17262948 Mahindra and Mahindra

8/8/2019 17262948 Mahindra and Mahindra

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Project On:

MAHINDRA &

MAHINDRA

Submitted To:

Professor Mrs Vani Kamath

Submitted By:

Kavita Bagayatkar

MBA - IB

Roll No:09


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Anand Mahindra to Co-Chairman


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CORE PURPOSE

'We don't have a group-wide mission statement. Our Core Purpose is what

makes all of us want to get up and come to work in the morning.'

- Anand G. Mahindra

Indians are second to none in the world. The Founders of our nation and ofour Company passionately believed this. We will prove them right by

believing in ourselves and by making Mahindra & Mahindra Limited known

world-wide for the quality of its products and services.


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CORE VALUES

Our Core Values are influenced by our past, tempered by our present, and willshape our future. They are an amalgam of what we have been, what we are and

what we want to be.

Good Corporate Citizenship

As in the past, we will continue to seek long term success, which is in alignment

with our country's needs. We will do this without compromising ethical business

standards.

Professionalism

We have always sought the best people for the job and given them the freedom

and the opportunity to grow. We will continue to do so. We will support innovation

and well reasoned risk taking, but will demand performance.


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Customer First

We exist and prosper only because of the customer. We will respond to the

changing needs and expectations of our customers speedily, courteously and

effectively.

Quality Focus

Quality is the key to delivering value for money to our customers. We will make

quality a driving value in our work, in our products and in our interactions with

others. We will do it 'First Time Right'. Quality is the key to delivering value for

money to our

Dignity of the Individual

We will value individual dignity, uphold the right to express disagreement and

respect the time and efforts of others. Through our actions, we will nurture fairness,

trust and transparency.

These values are the compass that will guide our actions, both personal and

corporate.


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Mahindra Group

Achieving New Milestones


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Globalization : Present across Five

Continents


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Mahindra Group : A US$ 6.7 B Indian

conglomerate with interests across the economic

spectrum

Automotive Sector

Infrastructure Development sector

Systems & Technologies Sector

IT Sector

Farm Equipment Sector

After Market Sector

Financial Services Sector

Trade, Retail & Logistics Sector


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BOARD OF DIRECTORS

NAME DESIGNATION

1. Mr. Keshub Mahindra Chairman

2. Mr. Anand G. Mahindra Vice Chairman and Managing

Director

3. Deepak Shantilal Parekh Director

4. NadirBurjorji Godrej Director

5. M. M. Murugappan Director

6. Bharat Narotam Doshi Executive Director & Group Chief

Financial Officer (Group CFO)

7. Arun Kumar Nanda Executive Director & Secretary

8. Narayanan Vaghul Director

9. Dr. Ashok Sekhar Ganguly Director

10. R. K. Kulkarni Director

11. Anupam Pradip Puri Director

12. Thomas Mathew T. Nominee of LIC


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Financial Statements

Balance Sheet as on March 31, 2006,

2007 and 2008


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Schedule 31-3-2006 31-3-2007 31-3-2008

SOUR ES OF FUNDS

SHAREH LDERS FU DS

Capital I 233.4 238.03 239.07

Employee Stock ptions utstanding 1.58 3.18 4

Reserves and Surplus II 2,673.88 3,311.70 4,107.00

2,908.87 3,552.91 4,350.07

L A FU DS

(a) Secured Loans III A 216.68 106.65 617.26

(b) Unsecured Loans III B 666.71 1,529.35 1,969.80

883.38 1,636.00 2,587.06

DEFERRED TAX LIABILITY ( et) 146.75 19.79 56.72

Total 3,939.00 5,208.70 6,993.85

APPLI ATION OF FUNDS :

FIXED ASSETS

Gross Block 2,885.52 3,229.69 3,656.13Less : Depreciation 1,510.27 1,639.12 1,841.68

et Block IV 1,375.26 1,590.57 1,814.45

CAPITAL W RK-I -PR GRESS 179.19 280.6 546.45

1,554.44 1,871.17 2,360.90

I VESTME TS V 1,669.09 2,237.46 4,215.06

CURRE T ASSETS, L A S A D ADVA CES

(a) Inventories VI A 878.74 878.48 1,084.11

(b) Sundry Debtors VI B 637.97 700.89 1,004.88

(c) Cash and Bank Balances VI C 730.3 1,326.07 861.23

(d) ther Current Assets VI D 3.14 3.31 13.27

(e) Loans and Advances VI E 498.9 839.42 691.88

2,749.06 3,748.17 3,655.37

CURRE T LIABILITIES A D PR VISI S

(a) Current Liabilities VII A 1,520.84 1,950.22 2,307.55

(b) Provisions VII B 530.8 715.43 943.46

2,051.64 2,665.65 3,251.01

ET CURRE T ASSETS 697.41 1,082.52 404.36

MISCELLA E US EXPE DITURE (T THE EXTE T T

WRITTE FF R ADJUSTED) VIII 18.05 17.55 13.53Total 3,939.00 5,208.70 6,993.85

NOTES ON A OUNTS XIV

Rupees in crores


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Profit and Loss Account

for the Year ended

March 31, 2006, 2007 and2008


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Schedule 31-3-2006 31-3-2007 31-3-2008

SALES - Traded and Manufactured Goods 9,113.66 10,940.50 12,371.03

Less : Excise Duty on Sales (Net) 1,124.90 1,336.78 1,566.39

Net Sales 7,988.77 9,603.72 10,804.64

Income from Operations and Other Income IX 337.77 617.52 867

Net Income 8,326.54 10,221.24 11,671.64

EXPENDITURE :

Raw Materials, Finished and Semi-finished Products X 5,713.76 6,827.93 7,725.91

Excise Duty 11.61 -2.14 18.18

Personnel XI 551.78 666.15 852.45

Interest, Commitment and Finance Charges (Net) XII -18.4 -67.45 24.24

Depreciation/Amortisation 200 209.59 238.66

Other Expenses XIII 1,004.03 1,318.57 1,608.96

7,462.79 8,952.65 10,468.40

Less : Cost of Manufactured Products Capitalised 26.53 47.1 46.49

7,436.26 8,905.55 10,421.91

Profit before provis ion for contingenc ies, exceptional items and taxation 890.28 1,315.69 1,249.73

Less : Provis ion for contingencies 78.45 8.16

Profit before exceptional items and taxation 889.49 1,315.69 1,241.57Add : Exceptional Items 210.01 121.99 165.2

Profit before taxation 1,099.50 1,437.68 1,406.77

Less : Provision for Tax - Current Tax (including Fringe Benefit Tax) 285.4 365.73 278.75

-Deferred Tax (Net) -43 -15.63 24.65

Profit for the year before prior period adjustments 857.1 1,087.58 1,103.37

Prior Period Adjustment (Net of Tax) 19.19

Profit for the year 857.1 1,068.39 1,103.37

Balance of Profit for earlier years 996.4 1,475.75 2,125.08

(Less)/Add : Transfer (to)/from Debenture Redemption Reserve 43.39 15.67 -16.88

996.83 1,491.42 2,108.20

Total of Profit and Loss Account balances shown above 1,853.94 2,559.81 3,211.57

Deduct : General Reserve 100 110 115

: Interim Dividend Paid 184.03

: Income Tax on Interim Dividend Paid 25.81

: Proposed Dividend 243.97 98.2 282.61

: Income Tax on Proposed Dividend 34.22 16.69 38.48

Balance for 2007-2008 and earlier years carried to Balance Sheet 1,475.74 2,125.08 2,775.48

EARNINGS PER SHARE

(Face value Rs. 10/- per share) (Rupees)

Basic 38.07 45.15 46.24Diluted 34.93 40.94 41.52

NOTES ON ACCOUNTS XIV

Rupees in crores


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COMPARISON -

PARAMETER

YEAR 2006-07 v/s

2005-06

YEAR 2007-08 v/s

2006-07

ANN AL SALES

GROWTH IN %

20.22 % 12.51 %

ANN AL INCOME

NET PROFIT

24.62 % 3.28 %

INCREASE INSO RCE OF FUNDS

(LOANS)

85.28 % 58.13 %

INCREASE INNET

ASSET

55.23 % (-)62.66 %


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MAHINDRA FOUNDATION

SOCIAL ACTIVITIES

The Mahindra Foundation has been set up with a specific objective: to

provide medical relief to the poor and needy sections of society. The

foundation has helped patients suffering from cancer, heart ailments aswell as burn victims. It has also been very active during national

calamities and disasters and has helped contribute and mobilize

resources. The foundation also extends its support to academia and

other professionals and sportsmen by helping them attend workshops

and conferences overseas.

The Mahindra Group has always been very responsive to any majordisaster in India. Whether it's been the tsunami or the Gujarat

earthquake, the Mahindra family has got together and always provided

support either by way of financial help or by way of sending vehicles,

supplying material or manpower.


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AWARDS & RECOGNITION

The Mahindra Group was honoured with nine communication awards at the

48th annual ABCI (Association of Business Communicators of India) awards

nite in Mumbai on Friday, 7th November 2008. These are among the most

prestigious communication awards in India. ABCI is a 52 year oldorganization committed to the cause of Business Communications. Mahindra

won in the following categories - External Magazine (Hello), Indian Language

Publications (Ingenious), Newsletter Design (Mahindra Newsletter), Brochure

Design (Systech Brochure Design), Photo Features (Refresh), Social

Responsibility Communication (Lifeline Express), E-Zine (Mahindra

Spectrum), Web Communication (Monsoon Special on Intranet & OneMahindra) and Corporate Website (Nanhi Kali).


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AWARDS & RECOGNITION

Mr. Anand Mahindra received the CEO of the Year award at the Asia Pacific HRM

Congress held at Land's End, Bandra, Mumbai on February 13, 2008. Mr. Mahindra wasfelicitated for his "outstanding and unparalleled contribution for providing strong,

efficient, ethical and visionary leadership.

On January 19, Mr. Anand Mahindra, Vice Chairman and Managing Director of

Mahindra & Mahindra, was honoured with Business India's Businessman of the Year

2007. Now in its 26th year, the award was instituted by Business India in 1982 to

recognize that one outstanding individual in the business community who is a rolemodel for our times.


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Thank you

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17262948 Mahindra and Mahindra