OutputBANKING

FOR BUSINESS Sheet LOAN

ABC and Co.

Input Sheet

(Rs. in Lacs)
Part A- Operating Profit & Loss account
2018 2019 2020 2021 2022
Months for compute (annualisation) 12
Last year of audited results 2020
Year ended (Date and Month) 31.03.2018 31.03.2019 31.03.2020 31.03.2021 31.03.2022
Audited Audited Audited Provisional Projections

Actual duration of Accounting Period (months) 12 12 12 12 12

INCOME

Gross Sales :
Manufacturing - Domestic ###
Manufacturing - Exports ###
Manufacturing - Total 0.00 0.00 0.00 0.00 0.00
Trading - Domestic 2045.21 2841.15 2138.64 2150.00 2300.00
Trading - Exports ###
Trading - Total 2045.21 2841.15 2138.64 2150.00 2300.00
Sub Total - Gross Sales 2045.21 2841.15 2138.64 2150.00 2300.00

Of which, domestic gross sales 2045.21 2841.15 2138.64 2150.00 2300.00

Export gross sales 0.00 0.00 0.00 0.00 0.00
Less Excise Duty & Sales Tax (Manufacturing) ###
Less Duty & Sales Tax (Trading) ###

Net Sales 2045.21 2841.15 2138.64 2150.00 2300.00

Export Incentives ###
Duty Drawback ###
Commission / Brokerage received ###
Other Operating Income 0.00 0.00 0.69 0.00 0.00
Total Operating Income 2045.21 2841.15 2139.33 2150.00 2300.00
Profit on sale investments ###
Profit on sale of assets ###
Interest from investments 0.00 4.97 0.00 0.00 0.00
Forex gains on capital items ###
Non-op. income from subsidiaries ###
Tax Refund ###
Other Non Operating Income 0.00 0.08 0.00 0.00 0.00
Other Financial Income ###
Total non-operating Income 0.00 5.05 0.00 0.00 0.00
TOTAL INCOME 2045.21 2846.20 2139.33 2150.00 2300.00

EXPENDITURE
Raw materials consumed - Imported
Opening Stock 0.00 0.00 0.00 0.00
Add: Purchases ###
Less: Closing Stock ###
Sub Total 0.00 0.00 0.00 0.00 0.00

Raw materials consumed - Indigenous

Opening Stock 0.00 0.00 0.00 0.00
Add: Purchases ###
Less: Closing Stock ###
Sub Total 0.00 0.00 0.00 0.00 0.00

Power and fuel ###

Direct labour and wages ###
Consumable stores ###
Repairs & maintenance ###
Packaging expenses ###
Other manufacturing expenses ###

Sub Total 0.00 0.00 0.00 0.00 0.00

Add: Op. Stock of WIP 0.00 0.00 0.00 0.00

Less: Cl. Stock of WIP ###
Cost of Production 4.52 3.93 3.34 3.00 2.75

Opening Stock (Trading Activity) 119.21 65.55 104.21 162.38 185.00

Add: Purchases (Trading Activity) 1953.22 2835.50 2145.79 2122.82 2263.25
Less: Cl. Stock (Trading Activity) 65.55 104.21 162.38 185.00 200.00
Sub Total 2006.88 2796.84 2087.62 2100.20 2248.25

1
 Opening F.G. (Manufacturing) Output Sheet 0.00 0.00 0.00 0.00 0.00
Closing F.G. (Manufacturing) ###
Cost of Goods Sold 2011.40 2800.77 2090.96 2103.20 2251.00

Personnel Cost 2.49 2.00 1.80 1.85 2.00

Gen. & Administration Exp 4.92 5.58 6.21 6.25 6.50
Selling exp. 9.20 4.70 8.40 8.45 9.00
Other Expenses ###
Depreciation/ Amortisation 4.52 3.93 3.34 3.00 2.75
Operating Provision ###
Cost of Sales 2028.01 2813.05 2107.37 2119.75 2268.50
Interest 10.78 29.21 27.22 25.00 25.00
Non Operating Expenses
Loss on sales of investments ###
Loss on sale of assets ###
Prem. Expenses w/off ###
Other Non Operating Expenses ###
Other financial expenses ###
Non-op. Losses from subsidiaries/ associates ###
Sub-total : Total Non-operating expenses 0.00 0.00 0.00 0.00 0.00
Total Expenses 2038.79 2842.26 2134.59 2144.75 2293.50

Provision for taxation

Provision for Current Tax 0.85 1.18 1.32 1.25 1.50
Provision for Fringe Benefit Tax ###
Provision for Deferred Tax ###
Minority Interest ###
Gross Profit - Trading 38.33 44.31 51.02 49.80 51.75
Gross Profit -Manufacturing 0.00 0.00 0.00 0.00 0.00
Gross Profit - Total 38.33 44.31 51.02 49.80 51.75
Operating Profit 17.20 28.10 31.96 30.25 31.50
OPBDIT 21.72 32.03 35.30 33.25 34.25
PBDT (after interest) 10.94 7.87 8.08 8.25 9.25

Profit before interest & tax 17.20 33.15 31.96 30.25 31.50
Profit Before tax & Minority Interest 6.42 3.94 4.74 5.25 6.50
Profit before Tax and Minority interest but excluding extraordinary items
6.42 3.94 4.74 5.25 6.50
Net Profit After tax 5.57 2.76 3.42 4.00 5.00
Cash Profits 10.09 6.69 6.76 7.00 7.75
Net Cash Flows 10.09 6.69 6.76 7.00 7.75
Prior Years Adjustments
Cash Adjustments (+/-) ###
Non Cash Adjustments (+/-) ###

Extraordinary Expenses ###

Extraordinary Income ###

Adjusted PAT for the year (excluding Prior year items) 5.57 2.76 3.42 4.00 5.00

Appropriation of Profits:
Dividend:
On Equity Capital ###
On Preference Sh. Capital ###
Dividend tax ###
Transfer to/ (from) General Res. 1.13 2.01 2.36 2.75 3.25
Other appropriations 4.44 0.75 1.06 1.25 1.75
Partners' withdrawal ###
###

2
BALANCE SHEET Output Sheet

LIABILITIES:
Equity Share Capital
Share Capital (paid-up) ###
Share Application (finalised for allotment) ###
Preference share capital (> 12 years) ###
Sub Total 0.00 0.00 0.00 0.00 0.00

Reserves & Surplus:

Partners / Proprietor's capital 52.90 50.56 46.95 50.95 55.95
Balance in P&L Account
General Reserve ###
Revaluation Reserve ###
Share Premium ###
Capital subsidy ###
Share Warrant ###
Debenture Redemption Reserve ###
Bond Redemption Reserve ###
Capital Reserve ###
Others ###

Sub-total 52.90 50.56 46.95 50.95 55.95

Less: Loans to Shareholders 0.00 0.00 0.00 0.00 0.00
Less: Revaluation Reserve 0.00 0.00 0.00 0.00 0.00
Less : Accumulated Losses 0.00 0.00 0.00 0.00 0.00
Less: Misc. & Prem. Exp. Not w/off 0.00 0.00 0.00 0.00 0.00
Less:Other intangible Assets/ Deferred Taxes Asset 0.00 0.00 0.00 0.00 0.00
Tangible Networth 52.90 50.56 46.95 50.95 55.95
Minority Interest ###
Term Liabilities:
Secured :
Interest bearing Secured Debt
Debentures (due beyond a year) ###
All Local Currency Term loans (Due beyond a year) ###
All Foreign Currency Term loans (Due beyond a year) ###
Other secured Liabilities ###
Total Interest bearing secured Debt 0.00 0.00 0.00 0.00 0.00

Non- Interest bearing Secured Debt

Project/ Capital creditors ###
Long term trade advances ###
Others ###
Total Non-Interest bearing secured Debt 0.00 0.00 0.00 0.00 0.00
Total secured 0.00 0.00 0.00 0.00 0.00

Unsecured : Interest bearing Unsecured Debt

Preference share capital ###
All Local Currency Term loans (Due beyond a year) ###
All Foreign Currency Term loans (Due beyond a year) ###
Subordinated unsecured debt
----- ---- Loans from Promoters/Partners ###
---- ----- Due to group companies/associates ###
Un- Subordinated unsecured debt
----- ---- Loans from Promoters/Partners ###
---- ----- Due to group companies/associates ###
Public Fixed Deposits ###
Other unsecured liabilities ###
Total Interest bearing Unsecured Debt 0.00 0.00 0.00 0.00 0.00

Unsecured:

Non-Interest Bearing unsecured loans

Subordinated unsecured debt
----- ---- Loans from Promoters/Partners 24.44 76.43 76.43 76.43 76.43
---- ----- Due to group companies/associates ###
Un- Subordinated unsecured debt
----- ---- Loans from Promoters/Partners 0.00 5.57 0.00 0.00 0.00
---- ----- Due to group companies/associates ###
Other Unsecured Liabilities ###
Operating Provisions ###
Total Non-Interest bearing unsecured debt 24.44 82.00 76.43 76.43 76.43
Total Unsecured Debt 24.44 82.00 76.43 76.43 76.43
Total term liabilities 24.44 82.00 76.43 76.43 76.43

Deferred Tax Liability ###

3
Current Liabilities: Output Sheet

Creditors for purchases

- Under L/C ###
- Others 155.03 124.38 83.34 75.00 85.00
- Group Companies 86.08 7.86 0.00 0.00 0.00
Creditors for expenses 0.00 0.30 0.15 0.25 0.35
Loans & advances (interest bearing)
- Others ###
- Group Companies ###
- Promoters/Partners ###
Loans & advances (non interest bearing)
- Others ###
- Group Companies ###
- Promoters/Partners ###
Statutory liabilities due within one year 8.01 1.53 8.15 8.50 8.75
Provisions
- Tax ###
- Dividend ###
-Others ###
Share Application money (allotment not finalised) ###
Bank Borrowings - From our Bank 185.00 185.00
Bank Borrowings - Suppliers Bills Discounted from our Bank ###
Bank Borrowings - From other Banks 154.33 95.52 169.06 ###
Bank Borrowings - Supplier's Bills Discounted from other Banks ###
Commercial Paper ###
Other short term borrowings (non Interest bearing) ###
Other short term borrowings (interest bearing) ###
All LT Liabilities due within one year (non interest bearing) ###
All LT Liabilities due within one year (interest bearing) 0.39 0.00 0.00 0.00 0.00
Related Progress (WIP) payment ###

Other Current Liabilities (interest bearing) ###

Other Current Liabilities (non-interest bearing) ###
Total Networth 52.90 50.56 46.95 50.95 55.95
Total Current Liabilities 403.84 229.59 260.70 268.75 279.10
Total outside liabilities 428.28 311.59 337.13 345.18 355.53
TOTAL LIABILITIES 481.18 362.15 384.08 396.13 411.48

ASSETS

Fixed Assets:
Leasehold land ###
Freehold land 0.91 0.91 0.91 0.91 0.91
Buildings 0.11 0.11 0.11 0.11 0.11
Plant & Machinery ###
Ships & Aircrafts ###
Furniture & Fixtures ###
Vehicles 27.67 27.67 27.67 27.67 27.67
Other Fixed assets 1.46 2.21 2.21 2.21 2.21
Gross Block 30.15 30.90 30.90 30.90 30.90

Less: Accumlated Depreciation 4.52 8.45 11.79 14.79 17.54

Net Block 25.63 22.45 19.11 16.11 13.36

Capital Work in progress ###

Investments and Non current asset :

Investment in Subsidiaries (above 50% and non consolidated)

------- Investment ###
------- Loans & Advances (long term) ###
------- Debtors over 6 months ###
Investment in Associates (20% to 50%)
------- Investment ###
------- Loans & Advances (long term) ###
------- Debtors over 6 months ###
Investment in Associates <20%
------- Investment ###
------- Loans & Advances (long term) ###
------- Debtors over 6 months ###
Other Financial Investments ###
Loans to Promoters/ Partners ###
Debtors over 6 months (other than Group) 0.00 3.90 3.00 0.00 0.00
Deferred Receiveable (not due within 1 year) ###
Margin Money with Banks 81.10 3.55 35.00 5.00 5.00
Other loans and advances (non current in nature) ###
Other Non Currrent Assets 3.50 3.50 3.50 3.50 3.50
Total investments 84.60 10.95 41.50 8.50 8.50

Deferred Tax Asset ###

4
 Output Sheet
Current Assets

Inventory
Raw Materials - Imported 0.00 0.00 0.00 0.00 0.00
Raw Materials - Indigenous 0.00 0.00 0.00 0.00 0.00
Work in process 0.00 0.00 0.00 0.00 0.00
Finished Goods (incl Traded Goods) 65.55 104.21 162.38 185.00 200.00
Packing Materials/ Stores & Spares ###
Others ###
Sub total - Inventory 65.55 104.21 162.38 185.00 200.00

Debtors < 6 mths.

- Export ###
- Domestic 207.85 115.02 73.37 135.00 133.00
- Group Companies ###
Cash & Bank Balances 39.98 9.24 11.24 1.52 1.62

Loans & Advances:

Deposits ###
Advance payment of tax ###
Advances to suppliers ###
Other loans & advances (current in nature) 57.57 100.28 76.48 50.00 55.00
Deferred receivable (due within 1 yr.) ###
Loans & Advances to group concerns ###
Loans to Promoters/ Partners ###
Sub total - Loans and Advances 57.57 100.28 76.48 50.00 55.00
Margin money with banks ###
Sub total 0.00 0.00 0.00 0.00 0.00
Other Current Assets ###
Marketable Securities ###
Total Current Assets 370.95 328.75 323.47 371.52 389.62

Intangible Assets:
Goodwill ###
Patents & trademarks ###
Any other intangible ###
Gross Intangibles 0.00 0.00 0.00 0.00 0.00
Less : Accumulated Amoritisation ###
Net Intangibles 0.00 0.00 0.00 0.00 0.00

Miscellaneous & Preliminary Exp. Not w/off:

Accumulated Losses ###
Preliminary expenses ###
Miscellaneous expenditure ###
Other deferred revenue expenses ###

Sub total 0.00 0.00 0.00 0.00 0.00

TOTAL ASSETS 481.18 362.15 384.08 396.13 411.48
###
DIFFERENCE IN B/S 0.00 0.00 0.00 0.00 0.00
END OF P&L and BALANCE SHEET

5
Other Details Output Sheet
Repayment of Long term Loans 0.39

ADDITIONAL INFORMATION

Total Purchase of Asset

Cash Received on sal e of Assets
Contingent liabilities
Bills discounted - Under LC 0 0 0 0 0
Bills discounted - Others 0 0 0 0 0
Arrears of depreciation 0 0 0 0 0
Guarantees issued (relating to business) 0 0 0 0 0
Guarantees issued (for group companies) 0 0 0 0 0
Disputed Liabilities 0 0 0 0 0
Unhedged Forex Exposure (MTM Losses) 0 0 0 0 0
All other contingent liabilities 0 0 0 0 0
Total
GrossContingent Liabilities
Capital Expenditure (investment made in Gross Fixed assets during the 0 0 0 0 0
year)
Number of employees
Total Interest bearing debt 154.72 95.52 169.06 185.00 185.00
Capitalised Interest 0 0 0 0 0
Annual Operating Lease 0 0 0 0 0
Total Interest bearing debt 154.72 95.52 169.06 185.00 185.00
Information regarding sales volume
Licensed Capacity (in units) 0 0 0 0 0
Installed Capacity (in units) 0 0 0 0 0
Utilised Capacity (in units) 0 0 0 0 0

Information regarding sales volume

Domestic manufacturing sales 0 0 0 0 0
Export manufacturing sales 0 0 0 0 0
Domestic trading sales 0 0 0 0 0
Export trading sales 0 0 0 0 0
Total 0 0 0 0 0
Sales price realization (computed)
Domestic manufacturing sales
Export manufacturing sales
Domestic trading sales
Export trading sales

6
 Funds Flow Statement

FUND FLOW STATEMENTS ABC and Co.

2018 2019 2020 2021 2022

As per Balance Sheet as at --> Actuals Actuals Actuals Estimates Projection
LONG TERM

SOURCES

Net Profit after tax 5.57 2.76 3.42 4.00 5.00

Depreciation/ Amortisation 4.52 3.93 3.34 3.00 2.75

Sub-total : Funds generated from operations 10.09 6.69 6.76 7.00 7.75

Increase in Secured Loan 0.00 0.00 0.00 0.00 0.00

Increase in Unsecured Loan 0.00 57.56 0.00 0.00 0.00
Sale of assets 0.00 0.00 0.00 0.00 0.00

Decrease in Loans to shareholders + intangibles

+misc exp +accumulated losses+Deferred Tax Assets 0.00 0.00 0.00 0.00 0.00
Decrease in non current assets 0.00 73.65 0.00 33.00 0.00
Increase in Capital 0.00 0.00 0.00 4.00 5.00
Increase in share premium 0.00 0.00 0.00 0.00 0.00
Increase in subsidy + Revaluation reserve+other
reserves 0.00 0.00 0.00 0.00 0.00
Increase in General Reserves 0.00 0.00 0.00 0.00 0.00
Increase in P/L (net of retained earnings) 0.00 0.00 0.00 0.00 0.00
Increase in deferred tax liability 0.00 0.00 0.00 0.00 0.00
0 0.00 0.00 0.00 0.00 0.00
Decrase in CWIP 0.00 0.00 0.00 0.00 0.00
Total Long term sources 10.09 137.90 6.76 44.00 12.75

USES

Decrease in Secured Loan 0.00 0.00 0.00 0.00 0.00

Decrease in Unsecured Loan 0.00 0.00 5.57 0.00 0.00
Increase in Fixed Assets 0.00 0.75 0.00 0.00 0.00

Increase in Loans to shareholders + intangibles +misc

exp +accumulated losses+Deferred Tax Assets 0.00 0.00 0.00 0.00 0.00
Increase in other non current assets 0.00 0.00 30.55 0.00 0.00
Dividend payment, Tax, Appropriations, Partners
Withdrawal 0.00 0.75 1.06 1.25 1.75
Withdrawal/ Reduction of capital 0.00 2.34 3.61 0.00 0.00
Decrease in subsidy + Revaluation reserve+other
reserves 0.00 0.00 0.00 0.00 0.00
Decrease in share premium 0.00 0.00 0.00 0.00 0.00
Decrease in General Reserves 0.00 2.01 2.36 2.75 3.25
Decrease in P/L (net of retained earnings) 0.00 0.00 0.00 0.00 0.00
Decrease in deferred tax liability 0.00 0.00 0.00 0.00 0.00
0 0.00 0.00 0.00 0.00 0.00
Increase in CWIP 0.00 0.00 0.00 0.00 0.00
Total Long Term uses 0.00 5.85 43.15 4.00 5.00

Long term surplus/deficit 10.09 132.05 -36.39 40.00 7.75

SHORT TERM
Sources
Decrease in current assets 0.00 42.20 5.28 0.00 0.00
Increase in current liabilities other than bank
borrowings 0.00 0.00 0.00 0.00 10.35
Other short term sources 0.00 0.00 0.00 0.00 0.00
Total Short term sources 0.00 42.20 5.28 0.00 10.35
Uses
Increase in current assets 0.00 0.00 0.00 48.05 18.10
Decrease in current liabilities other than bank
borrowings 0.00 115.44 42.43 7.89 0.00
Other short term uses 0.00 0.00 0.00 0.00 0.00
Total Short term uses 0.00 115.44 42.43 55.94 18.10

Incr./Decr. in working capital gap 0.00 73.24 37.15 55.94 7.75

Net Surplus/deficit 10.09 58.81 -73.54 -15.94 0.00

Incr./Decr. in bank borrowings 0.00 -58.81 73.54 15.94 0.00

Current Ratio 0.92 1.43 1.24 1.38 1.40

Decrease in bank borrowings 0.00 58.81 0.00 0.00 0.00

Increase in bank borrowings 0.00 0.00 73.54 15.94 0.00

7
 ABC and Co.
Cash Flow Statement 2018 2019 2020 2021 2022
Income from Operating Activity
Increase in balance as per B/S 0.00 0.00 0.00 0.00 0.00
Add: Transfer To General Reserve 0.00 0.00 0.00 0.00 0.00
Add: Transfer To Other Reserves 0.00 0.00 0.00 0.00 0.00

Add:Accumulated Losses and other intangibles

written off & Deffered Tax Assets 0.00 0.00 0.00 0.00 0.00
Add: Depriciation/ amortisation charged for the
year 0.00 3.93 3.34 3.00 2.75
Add: Provision for Dividend 0.00 0.00 0.00 0.00 0.00
Add: Preliminary Expenses Written off 0.00 0.00 0.00 0.00 0.00
Add: Provision for Tax 0.00 1.18 1.32 1.25 1.50

Increase / Decrease in Deffered Tax Liability 0.00 0.00 0.00 0.00 0.00
Decrease/ Increase in Current Assets 0.00 11.46 7.28 -57.77 -18.00
Increase / Decrease in Current Liability 0.00 -174.25 31.11 8.05 10.35
Less: Tax Paid 0.00 1.18 1.32 1.25 1.50

Total Cash Flow from Operating activities 0.00 -158.86 41.73 -46.72 -4.90

Income from investing activities

Sale / Purchase of Fixed Assets 0.00 -0.75 0.00 0.00 0.00
Sale / Purchase of Investment and other Non
Current Assets 0.00 73.65 -30.55 33.00 0.00

Decrease / Increase in Capital Work in Progress 0.00 0.00 0.00 0.00 0.00

Withdrawal / Additional investment in group cos. 0.00 0.00 0.00 0.00 0.00

Total Cash Flow from Investing Activities 0.00 72.90 -30.55 33.00 0.00

Income From Financing Activity

Issue/(buy back) of equity shares 0.00 -2.34 -3.61 4.00 5.00
Issue / (Redemption) of preference share 0.00 0.00 0.00 0.00 0.00

Loan received/ paid (secured Term liabililities) 0.00 0.00 0.00 0.00 0.00
Loan received/ paid (unsecured Term liabililities
other than Pref Share) 0.00 57.56 -5.57 0.00 0.00
Dividend Paid 0.00 0.00 0.00 0.00 0.00

Total Cash Flow from Financing Activities 0.00 55.22 -9.18 4.00 5.00

Cash Balance at the beginning of the year 0.00 39.98 9.24 11.24 1.52
Total Cash Flow 0.00 -30.74 2.00 -9.72 0.10
Cash Balance at the end of the year 0.00 9.24 11.24 1.52 1.62
Cash Balance at the end of the year as per
B/s 0.00 9.24 11.24 1.52 1.62
 Assessment of MPBF

COMPARATIVE STATEMENT OF CURRENT ASSETS AND CURRENT LIABILITIES

ABC and Co.

2018 2019 2020 2021 2022
Projections given by
Actuals Actuals Actuals Estimates the Company
Turnover : Net Sales 2045.21 2841.15 2138.64 2150.00 2300.00

CURRENT ASSETS

Raw Materials 0.00 0.00 0.00 0.00 0.00

[Month's consumption] 0.00 0.00 0.00 0.00 0.00

Work in Progress 0.00 0.00 0.00 0.00 0.00

[ Months' cost of production] 0.00 0.00 0.00 0.00 0.00

Finished Goods 65.55 104.21 162.38 185.00 200.00

(Month's cost of goods sold) 0.39 0.45 0.93 1.06 1.07

Packing, Stores & Consumables 0.00 0.00 0.00 0.00 0.00

Domestic Receivables 207.85 115.02 73.37 135.00 133.00

[ Months' Domestic Sales] 1.22 0.49 0.41 0.75 0.69

Export receivables 0.00 0.00 0.00 0.00 0.00

[ Months' Export Sales] #DIV/0! #DIV/0! #DIV/0! #DIV/0! #DIV/0!

(Total receiveables -Including Non

current- Months Sales) 1.22 0.50 0.43 0.75 0.69

Other current Assets 0.00 0.00 0.00 0.00 0.00

Cash and Bank 39.98 9.24 11.24 1.52 1.62

Loans, advances & Deposits etc 57.57 100.28 76.48 50.00 55.00

Deferred Receivable 0.00 0.00 0.00 0.00 0.00

TOTAL CURRENT ASSETS 370.95 328.75 323.47 371.52 389.62

CURRENT LIABILITIES

Trade Creditors 241.11 132.24 83.34 75.00 85.00

[ Months' purchase] 1.48 0.56 0.47 0.42 0.45

Trade Creditors for Exp 0.00 0.30 0.15 0.25 0.35

Loans & advances 0.00 0.00 0.00 0.00 0.00

Statutory liabilities due within one year 8.01 1.53 8.15 8.50 8.75

Provisions
- Tax 0.00 0.00 0.00 0.00 0.00
- Dividend 0.00 0.00 0.00 0.00 0.00
-Others 0.00 0.00 0.00 0.00 0.00

Others 0.00 0.00 0.00 0.00 0.00

LT Liabilities due within one year 0.39 0.00 0.00 0.00 0.00

TOTAL CURRENT LIABILITIES (other

than Bank Borrowings) 249.12 134.07 91.64 83.75 94.10
COMPUTATION OF MAXIMUM
PERMISSIBLE BANK FINANCE

Total Current Assets (A) 370.95 328.75 323.47 371.52 389.62

Total Current Liabilities (B) 249.12 134.07 91.64 83.75 94.10

(other than bank borrowings)

Working Capital Gap (C = A-B) 121.83 194.68 231.83 287.77 295.52

Minimum Stipulated NWC (D) 92.74 82.19 80.87 92.88 97.41

(25% of total current assets excluding
export receivables)

Actual/Projected net working capital (E) -32.50 99.16 62.77 102.77 110.52

Item C minus Item D 29.09 112.49 150.96 194.89 198.11

Item C minus Item E 154.33 95.52 169.06 185.00 185.00

Maximum Permissible Bank Finance 29.09 95.52 150.96 185.00 185.00

(lower of the above two figures)

Excess borrowing representing 125.24 0.00 18.10 0.00 0.00

shortfall in NWC

9
 Common Size Statements

COMMON SIZE STATEMENT -VERTICAL

ABC and Co. 2018 2019 2020 2021 2022
Profit & Loss a/c

Gross Sales 100.00 100.00 100.00 100.00 100.00

Domestic sales/ gross sales 100.00 100.00 100.00 100.00 100.00
Export sales/gross sales 0.00 0.00 0.00 0.00 0.00
Net Sales 2045.21 2841.15 2138.64 2150.00 2300.00
Net Manufacturing Sales 0.00 0.00 0.00 0.00 0.00
Raw material consumed/ Net mfg sales NA NA NA NA NA
Power & Fuel / Net mfg sales NA NA NA NA NA
Direct Labour/ Net mfg sales NA NA NA NA NA
Other mfg. Expenses/ Net mfg sales NA NA NA NA NA
Selling expenses / Net sales 0.45 0.17 0.39 0.39 0.39
Administrative & General Expenses / Net sales 0.24 0.20 0.29 0.29 0.28
Interest & Fin charges/ Net sales 0.53 1.03 1.27 1.16 1.09
Other operating income / Net sales 0.00 0.00 0.03 0.00 0.00
Non-operating income / Net sales 0.00 0.18 0.00 0.00 0.00
Imported RM / Total RM NA NA NA NA NA

Cost of Production / Net sales 0.22 0.14 0.16 0.14 0.12

Cost of Goods sold / Net sales 98.35 98.58 97.77 97.82 97.87
Cost of Sales / Net sales 99.16 99.01 98.54 98.59 98.63
Gross Profit Margin 1.87 1.56 2.39 2.32 2.25
Operating Profit Margin 0.84 0.99 1.49 1.41 1.37
PBDIT Margin 1.06 1.13 1.65 1.55 1.49
PBDT Margin (after interest) 0.53 0.28 0.38 0.38 0.40
PBT Margin 0.31 0.14 0.22 0.24 0.28
PBT excl Extraordinary items / Net sales 0.31 0.14 0.22 0.24 0.28
Net profit/ Net sales 0.27 0.10 0.16 0.19 0.22

Balance Sheet

Total Liabilities = Total Assets

Current Bank Borrowings/Total Liabilities 32.07 26.38 44.02 46.70 44.96
Sundry Creditors/Total Liabilities 50.11 36.52 21.70 18.93 20.66
TL payable within one year /Total Liabilities 0.08 0.00 0.00 0.00 0.00
Other Current Liabilities/Total Liabilities 1.66 0.51 2.16 2.21 2.21
Term Liabilities (over one year) / Total Liabilities 0.00 0.00 0.00 0.00 0.00
Tangible Net Worth/Total Liabilities 10.99 13.96 12.22 12.86 13.60
Total Current Liabilities / Total Liabilities 83.93 63.40 67.88 67.84 67.83

Cash & Bank balances / Total Assets 8.31 2.55 2.93 0.38 0.39
Raw Materials/Total Assets 0.00 0.00 0.00 0.00 0.00
Stock in Progress/Total Assets 0.00 0.00 0.00 0.00 0.00
Fin Goods/Total Assets 13.62 28.78 42.28 46.70 48.61
Total inventory / Total Assets 13.62 28.78 42.28 46.70 48.61
Receivables/Total Assets 43.20 31.76 19.10 34.08 32.32
Other Current Assets/Total Assets 11.96 27.69 19.91 12.62 13.37
Total Current Assets / Total Assets 77.09 90.78 84.22 93.79 94.69
Net Block/Total Assets 5.33 6.20 4.98 4.07 3.25
Investment in Subsidiaries/Total Assets 0.00 0.00 0.00 0.00 0.00
Other non-current assets / Total Assets 17.58 3.02 10.81 2.15 2.07
Intangible Assets/Total Assets 0.00 0.00 0.00 0.00 0.00
Other Investments / Total Assets 17.58 3.02 10.81 2.15 2.07

10
 Common Size Statements

COMMON SIZE STATEMENT -HORIZONTAL

Profit & Loss a/c

Gross Sales 100.00 138.92 75.27 100.53 106.98

Domestic sales 100.00 138.92 75.27 100.53 106.98
Export sales 100.00 NA NA NA NA
Net Sales 100.00 138.92 75.27 100.53 106.98
Other operating income 100.00 NA NA 0.00 NA
Non-operating income 100.00 NA 0.00 NA NA
Net Manufacturing Sales 100.00 NA NA NA NA
Raw material consumed 100.00 NA NA NA NA
Power & Fuel 100.00 NA NA NA NA
Direct Labour 100.00 NA NA NA NA
Other mfg. Expenses 100.00 NA NA NA NA
Cost of Production 100.00 86.95 84.99 89.82 91.67
Cost of Goods sold 100.00 139.24 74.66 100.59 107.03
Selling expenses 100.00 51.09 178.72 100.60 106.51
Administrative & General Expenses 100.00 113.41 111.29 100.64 104.00
Interest & Fin charges 100.00 270.96 93.19 91.84 100.00
Cost of Sales 100.00 138.71 74.91 100.59 107.02
Gross Profit 100.00 115.60 115.14 97.61 103.92
Operating Profit 100.00 163.37 113.74 94.65 104.13
PBDIT 100.00 147.47 110.21 94.19 103.01
PBDT (after interest) 100.00 71.94 102.67 102.10 112.12
PBT 100.00 61.37 120.30 110.76 123.81
PBT excl Extraordinary items 100.00 61.37 120.30 110.76 123.81
Net profit 100.00 49.55 123.91 116.96 125.00

Balance Sheet
Total Liabilities = Total Assets
Current Bank Borrowings 100.00 61.89 176.99 109.43 100.00
Sundry Creditors 100.00 54.85 63.02 89.99 113.33
TL payable within one year 100.00 0.00 NA NA NA
Other Current Liabilities 100.00 22.85 453.55 105.42 104.00
Term Liabilities (over one year) 100.00 NA NA NA NA
Tangible Net Worth 100.00 95.58 92.86 108.52 109.81
Total Current Liabilities 100.00 56.85 113.55 103.09 103.85

Cash & Bank balances 100.00 NA NA NA NA

Raw Materials 100.00 NA NA NA NA
Stock in Progress 100.00 NA NA NA NA
Fin Goods 100.00 158.98 155.82 113.93 108.11
Total inventory 100.00 158.98 155.82 113.93 108.11
Receivables 100.00 55.34 63.79 184.00 98.52
Other Current Assets 100.00 174.19 76.27 65.38 110.00
Total Current Assets 100.00 88.62 98.39 114.85 104.87
Net Block 100.00 87.59 85.12 84.30 82.93
Investment in Subsidiaries 100.00 NA NA NA NA
Other non-current assets 100.00 12.94 379.00 20.48 100.00
Intangible Assets 100.00 NA NA NA NA
Other Investments 100.00 12.94 379.00 20.48 100.00

11
 Ratios

FINANCIAL RATIOS ABC and Co.

2018 2019 2020 2021 2022

Audited Audited Audited Provisional Projections
(all in %)
Growth in net sales (CAGR) 0.00% 0.00% 1.50% -8.87% 2.45%
Growth in net sales (%) 0.00 38.92 -24.73 0.53 6.98
Growth in EBITDA (%) 0.00% 47.47% 10.21% -5.81% 3.01%
Growth in net profit 0.00% -50.45% 23.91% 16.96% 25.00%
Growth in net worth 0.00% -4.42% -7.14% 8.52% 9.81%
Export Sales / Total Sales 0.00% 0.00% 0.00% 0.00% 0.00%
Local Sales/Total Sales 100.00% 100.00% 100.00% 100.00% 100.00%
Trading sales/ Total sales 100.00% 100.00% 100.00% 100.00% 100.00%
Manufacturing Sales/Total Sales 0.00% 0.00% 0.00% 0.00% 0.00%
Growth in Operating Profit Margin (%) CAGR 0.00% 0.00% 15.83% 11.11% -3.37%
Growth in PAT Margin (CAGR) 0.00% 0.00% -16.26% 24.18% 10.78%

Liquidity Ratios:
Current ratio 0.92 1.43 1.24 1.38 1.40
Quick ratio 0.76 0.98 0.62 0.69 0.68

Turnover Ratios: (in mnths)

Inventory Turnover NA 0.36 0.76 0.99 1.03
Trade Debtors Turnover 1.22 0.50 0.43 0.75 0.69
Working Capital Management (Stocks+Debtors/Net Sales) 48.7925445308795 28.6653115815779 40.7472739685034 54.325581395349 52.845652173913
Trade Creditors Turnover (RM) 1.48 0.56 0.47 0.42 0.45
Fixed assets Turnover 0.15 0.09 0.11 0.09 0.07
Total Assets Turnover 69.81 44.99 58.17 64.91 63.08
Working Capital finance to turnover 13.25 29.74 12.65 11.62 12.43

Leverage Ratios:
Debt-Equity 0.46 1.62 1.63 1.50 1.37
TOL/TNW 8.10 6.16 7.18 6.77 6.35
Term Liabilities / Cash Profits 2.42 12.26 11.31 10.92 9.86
TL Interest / Term Borrowings 0.00 0.00 0.00 0.00 0.00
WC interest / WC borrowings 0.00 0.00 0.00 0.00 0.00
Interest bearing Debt/EBITDA 7.12 2.98 4.79 5.56 5.40
Networth/ Adjusted Total Assets 0.11 0.14 0.12 0.13 0.14
Tangible Networth/ Total Assets 0.11 0.14 0.12 0.13 0.14
Interest Bearing Debt/TNW 2.92 1.89 3.60 3.63 3.31
Contingency to Networth 0.00
Own+Asso Means/ Total Assets 0.16 0.35 0.32 0.32 0.32
Total Debt (interest bearing debt)/ Net cash flows 15.33 14.28 25.01 26.43 23.87
Adjusted Interest bearing Debt/ Adjusted TNW 2.00 0.75 1.37 1.45 1.40
Adjusted TOL/ Adjusted TNW 5.22 1.85 2.11 2.11 2.11

Coverage Ratios :
Interest coverage 2.01 1.10 1.30 1.33 1.37
DSCR 1.94 1.21 1.25 1.28 1.31
Total Debt (interest bearing debt)/ Net cash flows 15.33 14.28 25.01 26.43 23.87

Profitability Ratios (all in %)

Material cost / Net Mfg. Sales NA NA NA NA NA
Gross Margin 1.87% 1.56% 2.39% 2.32% 2.25%
Operating Margin 0.84% 0.99% 1.49% 1.41% 1.37%
PBDIT Margin 1.06 1.13 1.65 1.55 1.49
PBDT Margin (after interest) 0.53 0.28 0.38 0.38 0.40
PBT Margin 0.31% 0.14% 0.22% 0.24% 0.28%
PBT (excl Extraordinary items) Margin 0.31% 0.14% 0.22% 0.24% 0.28%
PAT Margin 0.27 0.10 0.16 0.19 0.22
Return on Capital Employed 8.28 19.24 14.80 12.82 13.07
Return on Networth 10.53% 5.46% 7.28% 7.85% 8.94%
Interest / Sales 0.53% 1.03% 1.27% 1.16% 1.09%
Net Margin 0.27 0.10 0.16 0.19 0.22
Retention Ratio 100.00% 100.00% 100.00% 100.00% 100.00%
Payout ratio 0.00% 0.00% 0.00% 0.00% 0.00%

Holding period
Debtors holding period (in months) 1.22 0.69 0.55 0.59 0.70
Creditors holding (in months) 1.48 0.79 0.60 0.45 0.42
RM holding in months 0 0 0 0 0
WIP holding in months 0.00 0.00 0.00 0.00 0.00
FG holding in months 0.55 0.36 0.76 0.99 1.03

12
 ABC and Co.
Rs. In lacs
Parameter 2018 2019 2020 2021 2022
Audited Audited Audited Provisional Projections
No. of months 12 12 12 12 12
Profitability Analysis
Net Sales 2,045.21 2,841.15 2,138.64 2,150.00 2,300.00
Other Operating income - - 0.69 - -
Total Operating Income 2,045.21 2,841.15 2,139.33 2,150.00 2,300.00
Top line Growth Rate (%) - 38.92 (24.73) 0.53 6.98
CAGR of net sales (%) - - 1.50 (8.87) 2.45
Gross Profit 38.33 44.31 51.02 49.80 51.75
Gross Profit/TOI ( %) 1.87% 1.56% 2.39% 2.32% 2.25%
EBIDTA 21.72 32.03 35.30 33.25 34.25
EBIDTA / TOI (%) 1.06 1.13 1.65 1.55 1.49
Depreciation/ Amortisation 4.52 3.93 3.34 3.00 2.75
Interest 10.78 29.21 27.22 25.00 25.00
Operating profit before tax 6.42 (1.11) 4.74 5.25 6.50
Non Operating income - 4.97 - - -
Non Operating expenses - - - - -
Prior period adjustment/ extraordinary items - 0.08 - - -
PBT 6.42 3.94 4.74 5.25 6.50
Tax 0.85 1.18 1.32 1.25 1.50
Minority Interest - - - - -
PAT 5.57 2.76 3.42 4.00 5.00
PAT / TOI (%) 0.27 0.10 0.16 0.19 0.22
Net Cash Accruals(NCA) 10.09 6.69 6.76 7.00 7.75
ROCE% 8.28 19.24 14.80 12.82 13.07

Balance Sheet Analysis

Gross Fixed Assets (net of revaln reserves) 30.15 30.90 30.90 30.90 30.90
Net Fixed Assets 25.63 22.45 19.11 16.11 13.36
Capital WIP - - - - -
Tangible Networth(TNW) 52.90 50.56 46.95 50.95 55.95
Subordinated loans 24.44 76.43 76.43 76.43 76.43
Interest bearing - - - - -
Non Interest bearing 24.44 76.43 76.43 76.43 76.43
Minority Interest - - - - -
Adjusted ATNW (including subordinated loans)
77.34 126.99 123.38 127.38 132.38
Long Term Debt( LTD) -Interest bearing (other than
subordinated loans) - - - - -
Other Long Term Debt - 5.57 - - -
Deferred Tax liability - - - - -
Short Term Debt(STD) - Interest bearing 0.39 - - - -
Working Capital Bank Finance 154.33 95.52 169.06 185.00 185.00
Total Debt (int. bearing debt) 154.72 95.52 169.06 185.00 185.00
Total Current Assets 370.95 328.75 323.47 371.52 389.62
Total Current Liabilities 403.84 229.59 260.70 268.75 279.10
Net Working Capital (32.89) 99.16 62.77 102.77 110.52
Other Long term assets/ non current assets 84.60 10.95 41.50 8.50 8.50

Leverage Ratios
Total Debt / TNW ( Gearing ) 2.92 1.89 3.60 3.63 3.31
LTD(including subordinated)/ TNW - - - - -
TOL / TNW ( Leaverage) 8.10 6.16 7.18 6.77 6.35

Total Debt / ATNW ( Gearing ) 2.00 0.75 1.37 1.45 1.40

LTD / ATNW - - - - -
ATOL / ATNW ( Leavergage) 5.22 1.85 2.11 2.11 2.11

Coverage Ratios
Total Debt / EBIDTA 7.12 2.98 4.79 5.56 5.40
Total Debt / NCA 15.33 14.28 25.01 26.43 23.87
LTD / NCA - - - - -

Repayment Capacity Ratios

Current Ratio 0.92 1.43 1.24 1.38 1.40
Interest Coverage Ratio 2.01 1.10 1.30 1.33 1.37
DSCR 1.94 1.21 1.25 1.28 1.31

Activity Ratio
Debtors Amount 207.85 118.92 76.37 135.00 133.00
Debtors (months) 1.22 0.69 0.55 0.59 0.70
Raw Materials - - - - -
RM holding in months 0 0 0 0 0
WIP - - - - -
WIP holding in months - - - - -
Finished goods 65.55 104.21 162.38 185.00 200.00
FG holding in months 0.55 0.36 0.76 0.99 1.03
Creditors 241.11 132.24 83.34 75.00 85.00
Creditors months 1.48 0.79 0.60 0.45 0.42
Net Working Capital Cycle (in months) 0.29 0.26 0.71 1.13 1.30
Working Capital finance to turnover 13.25 29.74 12.65 11.62 12.43
 ABC and Co.
TRANSACTION HISTORY
As per account with other banks in case of new connections and major account in
case multiple accounts maintained
Value statements Range Total Company Score
Score
Inward Cheque Bounce due to insufficient funds, history - six months
up to 2 Cheque bounce 4
up to 6 Cheque bounce 2
more than 6 0 4 4
1
Credit summations (six months) annualized as % age of yearly sales turnover
excluding contra entries of cheque returns etc.
> 70 % of turnover 4
50 to 70 % 2
< 50 % > 20 % -20
< 20 % -20 4 2
1
Funded Exposure Utilisation Levels
Less than 70% 4
Less than 85% 3
Less than 90 % 1
More than 90 % or new to bank( first time limits) 0 4 4
1
No of credits transactions in last six months
> 120 4
60 - 120 3
24 - 60 2
=<24 0 4 4
1
No of times/OD/TL is irregualr/over limit in last 6 months
Nil Times 4
1 time 3
2 times 1
3 times 0 4 1
1
TOTAL SCORE 20 15
 ABC and Co.
BUSINESS RISK
Value statements Range Total Company
Score Score
Product Range -Wide is defined as >= 5 products. (products that are substitutable or do not contribute more than 5 %
to the turnover to be excluded, multiple brands to be excluded) In case of manufacturers and wholesale dealer of any
particular product and Government Contractors, a score of 3 to be given
Wide 4
Limited 2
Single 1 4 2
1
Suppliers Risk

Existing supplier has relationship of more than 5 years (e.g. in case of sole selling agent/
stockiest)/ Large number of suppliers are available for the commodities dealt by the party 4

Existing supplier has relationship between 3 to 5 years (e.g. in case of sole selling agent/
stockiest)/Adequate number of suppliers are available for the commodities dealt by the party 3
Existing supplier has relationship between 1 to 3 years (e.g. in case of sole selling agent/
stockiest)/Suppliers chain is scare for the commodities dealt by the party 2
Existing supplier has relationship of less than 1 year (e.g. in case of sole selling agent/
stockiest)/ Dependency on 1-2 suppliers 1
New concern 0 4 3
1
Customer Concentration ( Number of clients) - For borrowers with single reputed corporate client, score of 3 to be
given
Number of Clients > 20 4
Number of Clients > 10 and < 20 2
Number of Clients <10 1 4 4
1
Entity Type
Limited / Pvt. Ltd. 4
Registered Partnership/Proprietorship 2
4 2
1
Product - Market Enviornment
Monopoly & stable 4
Competitive yet stable 2
Highly competitive & unstable 1 4 2
1
TOTAL SCORE 20 13
 ABC and Co.
FINANCIAL RISK
Value statements Range Total Company Score
Score
Sales trend and EBIDTA trend
If both grows more than 20%: 5 Borrower ratio
If any one of them falls between 5% to 20% 3 Sales growth -24.73
If any one of them falls less than 5% 1 EBITDA growth 10.21%
(-) Growth 0 5 0
1
Total Own Means (TNW+QE) / Total Assets
> = 0.40 5 Borrower ratio
0.25 < 0.40 4 0.32
0.15 < 0.25 2
0.12 < 0.15 1
Less than 0.12 0 5 4
1
TNW Trend
> 20 % growth 5 Borrower ratio
5 to 20% growth 3 -7.14%
< 5% growth 1
(-) Growth 0 5 0
1
Interest Coverage Ratio
> 3 times 5 Borrower ratio
between 1.5 to 3 times 3 1.30
=< 1.5 1 5 1
1
Total Debt to Net Cash Accrual
Less than or equal to 4 5 Borrower ratio
Between 4 to 8 3 25.01
More than 8 1 5 1
1
Current Ratio
>= 1.33 5 Borrower ratio
Between 1.00 to 1.33 3 1.24
<1.00 0 5 3
1
Working Capital Management (in days)
< 90 days 5 Borrower ratio
91days to 120 days 4 40.75
121 days to 150 days 3
151 days to 180 days 2 5 5
Over 180 days 1 1

PAT/Sales
Above 5 % 5 Borrower ratio
Between 2 to 4.99 % 4 0.16
Between 1 to 1.99 % 2
Between 0 to .99 % 1 5 1
Losses 0 1
TOTAL SCORE 40 15
 ABC and Co.
OWNERSHIP / MANAGEMENT RISK
Value statements Range Total Score Company Score
Managerial / Promoter Vintage
> 10 yrs 5
5 to 10 yrs 4
2 to 5 yrs 2
< 2 yrs 1
New borrower 0 5 5
1
Management Commitment
Sole business Interest of the promoter 5
Promoter has firms in other businesses 3
Promoter has firms in exactly same business 1 5 1
1
Aggregate Net Worth of all the borrowers (backed by Net Worth Statement)
150 - 200 % of facility sought 5
100 - 150 % of facility sought 3
< 100 % of facility sought 1 5 3
1
Trade Reference (from suppliers) & corporate Guarantee
Good trade reference and corporate guarantee of parent with good
financials 5
Average trade reference and with corporate guarantee of parent
with good finacials 3

Good trade reference and with no corporate guarantee of parent 1

Average trade reference and with no corporate guarantee of parent 0 5 1

1
TOTAL SCORE 20 10
 Scoring Model for Business Banking Loan
ABC and Co.
Risk Category Risk Factors Weight Score

Transaction Risk Total Transaction History 20% OK

Cheque Bouncing 4 4
Credit Summations 4 2
Account Vintage 4 4
Number of Credit Transactions 4 4
Information Quality 4 1
Total 20 15

Business Risk Total Business Risk 20% OK

Product Range 4 2
Suppliers Risk 4 3
Coustomer Concertration 4 4
Entity Type 4 2
Product - Market Enviornment 4 2
Total 20 13

Management Risk Total Management Risk 20% OK

Managerial / Promoter Vintage 5 5
Management Commitment 5 1
Aggregate Net Worth 5 3
Trade Reference 5 1
Total 20 10

Financial Risk Total Financial Risk 40% REJECT

Sales and EBITDA Trend 5 0
Total means/ Total assets 5 4
TNW Trend 5 0
Interest Coverage Ratio 5 1
Total Debt / Net Cash Accruals 5 1
Current Ratio 5 3
Working Capital Mgmt T/o 5 5
PAT/Sales 5 1
40 15

Final Score 100 53

Result REJECT
Category CATEGORY2
Grade BB5

Relationship Manager : Credit Analyst :