In the year 2006-07, the Indian Automobile Industry produced

2.06 million four wheelers and 9 million two and three wheelers. The four wheelers

include passenger cars, multi-utility vehicles, sports utility vehicles, light, medium and

heavy commercial vehicles, etc. The three wheelers include mopeds, motor-cycles,

scooters, and three wheelers. India ranks 2nd in the global two-wheeler market. India is

the 4th biggest commercial vehicle market in the world. India ranks 11th in the

international passenger car market. India ranks 5th pertaining to the number of bus and

truck sold in the world. It is expected that the Automobile Industry in India would be the

7th largest automobile market.

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 Before independence Indian market was in a state of market for imported while

assembling the cars manufactured by General motors and other brands was the order of

the day. Indian automobile industry mainly focused on dealership, servicing, financing

and maintenance of the vehicles. The manufacturing has been started from after the

decade of an independence. In the year of 1950’s Indian Railway’s played an important

role in fulfilling the transport requirements of the people. Since independence Indian

automobile industry faced many challenges and road blocks like manufacturing ability

was restricted by the rule of license. And could not be increased but still it lead to high

growth and success it has achieved today. The total production of the passenger cars was

limited to 40,000 for above three decades. Even though the production was restricted to

three main manufacturers that is Hindustan Motors, Premier Automobiles and standard

Motors. There was no research and development or expertise initiative taking place.

Initially labours for manufacturing were not skilled and had go through the process of

learning and trial and error. The Morris Oxford became the Ambassador, Flat 1100

became the Premier Padmini. In the year of 1980’a nearly 98% of the product developed

indigenously. We can observe tremendous changes witnessed by the automobile industry

at the end of 1970’s. Huge and strong initiatives like joint ventures for light commercial

vehicles did not succeed. The new models like Contessa, The River and the Premier

118NE hit the market. Till later part of 1980’s India by and large followed a social system.

The main focus of the government was development through heavy and long gestation

and capital- intensive projects like steel manufacturing. Priority was given to the quality

of the finished goods and customer’s feedback.

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 1.2-THEORTICAL BACKGROUND OF THE STUDY
This study has made to understand the methods of evaluation of financial position of a

selected automobile companies. Financial Analysis of automobile industries is the

technique of figuring out the economic strengths and weaknesses of the companies with

the help of objects of the Balance Sheet and the Profit and Loss account. There are diverse

techniques or strategies are utilized in analyzing economic agenda of alternate in

operating capital flow, price quantity Profit Analysis and Ratio Analysis. Typically,

economic evaluation is used to examine whether or not an entity is stable, solvent, liquid,

or worthwhile sufficient to warrant a financial investment. It is very much important to

study the financial performance of the automobile industry as it shows the financial

position of the particular company. But in today’s world there is fake information given

by the companies to attract the investors to invest in the company. So the financial

performance analysis gives an idea to the investors before investing. Financial analyst

analysis the financial statements with various tools of analysis before commanding upon

the financial health of the firm essential to bring out the history. The investors, trade

creditors, Bond holders, management etc, were depends on the financial performance of

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the particular company. Analyzing the financial performance helps in decision making,

comparing different companies with each other, The user can judge the Companies

performance by just looking at the numbers if the user did the proper financial

performance analysis.

Financial overall performance is the system of figuring out the working and economic

status of a corporation accounting and economic announcement the capacity of an

company to examine its economic function is crucial for enhancing its economic overall

performance, the company can perceive possibilities to enhance overall performance of

the branch unit or organizational level. In this context a try has been made on evaluation

of overall performance of Mahindra Motors, TVS Motors and Tata Motors to recognize

how control of finance performs a essential function withinside the growth.

Financial performance is defined as the process of identifying financial strength and

weakness of the firm by properly establishing relationship between the items of the

balance sheet and profit loss account. Financial performance is a tool gives information

about a company’s worth and its position to company officials and various outsiders like

investors companies are required to publish their general statement. Financial analysts

frequently check firm's manufacturing and productiveness, overall performance,

profitability overall performance, liquidity overall performance, operating capital overall

performance, constant belongings overall performance, fund flow overall performance

and social overall performance. However, the companies use the following analysis to

understand the financial position of the companies:

1. Working capital Analysis

2. Financial Analysis
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 3. Activity Analysis

4. Profitability Analysis
5. Cash flow statements
6. Ratio Analysis
7. Trend Analysis
8. Liquidity Analysis

INCOME
STATEMENT: Types
of income statement:
1. Comparative income statement

2. Common size income statement

1.compartive income statement:

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A comparative income statement contains information from several income statements

as columns in a single statement. It helps the company to identify financial trends and

measure performance over time. It also helps to compare different accounting periods

from your records. Or, you can compare your income statement to other companies.

2.common size income statement:

A common size income statement is an income statement in which each line item is

expressed as a percentage of the value of revenue or sales. It is used for vertical analysis,

in which each line item in a financial statement is represented as a percentage of a base

figure within the statement.

BALANCE SHEET:
1. Comparative balance sheet

2. Comparative common size balance sheet

1.comparative balance sheet:

The comparative balance sheet is a balance sheet which provides financial figures of

assets, liability and equity for the “two or more period of the same company” or “two or

more than two company of same industry” or “two or more subsidiaries of same

company” at the same page format so that this can be easily understandable and easy to

analysis.

2.comparative common size balance sheet

A common size balance sheet includes in a separate column the relative percentages of

total assets, total liabilities, and shareholders' equity. This format is useful for comparing
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 the proportions of assets, liabilities, and equity between different companies, particularly

as part of an industry analysis or an acquisition analysis.

TREND ANALYSIS:

Trend analysis is a technique used in technical analysis that attempts to predict the future

stock price movements based on recently observed trend data. Trend analysis is based on

the idea that what has happened in the past gives traders an idea of what will happen in

the future.

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1.3-NEED TO STUDY THE FINANCIAL PERFORMANCE

ANALYSIS

Interest of numerous associated organizations is stricken by the financial overall

performance of a firm. Therefore, those organizations examine the financial overall

performance of the firm. The sort of evaluation varies in line with the particular hobby of

the party involved.

❖ Trade creditors: inquisitive about the liquidity of the firm (appraisal of firm’s liquidity)

❖ Bond holders: inquisitive about the cash-waft capacity of the firm (appraisal of firm’s

capital structure, the important re assets and makes use of funds, profitability over time,

and projection of destiny profitability)

❖ Investors: inquisitive about gift and predicted destiny profits in addition to balance of

those profits (appraisal of firm’s profitability and monetary situation)

❖ Management: inquisitive about inner control, higher financial situation and higher overall

performance (appraisal of firm’s gift monetary situation, assessment of possibilities in

terms of this modern-day position, go back on funding supplied through numerous

Property of the company, etc.)

And, also financial performance analysis helps to make a various decision at various

stages of a firm:

❖ It helps to know the relatable changes in Companies performance either in profitability

or financial position of a company.

❖ It is necessary to the employees to know the financial performance of the company to get

knowledge about current wage and future salary.

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 ❖ It is needed to government to know the financial performance of the company for the

taxation purposes and to assess the economic performance.

❖ It is necessary to know the various financial journal (viz. R.B.I. Bulletins), newspapers

etc. also require financial statements for analyzing and scrutinizing the financial position

of a firm for the readers.

1.4-IMPORTANCE OF STUDYING THE FINANCIAL

PERFORMANCE ANALYSIS

An Automobile Companies financial performance analysis provides the various financial

information to the investors and creditors used to evaluate the Companies overall

performance. The financial overall performance evaluation enables to the diverse

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involved businesses consisting of managers, shareholders, creditors, tax authorities, and

others who're looking for the subsequent questions:

1. The financial function of the organization at a given factor of time

2. The Financial Performance of the organization over a givenperiod

of time

These discussions may be responded with the assist of financial evaluation of an

organization. Financial evaluation includes the usage of income statements. The

following points gives a glimpse, how and why financial performance analysis is

important:

❖ The financial performance analysis extremely helps in understanding the financial status

of an automobile company. It allows the investors to determine the current status of

company to invest in a particular company.

❖ It also gives an understanding of the key drivers of the business through multiple factors.

This can include strategic, economic aspects as well as accounting and financial; all of

which can tell strikingly different stories.

❖ A financial performance statement is an organized collection of data according to logical

and consistent accounting procedures. Its main purpose is to convey an understanding of

some financial important aspects of a business firm.

❖ The financial performance analysis may present the position at a moment of time as in

the case of a Balance Sheet, or may reveal a series of activities over a given period of

time, as in the case of an Income Statement.

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 ❖ So, the financial performance statements can be typically referred to 2 primary

statements: The Balance Sheet and the Income Statement.

❖ The Balance Sheet indicates the economic function (condition) of the corporation at a

given point of time. It gives “Balance sheet consist of a summary of a firm’s financial

position on a given date that Shows Total assets = Total liabilities + Owner’s equity.”

❖ The income statement (cited in India because the income and loss announcement)

displays the overall performance of the corporation over a length of time. “Income

announcement is a precis of a corporation’s sales and prices over a certain length,

finishing with internet profits or loss for the length.”

❖ However, income statements do now no longer display all of the data associated with the

financial operations of a corporation, however they provide a few extraordinarily

beneficial data, which highlights crucial elements profitability and monetary soundness.

❖ Thus, the evaluation of income statements is a crucial useful resource to Companies

overall performance evaluation. Financial overall performance evaluation consists of

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Analysis and interpretation of monetary statements in the sort of manner that it

undertakes complete prognosis of the profitability and monetary soundness of the

business.

❖ “The evaluation of income statements is a procedure of comparing the connection among

aspect elements of income statements to achieve a higher information of the corporation’s

function and overall performance.

❖ The financial overall performance evaluation identifies the monetary strengths and

weaknesses of the corporation with the aid of using nicely setting up relationships among

the gadgets of the stability sheet and income and loss account.

❖ First task is to select the information relevant to the decision under consideration from

the total information contained in the financial statements. The second is to arrange the

information in a way to highlight significant relationships.

❖ From an entrepreneurial viewpoint, having a sound understanding of monetary

explanation examination can be pivotal to trade victory. Knowing your possess financials,

can the speediest and in numerous cases the foremost proficient way to pitch a trade to

investors.

❖ Getting a clear understanding of monetary explanation review can be pivotal to trade

victory from an entrepreneurial point of view. Knowing the financials can be the fastest

and most knowledgeable way to pitch a trade to investors in various situations

The above points clearly say’s the importance of the financial performance analysis of

the automobile’s companies. It also gives the answers for various questions raised by the

investors.

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CHAPTER 2

INDUSTRY AND COMPANY PROFILE

2.1-INTRODUCTION TO AUTOMOBILE INDUSTRY

The Indian Automobile industry includes two-wheelers, trucks, cars buses and three

wheelers which plays an important role in growth of an Indian economy. India is

recognized as fourth largest exporter of automobiles, behind Japan, South Korea, and

Thailand. The country is expected to top the world in car production with approximately

611million vehicles on the nation’s roads by 2050. The Economic progress of this

industry is indicated by the amount of goods and services produced which give the

capacity for transportation and boost the sale of products. There is tremendous increase

in automobile production with a catalyst effect by indirectly increasing the demand for a

number of raw materials lime steel, rubber, glass, paint, electronics and services. The two

wheelers portion overwhelms the advertise in terms of volume owing to a developing

Centre course and a youthful populace. In addition, the developing intrigued of the

companies in investigating the provincial markets encourage supported the development

of the sector. India is additionally a conspicuous auto exporter and has solid send out

development desires for the close future. In expansion, a few activities by the Government

of India and major car players within the Indian market is anticipated to form India a

pioneer within the two-wheeler and four-wheeler advertise within the world by 2020. In

India, as in numerous other nations, the auto industry is one of the biggest businesses. It

is one of the key divisions of the economy. The industry comprises of car and the auto

components segments and includes commercial vehicles, multi utility vehicles, traveller
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 cars, two-wheelers, three-wheelers, tractors and related auto components. The industry

has appeared incredible propels sincere authorizing and opening up of the division to

outside coordinate speculation (FDI) in1993. Since the primary car rolled out on the

boulevards of Mumbai (at that point Bombay) in1898, the Vehicle Industry of India has

come a long way. Amid its early stages the auto industry was neglected by the at that

point Government and the approaches were too not favorable. The automobile division

of India is the seventh biggest within the world. Within the year, the nation producers

around 2.6 million cars making up an identifiable chunk within the world’s yearly

generation of approximately 73 million cars in a year.

2.2-EVOLUTION OF THE AUTOMOBILE INDUSTRY IN INDIA:

In India, since the early 1940s when the auto industry rolled out to begin with travelers

car, its importance within the economy has continuously expanded. In any case, from its

centrality within the economy has continuously expanded. In any case, from its early days

until the mid-1980s for two-wheelers and LCVs, and until the early1990s for

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traveler cars, the Centre of improvement of the car industry has been on consequence

substitution. The current moo entrance levels in India in all three sections of the industry,

to be specific commercial vehicles, traveler cars and two wheelers and under- exploitation

of the potential of this industry to cultivate. The development of the economy have come

about within the auto industry contributing a relatively moo (about 5 per cent)share of

mechanical yield in India compared to the 8-10 per cent extend in other creating nations

such as Mexico and Brazil and much higher (15-17 per cent extend) in created nations

such as the Joined together States and Germany. Indeed, the share of employment is low

2.5 per cent for the auto industry in India compared to 3-7 per cent in creating nations and

around15 per cent in develop economies. The financial liberalization that dawned in India

within the year 1991 has succeeded in bringing almost a supported development within

the automotive generation division activated by improved competitiveness and loose

limitations winning within the India soil. A number of Indian vehicle producers

counting Tata Engines, Maruti Suzuki, Mahindra and Mahindra, and TVS engines have

drastically and universally to accomplish its legitimate put within the world exchange. A

worldwide subsidence for final two year regardless, the industry has appeared obvious

flexibility and balanced to the challenges of the environment. There are at show 13

producers of traveler cars and multi utility vehicles,7 producers of commercial vehicles,

11 of 2 or 3 wheelers and 10 tractors other than 4 producers of motors. The industry has

an speculation of a entirety surpassing US$ 10 billion. Amid 1999-2000 the turnover of

the car industry as a entirety was US$ 12.5 billion around.

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 2.3-Market Size:

Domestic automobiles generation expanded at 2.36% CAGR between FY16-20 with

26.36 million vehicles being made within the nation in FY20. By and large, household

automobiles deal expanded at 1.29% CAGR between FY16-FY20 with 21.55 million

vehicles being sold in FY20. Two wheelers and traveler vehicles overwhelm the

residential Indian auto advertise. Traveller car deals are ruled by little and mid-sized cars.

Two wheelers and traveller cars accounted for 80.8% and 12.9% showcase share,

individually, bookkeeping for a combined deal of over 20.1 million vehicles in FY20.

Overall, car trade come to 4.77 million vehicles in FY20, developing at a CAGR of 6.94%

amid FY16-FY20. Two wheelers made up 73.9% of the vehicles traded, taken after by

traveller vehicles at 14.2%, three wheelers at 10.5% and commercial vehicles at1.3%. EV

deals, barring E-rickshaws, in India seen a development of 20% and come to

1.56 lakh units in FY20 driven by two wheelers. Premium motorbike deals in India

recorded seven-fold bounce in household deals, coming to 13,982 units amid April-

September 2019. The deal of extravagance cars stood between 15,000 to 17,000 within

the to begin with six months of 2019.

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Investments:
In order to keep up with the developing request, a few auto producers have begun

contributing intensely in different portions of the industry amid the final few months. The

industry has pulled in Remote Coordinate Speculation (FDI) worth US$ 24.5 billion

between April 2000 and June 2022, concurring to the information discharged by Division

for Advancement of Industry and Inner Exchange (DPIIT).

Some of the recent/planned investments and developments in the automobile sector in

India are as follows:

❖ In October 2022, MG Engines reported its intrigued in contributing Rs. 1,000 crore (US$

million) to dispatch unused models and grow operations in show disdain toward of the

anti-China sentiments.

❖ In October 2022, Ultraviolet Car, a producer of electric bike in India, raised a uncovered

sum in arrangement B speculation from Go Frugal Advances, a computer program

company.

❖ In September 2022, Toyota Kirloskar Engines declared speculations of more than Rs 2,000

crore (US$ 272.81 million) in India coordinated towards electric components and

innovation for household clients and exports

❖ Amid early September 2022, Mahindra & Mahindra scorched a MoU with Israel-based

REE Car to collaborate and create commercial electric vehicles

❖ Volkswagen reported merger of its three substances in India, the modern substance will

be called Skoda Auto Volkswagen India Private Limited.

❖ In April 2022, TVS Motor Company bought UK’s notorious wearing cruiser brand,

Norton, for a whole of almost Rs. 153 crores (US$ 21.89 million), making its passage

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 into the best conclusion (over 850cc) fragment of the superbike market.

❖ As of May 2021, Puma Arrive Meanderer (JLR) propelled its locally collected Extend

Wanderer Velar, making JLR cars more reasonable by very a few margins. In Walk 2020,

Lithium Urban Innovations joined forces with renewable vitality arrangements supplier,

Fourth Accomplice Vitality, to construct charging foundation over the country.

❖ In January 2022, Tata Auto Comp Frameworks, the auto-components arm of Tata Bunch

entered a joint wander with Beijing-based Prestolite Electric to enter the electric vehicle

(EV) components market.

❖ In December 2021, Constrain Engines arranged to contribute Rs. 600 crore (US$ 85.85

million) to create two modern models over the another two years.

❖ In December 2021, Morris Carports (MG), a British vehicle brand, declared plans to

contribute an extra Rs. 3,000 crores (US$ 429.25 million) in India.

❖ Audi India arranged to dispatch nine all-new models counting Sedans and SUVs together

with cutting edge E-Tron EV by conclusion of 2021.

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❖ MG Engine India arranged to dispatch MG ZS EV electric SUV in early 2022 and have

plans to dispatch reasonable EV within the following 3-4 years. BYD-Olestra, Tata

Engines and Ashok Leyland will supply 5,500 electric buses for distinctive state offices.

2.4-Government Initiatives:

The Government of India encourages foreign investment in the automobile sector and

has allowed 100% foreign direct investment (FDI) under the automatic route.

Some of the recent initiatives taken by the Government of India are -

❖ Under Union Budget 2021-23, the Government declared to supply extra wage charge

conclusion of Rs. 1.5 lakh (US$ 2,146) on the intrigued paid on the advances taken to

buy EVs.

❖ The Government points to create India as a worldwide fabricating middle and a Investigate

and Advancement (R&D) hub.

❖ Under NAT Rip, the Government of India is arranging to set up R&D Centre’s at a add

up to taken a toll of US$ 388.5 million to empower the industry to be on standard with

worldwide standards.

❖ The Service of Overwhelming Businesses, Government of India has shortlisted 11 cities

within the nation for presentation of EVs in their open transport frameworks beneath the

Notoriety (Quicker Appropriation and Fabricating of (Half breed) and Electric Vehicles

in India) conspire.

❖ The Government will also set up hatching middle for start-ups working within the EVs

space.

❖ In February 2021, the Government of India endorsed FAME-II conspire with a finance

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KRUPANIDHIGROUP OFINSTITUTIONS
 prerequisite of Rs. 10,000 crores (US$ 1.39 billion) for FY20-22.

Achievements:

Following are the achievements of the Government in the last four years:

❖ In H12021, vehicle producers contributed US$ 501 million in India’s auto-tech start-ups

concurring to Wander intelligence.

❖ Investment stream into EV start-ups in 2021 (till conclusion of November) expanded

about 170% to reach US$ 397 million.

❖ On 29th July 2021, Inter ministerial board authorized 5,645 electric buses for 65 cities.

❖ NAT Rip’s proposition for “Grant-In-Aid for test office framework for EV execution

Certification from NATRIP Usage Society” beneath the Notoriety Plot was endorsed by

Extend Usage and Endorsing Committee (PISC) on 3rd January 2023.

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❖ Under NAT Rip, following testing and research centers have been established in the

country since 2015

• International Centre for Automotive Technology (ICAT), Manesar

• National Institute for Automotive Inspection, Maintenance & Training (NIAIMT),

Silchar.

• National Automotive Testing Tracks (NATRAX), Indore

• Automotive Research Association of India (ARAI), Pune

• Global Automotive Research Centre (GARC), Chennai

SAMARTH Udyog - Industry 4.0 center’s: ‘Demo unexperienced’ centers are being set

up in the country for promoting smart and advanced manufacturing helping SMEs to

implement Industry 4.0 (automation and data exchange in manufacturing technology).

2.6-SWOT ANALYSIS OF AUTO MOBILE INDUSTRY:

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KRUPANIDHIGROUP OFINSTITUTIONS
 STRENGTHS: WEAKNESS:

• Globally cost Competitive • Low Research and development

capability
• Adheres to strict quality controls
• Industry is exposed to cyclical
• Adoption or Access to latest
downturns in the automotive industry
technology
• Most component companies are

dependent on global majors for

technology

OPPORTUNITIES: THREATS:

• Sourcing hub for global automobile • Pressures on prices from OEM’s

industry. continues

• Export Opportunities realized through • Smaller players who do not upgrade to

diversification of export basket global standards would get extinct.

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PORTERS FIVE FORCE MODEL FOR AUTOMOBILE INDUSTRY

hreat of newentran
Substantial entry
New company requires
high Capital
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prohibitive
Enter through strategic
partnership, buying
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❖ Intensedue to to tipped in the
The power axis is
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tipped in industry
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to supplier • Collaboration with
among
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brands

❖ Threat of
Substitutes:
❖ Other
Formsof
transportation
available
❖ Fairly mild

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2.7-COMPANY PROFILE
2.7.1-MAHINDRA MOTORS:
Mahindra & Mahindra was established on October 2, 1945 when K.C. Mahindra visited
the United States of America as Chairman of the India Supply Mission. He met Barney
Roost, inventor of the rugged 'general purpose vehicle' or Jeep and had a flash of
inspiration: wouldn't a vehicle that had proved its invincibility on the battlefields of World
War II be ideal for India's rugged terrain and its kutcha rural roads. Swift action followed
thought. The Mahindra brothers joined hands with a distinguished gentleman called
Glulam Mohammed. And, Mahindra & Mohammed was set up as a franchise for
assembling jeeps from Willys, USA.
After two years, India got to be a free country and Mahindra & Mohammed changed its
title to Mahindra & Mahindra. Glulam Mohammed relocated to Pakistan post–partition
and got to be the primary Back Serve of Pakistan.
Mahindra & Mahindra is the as it were Indian company among the best three tractor
producers within the world. The encompasses a driving nearness in key segments of the
Indian economy. The Gather utilizes over 50,000 individuals and has a few state–of–the–
art offices in India and abroad.
Mahindra & Mahindra has comprehensive fabricating offices with tall level of vertical
integration. Catering to the Sector's different client base traversing country and semi
urban clients, guard necessities and extravagant urban utility vehicles or SUVs. These
fabricating plants keep side by side with the most recent innovation to meet the
developing advertise desires. These fabricating offices have a few of the most excellent
advances and equipment in India and give for an awfully challenging and fulfilling work
environment. Its plants in Mumbai and Nasik make multi–utility vehicles and motors are
created at the Igatpuri plant. Utility Vehicles, Light commercial vehicles and 3 wheelers
are made at the Zaheerabad plant in Andhra Pradesh and three–wheelers at the Haridwar
plant.
Over the past few a long time, the company has taken intrigued in modern businesses and
in remote markets. In 2008, they entered the two-wheeler industry by taking over Active
Engines in India.
In March 2022, Mahindra advance expanded its stake within the company to 39%. In
February 2018, Mahindra obtained a minority stake of 22.9% percent in Carnot
Innovations. Carnot Advances possesses and works shrewd car arrangements firm Car
Sense.
In May 2018, Mahindra marked a share membership assertion to procure up to 10% share
capital of Canada's IT firm Resson Aviation Corporation. Resson is focused on giving

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innovation arrangements for farming. It has created a framework which captures and
translates pictures to provide ranchers data around the state of their areas and crops.
In June 2021, Mahindra acquired an 11.25% stake in Switzerland based Agri innovation
firm Gamaya SA. The securing empowered Mahindra to assist create and convey next-
generation cultivating capabilities such as accuracy farming and advanced cultivating
technologies.
In October 2021, Mahindra entered into a joint wander with Portage by building up
Portage India in which Mahindra & Mahindra procured a controlling 51% stake.
In April 2020, the company finished its joint wander with Renault, with Mahindra &
Mahindra buying out Renault's stake. Renault proceeds to permit and supply key
components such as motors and transmissions to Mahindra & Mahindra.
The registered Office of Mahindra Motors is Gateway Building,
Apollo Bunder,
City: Mumbai
State: Maharashtra
Pin code: 400001
Email ID: investors@mahindra.com
The business area of the company spreads to:

Automotive sector:
The company makes & markets utility vehicles, light commercial vehicles that
incorporates three-wheeler vehicles, to be specific; Scorpio, Bolero, Winner and
numerous more. The company too sends out its items to a few nations in Europe, Africa,
South America, South Asia and the Centre East. M&M features a tie up with Renault for
generation & promoting of Logan. Mahindra Universal is into creating trucks and buses.
The company has entered into a joint wander with Navistar for generation of diesel
motors & trucks.

Farm equipment:
M&M's cultivate hardware section has nearness in six landmasses and incorporates a
around the world arrange of 800 merchants. It adds up to combined generation capacity
is 1,50,000 tractors a year from nations like India, USA, China and Australia. The
company is additionally into Agri commerce.

Trade, Retail & Finance:

Mahindra’s Inter trade Division gives steel & steel related administrations. It offers steel
crude materials, metals, Ferro amalgams, etc. It too forms Cold Rolled Grain Arranged
(CRGO) and Cold Rolled Non-Grain Arranged (CRNGO) steels that are required for
transformers & compressors. Mahindra Retails is into dissemination trade and has tie up

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with huge names like Lego, Disney, Mattel and others. Mahindra Back is into financing
of tractors and other vehicles and is additionally into Protections broking.

Infrastructure:
M&M has moreover entered Framework advancement that works in genuine domains,
SEZs, neighbourliness, venture building and plan. Beneath this it has made Mahindra
Occasion & Resorts, Mahindra Life spaces & Mahindra World City.

Information Technology:
Tech Mahindra gives arrangements & administrations to tele commutation majors
specifically Alcatel, AT&T, BT, Convergys, Ericsson and O2, among others. It is
additionally into trade handle and innovation counselling administrations through Bristle.

Specialty Business:
Under this division it has companies like Mahindra Defence, engaged in manufacturing
defence related vehicles & Mahindra Ashtech.

Products and services offered by the company:

Automotive:
• Scorpio
• Xylo
• Bolero
• Maxx Range
• Naya Commander
• Safari
• Major
• Bolero Camper DLX
• Maxx Pick–ups
• Champion range of Three Wheelers.
• Farm Equipment
• Agri inputs and services
• Engines
• Farm Implements
• Tractors

Mission:
According to Anand Mahindra they don’t have a group wide mission statement. Their
main purpose is that what makes them to get up and come to work in the morning.
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Vision:
They have so many visions but their vision is that to listen to the customers and team
members, by asking questions to understand the needs, desires of the customers for
providing the best quality products

Awards and Recognitions:

❖ Bombay Chamber Good Corporate Citizen Award for 2006–07.

❖ Business world FICCI-SEDF Corporate Social Responsibility Award 2007.
❖ The Brand Trust Report ranked M&M as India's 10th Most Trusted Brand in its India
Study 2014 survey (from 20,000 brands analyzed).
❖ Its Farm Equipment division received the Deming Prize in 2003.
❖ Its Farm Equipment division received the Japan Quality Medal in 2007.
❖ The US based Reputation Institute ranked M&M amongst the top Ten Indian companies
in its 'Global 200: The World's Best Corporate Reputations' list for 2008.
❖ Blue bytes News rated M&M as India's second Most Reputed Car Company (reported in
their study titled Reputation Benchmark Study) conducted for the Auto (Cars) Sector in
2012.

MARKET SHARE:

Mahindra & Mahindra have increased its market share in India. And it was a year of
consolidation and despite no all-new launches by the company, it secured the number 3
spot in the Indian market by selling over 2.48 lakh cars and a market share of over 7.56
percent. Mahindra will launch a range of new vehicles this year which will further see
more sales in India

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SWOT ANALYSIS OF MAHINDRA MOTORS:

STREGNTHS WEAKNESS

• Market leader in multiple market • More dependency on graphics

automotive segment • Over dependency on Automotive
• Strong Research and development industry
• Best vehicles according to Indian road
conditions
• Low after sale product

OPPORTUNITIES THREATS

• Growth in Indian automotive industry • Competition is more in the automotive

• Increasing Demand for Hybrid industry
Electric Vehicles • Competition in the businesses put
• Emerging nations pressure on M&M

Corporate social responsibility of Mahindra Motors:

Corporate Social Obligation has continuously been an indispensably part of the Mahindra
Group's vision and the foundation of our Centre Esteem of Great Corporate Citizenship.-
Keshab Mahindra, ex-chairman.
❖ The Mahindra Bunch characterizes Corporate Social Obligation as making sociallycapable
items, locks in in socially capable worker relations and making a commitment tothe
community around it.
❖ At the Mahindra Bunch, Corporate Social Duty isn't fair an obligation; it's a way of life.
❖ In 2005, the Gather celebrated its 60th commemoration by recharging its commitment to
Corporate Social Duty. It vowed to commit 1% of its benefit (after charge), on a ceaseless
premise towards Corporate Social Duty. A special kind of ESOPs - Representative Social
Choices was propelled to empower Mahindra workers to include themselves in socially
capable exercises of their choice. The Gather moreover declared a special blessing: to
supply free cochlear inserts to 60 hearing-impaired, under-privileged citizens.

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❖ In addition to giving impetus to the Nanhi Kali project for the girl child and the Mahindra
All India Talent Scholarship for the economically disadvantaged, the Mahindra Group is
planning to set up two Mahindra Pride Schools.

PORTERS FIVE FORCE MODEL MAHINDRA MOTORS:

bargaining power of
buyers:
The consumer base of
tractor is highly
throughout India.
Lack of awareness in
the illiterates.

Threats of new entrants: Threats of subtitles

High investment and The firm’s major
economy scale bymergers product is tractor
and acqusitions
Very less subtitle for
Highly integrated dealers tractors like bulls and
network powertillers but have

Rivalry among existing firms Though steel forma

within an industry:Economy a major inputs, the
farm equipment
of scale and continuous
technological innovation industry is not most
creates entry barrers. important customer
for steel industry

Competitors for Mahindra Motors:

The biggest Competitors for Mahindra Motors are

• TATA MOTORS
• MARUTHI SUZUKI INDIA LIMITED
• ASHOK LAYLAND LIMITED
• BAJAJ AUTO LIMITED
• TVS MOTORS
• HYUNDAI MOTOR INDIA

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2.7.2-TVS MOTORS:
T. V. Sundaram Iyengar began with Madurai's first bus service in 1911 and founded TVS,
a company in the transportation business with a large fleet of trucks and buses under the
name of Southern Roadways. Sundaram Clayton was established in 1962 in collaboration
with Clayton Dewandre Property, Joined together Kingdom. It fabricated brakes,
debilitates, compressors and different other car parts. The company set up a plant at Hosur
in 1976, to fabricate mopeds as portion of their unused division. In 1980, TVS 50,India's
to begin with two-seater moped rolled out of the plant at Hosur in Tamil Nadu, India. A
specialized collaboration with the Japanese auto mammoth Suzuki Ltd. brought about
within the joint-venture between Sundaram Clayton Ltd and Suzuki Engine Enterprise,
in 1987. Commercial generation of cruisers started in 1989.TVS Motor Company could
be a part of the TVS bunch is the biggest company of the bunch in terms of size and
turnover. The TVS bunch has continuously been propelled by a century–long mission
and vision of its possess predetermination. It isn't fair a trade but a way of doing
commerce, which sets TVS separated from others. TVS Engine Company is the third
biggest two– wheeler manufacturer in India and one among the beat ten within the
world,with yearly turnover of more than $1 billion in 2008–2009. It is the lead company
of the
$4 billion TVS Bunch. The company has four plants found at Hosur and Mysore in south
India, in Himachal Pradesh, North India and one in Indonesia. The company incorporates
a production capacity of 2.5 million units a year. TVS Motor's quality lies in plan and
advancement of modern items –– the most recent dispatch of seven items on the same day
seen as a to begin with in car history. TVS conveys add up to client fulfilment by
foreseeing the customers require and displaying quality vehicles at the proper time and
at the correct cost. The client and his ever-changing need its persistent source of
motivation. TVS has been at the bleeding edge in bringing a insurgency within the way
individual commutation was happening, way back within the 1980s. Starting with
propelling a basic, easy–to–use moped for the center lesson in India within the 1980s to
propelling seven modern bicycles in a single day (to begin with time within the history of
the car industry within the world), TVS has regularly taken the unbeaten way to
advancement.

Suzuki relationship:

TVS and Suzuki shared a 1-year-long relationship that was pointed at innovation
exchange for plan and fabricate of two-wheelers particularly for the Indian advertise. Re-
christened TVS-Suzuki, the company brought out a few models such as the Suzuki Supra,
Suzuki Samurai, Suzuki Shogun and Suzuki Shaolin. In 2001, after isolating ways with
Suzuki, the company was renamed TVS Engine, giving up its rights to utilize the Suzuki
title. There was moreover a 30-month ban period amid which Suzuki guaranteed not to
enter the Indian showcase with competing two-wheelers.

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In 2016, TVS begun fabricating the BMW G310R, a demonstrate co-developed with
BMW Motored after their key organization in April 2013. In December 2018, the Hosur
plant where the cruiser is fabricated rolled out its 50,000th G310R arrangement unit. On
6 December 2017, TVS propelled their most-awaited cruiser, the Apache RR 310 in an
occasion at Chennai. The 310cc bike with a motor which was co-developed with BMW
highlights the primary ever full fairing on a TVS bicycle, dual-channel ABS, EFI, KYB
suspension packs, etc. It is anticipated to equal bicycles like KTM RC 390, Kawasaki
Ninja 250SL, Bajaj Pulsar and Domainer and Honda CBR 250R after hitting the
showcase. The Apache RR 310 is outlined and figured it out totally in India. On 17th
April 2020, it has been detailed that TVS Engine Company procured Norton Cruiser
Company in an all-cash bargain. Within the brief term, they will proceed the generation
of cruisers at Donnington Stop utilizing the same staff.
The Registered Office of TVS Motors is
Chaitanya no 12 Nungambakkam
Khader Nawaz khan road
Chennai - India
fax - 91-044-28332113
phone1 - 91-044-28332115
Email - contactus@tvsmotor.com

Mission:
Innovate mobility solutions with passion to enhance the quality of life.

Vision:
By FY 2024, To become the most aspirational Indian auto brand, consistently winning.

Milestones:
❖ 1980 TVS Engine propelled India’s to begin with two–seater 50cc moped –– TVS 50.
❖ 1984 The two–wheeler major got to be the primary Indian company to present 100cc Indo–
Japanese motorcycles.
❖ indigenously outlined and fabricated motorcycle
❖ 2002 TVS gets to be the worlds to begin with two–wheeler company to win the world’s
most prestigious acknowledgment in Add up to Quality Administration – the Deming
Grant 2002. TVS wins the Innovation Grant from Service of Science, Government of
India for fruitful commercialization of inborn technology.
❖ 2004 Propelled TVS Centra, a world lesson 4–stroke 100cc bike with progressive VT– I
motor for best-in-class mileage. Propelled TVS Star, a 100cc bike perfect for the
unpleasant landscape. TVS wins TPM Greatness grant from Japan Organized of Plant
Support (JIPM). TVS wins Extraordinary plan Greatness Grant for TVS Scotty Pep.

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❖ 2005– 06 TVS dispatches its Indonesian plant. Launched TVS Apache, which set the
youth’s creative ability on fire. Apache went on to be the Bicycle of the year for 2006,
winning six prestigious awards.
❖ 2007 TVS Engine Company rolls out seven modern items. TVS dispatches its Himachal
Pradesh Plant at Nalagarh.
❖ 2008– 09 Apache Revive with Raise Circle Brakes was propelled in December 2008. TVS
Engine Company packs two pined for IT grants in September 2008 –– SAP Pro 2008
Grant and 2008 Symantec South Asia Visionary Grant. Scotty Energy was propelled with
adjusting wheels in Admirable 2008. Scotty Wimbledon Collection propelled in June
2008. Apache RTR FI was propelled June 2008. TVS Engine Companypropelled the
progressive 125cc Fire in Walk 2008. TVS made by its raid into the three–wheeler
advertise with TVS Ruler in Walk 2008.
❖ 2009 TVS divulges ‘High performance’ with Apache RTR 180 in June 2009. TVS scotty
Streak was launched. TVS Fire SR 125 propelled was June 2009.

TVS Brands:

❖ TVS Apache
❖ TVS Apache RTR FI 160
❖ TVS Centra
❖ TVS Fiero FX
❖ TVS Flame
❖ TVS scotty
❖ TVS Star
❖ TVS Victor
❖ TVS Victor GLX 125
❖ TVS XL Super

Awards and achievements:

❖ The Deming Prize – TVS Motor Company is the only two–wheeler company in the world
to be awarded the world's most prestigious and coveted recognition in Total Quality
Management.

❖ Technology Award 2002 from the Ministry of Science, Government of India for the
successful commercialization of indigenous technology for TVS Victor.

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❖ Asian Network for Quality Award 2004 – TVS Scooty Pep won the prestigious
'Outstanding Design Excellence Award' from Business World and National Institute of
Design.
❖ Progressive Manufacturer 100 Award – TVS wins coveted 2009 Progressive
Manufacturer 100 Award for end–to–end automation of the entire business process of its
lubricant brand, TVS TRU4.
❖ TPM Excellence Award 2008 – First category by Japan Institute of Plant Maintenance
(Jip). Most Investor friendly company by Business Today, one of India's leading business
❖ The 'Good Advertising' award by Auto India Best Brand Awards 2009.
❖ SAP ACE AWARD 2007 – The Company won the SAP ACE 2007 Award for Customer
Excellence in the Most Innovative NetWeaver Category.
❖ TEAM TECH 2007 Award – TVS Motor Company bagged the TEAM TECH 2007 Award
of Excellence for Integrated use of Computer Aided Engineering Technologies.

Mission:

“To be more responsive to customer requirements consonant with its core competence
and profitability. To provide total customer satisfaction by giving the customer the right
product, at the right price, at the right time”

Vision:

“TVS are committed to be highly profitable, socially responsible, and leading

manufacturer of high value for money, environmental friendly, personal transportation
products under the TVS brand, for customers in Asian markets and to provide fulfilment
and prosperity for employees, dealers and suppliers”

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SWOT ANALYSIS OF TVS MOTORS:

STREGNTHS WEAKNESS

• Huge brand equity and one of the • Absence in the premium bike segment
biggest players in the two wheelers
Indian market
• Associating itself with celebrity brand
ambassadors
OPPORTUNITIES THREATS

• Two-wheeler segment is one of the • Strong competition from Indian as well

most growing industries as international brands
• Export of bikes is limited i.e. untapped • Better public transport will affect two-
international markets. wheeler sales

Corporate Social Responsibilities:

• The major act on behalf of TVS Motor Company is educational interest named as
‘Educational Initiative’. This campaign sees TVS contribute towards the economic
development, educational empowerment and health and infrastructure build up.
• There have been major educational programs, educational infrastructure development
and skillset development campaign running under this initiative.
• This initiative is a major CSR activity of TVS group and with over 9.76 crores spent for
F.Y. 2018-19 out of the CSR budget of 13.09 crore, it can be rightly presumed that TVS
as a whole is wholeheartedly dedicated towards improving education in these fields.
• TVS Motor Company Limited also has taken ‘Healthcare Initiative’. Their healthcare
initiative focusses on providing better health service and diagnosis for patients so that
they can allude to better treatment.

Competitors of TVS MOTORS:

The competitors for TVS MOTORS are

• GOWEN ENTERPRISES

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• GHABBOUR AUTO
• FEDERAL MOGUL
• HUSQUARNA
• TATA MOTORS

PORTER’S FIVE FORCE MODEL TVS MOTORS

RIVELRY:
The key players in
two –wheeler
industries areHero
Honda motor ltd,
Yamaha, Royal
enfield etc
Seller- buyer relation:
Potential to new
Buyer has added entrants:
advantage than seller
As the two wheelers
becausethereare five
manufacturing involves
tofixbigpopularbrands
hugeinvestments the
of two –wheelers are
new entrants will be less
availablein India

Substitute products:
Supplier-seller Relations:
for two wheeler
are very high in two industries are bus
wheelerindustry and transportation, auto
because of many transportation etc
supplierarevery high

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2.7.3-TATA MOTORS:
Tata Motors was built up in 1945 as Tata Building and Train Co. Ltd. to fabricate trains
and other designing items. It is India's biggest car company, with standalone incomes of
Rs. 25,660.79 crore (USD 5.5 billion) in 2008–09. It is the pioneer in commercial vehicles
in each section, and among the best three in traveller vehicles with winning items within
the compact, midsize car and utility vehicle fragments. The company is the world’s
fourth biggest truck producer, and the world's moment biggest transport producer. The
company's 23,000 workers are guided by the vision to be 'best within the way in which
they work best within the items they convey and best in their esteem framework and
morals. Tata Motors' presence without a doubt cuts over the length and breadth of India.
Over 4 million Tata vehicles utilize on Indian streets, since the primary rolled out in 1954.
The company's fabricating base in India is spread over Jamshedpur (Jharkhand), Pune
(Maharashtra), Lucknow (Uttar Pradesh), Pant Nagar (Uttarakhand) and Dharwad
(Karnataka). Taking after a key collusion with Fiat in 2005, it has set up a mechanical
joint wander with Fiat Bunch Automobiles at Ranjangaon (Maharashtra) to create both
Fiat and Tata cars and Fiat control trains. The company is building up a modern plant at
Sanand (Gujarat). The company's dealership, deals, administrations and save parts
arrange comprises over 3500 touch focuses; Tata Motors too disperses and markets Fiat
branded cars in India. Tata Motors, the primary company from India's designing sector to
be recorded within the Unused York Stock Trade (September 2004), has too risen asa
universal vehicle company. Through subsidiaries and relate companies, Tata Motors has
operations within the UK, South Korea, Thailand and Spain. Among them is Puma Arrive
Wanderer, a trade comprising the two famous British brands that was obtained in2008. In
2004, it procured the Daewoo Commercial Vehicles Company, South Korea's moment
biggest truck producer. The rechristened Tata Daewoo Commercial Vehicles Company
has propelled a few unused items within the Korean showcase, whereas too sending out
these items to a few worldwide markets. Nowadays two–thirds of overwhelming
commercial vehicle trade out of South Korea are from Tata Daewoo. In 2005, Tata
Engines obtained a 21% stake in Hispano Carrocera, a rumoured Spanish transport and
coach producer, with a choice to procure the remaining stake as well. Hispano's nearness
is being extended in other markets.
In 2006, it shaped a joint wander with the Brazil–based Marco polo, a worldwide pioneer
in body–building for buses and coaches to fabricate fully–built buses and coaches for
India and select universal markets. In 2006, Tata Engines entered into joint wander with
Thonburi Car Get together Plant Company of Thailand to fabricate and showcase the
company's pickup vehicles in Thailand. The modern plant of Tata Engines (Thailand) has
started generation of the Xenon pickup truck, with the Xenon having been propelled in
Thailand at the Bangkok Engine Appear 2008. The company today has R&D centers in
Pune, Jamshedpur, Lucknow, in India, and in South Korea, Spain, and the UK. It was
Tata Motors, which developed the first indigenously developed Light Commercial
Vehicle, India's first Sports Utility Vehicle and, in 1998, the Tata Indica, India's first fully

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indigenous passenger car. Within two years of launch, Tata Indica became India's largest
selling car in its segment. In 2005, Tata Motors created a new segment by launching the
Tata Ace, India's first indigenously developed mini–truck.
In January 2008, Tata Motors revealed its People's Car, the Tata Nano, which India and
the world have been looking forward to. The Tata Nano has been along these lines
propelled, as arranged, in India in Walk 2009. An improvement, which means a to begin
with for the worldwide vehicle industry, the Nano brings the consolation and security of
a car inside the reach of thousands of families. In May 2009, Tata Motors introduced in
a modern time within the Indian automobile industry, in keeping with its spearheading
convention, by disclosing its unused run of world standard trucks. In their control, speed,
carrying capacity, working economy and trims, they will present modern benchmarks in
India and match the most excellent within the world in execution at a lower life–cycle
cost. The long time to come will see the presentation of several other imaginative vehicles,
all established in rising client needs. Other than item advancement, R&D is additionally
centering on environment–friendly advances in emanations and elective powers.

The Registered Office is at

Bombay House, 24 Homi Mody Street,
Mumbai - 400001
Maharashtra – India

Mission:
Innovate mobility solutions with passion to enhance the quality of life

Vision:
By FY 2024, To become the most aspirational Indian auto brand, consistently winning.

Product range of the company includes:

Passenger Cars:

❖ Indica Vista, Indica V2, indica V2 Turbo, Indica V2 Xeta, Indica V2 Dicor., Aria, Zest
and Bolt (upcoming)
❖ Indigo XL, Indigo, Indigo Marina Indigo CS.
❖ Nano.

Utility Vehicles:

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❖ Safari Decor.

❖ Sumo Grande.
❖ Sumo.

❖ Xenon XT.

Competitors for Tata Motors:

• Maruti

• Hyundai

• Volkswagen

• Toyota

• Honda

SWOT ANALYSIS OF TATA MOTORS:

STREGNTHS WEEKNESS

• Well diversified portfolio of products • Cannot adopt changes

• Good management policy • Limited to a specific Area
• Well Recognized brand in India • Weak marketing policy
• No of employees

OPPORTUNITIES THREATS

• Opportunity for merger and acquisition • High fuel price

• Increase in purchase power of Indian • Government law of environment
people • Market competition

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Corporate Social Responsibilities:

At Tata Motors, all our Corporate Social Responsibilities activities centre Focus centre
on progressing the quality of life of underprivileged communities, neighbouring our
commerce operations. Keeping up with the Supportability Improvement Objectives
(SDGs), our mediations centre on wellbeing, instruction, employability and environment,
with a extraordinary centre on the truly and socially denied Planned Caste and Planned
Tribe communities. Within the year 2019-20, our CSR mediations have touched over 8.3
lakh lives in Ind2ia.

PORTERS FIVE FORCE MODEL OF TATA MOTORS:

strategy, reducing costs, and

providing new value propositions to
the customers.

Bargaining Power of buyers:

Bargaining Power of Suppliers

tyres etc
All most all the companies in the Auto
Manufacturers - Major industry buytheir
Diverse distribution channel rawmaterialfrom numerous suppliers.

in the market.

Rivalry among the Existing

existing players in an industry is

intensethenitwill drivedown prices

Drive are substitute to storage of the industry

hardware drives.

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CHAPTER 3
DESIGN OF THE STUDY

3.1-TITLE OF THE STUDY:

A COMPARATIVE STUDY ON THE FINANCIAL PERFORMANCE
OF SELECTED AUTOMOBILE COMPANIES

3.2-STATEMENT OF THE PROBLEM:

It is very much important to study the financial performance of the automobile industry
as it shows the financial position of the particular company. But in today’s world there is
fake information given by the companies to attract the investors to invest in the company.
So, the financial performance analysis gives an idea to the investors before investing.
Financial analyst analysis the financial statements with various tools of analysis before
commanding upon the financial health of the firm essential to bring out the history. The
investors, trade creditors, Bond holders, management etc., were depends on the financial
performance of the particular company. Analyzing the financial performance helps in
decision making, comparing different companies with each other, The user can judge the
Companies performance by just looking at the numbers if the user did the proper financial
performance analysis.

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 3.3-OBJECTIVES OF THE STUDY:

❖ Primary Objective:

The primary objective is to do analyze the financial performance of a TVS Motors,

TATA Motors and Mahindra Motors and helps the investors to make a proper decision
before investing in a particular automobile company.

❖ Secondary objectives:
1. To inform owners about the financial position of the organization.

2. To inform managers the achievements or shortfalls in the performance .

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3. To monitor performance of the business periodically.

4. To determine liquidity, solvency and profitability of the business.

3.4-OPERATIONAL DEFINITIONS OF CONCEPTS:

The process of checking and doing interpretation on Companies financial
statements to take a better economic decision is called analysis of financial performance
of the Company. It helps to know the financial strengths and weakness of the particular
Company by establishing the relationship between the items in the balance sheet, Profit
and Loss A/C and other financial statements. The following concepts definition gives a
clear

AUTO MOBILE INDUSTRY:

“Automobile Industry is a broad range of companies and organizations involved in the

design, development, manufacturing, marketing, and selling of motor vehicles. It is one
largest economic sector in terms of revenue.”

FINANCIAL PERFORMANCE:

Financial performance is a subjective measure of how well a firm can use assets from its
primary mode of business and generate revenues. The term is also used as a general
measure of a firm's overall financial health over a given period.

COMPARATIVE FINANCIAL PERFORMANCE ANALYSIS:

According to Jim.B “Comparative financial performance analysis is the process of

analyzing the data from the financial reports (balance sheets and income statements) with
the other reports of the company”.

BALANCE SHEET:

Balance sheet shows the financial position of the automobile company. It contains the
assets and liabilities of the particular company.

INCOME STATEMENT:

The income statement provides a summary of operations for the entire year. The income
statement starts with sales or revenues and ends with net income.

PROFITABILITY ANALYSIS:

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According to WhatIs.com “Profitability analysis is a component of enterprise resource

planning that allows administrators to forecast the profitability of a proposal or optimize
the profitability of an existing project. Profitability analysis can anticipate sales and profit
potential specific to aspects of the market such as customer age groups, geographic
regions, or product types.

TREND ANALYSIS:

Trend Analysis involves a statistical technique that tries to determine future movements
of a given variable by determining the historical trends. In other words, it is a method
that aims to predict future behaviours by examining past ones.

CASH FLOW STATEMENTS ANALYSIS:

According to ADAM HAYES A cash flow statement isa

financial statement that provides aggregate data regarding all cash inflows a company
receives from its ongoing operations and external investment sources. It also includes all
cash outflows that pay for business activities and investments during a given period.

The above concepts definitions will help to know the complete financial position of a
particular automobile company.

3.5-DATA COLLECTION:
❖ PRIMARY DATA: No primary data has been collected as the analysis is made on topic
of financial performance of the automobile companies.
❖ SECONDARY DATA: The analysis based on only secondary data. The secondary data
has been collected from the records and annual reports of the Mahindra Motors TVS
Motors, TATA Motors and the relevant information has been collected from publications
magazines and periodicals in the fields of industry and finance.

TOOLS OF ANALYSIS:

▪ Comparative Statements
▪ Common Size Statements
▪ Trend Analysis
▪ Statement of changes in Working Capital

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▪ Funds Flow and Cash Flow Analysis

▪ Ratio Analysis

3.6-RESEARCH METHODOLOGY:

Research, which is done for this particular project is with the help of data collection. Data
which is collected, is mainly secondary, which is collected from themoneycontrol.com.

Here the research is descriptive research as we to give various description so design are
formulated accordingly.

RESEARCH PROBLEM:

Here the problem is to analyze the income statement of the companies for which we have
to conduct the research.

3.7-RESEARCH DESIGN:

Research design is a blue print or framework for conducting the research project. It
involves the arrangement of conditions for collection and analysis of data in method that
aims to combine relevance to the research purpose with economy inprocedure.

TYPES OF RESEARCH DESIGN:

▪ Exploratory research design

▪ Descriptive research design
▪ Experimental research design

The present project is analytical in nature. The main purpose of the analytical research
design is to define the problem into researchable one and analyze the data according to
the purpose.

3.8-SAMPLE SIZE:

Here the sample is taken from the companies past records of various accounts. Here
sampling is done step by step or we can say multistage sampling.

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3.9-LIMITATIONS OF THE STUDY:

❖ Financial statement analysis alone does not provide answers to all the user’s questions.
Actually, it usually generates more questions
❖ Ratio Analysis is more effective and efficient for analyzing company’s financial
statement.
❖ Diversified companies are difficult for classifying the comparison purposes.
❖ Each and every company has a different fiscal year ends making comparison difficult if
the industry is cyclical
❖ Only the past data has been analyzed ,So future cannot be just like past .Hence ,the analysis
of financial statements cannot provide a basis for the future forecasting, budgeting and
planning
❖ Financial statement Analysis in this project is only of 2 years

REFERENCE PERIOD:

The data for the analysis has been collected for all the companies of the last two years
that is 2023 and 2021.

3.10-CHAPTER SCHEME:

Chapter -1: Introduction

Chapter -2: Industry or Company Profile/ Profile of the Respondents
Chapter -3: Research Methodology
Statement of the problem
Need of the study
Objectives of the study
Research Methodology

Chapter -4: Data Analysis involves Balance sheet analysis and Trend analysis

Chapter -5: Results/Observations, Findings & Suggestions

Bibliography

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CHAPTER 4
ANALYSIS AND INTERPRETATION

MAHINDRA MOTORS:
4.1-MAHINDRA COMPANY COMPARATIVE INCOME
STATEMENT ANALYSIS:
TABLE NO 1.A:
Amt %of
increased increased
Year Year or or
Particulars 2021 2023 decreased decreased

Income
Revenue from operations(gross) 52,960 44,897 8,062 15.22
Less: excise tax/other tax 0 0 0 0
Revenue from operations(net) 52960 44,897 8,062 15.22
Other operating revenues 653 589 63 9.69
Total operating revenues 53,614 45,487 8,126 15.15
Add: other income 1,688 1,667 21 1.25
Total revenue 55,302 47,155 8,147 14.73
Expenses
Cost of materials consumed 27,095 22,873 4,221 15.57
Purchase of stock-in trade 12,111 8,349 3,761.61 31.05
Changes in inventories of fg, wip and 143.0
stock-in trade 950 409 1,359 5
Employee benefit expenses 2,980 2,880 100 3.36
Finance costs 113 113 0.16 0.14
Depreciation and amortization expenses 1,860 2,222 362 19.47
Other expenses 5,867 5,384 482 8.226
Less: amounts transfer to capital accounts 129 207 78 60.26
Total expenses 48,948 42,025 6923 14.59
Profit/loss before exceptional,
extraordinary items and tax 6,354 5,130 1,224 19
Exceptional items 29 2,013 1,984 66.23
Profit/loss before tax 6,325 3,116 3,208 50.73

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Tax expenses-continued operations

Current tax 1,179 996 182 15.44
Deferred tax 349.85 788.5 438 125.3
Total tax expenses 1,528 1,785 256.51 16.77
Profit/loss after tax and Before
extraordinary items 4,796 1,330 3,465 72.25
Profit/loss from continuing operations 4,796 1,330 3,465 72.25
Profit/loss for the period 4,796 1,330 3,465 72.25

INTERPRETATION:
❖ From the above table 1 we can see that in both 2021 and 2023 there is no difference

between Gross revenue and net revenue. Because the company didn’t pay any excise tax

to government.

❖ The purchase of stock in trade is more in the year 2021 that is Rs12111.But Assets has

been increased more in the year 2022.that is up to 19.47%.

❖ The total tax expenses are increased from the year 2021 to 2023 this may be reason to get

less profits in 2023.

❖ Finally, the company’s profit in the year 2023 is 72.25% less this makes an investor to

take a step aback to invest in company.

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4.1.1-MAHINDRA COMPANY COMPARTIVE COMMON SIZE

INCOME STATEMENT ANALYSIS:
TABLE NO 1.B:

Particulars Year 2021 Year 2023

Income Amt % Amt %

Revenue from operations(gross) 52,9600 100 44,897 100
Less: excise tax/other tax 0 0.00 0.00 0.00
Revenue from operations(net) 52,960 100 44,897 100
Other operating revenues 653 1.23 589.85 1.31
Total operating revenues 53,614 101.3 45,487 101.31
Add: other income 1,688.97 3.19 1,667.81 3.71
Total revenue 55,302 104.2 47,155 105.03
Expenses
Cost of materials consumed 27,095 51.16 22,873 50.95
Purchase of stock-in trade 12,111 22.87 8,349 18.60
Changes in inventories of fg, wip and
stock-in trade 950 1.79 409 0.91
Employee benefit expenses 2,980 5.63 2,880 6.41
Finance costs 113 0.21 113 0.25
Depreciation and amortization expenses 1,860 3.14 2,222 4.95
Other expenses 5,867 11.08 5,384 11.99
Less: amounts transfer to capital accounts 129 0.24 207 0.46
Total expenses 48,948 92.42 42,025 93.60
Profit/loss before exceptional,
extraordinary items and tax 6,354 12.00 5,130 11.43
Less: exceptional items 29.73 0.06 2,013 4.49
Profit/loss before tax 6,325 11.94 3,116 6.94
Tax expenses-continued operations
Current tax 1,179 2.23 996 2.22
Deferred tax 349 0.66 788 1.76
Total tax expenses 1,528 2.89 1,785 3.98
Profit/loss after tax and before
extraordinary items 4,796 9.06 1,330 2.96
Profit/loss from continuing operations 4,796. 9.06 1,330 2.96
Profit/loss for the period 4,796 9.06 1,330 2.96

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INTERPRETATION:
❖ From the above income statement table 1A shows that the income of the company has
been decreased from the past one year that is Rs 8062 that is 15.44% because the expenses
are more in the year of 2023. That is 48948 in the year of 2022 and 42025 in the year of
2021.
❖ but at last profit is more than year of 2023 compare to 2021, it shows that in the year of
2021 the sales are more happened and in the year of 2023 sales are less. But the expenses
are vice versa. It may because of the COVID-19 2021.
❖ And also, we can say that revenue cannot be the profit for the company. Revenue is just
what the company through the sales it involves cost of sales all the expenses etc.
❖ The company had paid tax of Rs 1179 in the year 2023 and 996 in the year 2021.but
different tax paid less in the year of 2023 compared to 2021 that is the difference of 125%
❖ there is huge profit has been in the year of 2022 comparing with the 2021 that is 72%
❖ This shows that % of items in the same year by taking base as revenue. The net revenue
is more in the year of 2022.the % of total profit has increased by 9 % in the year of 2023.

4.1.2-MAHINDRA COMPANY COMPARATIVE BALANCE SHEET

ANALYSIS:
TABLE 1.C:
Comparative balance sheet of
Mahindra and Mahindra (in Rs.
Cr.) 2021 2023
12 12 Amt increased % of amt increased
Particulars mths mths or decreased or decreased
Equities and liabilities
Shareholder's funds
Equity share capital 543 554 10 1.897
Total share capital 543 554 10 1.897
Reserves and surplus 39439 39415 24 0.061
Total reserves and surplus 39439 3915 24 0.061
Total shareholders’ funds 39983 39969 14 0.035
Minority interest 8360 7691 668 7.999
Non-current liabilities
Long term borrowings 43526 52298 8,771 20.15
Deferred tax liabilities [net] 2171 1511 659 30.36
Other long-term liabilities 6506.1 7142 635 9.77
Long term provisions 4100.6 4384 283 6.913
Total non-current liabilities 56304 65336 9,031 16.04
Current liabilities
Short term borrowings 10541 10217 323 3.068
Trade payables 20992 14985 6,006 28.61

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Other current liabilities 25593 27055 1,461 5.709

Short term provisions 1616 151 135 8.357
Total current liabilities 58743 54009 4,733 8.058
Total capital and liabilities 163391 167006 3,615 2.213
Assets
Non-current assets
Tangible assets 2222. 24417 2,190 9.852
Intangible assets 4681 3759 922 19.69
Capital work-in-progress 2454 2551 97 3.968
Fixed assets 31668 35033 3,364 10.62
Non-current investments 12160 12914 753 6.199
Deferred tax assets [net] 1502 1290 212 14.13
Long term loans and advances 40515 45945 5,430 13.40
Other non-current assets 6064 664 200 3.310
10296
Total non-current assets 93985 1 8,975 9.550
Current assets
Current investments 6107 6295 188 3.083
Inventories 12200 11111 1,088 8.920
Trade receivables 9290 6928 2,362 25.42
Cash and cash equivalents 8734 7910 824 9.433
Short term loans and advances 28622 27963 658 2.300
Other current assets 4451 3835 616 13.83
Total current assets 69406 64045 5,360 7.723
Total assets 163391 167006 3,615 2.212

INTERPRETATION:
❖ The share capital raised by the company is more in the year 2021 comparing to the 2023.

❖ The Reserve and surplus are also less in 2023 it may lead to consider risk for the company

while undertaking any high-cost projects.

❖ The long-term liabilities are less in the year 2021 comparing to 2023 that is 16.04%. So

the company pay back their liabilities after a year.

❖ Current investments are increased by 3 % from the year 2021 to 2023.Remianing all

current assets are decreased its value from 2021 to 2023.

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4.1.3-MAHINDRA COMPANY COMMON SIZE BALANCE SHEET

ANALYSIS:
TABLE 1.D:

Balance sheet of Mahindra and

(in Rs. Cr.) Particulars 2021 2023
Equities and liabilities Amt % Amt %
Shareholder's funds

Equity share capital 543 0.33 554 0.33

Total share capital 543 0.33 554 0.33
Reserves and surplus 39439 24.13 39415 23.60
Total reserves and surplus 39439 24.13 39415 23.60
Total shareholders’ funds 39983 24.47 39969 23.93
Minority interest 8360 5.11 7691 4.605
Non-current liabilities
Long term borrowings 43526 26.63 52298 31.31
Deferred tax liabilities [net] 2171 1.32 1511 0.905
Other long-term liabilities 6506 3.98 7142 4.276
Long term provisions 4100 2.50 4384 2.625
Total non-current liabilities 56304 34.45 65336 39.12
Current liabilities
Short term borrowings 10541 6.45 10217 6.118
Trade payables 20992 12.84 14985 8.972
Other current liabilities 25593 15.66 27055 16.20
Short term provisions 1616 0.98 1751 1.048
Total current liabilities 58743 35.95 54009 32.33
Total capital and liabilities 163391 100 167006 100
Assets
Non-current assets
Tangible assets 22227 13.60 24417 14.62
Intangible assets 4681 2.80 3759 2.251
Capital work-in-progress 2454 1.50 2551 1.527
Fixed assets 31668 19.38 35033 20.97
Non-current investments 12160 7.44 12914 7.733
Deferred tax assets [net] 1502.91 0.91 1290 0.772
Long term loans and advances 40515 24.79 45945 27.51
Other non-current assets 6064 3.71 6264 3.751
Total non-current assets 93985 57.52 102961 61.65
Current assets

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Current investments 6107 3.73 6295 3.769

Inventories 12200 7.46 11111 6.653
Trade receivables 9290 5.68 6928 4.148
Cash and cash equivalents 8734 5.34 7910 4.736
Short term loans and advances 28622 17.51 27963 16.74
Other current assets 4451 2.72 3835 2.296
Total current assets 69406 42.47 64045 38.34
Total assets 163391 100 167006 100

INTERPRETATION:
❖ The first and most important thing is the shareholders fund there is no change in the
shareholders fund from past year to the present it remains same as 543.46, there is slight
change in the reserve and surplus that has been increased by 24.96 from 2021 to 2023.so
the total shareholders fund has been increased by 0.035%.
❖ The non-current liabilities are more in the year of 2021 that is the company borrowed long
term borrowings more in the year 2021.and also deferred tax payable also less in the year
2023 and more in 2021 that is 30.68% more from 2021 to 2023.
❖ The current liabilities are nothing but short-term borrowings are less in the year of 2023
that are almost reduced by 3.06%. And the total current and non- current liabilities are
increased by 2.23% from 2021 to 2023.
❖ Assets are nothing but property of the company. Tangible assets are increased by 9.8 %
from 2021 to 2023.the fixed assets are also increased by 10.6% in the year 2023.
❖ Non-current investments are increased by 6.1% in the year 2023 compare to 2021.
❖ The current investments are increased by 3.8% in the year of 2023 comparing to the in the
year of 2021.
❖ The total assets that is both current and non-current assets are increased by 2.2% from
2021 to 2023.it shows that company’s property is been increased by 2.2%.and also the
company has increased its worth in the market.

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4.1.4-TREND ANALYSIS OF MAHINDRA MOTORS:

Year 2017 2018 2021 2023
Revenue 43378 48112 52960 44897
Trend % 100% 110% 122% 108%

Graph No 1

2017 2018 2021

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TREND FORCASTING:
Year 2017 2018 2021 2022 2023
Revenue 43378 48112 52960 44897 49688
Trend % 100% 111% 122% 108% 115%

GRAPH NO 1.A

Column3

From the above line graph chart, we can see that there is a fluctuation during the year

2017 to 2023.and we have predicted the 2023 revenue by taking help of past few year

that is 49688.which helps the investors to predict the company’s future and invest in the

Mahindra company. But the revenue is less when compare to the 2022 in the year

2023.and there is an increase of 7 % from 2022 to 2023 when we did trend forecasting.

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4.2-TATA MOTORS:
4.2.1TATA MOTORS COMPARATIVE INCOME STATEMENT
ANANLYSIS:
TABLE NO 2.A:

Absolute
amount % of
Profit & loss account of tata motors (in Rs. increased or increased or
Cr.) 2021 2023 decreased decreased
12 12
mths mths
Income
Revenue from operations [gross] 68764 43485 25279 37.76
Less: excise/service tax/other levies 0 0 0 0
Revenue from operations [net] 68764 43485 25279 37.76
Total operating revenues 69202 43928 25275 37.65
Other income 2555 1383 1172 46.76
Total revenue 71757 45311 26446 37.56
Expenses
Cost of materials consumed 43748 26171 17577 40.56
Operating and direct expenses 572 830 258 45.56
Changes in inventories of fg, wip and stock-in 145 723 578 399.23
trade
Employee benefit expenses 4273 4384 111 3.45
Finance costs 1794 1973 179 10.78
Depreciation and amortization expenses 3099 3375 277 9.45
Other expenses 9896 7960 1936 20.67
Total expenses 69155 49927 19228 28.56
Profit/loss before exceptional, 2602 4616 2014 77.43
extraordinary items and tax
Exceptional items 203 2511 2308 8.34
Profit/loss before tax 2399 7127 4728 197.69
Tax expenses-continued operations
Current tax 295 33 262 89.45
Less: mat credit entitlement 0 0 0 0.
Deferred tax 84 129 46 55.56
Tax for earlier years 0 0 0 0
Total tax expenses 378 162 216 58.67

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Profit/loss after tax and before 2023 7290 5269 261.78

extraordinary items
Profit/loss from continuing operations 2023 7290 5269 261.78
Profit/loss for the period 2023 7290 5269 261.78

INTERPRETATION:
❖ From above table 2.A we can see that Both gross revenue and net revenue is same for Tata

motors in both the years. Because the need not to pay any excise service tax.

❖ Finance cost are more in the year 2021 that is the reason for having very less profits

comparing to the year 2023.The company should make sure to reduce expenses for

increasing profits.

❖ The exceptional items are also less in the year 2021.Still company has less net profit in

2021 comparing to the 2023.

❖ Expenses are high in the year 2021 that may leads to getting less profits for TATA motors.

❖ Tax expense are more in 2023 comparing to the 2021.But still 2021 is having less profits

in 2021

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4.2.2-TATA MOTORS COMPARATIVE COMMON SIZE INCOME

STATEMENT ANALYSIS
TABLE NO 2.B:
Profit & loss account of TATA motors (in Rs.
Cr.) 2021 2023
12
12 mths % mths %
Income
Revenue from operations [gross] 68765 100 43486 100
Less: excise/service tax/other levies 0 0.00 0 0.00
Revenue from operations [net] 68765 100 43486 100.0
Total operating revenues 69203 100.6 43928 101.0
Other income 2555 3.72 1383 3.15
Total revenue 71757 104.3 45311 104.2
Expenses

Cost of materials consumed 43749 63.62 26172 60.8

Operating and direct expenses 572 0.83 830 1.91
Changes in inventories of fg,wip and stock-in
Trade 145 0.21 723 1.66
Employee benefit expenses 4273 6.21 4384 10.0
Finance costs 1794 2.61 1973 4.54
Depreciation and amortization expenses 3099 4.51 3375 7.76
Other expenses 9896 14.39 7960 18.30
Total expenses 69155 100.5 49928 114.8
Profit/loss before exceptional, extraordinary
2602 4616
items and tax 3.78 10.62
Exceptional items 203 0.30 2511 5.77
Profit/loss before tax 2399 3.47 7127 16.39
Tax expenses-continued operations
Current tax 295 0.43 33 0.08
Less: mat credit entitlement 0 0.00 0 0.00
Deferred tax 84 0.12 129 0.30
Tax for earlier years 0 0.00 0 0.00
Total tax expenses 378 0.55 162 0.37
Profit/loss after tax and before extraordinary
2022 7290
items 2.94 16.76
Profit/loss from continuing operations 2022 2.94 7290 16.76
Profit/loss for the period 2022 2.92 7290 16.76

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INTERPRETATION:
❖ Revenue from operations has been drastically decreased from the year 2021 to 2023.that

may be because of the COVID-19 19 the sales has been reduced 36.76% in the year 2023.

❖ Even operating revenue is more in the year 2021 as sales are more of Rs 25279 compare

to the year 2023.

❖ The cost of materials used in the year 2021 is more compare to the year 2023 of Rs 17576.

It shows that company spent more on production department.

❖ Expenses are more in the year 2021 compare to the 2023 that has increased around 27.8%.

This made a tata to reduce income in the year 2021.always company has to try for

reducing expenses to control costs for production.

❖ The depreciation and amortization are also more in the year 2021 it shows that assets value

less in the year 2021 that is 7.76%

❖ But after deducting all expenses the profit before tax is more in the year 2023.it shows

that expenses are more in the year 2021.

❖ Total tax expenses are also more in the year 2021 compare to the 2023.

❖ Over all the net profit of the tata motors has been increased from year to the present

financial year of 16.35%. if company follows same strategy for production and sales it

may increase its profits gradually.

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4.2.3-TATA MOTORS COMPARATIVE BALANCE SHEET

ANALYSIS:
TABLE NO 2.C:
Absolute
Amt % of
increased increased
Balance sheet of tata motors or or
(in Rs. Cr.) 2021 2023 decreased decreased
12 mths 12 mths
Equities and liabilities
Shareholder's funds
Equity share capital 679 720 40 5.936
Total share capital 679 720 40 5.936
Reserves and surplus 59500 61491 1991 3.346
Total reserves and surplus 59500 61491 1991 3.346
Total shareholders funds 60180 63079 2899 4.81
Minority interest 523 814 291 55.53
Non-current liabilities
Long term borrowings 70818 83316 12498 17.64
Deferred tax liabilities [net] 1491 1942 451 30.23
Other long term liabilities 16871 17781 910 5.392
Long term provisions 11855 14737 2882 24.30
Total non-current liabilities 101035 117775 16741 16.56
Current liabilities
Short term borrowings 20150 16363 3788 18.79
Trade payables 68514 63627 4887 7.132
Other current liabilities 46597 50136 3539 7.594
Short term provisions 10197 10329 132 1.297
Total current liabilities 145457 140454 5003 3.439
Total capital and liabilities 307195 322121 14927 4.859
Assets
Non-current assets
Tangible assets 72620 84158 11538 15.88
Intangible assets 37867 42172 4305 11.36
Capital work-in-progress 8538 8600 61 0.719
Fixed assets 142370 161952 19582 13.75
Non-current investments 6241 5447 794 12.72
Deferred tax assets [net] 5151 5458 307 5.955
Long term loans and advances 407 783 375 92.13
Other non-current assets 28846 28117 729 2.526
Total non-current assets 183763 202534 18771 10.21
Current assets

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Current investments 9530 10862 1332 13.97

Inventories 39014 37457 1557 3.990
Trade receivables 18996 11173 7823 41.18
Cash and cash equivalents 32649 33727 1078 3.302
Short term loans and advances 1269 935 333 26.28
Other current assets 21974 25434 3460 15.74
Total current assets 123431 119587 3844 3.11
Total assets 307195 322121 14927 4.85

INTERPRETATION:
❖ The equity share capital has rose to 5.9 % from 2021 to 2023.it shows that investors has
been increased for tata motors. Shareholders are the real owners of the company.
❖ Reserves and surplus are also more in the year 2023.it shows that they kept aside some
of the profit from the year 2021.reserves and surplus will definitely help the company at
crisis time.
❖ The noncurrent liabilities are also increased in the year 2023 which are payable back after
the 1 year. That is of Rs 16.56%. And the total non-current liabilities and capital has been
increased by 4.8%.
❖ All types of assets are more in the year 2023 it shows the company has owned the more
properties in the year 2023.that has been increased of $.85%.

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4.2.4-TATA MOTORS COMPARATIVE COMMON SIZE BALANACE

STATEMENT ANALYSIS
TABLE NO 2.D:
Balance sheet of tata motors (in Rs.
Cr.) 2021 2023
Amount % Amt %
Equities and liabilities
Shareholder's funds
Equity share capital 679 0.22 720 0.22
Total share capital 679 0.22 720 0.22
Reserves and surplus 59500 19.3 61491 20.02
7
Total reserves and surplus 59500 19.3 61491 19.09
7
Total shareholders’ funds 60180 19.5 63079 19.58
9
Minority interest 523 0.17 814 0.25
Non-current liabilities
Long term borrowings 70818 23.0 83316 25.86
5
Deferred tax liabilities [net] 1491 0.49 1942 0.60
Other long-term liabilities 16871 5.49 17781 5.52
Long term provisions 11855 3.86 14737 4.57
Total non-current liabilities 101035 32.8 117775 36.56
9
Current liabilities
Short term borrowings 20150 6.56 16363 5.08
Trade payables 68514 22.3 63627 19.75
0
Other current liabilities 46597 15.1 50136 15.56
7
Short term provisions 10197 3.32 10329 3.36
Total current liabilities 145457 47.3 140454 45.72
5
Total capital and liabilities 307195 100. 322121 100.00
00
Assets
Non-current assets
Tangible assets 72620 23.6 84158 26.13
4
Intangible assets 37867 12.3 42172 13.09
3
Capital work-in-progress 8538 2.78 8600 2.67
Fixed assets 142370 46.3 161952 50.28
5

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 Non-current investments 6241 2.03 5447 1.69
Deferred tax assets [net] 5151 1.68 5458 1.69
Long term loans and advances 407 0.13 783 0.24
Other non-current assets 28846 9.39 28117 8.73
Total non-current assets 183763 59.8 202534 62.88
2
Current assets
Current investments 9530 3.10 10862 3.54
Inventories 39014 12.7 37457 12.19
0
Trade receivables 18996 6.18 11173 3.47

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Cash and cash equivalents 32649 10.63 33727 10.47

Short term loans and advances 1269 0.41 935 0.29
Other current assets 21974 7.15 25434 7.90
Total current assets 123431 40.18 119587 37.12
Total assets 307195 100.00 322121 100.00

INTERPRETATION:
❖ From the above table 2. D we can see that there is same shareholders as in both the year

that is 19.58%. There is just Rs 1 reduced in the total Shareholders’ funds from 2021 and

2023.

❖ Among the total non-currents liabilities Long term liabilities are more. But in the year

2023 it is more compare to the 2021.There is difference of 25.36%.

❖ Tax liabilities are more in 2023 compare to the 2021.Still 2023 has more net total assets.

❖ Tangible assets are less in 2021.Among total assets tangible assets has more in both year

but in comparing with 2021,2023 has more tangible assets.

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4.2.5-TATA MOTORS TREND ANALYSIS:

Year 2017 2018 2021 2023
Revenue 48078 58234 68764 43485
Trend % 100% 121% 143% 90%

Graph No 2

2017 2018 2021

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TREND FORECASTING:
Year 2017 2018 2021 2022 2023
Revenue 48078 58234 68764 43485 53828
Trend 100% 121% 143% 90% 112%
%

GRAPH NO 2 A:

Column1

INTERPRETATION:
From the above line chart shows that revenue of the tata motors from the past 2017 to

future 2023.the past data of the company helps to calculate the future revenue of the

company. So that investor who are trying to invest in the company can predict it and make

a decision of investing. The revenue is more in the year 2023 compare to the last 2

financials years. After doing trend forecasting, we came to know that the revenue of 2023

will be 53238.

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4.3-TVS MOTORS:
4.3.1-TVS MOTORS COMPARITIVE INCOME STATEMENT
ANALYSIS:
TABLE NO 3A

Absolute
amt % of amt
increased increased
Profit & loss account of TVS or or
motor company (in Rs. Cr.) 2021 2023 decreased decreased
12 mths 12 mths

Income
Revenue from operations [gross] 17913 16074 1839 10.27
Less: excise/service tax/other 0 0 0
levies 0
Revenue from operations [net] 17913 16074 1839 10.27
Total operating revenues 18210 16423 1787 9.81
Other income 8 32 25 325.73
Total revenue 18217 16455 1762 9.67
Expenses
Cost of materials consumed 13673 11855 1818 13.30
Operating and direct expenses 0 0 0 0.0
Changes in inventories of fg,wip 115 22 97
and stock-in trade 129.10
Employee benefit expenses 923 938 16 1.71
Finance costs 81 102 22 26.85
Depreciation and amortization 399 489 90
Expenses 22.48
Other expenses 2012 2003 9 0.43
Total expenses 17257 15669 1588 9.20
Profit/loss before exceptional,
extraordinary items and tax 961 787 174 18.13

Exceptional items 0 32 32 0.00

Profit/loss before tax 961 754 207 21.49
Tax expenses-continued
Operations
Current tax 277 234 43 15.49
Less: mat credit entitlement 0 0 0 0.0
Less: deferred tax 14 72 86 610.24
Tax for earlier years 0 0 0 0.00
Total tax expenses 291 162 129 44.24
Profit/loss after tax and before

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 670 592 78
extraordinary items 11.62

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Profit/loss from continuing

670 592 78
operations 11.62
Profit/loss for the period 670 592 78 11.62

INTERPRETATION:
❖ The revenue from operations has been reduced from past 2021 to 2023 that is 10.27%. It

shows that sales are decreased in the year 2021. Total operating revenue is more in 2021

compare to the 2023.

❖ The cost of materials consumed in the year 2021 is more compare to the 2023 because

the company concentrated on producing more products in that particular year.

❖ The total expenses are also more in the year 2021 that is of 9.8%. that gradually

decreased in the year 2023 .which helps the company to gain more revenue.

❖ But the profit of the company is less in the year 2023 is comparing to the 2021.it may be

because of the COVID-19 19 situation but this definitely effect the company’s future

investments and funds.

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4.3.2-TVS MOTORS COMPARITIVE COMMON SIZE INCOME

STATEMENT ANALYSIS:
TABLE NO 3 B:
Profit & loss account of TVS motor company
(in Rs. Cr.) 2021 2023
Amt % Amt %
Income
Revenue from operations [gross] 17913 100 16074 100
Less: excise/service tax/other levies 0 0.00 0 0.00
Revenue from operations [net] 17913 100.00 16074 100.00
Total operating revenues 18210 101.66 16423 102.18
Other income 8 0.04 32 0.20
Total revenue 18217 101.70 16455 102.38
Expenses
Cost of materials consumed 13673 76.33 11855 73.75
Operating and direct expenses 0 0.00 0 0.00
Changes in inventories of fg, wip and stock-in 35 22
Trade 0.42 0.14
Employee benefit expenses 923 5.15 938 5.84
Finance costs 81 0.45 102 0.64
Depreciation and amortization expenses 399 2.23 489 3.04
Other expenses 2012 11.23 2003 12.46
Total expenses 17257 96.34 15669 97.48
Profit/loss before exceptional, extraordinary
961 787
items and tax 5.36 4.89
Exceptional items 0 0.00 32 -0.20
Profit/loss before tax 961 5.36 754 4.69
Tax expenses-continued operations
Current tax 277 1.55 234 1.46
Less: mat credit entitlement 0 0.00 0 0.00
Deferred tax 14 0.08 72 -0.45
Tax for earlier years 0 0.00 0 0.00
Total tax expenses 291 1.62 162 1.01
Profit/loss after tax and before extraordinary
items 670 3.74 592 3.68
Profit/loss from continuing operations 670 3.74 592 3.68
Profit/loss for the period 670 3.74 592 3.68

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INTERPRETATION:
❖ There is no much change in Revenue for the TVS in the both the year. A slight change is
that there is increase of Rs 567 from 2021 to 2023. Other operating revenue is more in
the total revenue of the company.
❖ There is no operating and direct expenses in both the year for company.
❖ Among the total expenses cost of materials consumed is more in both the years but it is
more in 2021 comparing both the years.
❖ There are no exceptional items in the year 2021 but the company incurred Rs 32 of
exceptional items in the 2023.

4.3.3-TVS MOTORS COMPARATIVE BALANCE SHEET

ANALYSIS:
TABLE NO 3.C:
% of
Absolute amt increased
Balance sheet of TVS motor increased or or
company (in Rs. Cr.) 2021 2023 decreased increased
12 mths 12 mths
Equities and liabilities
Shareholder's funds
Equity share capital 48 48 0 0
Total share capital 48 48 0 0
Reserves and surplus 3123 3235 112 3.58
Total reserves and surplus 3123 3235 112 3.58
Total shareholders’ funds 3170 3282 112 3.53
Minority interest 246 321 75 30.59
Non-current liabilities
Long term borrowings 4909 5221 312 6.36
Deferred tax liabilities [net] 97 87 10 10.15
Other long-term liabilities 0 204 204 0
Long term provisions 90 122 33 36.35
Total non-current liabilities 5096 5635 539 10.58
Current liabilities
Short term borrowings 3254 3781 527 16.19
Trade payables 3160 3187 27 0.86
Other current liabilities 1706 2975 1269 74.36
Short term provisions 65 100 35 53.35
Total current liabilities 8185 10042 1857 22.69
Total capital and liabilities 16696 19280 2584 15.47
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 Assets
Non-current assets

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Tangible assets 3117 3439 323 10.36

Intangible assets 62 183 121 195.26
Capital work-in-progress 604 847 2631 435.6
Fixed assets 3923 4628 705 17.98
Non-current investments 440 371 69 15.65
Deferred tax assets [net] 0 0 0 0
Long term loans and
advances 3625 4148 524 14.45
Other non-current assets 189 197 8 4.28
Total non-current assets 8365 9533 1168 13.97
Current assets
Current investments 0 0 0 0
Inventories 1292 1188 103 7.98
Trade receivables 1546 1454 92 5.93
Cash and cash equivalents 206 1108 901 436.85

Short term loans and advances 4600 5307 707 15.37

Other current assets 688 690 2 0.25
Total current assets 8332 9747 1415 16.99
Total assets 16696 19280 2584 15.47

INTERPRETATION:
❖ There is no change in the equity shareholders fund of the company from 2021 to 2023.it

is same in both the year it shows that no investors come forward to invest in the company.

❖ There is a slight change in the total shareholders’ funds from 2021 to 2023 which impacts

the company’s performance that is of 17.2 %.non-current liabilities also increased from

2021 to 2023.

❖ Both currents assets and non-current assets are increased from 2021 to 2023 that is of

50.55 and 49.55 respectively .which shows that company has increased its properties.

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4.3.4-TVS MOTORS COMMON SIZE BALANCE SHEET ANALYSIS:

TABLE NO 3.D:
Balance sheet of TVS
company (in Rs. Cr.) 2021 2023
Amt % Amt %
Equities and liabilities
Shareholder's funds
Equity share capital 48 0.28 48 0.25
Total share capital 48 0.28 48 0.25
Reserves and surplus 3123 18.7 3235 16.78
Total reserves and surplus 3123 18.7 3235 16.78
Total shareholders’ funds 3170 18.99 3282 17.02
Minority interest 246 1.47 321 1.66
Non-current liabilities
Long term borrowings 4909 29.4 5221 27.08
Deferred tax liabilities [net] 97 0.58 87 0.45
Other long-term liabilities 0 0 204 1.05
Long term provisions 90 0.54 122 0.63
Total non-current liabilities 5096 30.52 5635 29.23
Current liabilities
Short term borrowings 3254 19.49 3781 19.61
Trade payables 3160 18.92 3187 16.53
Other current liabilities 1706 10.22 2975 15.43
Short term provisions 65 0.39 100 0.52
Total current liabilities 8185 49.02 10042 52.09
Total capital and liabilities 16696 100 19280 100
Assets
Non-current assets
Tangible assets 3117 18.67 3439 17.84
Intangible assets 62 0.37 183 0.95
Capital work-in-progress 604 3.62 847 4.39
Fixed assets 3923 23.5 4628 24.01
Non-current investments 440 2.63 371 1.92
Deferred tax assets [net] 0 0 0 0
Long term loans and advances 3625 21.71 4148 21.52
Other non-current assets 189 1.13 197 1.02
Total non-current assets 8365 50.1 9533 49.45

Current assets
Current investments
Inventories 1292 7.74 1188 6.16
Trade receivables 1546 9.26 1454 7.54

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Cash and cash equivalents 206 1.24 1108 5.74

Short term loans and advances 4600 27.55 5307 27.53

Other current assets 688 4.12 690 3.58
Total current assets 8332 49.9 9747 50.55
Total assets 16696 100 19280 100

INTERPRETATION:
❖ From the above table 3D, we can see that Among the shareholders the company has more

reserves and surplus which helps the company at crisis time.

❖ Among the total noncurrent liabilities long term barrowings are more in the year 2023

comparing with the 2021.and there is no other non-current liabilities in the year 2021 and

there is Rs 204 in the 2023.

❖ Among the total current liabilities in the year 2023 short term borrowings are more that

is of Rs 3781.

❖ Total Assets are more in the 2023 comparing with the 2021.

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4.3.5-TREND ANALYSIS:
Graph No 3
Year 2017 2018 2021 2023
Revenue 18321 19716 16052 12335
Trend % 100 108 88 67

67%
100%

88%

108%

2017 2018 2021 2023

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TVS MOTORS TREND FORCASTING:

GRAPH NO 3 A:
Year 2017 2018 2021 2022 2023
Revenue 18321 19716 16052 12335 19849
Trend % 100% 108 88 68 108

Column1

INTERPRETATION:
From the above line graph we can say that there is less revenue in the year 2020 may be

because of the COVID-19 19.but on the average of calculating for the next year it is more

because it has more revenue in the past 2017 ,2018 and 2021.so that investors can invest

in the company for getting more profits. Both 2018 and 2023(predicted) has more revenue

compare to all the previous years. Hence investors can invest in the company.

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CHAPTER 5

FINDINGS, RECCOMENDATIONS AND SUGGESTIONS,

BIBLIOGRAPHY

5.1-FINDINGS OF THE STUDY;

❖ Mahindra company decreased its gross Revenue by 15.22%. in the year 2023 because of

COVID 19. Whereas TATA MOTORS also decreased its revenue by 37.76% from 2021

to 2023.The same happened with TVS MOTORS even their revenue has been reduced by

10.27% from 2021 to 2023.But comparing to TATA MOTORS and Mahindra TVS

MOTORS has less decreased its revenue.

❖ Mahindra company decreased its total expenses around 14.56%, TATA MOTORS

expenses has been reduced of 28.56%, TVS MOTORS decreased its revenue of 10.27%

from 2021 to 2023.We can see that all the 3 companies has reduced its revenue but TATA

MOTORS has high amount of decrease in its revenue.

❖ Mahindra company profits has been reduced of 72.25%, TATA MOTORS profits has

been increased of 261.45%, TVS MOTORS total profits were reduced of 11.45% from

2021 to 2023.Among all these companies TATA MOTORS has increased its profits

more.

❖ Mahindra company’s depreciation and amortization expenses are increased by 19.47%,

TATA MOTORS are increased by 9.45%, TVS MOTORS amortization and depreciation

has been increased of 22.45% from 2021 to 2023.There is less decrease in depreciation

and amortization expenses in TATA MOTORS this may be the reason to be getting more

profits comparing to the other two companies.

❖ The Mahindra Company has increased its Equity share capital by 1.83%, TATA

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 MOTORS increased of its Equity share capital by 5.67%, There is no change in Equity

share capital in TVS MOTORS from 2021 to 2023.Comparing to all the 3 companies the

TATA MOTORS has increased its equity share capital more.

❖ The Mahindra company total shareholders’ funds increased by 0.35%, TATA MOTORS

increased its total shareholders’ funds by 4.81%, TVS MOTORS total shareholders’

funds increased of 3.45%, from 2021 to 2023.

❖ The Mahindra company’s total Non-Current liabilities were increased of 16.4%, TATA

MOTORS has increased by non-current liabilities 16.75%, TVS MOTORS total

noncurrent liabilities increase of 10.76% from 2021 to 2023.

❖ The Mahindra company’s Total current liabilities were decreased of 8.53%, TATA

MOTORS decreased its total current liabilities by 3.45%, TVS MOTORS total current

liabilities are increase of 22.54% from 2021 to 2023.

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❖ The Mahindra company increased its current assets of 7.23%, TATA MOTORS

decreased its total current liabilities by 3.45%, TVS MOTORS increased its current assets

by 16.67% from 2021 to 2023.Only TATA MOTORS liabilities are decreased.

❖ The Mahindra company’s Fixed Assets has been increased of 9.53%, TATA MOTORS

fixed assets are increased by 10.45%, TVS MOTORS fixed assets were increased of

13.54% from 2021 to 2023. The fixed assets are more increased in TVS MOTORS.

❖ Total assets of the Mahindra company have been increased 2.27%, The TATA

MOTORS total assets are increase of 4.85%, TVS MOTORS total assets were increased

of 15.56%from 2021 to 2023.The is value of total assets has more increased its assets.

❖ The future profits of the Mahindra company have increased of 7%, TATA MOTORS

profits have been increased by 22%, TVS MOTORS has increased its profits by 40%

from 2023 to 2021.The profits of TVS MOTORS in the year 2021 is more comparing

with other companies.

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5.2-SUGGESTIONS OF THE STUDY;

❖ The three companies take necessary steps to increase their current assets effectively and

efficiently

❖ It is better to improve the quick assets and absolute quick assets of TVS and TATA

Motors. Why because both the companies are not having the ability to convert their

assets into cash format in a short period of time.

❖ Both the TVS and TATA Motors may utilize all resources properly and reduce the cost

for improving the net profit.

❖ The TVS and TATA Motors are needed to reduce operating expenses to improve the

operating profit.

❖ The TATA Motors are needed to utilize its capital employed efficiently and effectively

to generate the profit.

❖ It is better to TATA Motors to utilize its total assets effectively and efficiently to generate

the profit.

❖ The companies TVS and TATA Motors are take necessary actions to improve the earning

power and strong financial position.

❖ TVS and TATA Motors are having negative working capital turnover ratio during the

period of study. It is necessary to use working capital for smooth flow of business.

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5.3-RECOMMENDATIONS OF THE STUDY;

❖ Among the tools of Analysis, the balance sheet and income statement analysis will only

give information about assets and liabilities value and company net profit of the year of

the particular company. So, it’s better to go for ratio analysis and all other types which

gives liquidity position of the company.

❖ The Mahindra MOTORS company can improve its profits by using updated strategies

which helps them to stay in the market.

❖ All the 3 companies can take necessary steps to take care of not reducing the value of

assets as they are property of the company. They can use those assets effectively and

efficiently and maintaining them is necessary.

❖ All the 3 companies should try to decrease their liabilities, if not most of profit will paid

to liabilities only. For this they should raise their capital by Equity shares or preference

share capital instead of taking debt from the financial institutions.

❖ All the 3 companies have increase in their profits in the upcoming year. But this may not

be true so it is recommended to think twice before investing in a particular company.

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5.4-CONCLUSION:

The study is conducted on financial performance of automobile companies that is

Mahindra Motors, TVS Motors and TATA Motors. It gives a clear view of analysis and

evaluation of balance sheet and income statement of the companies based on selected

tools. According to above analysis The TATA MOTORS is having more profits and

assets and liabilities. Which seems that the owners, management, creditors, employees,

investors, government, consumer, stock exchange can invest in TATA MOTORS. But

investing in TVS MOTORS and Mahindra MOTORS may lead to get less profits as their

assets value has been decreased. But according trend analysis there is a TVS MOTORS

getting more profits in the upcoming year. But all the stakeholders better to go for

different kind of analysis before making decision regarding the investing in particular

company.

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 BIBLIOGRAPHY:

REFERENCE TEXT BOOKS

TEXT BOOKS AUTHORS

Financial Management I.M.PANDEY

Financial Management S.P.GUPTHA

Fundamentals of Financial Management D. Chandra Bose

Managerial Economics &Financial Analysis A.R ARYASRI

WEBSITES
WWW.Google.com

WWW.Moneycontrol.com

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