Index
Sl. No.
Content
Page No.
About The Company
10 Years EPS, DPS, Book & Market Value Per Share
Growth Rate, Payout Ratio And Cost of Equity
Weighted average cost of capital (Book value & Market value weights)
Audited B/S and Required Notes on Accounts
Appendix
Mahindra & Mahindra Ltd. Financial Data of Last 10 years
Appendix
About Mahindra & Mahindra Ltd.
Source: http://www.mahindra.com
Founded in 1945 as a steel trading company, we entered automotive manufacturing in 1947 to bring
the iconic Willys Jeep onto Indian roads. Over the years, weve diversified into many new businesses
in order to better meet the needs of our customers. We follow a unique business model of creating
empowered companies that enjoy the best of entrepreneurial independence and Group-wide
synergies. This principle has led our growth into a US $16.2 billion multinational group with more
than 180,000 employees in over 100 countries across the globe.
Today, our operations span 18 key industries that form the foundation of every modern economy:
aerospace, aftermarket, agribusiness, automotive, components, construction equipment, consulting
services, defense, energy, farm equipment, finance and insurance, industrial equipment, information
technology, leisure and hospitality, logistics, real estate, retail, and two wheelers.
Our federated structure enables each business to chart its own future and simultaneously leverage
synergies across the entire Groups competencies. In this way, the diversity of our expertise allows
us to bring our customers the best in many fields.
Mahindra & Mahindra Limited / Mahindra Rise
Type
Traded as
Industry
Founded
Headquarters
Area served
Key people
Products
Revenue
Net income
Total assets
Employees
Parent
Subsidiaries
Website
Public
BSE: 500520
BSE SENSEX Constituent
Automotive
1945 (Ludhiana)
Mumbai, Maharashtra, India
Worldwide
Anand Mahindra (MD)
Automobiles, commercial vehicles, two-wheelers
Rs. 598.53 billion(US$9.2 billion) (2012)
Rs. 31.26 billion(US$480 million) (2012)
Rs. 483.50 billion(US$7.4 billion) (2012)
15,147 (2012)[2]
Mahindra Group
Mahindra Two Wheelers limited
SsangYong Motor Company
www.Mahindra.com
Last 10 Years EPS, DPS, and Book Value Per share &
Market Value per Share
1. Table Showing EPS of Last 10 years:
Year
12-13
11-12
10-11
09-10
08-09
07-08
06-07
05-06
04-05
03-04
EPS
54.61
46.89
43.36
36.89
30.69
46.15
44.88
36.72
45.92
30.04
EPS=Earnings Per Share
Graph Showing EPS
60
Amount in Rupees
50
40
30
20
10
0
Earnings Per Share
Face Value
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
30.04
45.92
36.72
44.88
46.15
30.69
36.89
43.36
46.89
54.61
10
10
10
10
10
10
Axis Title
Earnings Per Share
Face Value
2. Table Showing DPS of Last 10 years
Year
12-13
11-12
10-11
09-10
08-09
07-08
06-07
05-06
04-05
03-04
F.V
10
10
10
10
10
10
Div %
260%
250%
230%
190%
100%
115%
DPS
13
12.5
11.5
9.5
10
11.5
11.5
10
13
DPS=Dividend Per share, F.V: face Value of a share
Interpretation: Company did not pay dividend in continuous 4 year because
company was expanding its business and utilized the profit instead of paying
dividend. Resultantly share prices were gone up in share market and shareholder
wealth was maximized.
RELATIVE GRAPH FOR FACE VALUE, DIV % & DPS
300
250
VALUE IN RUPEES
200
150
100
50
0
2004
2005
2006
2007
2008
2009
Face Value
10
10
10
Dividend Per Share
13
10
Dividend %
10
10
10
11.5
11.5
10
9.5
11.5
12.5
13
115
100
190
230
250
260
AXIS TITLE
2010
2011
2012
2013
3.Table Showing Book Value Per Share of Last 10 years
Year 12-13
B.V
11-12
10-11
09-10
08-09
07-08
06-07
05-06
04-05
03-04
238.75 198.23 167.99 138.02 191.91 181.43 148.72 124.06 178.95 151.73
B.v=Book Value
Comparision of Face Value & Book Value
300
Value in Rupees
250
200
150
100
50
0
Face Value
2004
10
Book Value (Rs) 151.73
2005
2006
2007
2008
2009
2010
2011
2012
2013
10
10
10
10
10
178.95
124.06
148.72
181.43
191.91
138.02
167.99
198.23
238.75
Axis Title
4. Table Showing Market Value Per share of Last 10 Years
Year
High
Low
MV
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
139.5
262.23
454.98
501
436
549.35
826.4
874.75
976
1026
89.5
105
244
304
117.75
129.4
475.13
585.1
621.1
740.15
114.5
183.615
349.49
402.5
276.875
339.375
650.765
729.925
798.55
883.075
HIGH-LOW & MARKET VALUE PER SHARE
1200
1000
PRICE OF SHARE
800
600
400
200
0
High
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
139.5
262.23
454.98
501
436
549.35
826.4
874.75
976
1026
Low
89.5
105
244
304
117.75
129.4
475.13
585.1
621.1
740.15
MV
114.5
183.615
349.49
402.5
276.875
339.375
650.765
729.925
798.55
883.075
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
Last 10 Years Growth Rate, Payout Ratio And Cost of
Equity by Div. Growth Model & CAPM
5. Table Showing Growth Rate of Last 10 years
1. Year
12-13
11-12
10-11
09-10
08-09
07-08 06-07 05-06 04-05 03-04
Div
260%
250%
230%
190%
100%
115%
115%
100%
130%
90
GR
4%
9%
21%
90%
-13%
0%
15%
23%
44%
GR=Growth Rate
6. Table Showing Payout Ratio of Last 10 years
Year 12-13
11-12
10-11
09-10
08-09
07-08
06-07
05-06
04-05
03-04
DPS
13
12.5
11.5
9.5
10
11.5
11.5
10
13
EPS
54.61
46.89
43.36
36.89
30.69
46.15
44.88
36.72
45.92
30.04
PR
23.8% 26.65% 26.52% 25.75% 32.58% 24.91% 25.62% 27.23% 28.31% 29.96%
PR= Payout Ratio
Payout Ratio= DPS/EPS
7. Calculation of Cost of Equity :
A. Dividend Growth Model
FORMULA= D1/P0 + g
where,
D1 = Dividend for next year
P0 = Current market price of the share
g = Growth
Ke = Cost of equity
D1
P0
F.V.
13
10
114.5 183.62 349.49
10
g (%)
11.5
11.5
402.5
10
9.5
11.5
12.5
13
276.88 339.4 650.77 729.93 798.55
883.075
10
10
10
10
10
0.44
-0.23
0.15
0.00
-0.13
-0.05
0.21
0.09
0.04
Ke (By Book Value)
1.30
1.44
0.92
1.30
1.00
0.82
2.25
2.71
2.69
Ke (By Market
Value)
0.11
0.50
-0.20
0.18
0.04
-0.10
-0.03
0.23
0.10
A. CAPM
MARKET SHARE
PRICE (Y)
NSE
(X)
Return NSE X
(% Change)
Return Share Y
(% Change)
899.92
5824.45
10.23
19.32
754.18
5283.83
-1.25
4.59
721.08
624.63
5350.90
5515.55
-2.99
41.89
15.44
82.40
342.44
3887.10
-11.78
24.38
275.33
4406.03
-9.49
-28.54
385.26
324.28
160.02
4867.90
3324.38
2372.55
46.43
40.12
36.78
18.81
102.64
40.52
113.88
1734.63
16.66
A=
XXmean
-6.43
17.91
19.65
25.23
28.44
26.15
29.77
23.46
20.12
16.66
B=
YYmean
11.74
26.47
15.62
51.34
-6.69
59.60
12.26
71.58
9.46
31.06
31.06
R s R f ( Rm R f )
Cost Of Equity
10.31
X2
75.47
104.69
474.23
1.57
306.91
1295.47
8.91
1755.08
190.14
138.71
1558.43
90.03
-364.93
1679.12
190.20
2155.79
1609.47
1352.47
517.53
0.00
Rf
5922.58 7216.73
Beta
Rf = 8.85% For 364 Days as per RBI
A*B
0.820673319
8.85
K= R+ (R- R)
Where R= Risk free Rate, R=Market Return, = systematic risk
R= Current Rate of return on 10 year Treasury bill=8.65%
R= 10.53% =Market Return
=0.8206 (as per calculation from NSE data)
K=8.65+0.8206(10.53-8.65) =10.31%
