PDCS PRO1ECT REPORT

ON
FINANCIAL ANALYSIS
OF
BA1A1 HINDUSTHAN LIMITED
SUBMITTED BY
NEETHU PILLAI
01119201709

STUDENT OF
LINGAYAS LALITA DEVI INSTITUTE OF MANAGEMENT & SCIENCES
MANDI ROAD,NEW DELHI-110047
FOR THE PARTIAL FULFILLMENT
OF
BACHELOR OF BUSINESS MANAGEMENT
UNDER THE SUBMISSION
OF

Dr.Rakesh kumar gupta
SUBMITTED TO

GURU GOBIND SINGH INDRAPRASTHA
UNIVERSITY
DELHI,INDIA

1
CERTIFICATE
Certified that this project report ~FINANCIAL ANALYSIS OF BAJAJ HINDUSTHAN
LIMITD! is the "o#afide $or% of NTHU &ILLAI $ho carried o't the project $or%
'#der the s'per(isio# of Mr Bh'$a# )a#*+as,a -Asst. Ma#a*er/
Si*#at're
HAD OF TH D&A0TMNT
-D0 0A1SH 1UMA0 )U&TA/
BBA
Li#*a,a2s +a+ita de(i i#stit'te of 3a#a*e3e#t a#d scie#ces
Ma#di road 4 #e$ de+hi
5
DECLARATION
I here", dec+are that the project $or% e#tit+ed 6FINANCIAL
ANALYSIS OF BAJAJ HINDUSTHAN LIMITD! s'"3itted to the )U0U )OBIND
SIN)H IND0A&0ASTHA UNI70SITY4DLHI is a record of a# ori*i#a+ $or% do#e
", 3e '#der the *'ida#ce of. Mr Bh'$a# )a#*+as,a -Asst. Ma#a*er Fac'+t, Me3"er/4
LIN)AYA2S LALITA D7I INSTITUT OF MANA)MNT AND
SCINCS4MANDI 0OAD4N8 DLHI a#d this project $or% has #ot perfor3ed the
"asis for the a$ard of a#, De*ree to the "est of 3, %#o$+ed*e.
NTHU &ILLAI4 O11195:1;:9
SI)NATU0 OF STUDNT
ACKNOWLEDGEMENT
<

I o$e a *reat 3a#, tha#%s to a *reat 3a#, peop+e $ho he+ped a#d s'pported
3e d'ri#* the $riti#* of this report. M, deepest tha#%s to Lect'rer4 MS )AYAT0I -the
)'ide of the project for *'idi#*/ for correcti#* (ario's doc'3e#ts of 3i#e $ith atte#tio#
a#d care. She has ta%e# pai# to *o thro'*h the project a#d 3a%e #ecessar, correctio# as
a#d $he# #eeded. I e=press 3, tha#%s to the HOD of BBA for e=te#di#* his s'pport.
Tha#%s a#d appreciatio# to MS )AYAT0I for her s'pport. I $o'+d a+so +i%e to tha#%
3, I#stit'te a#d 3, fac'+t, 3e3"ers $itho't $ho3 this project $o'+d ha(e "ee# a
dista#t rea+it,.

PREFACE
>
I# this report S'33er trai#i#* is a# i#te*ra+ part of the BBA pro*ra3. ach st'de#t is
re?'ired to '#der*o research $ith a#, topic after >
th
se3ester. As co3p+e3e#tar, to that4
e(er, st'de#t has to prepare @ s'"3it a report o# the research $or% co#d'cted ", the
st'de#t.
I had pri(i+e*e to do project $ith a# o"jecti(e re+ated to the corporate $or+d. !

The prese#t report is e#tire+, a# o'tco3e of i#ter#a+ records of the co3pa#,. This report
is at co#ti#'atio# of the a"o(e traditio#.
CONTENT
A
CHAPTER TITLE PAGE NO.
1 Certificate
5. Declaration
3 Acknowledgement
> Introduction
>.1 fi#a#cia+ a#a+,sis
>.1.1 *oa+s
>.1.5 3ethods
>.5 "ajaj hi#d'stha# +td
>.5.1 co3pa#, histor,
>.5.5 (isio# @ 3issio#
>.5.< "oard of directors
>.5.> 3i+esto#es
>.5.A prod'cts
>.5.B fi#a#cia+ res'+ts
>.5.; di(ide#ds
>.5.C operatio#s
>.5.9 e=pa#sio# of po$er capacit,
>.5.1: s'"sidiaries operatio#s
>.5.11 #a3e of e#tities
>.5.15 p+a#t +ocatio#s
5 Objectives
B Research methodology
t,pes of research
1.1 data co++ectio# 3ethods
; presentation and analysis
.fi#a#cia+ a#a+,sis @ operatio#s of the
co3pa#,
1.1 res'+ts of operatio#s
1.5 t'r#o(er
1.< a#a+,sis of sa+es
1.> other i#co3e
1.A other e=pe#ses
1.B e"idta
1.; i#terest @ fi#a#ce char*es
1.C depreciatio# @ a3ortiDatio#
1.9 pro(isio# for ta=
1.1: "a+a#ce sheet
1.11 capita+
1.15 e?'it, share s's'pe#se
1.1< reser(es @ s'rp+'s
1.1> +oa# f'#ds
B
1.1A fi=ed assets
1.1B i#(est3e#ts
1.1; i#(e#tories
1.1C de"tors
1.19 si*#ifica#t #o#Erec'rri#*
i#co3e4e=pe#dit're a#d other ite3s
1.5: di(isio#E$ise operatio#s
1.51 disti++er, di(isio#
1.55 po$er di(isio#
C limitations
9 Findings and suggestions
1: Conclusions and recommendations
11 Bibliography
15 LIST OF TABLES

Ta"+e1Ffi#a#cia+ res'+ts
Ta"+e5Fres'+t of operatio#s
Ta"+e<F"a+a#ce sheet
Ta"+e>F"a+a#ce sheet
Ta"+eAFprofit a#d +oss acco'#t
Ta"+eBFcash f+o$ state3e#t
Ta"+e;Fco#so+idated "a+a#ce sheet
Ta"+eCFco#so+idated profit @+oss acco'#t
Ta"+e9Fco#so+oidated cash f+o$ state3e#t
EXECUTIVE SUMMARY
The process of e(a+'ati#* "'si#esses4 projects4 "'d*ets a#d other fi#a#ceEre+ated
e#tities to deter3i#e their s'ita"i+it, for i#(est3e#t. T,pica++,4 fi#a#cia+ a#a+,sis is 'sed
to a#a+,De $hether a# e#tit, is sta"+e4 so+(e#t4 +i?'id4 or profita"+e e#o'*h to "e i#(ested
;
i#. 8he# +oo%i#* at a specific co3pa#,4 the fi#a#cia+ a#a+,st $i++ ofte# foc's o# the
i#co3e state3e#t4 "a+a#ce sheet4 a#d cash f+o$ state3e#t. I# additio#4 o#e %e, area of
fi#a#cia+ a#a+,sis i#(o+(es e=trapo+ati#* the co3pa#,Gs past perfor3a#ce i#to a#
esti3ate of the co3pa#,Gs f't're perfor3a#ce.
I# this project I ha(e do#e the fi#a#acia+ a#a+,sis of "ajaj hi#d'stha# +i3ited. The Bajaj
)ro'p ca3e i#to e=iste#ce d'ri#* the t'r3oi+ a#d the head, e'phoria of I#diaGs freedo3
str'**+e. Late Shri 1amnalal Bajaj ji, founder of the Bajaj Group4 $as a co#fida#te
a#d discip+e of Mahat3a )a#dhi a#d $as deep+, i#(o+(ed i# the effort for freedo3.
Kamalnayan, the eldest son of 1amnalal Bajaj, succeeded his father in 19424 at the
a*e of t$e#t,Ese(e#. &'tti#* the #atio# "efore "'si#ess4 he de(oted hi3se+f to the +ater
o#+, after I#dia achie(ed i#depe#de#ce i# 19>;. B't $he# he did so4 he p't his heart a#d
so'+ i#to it. 8ithi# a short $hi+e4 he #ot o#+, co#so+idated the Bajaj )ro'p4 "'t a+so
di(ersified i#to (ario's 3a#'fact'ri#* acti(ities e+e(ati#* the Bajaj )ro'p to the stat's it
e#jo,s ti++ this da,.
Bajaj Hindusthan was established in 1931. si#ce the# it has "ee# $ea(i#* a s'ccess
stor, as I#dia2s #'3"er o#e i#ter*rated S'*ar Co3pa#, $ith S'*ar4 I#d'stria+ A+coho+
-i#c+'di#* etha#o+/ a#d &o$er as its %e, prod'cts. The Co3pa#, has fo'rtee# s'*ar
3i++s Hi#c+'di#* fo'r of its ;AI s'"sidiar, J Bajaj Hi#d'stha# S'*ar a#d I#d'stries Ltd.
-BHSIL/K $ith disti++eries at si= +ocatio#s -i#c+'di#* o#e of BHSIL/ a#d "a*asseE"ased
po$er *e#eratio# p+a#ts at a++ the +ocatio#s4 spread across the +e#*th a#d "readth of U&4
the +ar*est s'*ar prod'ci#* state i# I#dia. The Co3pa#, has a stro#* trac% record of
profita"i+it, J ha(e dec+ared di(ide#d i# ;< o't of BHL2s ;B ,ears of e=iste#ce. It has
#'rt'red a traditio# of stro#* re+atio#ships $ith far3ers for 3't'a+ "e#efit a#d the, are
(er, 3'ch a part of o'r fa3i+,. 8e ha(e fora,ed i#to a re+ati(e+, (a+'eEadditi(e
"'si#ess. I# this project report $e ha(e *i(e# the co3p+ete fi#a#cia+ a#a+,sis of the
co3pa#,.
INTRODUCTION
C
Before *i(i#* e=p+a#atio#s a"o't the fi#a#cia+ a#a+,sis a"o't the co3pa#, it is
#ecessar, to e=p+ai# a"o't $hat is fi#a#cia+ a#a+,sis. The process of e(a+'ati#*
"'si#esses4 projects4 "'d*ets a#d other fi#a#ceEre+ated e#tities to deter3i#e their
s'ita"i+it, for i#(est3e#t. T,pica++,4 fi#a#cia+ a#a+,sis is 'sed to a#a+,De $hether a#
e#tit, is sta"+e4 so+(e#t4 +i?'id4 or profita"+e e#o'*h to "e i#(ested i#. 8he# +oo%i#* at a
specific co3pa#,4 the fi#a#cia+ a#a+,st $i++ ofte# foc's o# the i#co3e state3e#t4 "a+a#ce
sheet4 a#d cash f+o$ state3e#t. I# additio#4 o#e %e, area of fi#a#cia+ a#a+,sis i#(o+(es
e=trapo+ati#* the co3pa#,Gs past perfor3a#ce i#to a# esti3ate of the co3pa#,Gs f't're
perfor3a#ce.
1 . FINANCIAL ANALYSIS
Fi#a#cia+ A#a+,sis refers to the assess3e#t of a "'si#ess to dea+ $ith the p+a##i#*4
"'d*eti#*4 3o#itori#*4 forecasti#*4 a#d i3pro(i#* of a++ fi#a#cia+ detai+s $ithi# a#
or*a#iDatio#a+ perfor3a#ce.
Fi#a#cia+ referred to as fi#a#cia+ state3e#t a#a+,sis or acco'#ti#* a#a+,sis/ refers to a#
assess3e#t of the (ia"i+it,4 sta"i+it, a#d profita"i+it, of a "'si#ess4 s'"E"'si#ess
or a#a+,sis -a+so project/.
It is perfor3ed ", professio#a+s $ho prepare reports 'si#* ratios that 3a%e 'se of
i#for3atio# ta%e# fro3 fi#a#cia+ state3e#ts a#d other reports. These reports are 's'a++,
prese#ted to top 3a#a*e3e#t as o#e of their "ases i# 3a%i#* "'si#ess decisio#s.
Co#ti#'e or disco#ti#'e its 3ai# operatio# or part of its "'si#essL
Ma%e or p'rchase certai# 3ateria+s i# the 3a#'fact're of its prod'ctL
Ac?'ire or re#tM+ease certai# 3achi#eries a#d e?'ip3e#t i# the prod'ctio# of its
*oodsL
Iss'e stoc%s or #e*otiate for a "a#% +oa# to i#crease its $or%i#* capita+
Ma%e decisio#s re*ardi#* i#(esti#* or +e#di#* capita+L
Other decisio#s that a++o$ 3a#a*e3e#t to 3a%e a# i#for3ed se+ectio# o# (ario's
a+ter#ati(es i# the co#d'ct of its "'si#ess.
1.1 GOALS
Fi#a#cia+ a#a+,sts ofte# assess the fir3GsF
9
1.1.1. &rofita"i+it, Eits a"i+it, to ear# i#co3e a#d s'stai# *ro$th i# "oth shortEter3 a#d
+o#*Eter3. A co3pa#,Gs de*ree of profita"i+it, is 's'a++, "ased o# the i#co3e state3e#t
$hich reports o# the co3pa#,Gs res'+ts of operatio#sL
1.1.5. So+(e#c, E its a"i+it, to pa, its o"+i*atio# to creditors a#d other third parties i# the
+o#*Eter3L
1.1.<. Li?'idit, E its a"i+it, to 3ai#tai# positi(e cash f+o$ $hi+e satisf,i#* i33ediate
o"+i*atio#sL
Both 1.1.5 a#d 1.1.< are "ased o# the co3pa#,Gs "a+a#ce sheet4 $hich i#dicates the
fi#a#cia+ co#ditio# of a "'si#ess as of a *i(e# poi#t i# ti3e.
1.1.>. Sta"i+it,E the fir3Gs a"i+it, to re3ai# i# "'si#ess i# the +o#* r'#4 $itho't ha(i#* to
s'stai# si*#ifica#t +osses i# the co#d'ct of its "'si#ess. Assessi#* a co3pa#,Gs sta"i+it,
re?'ires the 'se of "oth the i#co3e state3e#t a#d the "a+a#ce sheet4 as $e++ as other
fi#a#cia+ a#d #o#Efi#a#cia+ i#dicators.
1.2 METHODS
Fi#a#cia+ a#a+,sts ofte# co3pare fi#a#cia+ ratios -of so+(e#c,4 profita"i+it,4 *ro$th4
etc./F
1.5.1 &ast &erfor3a#ce E Across historica+ ti3e periods for the sa3e fir3 -the +ast A
,ears for e=a3p+e/
1.5.5 F't're &erfor3a#ce E Usi#* historica+ fi*'res a#d certai# 3athe3atica+ a#d
statistica+ tech#i?'es4 i#c+'di#* prese#t a#d f't're (a+'es4 This e=trapo+atio#
3ethod is the 3ai# so'rce of errors i# fi#a#cia+ a#a+,sis as past statistics ca#
"e poor predictors of f't're prospects.
1.5.< Co3parati(e &erfor3a#ce E Co3pariso# "et$ee# si3i+ar fir3s.
These ratios are ca+c'+ated ", di(idi#* a -*ro'p of/ acco'#t "a+a#ce-s/4 ta%e# fro3
the "a+a#ce sheet a#d M or the i#co3e state3e#t4 ", a#other4 for e=a3p+e F
Net i#co3e M e?'it, N ret'r# o# e?'it,-0O/
Net i#co3e M tota+ assets N ret'r# o# assets -0OA/
Stoc% price M ear#i#*s per share N &M ratio
1:
Co3pari#* fi#a#cia+ ratios is 3ere+, o#e $a, of co#d'cti#* fi#a#cia+
a#a+,sis. Fi#a#cia+ ratios face se(era+ theoretica+ cha++e#*esF
The, sa, +itt+e a"o't the fir3Gs prospects i# a# a"so+'te se#se. Their
i#si*hts a"o't re+ati(e perfor3a#ce re?'ire a refere#ce poi#t fro3 other
ti3e periods or si3i+ar fir3s.
O#e ratio ho+ds +itt+e 3ea#i#*. As i#dicators4 ratios ca# "e +o*ica++,
i#terpreted i# at +east t$o $a,s. O#e ca# partia++, o(erco3e this
pro"+e3 ", co3"i#i#* se(era+ re+ated ratios to pai#t a 3ore
co3prehe#si(e pict're of the fir3Gs perfor3a#ce.
Seaso#a+ factors 3a, pre(e#t ,earEe#d (a+'es fro3 "ei#* represe#tati(e.
A ratioGs (a+'es 3a, "e distorted as acco'#t "a+a#ces cha#*e fro3 the
"e*i##i#* to the e#d of a# acco'#ti#* period. Use a(era*e (a+'es for
s'ch acco'#ts $he#e(er possi"+e.
Fi#a#cia+ ratios are #o 3ore o"jecti(e tha# the acco'#ti#* 3ethods
e3p+o,ed. Cha#*es i# acco'#ti#* po+icies or choices ca# ,ie+d
drastica++, differe#t ratio (a+'es.
Fi#a#cia+ a#a+,sts ca# a+so 'se perce#ta*e a#a+,sis $hich i#(o+(es red'ci#*
a series of fi*'res as a perce#ta*e of so3e "ase a3o'#t.For e=a3p+e4 a
*ro'p of ite3s ca# "e e=pressed as a perce#ta*e of #et i#co3e. 8he#
proportio#ate cha#*es i# the sa3e fi*'re o(er a *i(e# ti3e period e=pressed
as a perce#ta*e is %#o$# as horiDo#ta+ a#a+,sis.7ertica+ or co33o#EsiDe
a#a+,sis4 red'ces a++ ite3s o# a state3e#t to a 6co33o# siDe! as a
perce#ta*e of so3e "ase (a+'e $hich assists i# co3para"i+it, $ith other
co3pa#ies of differe#t siDes.As a res'+t4 a++ I#co3e State3e#t ite3s are
di(ided ", Sa+es4 a#d a++ Ba+a#ce Sheet ite3s are di(ided ", Tota+ Assets.
A#other 3ethod is co3parati(e a#a+,sis. This pro(ides a "etter $a, to
deter3i#e tre#ds. Co3parati(e a#a+,sis prese#ts the sa3e i#for3atio# for
t$o or 3ore ti3e periods a#d is prese#ted sideE",Eside to a++o$ for eas,
a#a+,sis.
11
Most "'si#esses prod'ce a##'a+ a#d 3o#th+, fi#a#cia+ state3e#ts a#d co3p+, $ith
recordE%eepi#* re?'ire3e#ts4 ,et fi#a#cia+ state3e#t a#a+,sis is ofte# o(er+oo%ed or #ot
perfor3ed o# a s,ste3atic a#d ti3e+, "asis so as to o"tai# i#si*ht i#to the fi#a#cia+
perfor3a#ce of the "'si#ess. Other "'si#esses see% to i#terpret a#d assess their fi#a#cia+
state3e#ts ,et +ac% the too+s to do so. To assist decisio# 3a%ers4 a#a+,sisEo#e pro(ides a
str'ct'red fra3e$or% of fi#a#cia+ a#a+,sis too+s to a#a+,se fi#a#cia+ state3e#ts a#d
de+i(er actio#a"+e i#si*ht fro3 the "'si#ess i#te++i*e#ce co#tai#ed $ithi#.
Fi#a#cia+ ratio a#a+,sis is e3p+o,ed for I#co3e State3e#t A#a+,sis a#d Ba+a#ce Sheet
A#a+,sis a#d is i#corporated i# the Fi#a#cia+ Scorecard Too+4 to pro(ide a '#i?'e pict're
of a co3pa#,Gs fi#a#cia+ positio#. 1e, fi#a#cia+ ratios 3eas'red ", a#a+,sisEo#e
represe#t sta#dard perfor3a#ce 3eas'res 'sed ", the acco'#ti#* professio# o# a dai+,
"asis4 a#d see% to a#a+,De the i#co3e state3e#t a#d "a+a#ce sheet fro3 a (ariet, of
fi#a#cia+ perfor3a#ce perspecti(es4 $hich i#c+'de E &rofita"i+it,4 Li?'idit,4 fficie#c,4
Asset Usa*e a#d )eari#*.
Fi#a#cia+ a#a+,sis too+s $ithi# a#a+,sisEo#e4 i#c+'deF Fi#a#cia+ 0atio A#a+,sis4
Brea%e(e# A#a+,sis4 Cash Flow Analysis, Forecasting, Variance
Analysis a#d Se#siti(it, A#a+,sis.
Fi#a#cia+ state3e#ts are prepared to 3eet e=ter#a+ reporti#* o"+i*atio#s a#d a+so for
decisio# 3a%i#* p'rposes. The, p+a, a do3i#a#t ro+e i# setti#* the fra3e$or%
3a#a*eria+ decisio#s. B't the i#for3atio# pro(ided i# the fi#a#cia+ state3e#ts is #ot a#
e#d i# itse+f as #o 3ea#i#*f'+ co#c+'sio#s ca# "e dra$# fro3 these state3e#ts a+o#e.
Ho$e(er4 the i#for3atio# pro(ided i# the fi#a#cia+ state3e#ts is of i33e#se 'se i#
3a%i#* decisio#s thro'*h a#a+,sis a#d i#terpretatio# of fi#a#cia+ state3e#ts.
8he# co3p'ti#* fi#a#cia+ ratios a#d $he# doi#* other fi#a#cia+ state3e#t a#a+,sis
a+$a,s %eep i# 3i#d that the fi#a#cia+ state3e#ts ref+ect the acco'#ti#* pri#cip+es. This
3ea#s assets are *e#era++, #ot reported at their c'rre#t (a+'e. It is a+so +i%e+, that 3a#,
"ra#d #a3es a#d '#i?'e prod'ct +i#es $i++ #ot "e i#c+'ded a3o#* the assets reported o#
the "a+a#ce sheet4 e(e# tho'*h the, 3a, "e the 3ost (a+'a"+e of a++ the ite3s o$#ed ",
a co3pa#,.
15
These e=a3p+es are si*#a+s that fi#a#cia+ ratios a#d fi#a#cia+ state3e#t a#a+,sis ha(e
+i3itatio#s. It is a+so i3porta#t to rea+iDe that a# i3pressi(e fi#a#cia+ ratio i# o#e
i#d'str, 3i*ht "e (ie$ed as +ess tha# i3pressi(e i# a differe#t i#d'str,.
O'r e=p+a#atio# of fi#a#cia+ ratios a#d fi#a#cia+ state3e#t a#a+,sis is or*a#iDed as
fo++o$sF
Ba+a#ce Sheet
o )e#era+ disc'ssio#
o Co33o#EsiDe "a+a#ce sheet
o Fi#a#cia+ ratios "ased o# the "a+a#ce sheet
I#co3e State3e#t
o )e#era+ disc'ssio#
o Co33o#EsiDe i#co3e state3e#t
o Fi#a#cia+ ratios "ased o# the i#co3e state3e#t
State3e#t of Cash F+o$s
The "a+a#ce sheet reports a co3pa#,Gs assets4 +ia"i+ities4 a#d stoc%ho+dersG e?'it, as of a
specific date4 s'ch as Dece3"er <14 5:1:4 Septe3"er 5C4 5:1:4 etc.
The acco'#ta#tsG cost pri#cip+e a#d the 3o#etar, '#it ass'3ptio# $i++ +i3it the assets
reported o# the "a+a#ce sheet. Assets $i++ "e reported
-1/ o#+, if the, $ere ac?'ired i# a tra#sactio#4 a#d
-5/*e#era++, at a# a3o'#t that is #ot *reater tha# the assetGs cost at the ti3e of the
tra#sactio#.
This 3ea#s that a co3pa#,Gs creati(e a#d effecti(e 3a#a*e3e#t tea3 $i++ #ot "e +isted
as a# asset. Si3i+ar+,4 a co3pa#,Gs o'tsta#di#* rep'tatio#4 its '#i?'e prod'ct +i#es4 a#d
"ra#d #a3es de(e+oped $ithi# the co3pa#, $i++ #ot "e reported o# the "a+a#ce sheet. As
,o' 3a, s'r3ise4 these ite3s are ofte# the 3ost (a+'a"+e of a++ the thi#*s o$#ed ", the
co3pa#,. -Bra#d #a3es p'rchased fro3 a#other co3pa#, $i++ "e recorded i# the
co3pa#,Gs acco'#ti#* records at their cost./
1<
The acco'#ta#tsG 3atchi#* pri#cip+e $i++ res'+t i# assets s'ch as "'i+di#*s4 e?'ip3e#t4
f'r#ishi#*s4 fi=t'res4 (ehic+es4 etc. "ei#* reported at a3o'#ts +ess tha# cost. The reaso#
is these assets are depreciated. Depreciatio# red'ces a# assetGs "oo% (a+'e each ,ear a#d
the a3o'#t of the red'ctio# is reported as Depreciatio# =pe#se o# the i#co3e
state3e#t.
8hi+e depreciatio# is red'ci#* the "oo% (a+'e of certai# assets o(er their 'sef'+ +i(es4
the c'rre#t (a+'e -or fair 3ar%et (a+'e/ of these assets 3a, act'a++, "e i#creasi#*. -It is
a+so possi"+e that the c'rre#t (a+'e of so3e assetsJs'ch as co3p'tersJ3a, "e decreasi#*
faster tha# the "oo% (a+'e./
C'rre#t assets s'ch as Cash4 Acco'#ts 0ecei(a"+e4 I#(e#tor,4 S'pp+ies4 &repaid
I#s'ra#ce4 etc. 's'a++, ha(e c'rre#t (a+'es that are c+ose to the a3o'#ts reported o# the
"a+a#ce sheet.
C'rre#t +ia"i+ities s'ch as Notes &a,a"+e -d'e $ithi# o#e ,ear/4 Acco'#ts &a,a"+e4
8a*es &a,a"+e4 I#terest &a,a"+e4 U#ear#ed 0e(e#'es4 etc. are a+so +i%e+, to ha(e c'rre#t
(a+'es that are c+ose to the a3o'#ts reported o# the "a+a#ce sheet.
Lo#*Eter3 +ia"i+ities s'ch as Notes &a,a"+e -#ot d'e $ithi# o#e ,ear/ or Bo#ds &a,a"+e
-#ot 3at'ri#* $ithi# o#e ,ear/ $i++ ofte# ha(e c'rre#t (a+'es that differ fro3 the
a3o'#ts reported o# the "a+a#ce sheet.
Stoc%ho+dersG e?'it, is the "oo% (a+'e of the co3pa#,. It is the differe#ce "et$ee# the
reported a3o'#t of assets a#d the reported a3o'#t of +ia"i+ities. For the reaso#s
3e#tio#ed a"o(e4 the reported a3o'#t of stoc%ho+dersG e?'it, $i++ therefore "e differe#t
fro3 the c'rre#t or 3ar%et (a+'e of the co3pa#,.
B, defi#itio# the c'rre#t assets a#d c'rre#t +ia"i+ities are Ot'r#i#* o(erO at +east o#ce per
,ear. As a res'+t4 the reported a3o'#ts are +i%e+, to "e si3i+ar to their c'rre#t (a+'e. The
+o#*Eter3 assets a#d +o#*Eter3 +ia"i+ities are #ot Ot'r#i#* o(erO ofte#. Therefore4 the
1>
a3o'#ts reported for +o#*Eter3 assets a#d +o#*Eter3 +ia"i+ities $i++ +i%e+, "e differe#t
fro3 the c'rre#t (a+'e of those ite3s.
2. BA1A1 HINDUSTHAN LIMITED
2.1 Company history
Bajaj Hi#d'stha# Li3ited -BHL/ $as i#corporated o# 5<rd No(e3"er4 19<1 '#der the
#a3e E The Hi#d'stha# S'*ar Mi++s Li3ited J o# the i#itiati(e of Ja3#a+a+ Bajaj E a
"'si#ess3a#4 co#fida#te4 discip+e a#d adopted so# of Mahat3a )a#dhi. He so'*ht
)a#dhijiGs "+essi#*s i# this #e$ (e#t're4 $hich4 apart fro3 "ei#* a so'#d co33ercia+
propositio# $o'+d a+so 3eet a #atio#a+ #eed. Ti++ the#4 there $ere "are+, thirt, s'*ar
factories i# the co'#tr,.
The site se+ected for the first p+a#t $as at )o+a*o%ara##ath4 district La%hi3p'r 1heri i#
the Terai re*io# of Uttar &radesh -U&/4 a# area rich i# s'*ar ca#e. The ori*i#a+ capacit,
of the factor, $as >:: to#s of ca#e cr'shed per da, -tcd/. S'"se?'e#t+,4 this capacit,
$as i#creased i# sta*es a#d is c'rre#t+, 1<4::: tcd. The disti++er, U#it at this p+a#t
co33e#ced prod'ctio# d'ri#* the e#d of 8or+d 8ar II i# 19>>. I# the i#itia+ fe$ ,ears4
the 3ajor o'tp't $as i# the for3 of po$er a+coho+ as a# additi(e to petro+4 $hich $as
the# i# short s'pp+,. The '#it $as the first to s'pp+, a+coho+E3i=ed petro+ to the ar3,.
I# 19B;4 a #e$ Co3pa#, E Sharda S'*ar @ I#d'stries Li3ited E $as esta"+ished as a
s'"sidiar, of Hi#d'stha# S'*ar Mi++s Li3ited. U#der this #e$ s'"sidiar,4 a s'*ar p+a#t
$ith a ca#e cr'shi#* capacit, of 1>:: tcd $as set 'p i# 19;5 at &a+ia 1a+a#4 a +ar*e ca#e
s'pp+,i#* ce#tre at a dista#ce of a"o't ;: %i+o3etres fro3 )o+a*o%ara##ath. The
o"jecti(e of this #e$ U#it $as pri3ari+, to he+p the ca#e *ro$ers of the area s'pp+, their
prod'ce to the #e$ +ocatio# c+oser to their fie+ds4 there", c'tti#* do$# o# tra#sportatio#
costs. The capacit, $as s'"se?'e#t+, i#creased i# sta*es to reach the prese#t 114::: tcd.
1A
I# the ,ear 19CC4 The Hi#d'stha# S'*ar Mi++s Li3ited $as re#a3ed as Bajaj
Hi#d'stha# Li3ited a#d short+, thereafter i# 199:4 Sharda S'*ar @ I#d'stries Li3ited
$as a3a+*a3ated $ith Bajaj Hi#d'stha# Li3ited.
The Co3pa#, e3"ar%ed o# a# a**ressi(e )ree#fie+d e=pa#sio# dri(e i# 5::<E5::;4
starti#* $ith a p+a#t at 1i#a'#i4 #ear Meer't -U&/4 $hich $as co3p+eted i# a record ti3e
of j'st se(e# 3o#ths as a*ai#st the i#d'str, #or3 of 1CE5> 3o#ths. This faci+it,
co33e#ced co33ercia+ prod'ctio# i# No(e3"er 5::>.
At the e#d of the e=pa#sio# project i# 5::;4 BHL had te# s'*ar 3a#'fact'ri#* +ocatio#s
across U& $ith a ca#e cr'shi#* capacit, of 9B4::: tcd a#d $as a+so the co'#tr,2s +ar*est
etha#o+ prod'cer $ith a# o'tp't of >C: 1LM da,.
I# a# ac?'isitio# 3o(e4 the Co3pa#, too% o(er the &ratapp'r S'*ar a#d I#d'stries
Li3ited -&SIL/4 district Deoria4 aster# U& i# Dece3"er 5::A. This &+a#t4 i# operatio#
si#ce 19:<4 had a cr'shi#* capacit, of <45:: tcd4 $hich $as i#creased to B4::: tcd i# the
s'"se?'e#t s'*ar seaso# 5::BE:;.
&SIL $as s'"se?'e#t+, re#a3ed Bajaj Hi#d'stha# S'*ar a#d I#d'stries Li3ited
-BHSIL/ a#d "eca3e a s'"sidiar, of BHL. This ac?'isitio# pro(ided BHL a strate*ic
footho+d i# the s'*arEdeficie#t re*io# of aster# U& a#d reaffir3ed the co#so+idatio#
that too% p+ace i# the s'*ar i#d'str,.
BHSIL e3"ar%ed 'po# si*#ifica#t #e$ e=pa#sio#s. 8hi+e the capacit, of its e=isti#*
s'*ar p+a#t at &ratapp'r $as e#ha#ced4 three #e$ s'*ar '#its $ere a+so set 'p i# (ir*i#4
ca#eErich areas of ast U& at 0'da'+i -district Basti/4 1'#dar%hi -district )o#da/ a#d i#
Utra'+a -district Ba+ra3p'r/. BHSIL the#4 had a cr'shi#* capacit, of >:4::: tcd a#d a
disti++er, $ith the capacit, to 3a#'fact're 1B: %i+oE+itre per da, of etha#o+. The tota+
i#d'stria+ a+coho+M etha#o+ capacit, of the Co3pa#,4 i#c+'di#* its s'"sidiar,4 $as C::
1LM da,.
8ith the co33issio#i#* of three "a*asseE"ased po$er coE*e#eratio# p+a#ts at
1'#dar%hi4 0'da'+i a#d Utra'+a4 BHSIL had a# a**re*ate po$er *e#eratio# capacit, of
9A.C M8. Co3"i#ed $ith the po$er *e#eratio# capacit, of <5A M8 fro3 BHL4 the
Co3pa#,2s tota+ *e#eratio# capacit, is >5:.C M8. After 3eeti#* its o$# e#er*, #eeds4
1B
the Co3pa#, has a s'rp+'s of 9: M8. It s'pp+ies a si*#ifica#t part of this s'rp+'s po$er
to the U& state *rid.
I# Dece3"er 5:1:4 BHSIL $as a3a+*a3ated $ith BHL
The Co3pa#,2s *ro$th i#itiati(e has "ee# +ed ", a strate*ic foc's of attai#i#* *+o"a+
sca+es of 3a#'fact'ri#* a#d cost co3petiti(e#ess. S'ch "e#ch3ar%i#* pro(ides BHL
ad(a#ta*es of cost a#d hi*her do3estic 3ar%et share $here de3a#d is e=pected to
o'tstrip s'pp+, for the #e=t fe$ ,ears. BHL is i# a '#i?'e positio#. 8hi+e its p+a##i#*
a#d processes are "e#ch3ar%ed a*ai#st *+o"a+ practices4 its acti(ities are directed at
co#tri"'ti#* to the I#dia# r'ra+ eco#o3, at a +oca+4 *rassroots +e(e+4 pri3ari+, i# the
'p+ifti#* of the far3ers. The Co3pa#, e3"ar%ed o# a# e=pa#sio#4 the sca+es of $hich
are '#precede#ted $or+d$ide4 pro(idi#* tre3e#do's opport'#ities of e3p+o,3e#t4
i#frastr'ct're a#d co33'#it, de(e+op3e#t a#d co#tri"'ti#* to the *ro$th of the r'ra+
eco#o3, of U&.
2.2 Mission and vision
Missio#
To "e the +eader i# o'r chose# "'si#ess area4 create a# or*a#isatio# that a++ o'r
co#stit'e#ts are pro'd to "e associated $ith4 set "e#ch3ar%s that $i++ "eco3e the
sta#dard for others to e3'+ate a#d thro'*h ethica+ "'si#ess practices create $ea+th for
o'r sta%eho+ders.
(isio#
To tra#sfor3 "ajaj hi#d'stha# +td. i#to a d,#a3ic a#d (i"ra#t "'si#ess e#tit, $here
*ro$th is a# ethos a#d the +o#*Eter3 (a+'e creatio# for o'r sta%eho+ders is the
para3o'#t o"jecti(e.
1;
2.3 Board of directors
Mr. Shishir Bajaj, Chairman & Managing Director
Mr. Shishir Bajaj4 Chair3a# @ Ma#a*i#* Director of the Co3pa#,4 "e+o#*s to the
pro3oter E Bajaj )ro'p. After co3p+eti#* his MBA fro3 Ne$ Yor% U#i(ersit, 3ajori#*
i# fi#a#ce4 Mr. Bajaj joi#ed the Co3pa#, i# 19;> a#d si#ce the# has "ee# "ee#
sho'+deri#* the o(era++ respo#si"i+it, of the Co3pa#,. He is ho+di#* the positio# of
Ma#a*i#* Director of the Co3pa#, si#ce J'+, 19CC.
Mr. Kushagra Nayan Bajaj, Vice Chairman and 1oint Managing Director
Mr. 1'sha*ra Na,a# Bajaj is the Jt. Ma#a*i#* Director of the Co3pa#,. A Bache+or of
Scie#ce i# co#o3ics4 &o+itica+ &hi+osoph, a#d Fi#a#ce fro3 the Car#e*ie Me++o#
U#i(ersit,4 &itts"'r*h4 USA4 he ear#ed his Master of Scie#ce i# Mar%eti#* fro3 the
North$ester# U#i(ersit,4 Chica*o4 USA.
Mr. Bajaj $as Chief =ec'ti(e of the Co3pa#, "et$ee# A'*'st 5::1 a#d Apri+ 5::;4
respo#si"+e for o(era++ operatio#s.
Mr. D.S. Mehta
Mr. D S Mehta has "ee# o# the Board of Bajaj Hi#d'stha# Ltd si#ce Ja#'ar, 19CB. He
ho+ds directorship i# (ario's other Bajaj *ro'p co3pa#ies. He *rad'ated $ith a#
ho#o'rs de*ree i# co33erce fro3 M'3"ai U#i(ersit, a#d he is a# a+'3#'s of
S,de#ha3 Co++e*e. He is a fe++o$ 3e3"er of "oth the I#stit'te of Chartered
Acco'#ta#ts of I#dia a#d the I#stit'te of Co3pa#, Secretaries of I#dia. He has "ee#
associated $ith the Bajaj *ro'p of co3pa#ies si#ce 19BB a#d has 3ore tha# <: ,ears
e=perie#ce i# corporate +a$4 ta=atio#4 fi#a#ce a#d i#(est3e#t.
1C
Mr. M.L. Apte
Mr. M.L. Apte4 a# i#d'stria+ist ha(i#* i#terest i# s'*ar "'si#ess is associated $ith Bajaj
Hi#d'stha# Ltd. as Director for o(er << ,ears. A for3er Sheriff of M'3"ai4 he $as a+so
a for3er &reside#t of Maharashtra Cha3"er of Co33erce4 Bo3"a, Cha3"er of
Co33erce4 Cric%et C+'" of I#dia4 I#dia# S'*ar Mi++s Associatio#4 Me3"er of the I#dia#
Cotto# Mi++s Federatio# a#d for3er Chair3a# of the Te=ti+es Co33ittee. He is c'rre#t+,
the Chair3a# of the Apte )ro'p of Co3pa#ies a#d a Director of )rasi3 I#d'stries Ltd.
a#d Tata Asset Ma#a*e3e#t &(t. Ltd.
Mr. Ravindrakumar V. Ruia
Mr. 0a(i#dra%'3ar 7 0'ia is the =ec'ti(e Director of the Da$# Mi++s Co3pa#,
Li3ited a#d is acti(e+, associated $ith the da,Etoda, affairs of Da$# Appare+s Li3ited4
s'"sidiar, of the Da$# Mi++s Co. Ltd. as its Director. Mr. 0'ia joi#ed the Board of Bajaj
Hi#d'stha# Ltd. i# Apri+ 5::1. He is a+so a Director of Specia+ &ai#ts Ltd.4 Si*3a &ai#ts
-1ar#ata%a/ Ltd. apart fro3 (ario's other 0'ia *ro'p co3pa#ies.
He is a+so Co33ittee Me3"er of The Bo3"a, Mi++ o$#ersG Associatio#4 I#dia# Cotto#
Mi++s Federatio# a#d Bo3"a, Te=ti+e 0esearch Associatio# a#d is associated $ith
(ario's p'"+ic charit, tr'sts as Tr'stee.
Mr. D. K. Shukla
Mr. Di#esh 1'3ar Sh'%+a4 is a B. A. a#d M. S. 8. He retired as a# =ec'ti(e Director
-&erso##e+/ i# Fe"r'ar,4 5::< fro3 Life I#s'ra#ce Corporatio# of I#dia -LIC/. D'ri#*
his te#'re $ith LIC4 he occ'pied positio#s +i%e 0e*io#a+ Ma#a*er E Mar%eti#*4 )ro'p
&e#sio# a#d S'pera##'atio# Sche3es of LIC at 1o+%ata -aster# Po#e/ as $e++ as I#E
char*e of < LIC di(isio#s (iD. 0aip'r4 Ja"a+p'r a#d Bhopa+. Mr. Sh'%+a has "ee#
associated $ith the co3pa#, as #o3i#ee of LIC si#ce Octo"er4 5::1 a#d a+so as a
3e3"er of the A'dit Co33ittee. After $ithdra$a+ of his #o3i#atio# ", LIC i#
19
No(e3"er4 5::C4 Mr. Sh'%+a has "ee# reEi#d'cted as a director of the Co3pa#, i#
Dece3"er4 5::C.
Mr. Alok Krishna Agarwal
Mr. A+o% 1rish#a A*ar$a+ has "ee# a 3e3"er of Board of Directors of Bajaj
Hi#d'stha# Li3ited si#ce Apri+ 5::;. He is the fo'#der 3a#a*i#* part#er of J'ris
Co#s'+t's4 Ne$ De+hi. He $as ad3itted to the Bar Co'#ci+ of I#dia i# 19CC. He is a#
associate 3e3"er of the Bar Co'#ci+ of De+hi4 the S'pre3e Co'rt Bar Associatio#4 the
I#ter#atio#a+ Bar Associatio#4 the I#do A3erica# Cha3"er of Co33erce a#d Federatio#
of I#dia# Cha3"ers of Co33erce a#d I#d'str,.
Dr. Sanjeev Kumar, Director (Corporate and Legal Affairs)
Dr. Sa#jee( 1'3ar4 Director -Corporate a#d Le*a+ Affairs/ has "ee# a 3e3"er of Bajaj
Hi#d'stha# Li3ited si#ce March 5::9. He $as for3er+, the )ro'p &reside#t of
corporate a#d +e*a+ of the Co3pa#, si#ce J'#e 5::>. He o"tai#ed a Masters i#
Co33erce i# 19;94 a Doctorate i# 199B4 a# LL.B. i# 5::14 a Dip+o3a i# i#te++ect'a+
propert, ri*hts +a$s i# 5::1 a#d a Dip+o3a i# Literat're. I# additio#4 Dr. Sa#jee(
1'3ar has "ee# a Cost Acco'#ta#t si#ce 19C1 a#d a Co3pa#, Secretar, si#ce 19C5. Dr.
Sa#jee( 1'3ar has appro=i3ate+, 5B ,ears of professio#a+ e=perie#ce.
2.4 Milestones
2001 onwards
Ne$ ;4::: TCD p+a#t #ear Meer't co33e#ced operatio#s i# No(e3"er 5::>.
First '#it to cr'sh 5: 3i++io# ?'i#ta+s of ca#e d'ri#* the dro'*ht ,ear 5::5E:<.
Achie(ed record profit of 0s. 5C<.A1 3i++io# i# FY 5::<.
T'r#o(er 'p ", 5AI -o# a##'a+ised "asis/.
&rod'ctio# 'p ", 5AI.
Cr'shi#* of s'*ar ca#e 'p ", 5BI.
)OI cha#*es the free to +e(, s'*ar sa+e ratio fro3 ;:F<: to CAF1A.
5:
1991-2000
LOI recei(ed to i#crease ca#e capacit, to 1:4::: MT per da, for )o+a '#it
Co#str'ctio# Board Ltd. a3a+*a3ated $ith "ajaj hi#d'stha# +td.
&a+ia capacit, i#creased to A4::: TCD
The ce3e#t p+a#t is so+d to J 1 Udaip'r Ud,o* Ltd. for 0s. 1>;A 3i++io#
Board of directors decide to dispose of the ce3e#t '#it.
1981-1990
Co3pa#, app+ies for a +ice#se to i#crease capacit, fro3 >4C:: TCD to 1:4:::
TCD
Co3p+ete deco#tro+ of ce3e#t effecti(e March 14 19C9
Sharda S'*ar @ I#d. Ltd. recei(es LOI to e=pa#d its capacit, fro3 14>:: TCD to
A4::: TCD.
The co3pa#, cha#*es its #a3e to "ajaj hi#d'stha# +td.
Capacit, of ce3e#t p+a#t i#creased fro3 > to B 3i++io# to#s per a##'3
Bo#'s shares iss'ed of 0s. 1.15 3i++io# i# the ratio of >F1
=pa#sio# of )o+a p+a#t fro3 <4B:: to >4C:: to#s co3p+eted
)o+de# j'"i+ee ,ear
Sharda S'*ar @ I#d. Ltd. a3a+*a3ated $ith "ajaj hi#d'stha# +td.
2.5 Corporate social responsibility..
Looking beyond balance sheets..
5.A.1 Bajaj schoo+ at 3a?soodap'r
51

The CS0 phi+osoph, of Bajaj Hi#d'stha# is dri(e# ", the co#siste#t a#d '#f+i#chi#*
co33it3e#t of the Co3pa#,2s "'si#esses to f'#ctio# ethica++, a#d to co#tri"'te to the
eco#o3ic a#d socia+ de(e+op3e#t of the co33'#it, it operates i#. This i3pro(es the
?'a+it, of +ife of the $or%force a#d e3p+o,ees2 fa3i+ies as $e++ as that of the +oca+
pop'+atio#4 i#c+'di#* s'*arca#e *ro$ers4 a#d the societ, i# *e#era+. It a+so co#tri"'tes to
e#ha#ce the ?'a+if, of the ph,sica+ e#(iro#3e#t.
BHL2s esta"+ish3e#t of the 6Bajaj &'"+ic schoo+! at its Ma?soodap'r -district
Shahjaha#p'r/ 3a#'fact'ri#* U#it i# U& is i# p'rs'it of this phi+osoph,4 Bajaj
Hi#d'stha# has p+a#s to i3part hi*h ?'a+it, ed'catio# at a# afforda"+e cost to the
chi+dre# of its e3p+o,ees a#d its ca#e *ro$ers4 3e3"ers of the +oca+ co33'#it, a#d
societ, at +ar*e thro'*h this Schoo+.
5.A.5 Bajaj hi#d'stha#2s CS0 i#itiati(es $i# CII2s #atio#a+ a$ard

As part of its Corporate Socia+ 0espo#si"i+it, i#itiati(e4 Bajaj Hi#d'stha# Ltd. is
$or%i#* hard at the *rassroots +e(e+ to$ards the de(e+op3e#t of #at'ra+ a#d h'3a#
reso'rces a#d their efficie#t a#d j'dicio's 'se. U#der the re+ated acti(ities4 the
co3pa#, has i#itiated a#d i#te*rated co33'#it, de(e+op3e#t pro*ra3s for stressed
55
far3ers i# the s'icideE pro#e Do#e of 8ardha district i# the 7idar"ha re*io#4 foc'si#*
partic'+ar+, o# $ater har(esti#* a#d its efficie#t 'ti+iDatio#. U#der the i#te*rated $ater
reso'rces de(e+op3e#t pro*ra33e4 BHL co#str'cts Chec% Da3s4 &erco+atio# Ta#%s a#d
&o#dsM Far3 &o#ds4 "esides $or%i#* o# the re(i(a+ of ri(ers thro'*h the dred*i#* a#d
$ide#i#* of ri(er "eds4 "ori "a#dhs4 i#terE+i#%i#* of $ater "odies thro'*h +i#% $ater
cha##e+sM ca#a+s4 $e++s a#d "ore $e++s4 rechar*i#* thro'*h rai# $ater4 *a"io# str'ct'res
a#d far3 "'#ds4 etc. A+o#* $ith $ater har(esti#* 3eas'res4 the co3pa#, is e?'a++,
e3phatic o# the efficie#t 'se of $ater i# the a*ric'+t're sector. It pro3otes 3icro
irri*atio# s,ste3s +i%e drip a#d spri#%+er irri*atio# s,ste3s4 hortic'+t're p+a#tatio#4 dair,
far3i#* a#d +ess $aterEi#te#si(e short d'ratio# cash crops. Dedicated efforts ha(e see#
's reach 1:1 (i++a*es of 8ardha district a#d co#se?'e#t+,4 C<C: acres of a*ric'+t'ra+
+a#d a#d >>;< far3ers ha(e direct+, "e#efitted. A++ these pro*ra3s are "ei#* p+a##ed
a#d i3p+e3e#ted thro'*h a# e=perie#ced professio#a+ tea3 '#der the 1a3a+#a,a#
Ja3#a+a+ Bajaj Fo'#datio# "ased at 8ardha.
Appreciati#* BHL2s efforts4 NABA0D has #o$ joi#ed ha#ds $ith 's for the pro3otio#
of hortic'+t're -8adi &roject/ a#d the Co#federatio# of I#dia# I#d'stries -CII/ too has
reco*#iDed o'r $ater har(esti#* efforts. BHL has $o# the CII2s Natio#a+ A$ard for
=ce++e#ce i# 8ater Ma#a*e3e#t 5:1: i# the cate*or, 6=ce++e#t 8ater fficie#t U#it E
Be,o#d the Fe#ce 5:1:!.
2.6 Products
5.B.1 Fro3 s'*arca#e to s'*ar cr,sta+sE the process of 3a%i#* s'*ar
S'*arca#e4 is "road+, c+assified i#to three (arieties ear+,4 *e#era+ a#d '#appro(ed. Ca#e
is so$ed d'ri#* Fe"r'ar, a#d Octo"er e(er, ,ear. The first seed *ro$th is %#o$# as the
p+a#t a#d s'"se?'e#t *ro$th after har(esti#* fro3 the ste3 is %#o$# as 0atoo#. The
ear+, (ariet, has 3ore s'*ar co#te#t tha# the *e#era+ (ariet,.
(er, far3er $ithi# the co33a#d area of the Mi++ is pro(ided $ith a ca+e#dar4 $hich
te++s hi3 $he# he ca# e=pect a Mi++ S'pp+, Tic%et -&'rch,/4 a*ai#st $hich he $i++
de+i(er the s'*arca#e.
5<
He the# har(ests the ca#e a#d tra#sports it either i# a "'++oc% cart or tractor tro++e, to the
3i++. Ca#e is a+so "o'*ht at the 3i++Gs o$# ce#ters $ithi# the co33a#d area. This ca#e is
the# tra#sported i# tr'c%s or thro'*h rai+ to the 3i++.
Ca#e is $ei*hed 'si#* a# e+ectro#ic $ei*h "rid*e a#d '#+oaded i#to ca#e carriers. It is
the# prepared for 3i++i#* ", %#i(es a#d shredders. S'*arca#e j'ice is the# e=tracted ",
pressi#* the prepared ca#e thro'*h 3i++s. ach 3i++ co#sists of three ro++ersF
1. =tracted j'ice 3i=ed $ith $ater is $ei*hed a#d se#t to the "oi+i#* ho'se for
f'rther processi#*. 0esid'a+ "a*asse is se#t to "oi+ers for 'se as f'e+ for stea3
*e#eratio#
5. This j'ice is heated a#d the# treated $ith 3i+% of +i3e a#d s'+ph'r dio=ide. The
treated j'ice is the# f'rther heated a#d se#t to c+arifiers for co#ti#'o's sett+i#*.
The sett+ed 3'd is fi+tered ", (ac''3 fi+ters a#d fi+tered j'ice is ret'r#ed to "e
f'rther processed $hi+e the o+i(er ca%e is se#t o't
<. The c+ear j'ice is e(aporated to a s,r'p sta*e4 "+eached ", s'+ph'r dio=ide a#d
the# se#t to (ac''3 pa#s for f'rther co#ce#tratio# a#d s'*ar *rai# for3atio#.
Cr,sta+s are de(e+oped to a desired siDe a#d the cr,sta++iDed 3ass is the# dropped
i# the cr,sta++iDers to e=ha'st the 3other +i?'or of its s'*ar as 3'ch as possi"+e.
This is the# ce#trif'*ed for separati#* the cr,sta+s fro3 3o+asses. The 3o+asses
is reE"oi+ed for f'rther cr,sta++iDatio#
Th's4 the ori*i#a+ s,r'p is des'*arised pro*ressi(e+, -#or3a++, three ti3es/ ti++ fi#a++,4 a
(isco's +i?'id is o"tai#ed fro3 $hich s'*ar ca# #o +o#*er "e reco(ered eco#o3ica++,.
This +i?'id4 $hich is ca++ed fi#a+ 3o+asses4 is se#t to the disti++er, for 3a%i#* a+coho+.
The s'*ar th's is separated fro3 3o+asses i# the ce#trif'*e is dried4 "a**ed -A: 1* a#d
1:: 1*/4 $ei*hed a#d se#t to stora*e ho'ses.
S'*ar is 3ade i# differe#t siDes a#d accordi#*+, c+assified i#to (ario's *rades i.e. +ar*e4
3edi'3 a#d s3a++.
5>
5.B.5 B,E prod'cts of the s'*ar 3a%i#* process
. Mo+assesF
Mo+asses is the o#+, ",Eprod'ct o"tai#ed i# the preparatio# of s'*ar thro'*h repeated
cr,sta++iDatio#. The ,ie+d of 3o+asses per to# of s'*arca#e (aries i# the ra#*e of >.AI to
AI. Mo+asses is 3ai#+, 'sed for the 3a#'fact're of a+coho+4 ,east a#d catt+e feed.
A+coho+ i# t'r# is 'sed to prod'ce etha#o+4 rectified spirit4 pota"+e +i?'or a#d
do$#strea3 (a+'e added che3ica+s s'ch as aceto#e4 acetic acid4 "'ta#o+4 acetic
a#h,dride4 M) etc.
The state *o(er#3e#t co#tro+s the e=port of 3o+asses thro'*h e=port +ice#ses iss'ed
e(er, ?'arter. Mo+asses a#d a+coho+E"ased i#d'stries $ere deco#tro++ed i# 199< a#d are
#o$ "ei#* co#tro++ed ", respecti(e state *o(er#3e#t po+ices. Near+, 9:I of 3o+asses
prod'ced is co#s'3ed ", the i#d'stria+ a+coho+ 3a#'fact'rers a#d the re3ai#i#* 1:I is
co#s'3ed ", the pota"+e a+coho+ sector.
Ba*asseF
Ba*asse is a fi"ro's resid'e of ca#e sta+% that is o"tai#ed after cr'shi#* a#d e=tractio# of
j'ice. It co#sists of $ater4 fi"re a#d re+ati(e+, s3a++ ?'a#tities of so+'"+e so+ids. The
co3positio# of "a*asse (aries "ased o# the (ariet, of s'*arca#e4 3at'rit, of ca#e4
3ethod of har(esti#* a#d the efficie#c, of the s'*ar 3i++. Ba*asse is 's'a++, 'sed as a
co3"'sti"+e i# f'r#aces to prod'ce stea34 $hich i# t'r# is 'sed to *e#erate po$er. It is
a+so 'sed as a ra$ 3ateria+ for prod'ctio# of paper a#d as feedstoc% for catt+e.
B, 3a%i#* 'se of "a*asse s'*ar 3i++s ha(e "ee# s'ccessf'+ i# red'ci#* depe#de#ce o#
State +ectric Boards4 for their po$er s'pp+, as it ca# proc're 'p to 9:E9AI of its tota+
po$er re?'ire3e#t thro'*h capti(e *e#eratio# fro3 stea3 t'r"i#es.
F+, ashF
F+, Ash is the resid'a+ o'tp't fro3 the "oi+er f'r#ace after "a*asse has co3p+ete+, "'r#t
o't. This f+, ash is 'sed as a s'"stit'te for fire$ood. It is rich i# potassi'3 a#d is a+so
'sed ", +oca+ far3ers for c'+ti(atio#.
5A
&ress M'dF
&ress 3'd4 a+so %#o$# as o+i(er ca%e or press ca%e4 is the resid'a+ o'tp't after the
fi+tratio# of the j'ice. It is 3i=ed $ith spe#t $ash fro3 the disti++er, a#d c'+ti(ated to
prod'ce hi*h ?'a+it, "ioE3a#'re.
2.7 Financial results
The s'33ariDed fi#a#cia+ res'+ts of the co3pa#, for the ,ear e#ded Septe3"er <:4 5:1:
are prese#ted "e+o$F
Ta"+e1
5::9E1:
5::CE
:9
sa+es a#d other i#co3e <4:5C.9C 1C1>.C9
profit "efore i#terest4 depreciatio# a#d ta=atio# B1<.C5 A9A.59
i#terest-#et/ <:1.<> 1C;.:C
depreciatio# a#d a3ortisatio# 5A;.>> 5:5.51
profit "efore ta=atio# AA.:> 5:B
pro(isio# for ta=atio#-#et/ :.1 :.BB
pro(isio# for deferred ta= <.19 >9.11
profit after ta= A1.;A 1AB.5<
disposa"+e s'rp+'s after adj'st3e#ts 5:>.AB 1B1.1>
tra#sfer to reser(e for 3o+asses stora*e ta#%s :.<< :.1B
tra#sfer to *e#era+ reser(e 1:.:< >:
tra#sfer to de"e#t're rede3ptio# reser(e E 5;.A
proposed di(ide#d 1<.> 15.<C
corporate di(ide#d ta= o# proposed di(ide#d 5.55 5.1
"a+a#ce carried to "a+a#ce sheet 1;C.AC ;9
5B
O# a sta#d a+o#e "asis the co3pa#, achie(ed a t'r#o(er of 0s.<4:5C.9C crore as
co3pared to 0s.1C1>.C9 crore i# the pre(io's ,ear. The profit after ta= stood at rs.A1.;A
crore as co3pared to the profit of 0s.1AB.5< crore i# the pre(io's ,ear. O# co#so+idated
"asis 4 the t'r#o(er is 0s.<4<>:.BC crore as co3pared to 0s.54<<<.A5 crore i# the
pre(io's ,ear. The profit after ta= a#d 3i#orit, i#terest is 0s.>>.:B crore as co3pared to
0s.B1.;C crore i# the pre(io's ,ear.
2.8 Dividend
The "oard of directors of the co3pa#, reco33e#d 4 for co#sideratio# of shareho+ders at
the ;9
th
a##'a+ *e#era+ 3eeti#* 4 pa,3e#t of di(ide#d of ;:I -re :.;: per share/o#
e?'it, shares of the face (a+'e of re 1ME each for the ,ear e#ded septe3"er<:45:1:. the
di(ide#d paid d'ri#* the pre(io's ,ear $as a+so ;:I .
2.9 Operations
The 3er*er of s'"sidiar, BHSIL $ith the co3pa#, has f'rther co#so+idated BHL2S
+eadership positio# i# the I#dia# s'*ar i#d'str,. &ost a3a+*a3atio# the co3pa#, #o$
has 1> s'*ar factories $ith a# a**re*ate s'*arca#e cr'shi#* capacit, of 14<B4::: TCD 4
si= disti++eries ha(i#* capacit, to prod'ce i#d'stria+ a+coho+ of C:: %i+o+itres per da, a#d
coE*e#eratio# p+a#ts ha(i#* po$er *e#eratio# capacit, of >5CM8.
The operatio#s d'ri#* the fi#a#cia+ ,ear e#ded septe3"er<:45:1: at a++ the fo'rtee#
s'*ar 3i++s of the co3pa#,4 si= disti++eries a#d coE*e#eratio# faci+ities $ere satisfactor,.
Despite (o+ati+e co#ditio#s 4 the co3pa#, had achie(ed co33e#da"+e res'+ts d'ri#* the
,ear 5::9E1:.
D'ri#* the s'*ar seaso# 5::9E1: 4 the s'*arca#e crop acrea*e red'ced i# '.p
pri3ari+, d'e to deficie#t rai#fa++ a#d re+ati(e+, +o$ s'*ar prices d'ri#* the pre(io's fe$
s'*ar
Seaso#s.. to 3eet the percei(ed shortfa++ i# s'*ar prod'ctio# a#d $ith a (ie$ to
opti3iDe its s'*ar prod'ctio# capacit, 'ti+iDatio#4 the co3pa#, had i3ported a#
a**re*ate of A45;4C:A MT of ra$ s'*ar. Ho$e(er o$i#* to a "a# i3posed i# i#$ard
tra#sportatio#.
5;
2.10. Expansion of power capacity
Modificatio# of "oi+ers for 'se of a+ter#ate f'e+
The co#(ersio# of "a*asse fired "oi+er i#to 3'+tif'e+ "oi+er at o'r *a#*#a'+i4%i#a'#i
@.3a?soodap'r s'*ar '#its has "ee# co3p+eted a#d p't i# operatio#s s'ccessf'++,. No$
$e ha(e optio# to r'# the "oi+er o# a+ter#ate f'e+s i.e $ith coa+ separate+,4 $ith "a*asse
separate+, a#d joi#t+, $ith "a*asse @ coa+ as a f'e+ for the p'rpose of po$er e=port.
Ne$ coa+ fired po$er p+a#ts
S'*ar i#d'str, i# I#dia Mof +ate has $it#essed a# i#te#se (o+ati+it, i# s'*ar prices.
Co#sideri#* the c,c+ica+ #at're of i#d'str, the co3pa#, co#sta#t+, e#dea(o'rs to e(o+(e
a "'si#ess 3ode+ that ca# i#s'+ate itse+f fro3 the (a*aries of c,c+ica+it, of s'*ar
"'si#ess.
Si#ce the ,ear 5::<4 the co3pa#, had e=pa#ded its s'*ar capacit, rapid+, fro3 5>:::
TCD to the prese#t capacit, of 14<B4::: TCD.
The po$er i#d'str, i# I#dia has "ee# characteriDed ", e#er*, shorta*es as the *ap
"et$ee# de3a#d a#d s'pp+, of po$er has "ee# i#creasi#*. U.& *o(er#3e#t has a+so
a##o'#ced U.& e#er*, po+ic, 5::9 i#(iti#* pri(ate participatio# i# the po$er sector to
*e#erate o(er <54::: M8 of po$er ", 5:1>. The co3pa#, has "ee# i# the "'si#ess of
po$er *e#eratio# thro'*h the coE*e#eratio# "a*asse fired po$er *e#eratio# p+a#ts
+ocated at a++ its s'*ar '#its of $hich 3ajor part aro'#d ;AIEC:I $as 'sed for capti(e
p'rpose a#d s'rp+'s so+d to the Uttar &radesh *o(er#3e#t.
&hase1E>A: M8
5C
I# the first phase the co3pa#, had co33e#ced project for a# a**re*ate po$er
*e#erati#* capacit, of >:: M8 co3prisi#* of C:M8 ther3a+ po$er p+a#ts at fi(e
+ocatio#s o# the '#'sed +a#d a(ai+a"+e i# the (ici#it, of the s'*ar 3i++s of the co3pa#,
at %ha3"er%hera4 "ar%hera4 3a?soodap'r4 %'#dar%hi a#d 'tra'+a a++ +ocated i# the state
of 'ttar &radesh.S'"se?'e#t+, the capacit, of these ther3a+ po$er p+a#ts $ere 'p$ard+,
re(ised to >A:M8.
&hase 5E 19C: M8 at +a+itp'r
The co3pa#, $as a$arded 149C:M8 '+tra 3e*a ther3a+ po$er project at +a+itp'r 4
Uttar &radesh . This project is proposed to "e i3p+e3e#ted thro'*h +a+itp'r po$er
*e#eratio# co3pa#, +i3ited-L&)CL/4 a S&7 created for this p'rpose ", the *o(er#3e#t
of U.&. The appro=i3ate cost of project is esti3ated at aro'#d 0s.15::: crore. The
co3pa#, had e#tered i#to a 3e3ora#d'3 of '#dersta#di#*-MOU/ $ith *o(er#3e#t of
'ttar &radesh a#d ha(e ac?'ired L&)CL fro3 U&&CL to 3a%e it a s'"sidiar, of the
co3pa#, $ith effect fro3 Dece3"er1:45:1:.
&hase III J 149C: M8 at "ar*arh
The co3pa#, has a+so "ee# a$arded a#other 149C: M8 '+tra the3a+ po$er project at
"ar*arh 4 district chitra%oot4 'ttar &radesh. The cost of project is esti3ated at aro'#d
0s.15::: crore. A 3e3ora#d'3 of '#dersta#di#* has "ee# e=ec'ted $ith *o(er#3e#t
of 'ttar &radesh i# this re*ard. The "ar*arh T&& sha++ "e i3p+e3e#ted thro'*h a#other
S&7EBajaj po$er *e#eratio# pri(ate +i3ited-B&)&L/4 a s'"sidiar, of the co3pa#,.
BioE*asM po$er fro3 press 3'd
I# additio# to the "a*asse a#d 3o+asses 4 the s'*ar 3i++ operatio#s a+so *e#erate
s'fficie#t a3o'#t of press 3'd. At si= o't of fo'rtee# '#its of the *ro'p4 disti++eries are
attached to the s'*ar p+a#t. I# these cases 4 s'ch press 3'd is part+, 'ti+iDed *ai#f'++, i#
co3post ta%i#* $ith "ioE3etha#ated eff+'e#t for disti++eries to acco3p+ish Dero
dischar*e a#d rest is so+d at (er, #o3i#a+ price. At other +ocatio#s the e#tire ?'a#tit, is
59
so+d at #o3i#a+ prices. The co3pa#, has at ti3e e=perie#ced *reat diffic'+t, for disposa+
of the press 3'd-appro=i3ate+, >I of ca#e cr'shed/.
8ith aro'#d <:E<AI "io3ass co#te#t 4 press 3'd has the pote#tia+ to "e co#(erted i#to
"io*as thro'*h a#aero"ica++, . 1eepi#* a"o(e i# co#sideratio# a#d a+so i# order to
'ti+iDe the press 3'd (a+'a"+, the co3pa#, has acti(e+, co#sidered tappi#* re#e$a"+e
e#er*, fro3 i#d'stria+ $aste. It $as co#sidered desira"+e to 'ti+iDe the s'rp+'s press 3'd
*e#erated i# the s'*ar '#its $hich do #ot ha(e a disti++er, attached ", *ai#f'++,
co#(erted it i#to "io*as $hich i# t'r# ca# a+so "e co#s'3ed ad(a#ta*eo's+, i# po$er
*e#eratio# thro'*h *as e#*i#e.
2.11 Subsidiaries operations
2.11.1 Bajaj hindusthan sugar and industries limited
D'ri#* the ,ear "ajaj hi#d'stha# s'*ar a#d i#d'stries +i3ited-BHSIL/4 a ;AI
s'"sidiar, of the co3pa#, has ceased to "e a s'"sidiar, of the co3pa#, p'rs'a#t to
the sche3e of a3a+*a3atio# of BHSIL $ith the co3pa#, $ith effect fro3 apri+145:1:
fi=ed as appoi#ted date.
2.11.2 Bajaj eco-tec products limited
Bajaj coEtec prod'cts +i3ited-B&L/ is a $ho++, o$#ed s'"sidiar, of "ajaj
hi#d'stha# +i3ited e#*a*ed i# 3a#'fact're of 3edi'3 de#sit, fi"re
"oards-MDF/ "oards a#d pe#ci+ "oards a#d partic+e "oards fro3 s'*arca#e
"a*asse .
D'ri#* the fi#a#cia+ ,ear e#ded 3arch <1 4 5:1: B&L recorded a t'r#o(er of
0S.1A>.B< as a*ai#st 0s.A9.>C crore d'ri#* the pre(io's ,ear. The #et +oss
after ta= for the ,ear $as red'ced to 0s.A:.A; crore as a*ai"st 0s.;<.9A
recorded d'ri#* the pre(io's ,ear.
<:
2.11.3 Bajaj aviation private limited
Bajaj a(iatio# pri(ate +i3ited is a $ho++, o$#ed s'"sidiar, of "ajaj ecoEtec
prod'cts +i3ited a#d therefore is a s'"sidiar, of the co3pa#,. D'ri#* the ,ear
e#ded Septe3"er <:45:1:4it *e#erated a# i#co3e of 0d.1.;B crore a#d posted
profit after ta=atio# of 0s.:.B; crore.
2.11.4 Bajaj energy private limited(BENPL) (formerly bajaj eco-chem
products private limited)
D'ri#* the ,ear the proposed p+a#s of carr,i#* o# the "'si#ess of 3a#'fact're
a#d sa+e of specia+t, che3ica+s thro'*h this s'"sidiar, $ere a"a#do#ed. The
e#tire preEoperati(e e=pe#dit're a**re*ati#* to 0s.:.B< crore o# the aforesaid
project has si#ce "ee# $ritte# off. The #a3e of the co3pa#, $as therefore
cha#*ed fro3 "ajaj ecoEche3 prod'cts pri(ate +i3ited to "ajaj e#er*, pri(ate
+i3ited $ith effect fro3 3arch 1945:1:. After o"tai#i#* appro(a+ of
*o(er#3e#t of 'ttar &radesh 4 these fi(e '#der co#str'ctio# po$er projects
$ere assi*#ed to "e de(e+oped ", "ajaj e#er*, pri(ate +i3ited. As per the
ter3s a#d co#ditio#s stip'+ated ", the *o(er#3e#t of '.p 4 BHL is o"+i*ated to
ho+d 5BI of the e?'it, of his S&7. A+so BHL a#d this S&7 sha++ ha(e the joi#t
respo#si"i+it, for setti#* 'p these projects .
The project has "ee# appraised ", SBICA& tr'stee co3pa#, +i3ited o# "eha+f
of a co#sorti'3 of +e#ders a#d fi#a#cia+ c+os're for de"t a**re*ati#* to
0s.1;>: crore has "ee# achie(ed. The e?'it, re?'ire3e#t for the project has
"ee# esti3ated at 0s.AC: crore . Ti++ date 4 BHL has s'"scri"ed e?'it, to the
t'#e of 0s.1<;.C1 crore a#d 0s.1>9.CC crore has "ee# s'"scri"ed ", a# e#tit,
"e+o#*i#* to the pro3oters of BHL.
2.11.5 Bajaj internacional participacoes limitada(subsidiary in brazil)
D'ri#* the ,ear too4 #o "'si#ess as e#(isa*ed to "e '#derta%e# thro'*h this
$ho++, o$#ed s'"sidiar, i# "raDi+ co'+d "e co33e#ced. The a3o'#t i#(ested
<1
", the co3pa#, had re3ai#ed dep+o,ed i# "a#% deposits.si#ce the co3pa#,
did #ot see a#, opport'#it, of co33e#ci#* "'si#ess soo#4the process of its
$i#di#* 'p a#d repatriatio# of capita+ has "ee# i#itiated.
2.11.6 Bajaj hindusthan(Singapore)private limited
D'ri#* the ,ear "ajaj hi#d'stha# -Si#*apore/ pte.+td4 a $ho++, o$#ed
s'"sisiar, of the co3pa#, i# Si#*apore decided to co33e#ce operatio#s of
tradi#* i# co33odities +i%e s'*ar4 coa+ etc. The co3pa#, a+so p+a#s to ac?'ire
a coa+ 3i#e +ocated i# I#do#esia.
To 3eet the f'#d re?'ire3e#ts of its "'si#ess4 BHL has f'rther i#(ested a s'3
of 'sQ5; 3i++io# e?'i(a+e#t to 0s95.< crore i# this s'"sidiar,.
The fi#a#cia+ ,ear of this s'"sidiar, has "ee# cha#*ed fro3 Octo"erE
septe3"er period to apri+E3arch period $ith effect fro3 3arch <145:1:. No
"'si#ess operatio#s has "ee# co33e#ced 'pto 3arch <145:1:. 8ith the
a**re*ate e=pe#dit're d'ri#* the period a3o'#ti#* to 0s.:.:< crore 4 the #et
+oss for the period $as 0s.:.:< crore a#d acc'3'+ated carried for$ard +oss
'pto 3arch <145:1: is 0s:.15 crore.
2.11 Persons constituting group within the definition ofgroup as defined in the
momopolies and restrictive trade practices act , 1969 , for the purpose of
regulation 3(1)(e)(i) of the securities and exchange board of India
(substantial acquisition of shares and takeovers) regulation , 1997, include
thw following:
Sr.no Name of the entity
<5
1. A.N Bajaj p(t.+td-for3er+, %#o$# as %rish#a(ija, paper a#d "oard
p(t.+td/
5. A"hitech de(e+opers p(t.+td
<. A#a#d3a,i tr'st
>. Apoor( tr'st
A. Bajaj a++$,# rea+t, p(t.+td
B. Bajaj capita+ (e#t'res p(t.+td
;. Bajaj co#s'3er care e3p+o,ees $e+fare f'#d4 'daip'r
C. Bajaj co#s'3er care e3p+o,ees $e+fare f'#d4 (ara#asi
9. Bajaj co#s'3er care +td
1:. Bajaj corp.+td
11. Bajaj e"iD p(t.+td
15. Bajaj hi#d'stha# +i3ited e3p+o,ees ed'cato# $e+fare f'#d
1<. Bajaj hi#d'stha# +i3ited e3p+o,ees fa3i+, p+a##i#* $e+fare f'#d
1>. Bajaj hi#d'stha# +i3ited e3p+o,ees *e#era+ 3edica+ aid f'#d
1A. Bajaj hi#d'stha# +i3ited e3p+o,ees sports @ c'+t'ra+ acti(ities $e+fare
f'#d
1B. Bajaj hi#d'stha# +i3ited 3a#a*eria+ staff 3edica+ aid f'#d
1;. Bajaj i#frastr'ct're de(e+op3e#t co.+td
1C. Bajaj i#frastr'ct're fi#a#ce corporatio# p(t.+i3ited
<<
19. Bajaj i#ter#atio#a+ rea+t, p(t.+td
5:. Bajaj +o*istics p(t.+td
51. Bajaj po$er (e#t'es p(t.+td
55. Bajaj tr'stee co3pa#, p(t.+td
5<. Bhoo3ipooja she+ters p(t.+td
5>. Bhoo3i(ija, properties p(t.+td
5A. Car"er, i#frastr'ct're pte.+td
5B. s'*ari#dia c+eari#* corporatio# +td.
5;. s'*ari#dia +td
5C. )+o"a+ $or+d po$er projects p(t.+td
59. )o+de# shore i#(esti#* FP
<:. )o+de# shore i#(esti#* +i3ited
<1. Ja*r'ti chi##i p(t.+td
<5. %a+a%r'ti rea+ estates p(t.+td
<<. 1NB e#terprises p(t.+td-for3er+, %#o$# as par(ati chi##i p(t.+td/
<>. 1r'ti rea+ estate p(t.+td
<A. %'sha*ra tr'st
<B. %'sha*ra tr'st #o.5
<;. La3"odar s'*ars p(t.+td
<>
<C. Me*ha %ha#dsari p(t.+td
<9. N.H.M 3ar%eti#* p(t.+td
>:. Ne$ horiDo# i#(est3e#ts +td.
>1. Shishir "ajaj fa3i+, tr'st
>5. Shishir "ajaj HUF
><. S1B roop co33ercia+ p(t.+i3ited-for3er+, %#o$# as 0oop s'*ars
p(t.+td/
>>. 7ish$ar'pe tr'st
>A. Y'*adi%rit tr'st
>B. Bajaj ecoEtec prod'cts +td.
>;. Bajaj a(iatio# p(t.+td
>C. Bajaj i#ter#acio#a+ participacoes +tda.
>9. Bajaj hi#d'stha#- si#*apore/ pte.+td
A:. Bajaj e#er*, p(t.+td-for3er+, %#o$# as "ajaj ecoEche3 prod'cts p(t.+td/
A1. La+itp'r po$er *e#eratio# co3pa#, +td.
A5. Bajaj po$er *e#eratio# p(t.+td-for3er+, %#o$# as %ash,ap properties
p(t.+td/
2.12 PLANT LOCATIONS
Sugar mills
<A
1.)o+a*o%ara##ath 4 district +a%hi3p'r %heri4 'ttar &radesh
5. pa+ia %a+a#4 4 district +a%hi3p'r %heri 4'ttar &radesh
<. %i#a'#i4 district 3eer't4 'ttar &radesh
>. Tha#a"ha$a#4district 3'Daffar#a*ar4 'ttar &radesh
A. B'dha#a4 district 3'Daffar#a*ar 4 'ttar &radesh
B. Bi+ai4 district "ij#or4 'ttar &radesh
;. Bar%hera 4 district pi+i"hit4 'ttar &radesh
C 1ha3"ar%hera4 district +a%hi3p'r4 'ttar &radesh
9 )a#*#a'+i 4 district sahara#p'r4 'ttar &radesh
1:. Ma?soodap'r4 district shahjaha#p'r4 'ttar &radesh
11. &ratapp'r4district deoria4 'ttar &radesh
15. 0'da'+i4district "asti4 'ttar &radesh
1<. Utra'+a4 district "a+ra3p'r4 'ttar &radesh
1>. 1'#dar%hi4district *o#da4 'ttar &radesh
Distillery
1. )o+a*o%ara##ath 4 district +a%hi3p'r %heri4 'ttar &radesh
5. &a+ia %a+a#4 4 district +a%hi3p'r %heri 4'ttar &radesh
<. %i#a'#i4 district 3eer't4 'ttar &radesh
>. 1ha3"ar%hera4 district +a%hi3p'r4 'ttar &radesh
<B
A. )a#*#a'+i 4 district sahara#p'r4 'ttar &radesh
B. 0'da'+i4district "asti4 'ttar &radesh
Co-generation
1. pa+ia %a+a#4 4 district +a%hi3p'r %heri 4'ttar &radesh
5. Bar%hera 4 district pi+i"hit4 'ttar &radesh
<. 1ha3"ar%hera4 district +a%hi3p'r4 'ttar &radesh
>. %i#a'#i4 district 3eer't4 'ttar &radesh
A. Tha#a"ha$a#4district 3'Daffar#a*ar4 'ttar &radesh
B. B'dha#a4 district 3'Daffar#a*ar 4 'ttar &radesh
;. Bi+ai4 district "ij#or4 'ttar &radesh
C. )a#*#a'+i 4 district sahara#p'r4 'ttar &radesh
9. Ma?soodap'r4 district shahjaha#p'r4 'ttar &radesh
1:. )o+a*o%ara##ath 4 district +a%hi3p'r %heri4 'ttar &radesh
<;

OB1ECTIVES OF THE STUDY
To +ear# ho$ to 3a%e a "'si#ess report.
To '#dersta#d the Fi#a#cia+ a#a+,sis of Bajaj Hi#d'stha# +i3ited.
To st'd, a"o't the acco'#ti#* po+icies a#d sta#dards adopted ", BHL.
To *et %#o$+ed*e a"o't the f'#ctio#i#* of fi#a#ce a#d acco'#ts depart3e#t
````` ````` ````` ``` `````` ``````
<C





RESEARCH METHODOLOGY
0esearch is a# ori*i#a+ co#tri"'tio# to the co#tri"'tio# to the e=isti#* stoc% of
%#o$+ed*e 3a%i#* for its ad(a#ce3e#t. It is the p'rs'it of the tr'th $ith the he+p of
st'd,. O"ser(atio# for %#o$+ed*e thro'*h o"jecti(e a#d s,ste3atic approach of fi#di#*
so+'tio# to a pro"+e3 is research. The s,ste3atic approach co#cer#i#* *e#era+iDatio#
a#d the for3'+atio# of a theor, is a+so research.
The manipulation of things, concepts and symbols for the purpose of generalization
to extend, correctly and verify knowledge, whether that knowledge aids in
construction of theory or in the practice of an art.

D.Slesinger and M.Stephenson

<9
1 TYPES OF THE RESEARCH
The "asic t,pes of research are as fo++o$sF
1. Descriptive researchF The p'rpose of this research is sa+es pro3otio# acti(ities
i# te+eco3 $ith specia+ refere#ce to idea ce++'+ar.
5. Analytical researchF I# this research the researcher has to 'se facts or
i#for3atio# strate*, a+read, a(ai+a"+e a#d a#a+,De these to 3a%e a critica+
e(a+'atio# of the 3ateria+.
<. Quantitative researchF It is co#cer#ed $ith the ?'a+itati(e phe#o3e#o# is
phe#o3e#a re+ati#* to or i#(o+(i#* ?'a+it, or %i#d.
>. conceptual researchF It is re+ated to so3e a"stract ideas or theor,.
A. empirical researchF It is data "ased research co3i#* $ith co#c+'sio#s4 $hich are
capa"+e of "ei#* (erified ", the o"ser(atio# a#d e=peri3e#t.
B. Diagonostic researchF s'ch a research fo++o$ case st'd, 3ethod or i# depth
approaches to reach the "asic cas'a+ re+atio#.
;. Exploratory researchF The o"jecti(e of this research is the de(e+op3e#t of
h,pothesis rather tha# their testi#*.
The research 3ethodo+o*, i#c+'des the i#for3atio# re*ardi#* the sa3p+e siDe desi*#4
data co++ectio# 3ethods a#d the a#a+,tica+ too+s 'sed .
Here a+so the sa3e is e=p+ai#ed i# detai+ re*ardi#* the sa3p+e siDe 4 co++ectio# 3ethods
a#d a#a+,tica+ too+s 'sed i# this research.
1.1 Data collection methods
There are so 3a#, $a,s i# $hich data sha++ "e co++ected. The 3ethods that ha(e "ee#
'sed for co++ecti#* the data areF
1.1.1 Primary research
1.R'estio##aire 3ethod
5.Direct i#ter(ie$ 3ethod
1.1.2 Secondary research
Boo%s
>:
I#ter#et
Artic+es
Ne$spapers
Ma*aDi#es
I# this research4 First+, I ha(e st'died the co3pa#, histor,4 Co2s )ro$th4 co2s prod'cts4
*o(t. po+icies for s'*ar i#d'str,4 *+o"a+ @ I#dia# sce#ario of s'*ar4 ris%s @ co#cer#s for
"etter '#dersta#di#* of acco'#ti#* po+icies @ acco'#ti#* proced'res. After that I started
3, project of 6Fi#a#cia+ a#a+,sis of Bajaj hi#d'stha# +i3ited .!
Define the problem and research objectives
The first step ca++s for the researcher to defi#e the pro"+e3 caref'++, a#d a*ree o# the
research o"jecti(e. A# o+d a*e sa,i#*E
~A problem well defined is half solved.
1.1.3 Data Collection
Data2s co++ected thro'*h &erso#a+ i#ter(ie$s4 Co2s Ba+a#ce Sheets4 I#ter#et sites4 Boo%s
etc.
PRESENTATION AND ANALYSIS

1 .THE FINANCIAL ANALYSIS AND OPERATIONS OF THE COMPANY
A sche3e of a3a+*a3atio# of Bajaj Hi#d'stha# s'*ar a#d i#d'stries +i3ited
-herei#after referred to as SA3a+*a3ated co3pa#,2/ $ith the co3pa#, '#der sectio#s
<91 to <9> of the co3pa#ies act 4 19AB $as sa#ctio#ed ", Ho#2"+e hi*h co'rt ha(i#*
j'dicat're at Bo3"a, (ide order dated No(e3"er 5B45:1:.
C'rre#t ,ear fi*'res i#c+'des the sta#dEa+o#e fi*'res of Bajaj hi#d'stha# +i3ited for the
period fro3 Octo"er :145::9 to Septe3"er <:45:1: a#d the fi*'res of Bajaj Hi#d'stha#
s'*ar a#d i#d'stries +i3ited-A3a+*a3ated co3pa#,/ for the period fro3 Apri+ :14 5:1:
>1
to Septe3"er <:45:1:. F'rther the assets a#d +ia"i+ities as o# Septe3"er <:45:1: of the
co3pa#, a+so i#c+'des assets a#d +ia"i+ities of the A3a+*a3ated co3pa#, as per the
sche3e of a3a+*a3atio#.

Ta"+e 5
ca#e cr'shi#* MMT C.>B; A.>5A
0a$ s'*ar processi#* MMT :.<5; T
S'*ar reco(er, I 9.5> 9.:9
S'*ar prod'ctio#Efro3 ca#e M.T ;C5411C >9<4>BC
E fro3 ra$ s'*ar M.T <1A45B5 T
I#d'stria+ a+coho+ prod'ctio# 1.L 9>4;19 <54:;:
Mo+asses prod'ctio# M.T >>54><< 5B;45>1
&o$er *e#eratio# M.8 >>C49:1 5;B4<::
D'ri#* the ,ear the prod'ctio# of s'*ar a#d 3o+asses has i#creased to 1:49;4<C:MT
a#d >44>54><< MT as co3pared to >49<45BCMT a#d 54B;45>1 MT respecti(e+, i#
pre(io's ,ear recordi#* a *ro$th of 155I a#d BAI respecti(e+,. This $as 3ai#+, d'e
to hi*her a(ai+a"i+it, of s'*arca#e a#d processi#* i3ported ra$ s'*ar. Si3i+ar+,
i#d'stria+ a+coho+ etha#o+ prod'ctio# $as hi*her at 9>4;19 1L as co3pared to <54:;:
1L i# pre(io's ,ear recordi#* a *ro$th of 19AI. &o$er *e#eratio# $as a+so hi*her at
>4>C49:1 M8 as co3pared to 54;B4<:: M8 i# pre(io's ,ear recordi#* a *ro$th of B5I
+ar*e+, d'e to hi*her ?'a#t'3 of "a*asse a(ai+a"+e fro3 the cr'shi#* of s'*arca#e.

Loo%i#* to the red'ced s'*arca#e crop acrea*e i# s'*ar seaso# 5::9E1:4 the co3pa#,
too% #ecessar, steps to e#s're a(ai+a"i+it, of ca#e so that 3i++s ca# operate at opti3'3
>5
capacit,. Tho'*h4 ca#e crop acrea*e red'ced i# '.p4 the ?'a+it, of s'*arca#e i3pro(ed 4
res'+ti#* i#to hi*her prod'ctio# of s'*ar a#d other re+ated prod'cts i.e 3o+asses a#d
a+coho+. 0eco(er, of s'*ar fro3 s'*arca#e $as a+so hi*her this ,ear at 9.5>I as a*ai#st
9.:9I i# the pre(io's ,ear. The far3ers ha(e *ai# shifted fro3 other crops to s'*arca#e
crop this ,ear d'e to hi*her fair a#d re3'#erati(e price-F0&/4 State ad(isor, price-SA&/
fi=ed ", the ce#tra+ *o(er#3e#t a#d state *o(er#3e#t respecti(e+, a#d i#ce#ti(e paid to
ca#e *ro$ers ", the s'*ar 3i++s.
1.1 Results of operations
Ta"+e <
&artic'+ars 5::9E1: 5::CE:9
0e(e#'e <4:5C.9C 1C1>.C9
ar#i#*s "efore
i#terest4depreciatio#-BIDTA/ B1<.C5 A9A.59
I#terest@fi#a#ce char*es-#et/ <:1.<> 1C;.:C
cash profits <15.>C >:C.51
Depreciatio# @ a3ortisatio# 5A;.>> 5:5.51
&rofit "efore ta= AA.:> 5:B
pro(isio# for ta=atio# <.59 >9.;;
&rofit after ta= A1.;A 1AB.5<
Basic ear#i#* per share-0s/ 5.A1 1:.<
Di+'ted ear#i#* per share-0s/ 5.A1 9.<9
1.2 Turnover
I#crease i# re(e#'e is d'e to hi*her ?'a#t'3 of s'*ar so+d 4 hi*her sa+es rea+iDatio# of
s'*ar a#d re(e#'e of a3a+*a3ated co3pa#, for the period fro3 apri+145:1: to
septe3"er<:4 5:1:.
><
1.3 Analysis of sales
D'ri#* the ,ear the co3pa#, so+d 945B49BB MT of s'*ar as a*ai#st B4;541C: MT d'ri#*
the pre(io's ,ear4 re*isteri#* a# i#crease of <CI. The co3pa#, a+so so+d A>4B:5 MT of
3o+asses as a*ai#st ;1415: MT i# the pre(io's ,ear 4 reporti#* a do$#fa++ of 5<I d'e to
3ore 3o+asses 'sed for prod'ctio# of a+coho+ d'ri#* the ,ear.
1.4 Other income
Other i#co3e for the ,ear $as 0s.1AA.<C crore a*ai#st 0s.5<1.1A crore i# the pre(io's
,ear.
The 3ajor co3po#e#t of other i#co3e $as *ai# d'e to forei*# e=cha#*e f+'ct'atio# of
0s.>;.;< crore4 +ease re#t at 0S.1A.C> crore. &ro(isio# #o +o#*er re?'iredMcredit "a+a#ce
appropriated of 0s.<5.19 crore a#d profit o# sa+e of +o#* ter3 i#(est3e#t of 0s.1B.B1
crore.
1.5 other expenses
D'ri#* the ,ear other e=pe#ses $ere 0s.5>B.5; crore as a*ai#st 0s.1<C.5C crore i# the
pre(io's ,ear. The i#crease i# other e=pe#ses $as +ar*e+, d'e to hi*her cr'shi#* of
s'*arca#e a#d processi#* of ra$ s'*ar d'ri#* the ,ear.
1.6 Earnings before interest, depreciation, tax and amortization
The BIDTA achie(ed for the ,ear $as 0s.B1<.C5 crore as a*ai#st 0s.A9A.59 crore i#
the pre(io's ,ear. The i#crease i# BIDTA 3ar*i#s $as 3ai#+, o# acco'#t of hi*her
(o+'3e of sa+es4 hi*her rea+iDatio# of s'*ar a#d po$er sa+e as co3pared to pre(io's
,ear.
1.7 Interest & finance charges
I#crease i# i#terest e=pe#ses $as 3ai#+, d'e to hi*her +oa#s a#d additio#a+ $or%i#*
capita+ 'ti+iDed for 3a%i#* ear+, ca#e price pa,3e#ts to *ro$ers as co3pared to the
pre(io's ,ear. This ,ear co3pa#, a+so he+d hi*her stoc%s of s'*ar a#d a+coho+ d'e to
hi*her prod'ctio# a#d +o$er de3a#d of s'*ar.
>>
1.8 Depreciation & amortisation
The depreciatio# for the ,ear i#creased fro3 0s.5:5.51 crore to 0s.5A;.>> crore 3ai#+,
d'e to depreciatio# o# re(a+'atio# of assets of the co3pa#, as o# apri+:145:1: a#d
depreciatio# o# assets of a3a+*a3ated co3pa#, i.e Bajaj hi#d'stha# s'*ar a#d
i#d'stries +i3ited $.ef apri+:145:1:.
1.9 Provision for tax
&ro(isio# for ta=atio# i#c+'des c'rre#t ta= of 0s.1B.<A crore 4 deferred ta= +ia"i+it, of
0s.<.19 crore a#d $ea+th ta= of 0s.:.1: crore.
1.10 Balance sheet
The s'33ariDed "a+a#ce sheet as at Septe3"er <:45:1: is as '#derF
Ta"+e>
fi#a#cia+ ,ear e#ded septe3"er<: 5:1: 5::9
sources of funds
shareho+derGs f'#ds
capita+ 19.14 1;.B9
e?'it, share s'spe#se 3.7 :
e?'it, $arra#ts 0 1C.9
stoc% optio# o'tsta#di#* 1A.< :
reser(es a#d s'rp+'s 3,098.82 545A;.:C
sub total 3,136.96 5459<.B;
+oa# f'#ds 5,543.13 <4:;A.1A
deferred ta= +ia"i+it, 83.43 1:C.:>
total 8,763.52 A4>;B.CB
application of funds
fi=ed assets i#c+'di#* C8I& 5,571.19 54;B<.;C
i#(est3e#ts 1,113.39 A>9.11
c'rre#t assets4+oa#s @ad(a#ces 3,987.87 <4:<>.>5
>A
+essFc'rre#t +ia"i+ities @ pro(isio#s 1,908.93 C;:.>A
#et c'rre#t assets 2,078.94 541B<.9;
tota+ 8,763.52 A4>;B.CB
1.11 Capital
The co3pa#, has a++otted 14>A4::4::: #e$ e?'it, shares o# Ja#'ar, >45:1: to the
pro3oter *ro'p of the co3pa#, i# ter3s of $arra#ts a++otted to the3 o# 3a,1C45::9 o#
prefere#tia+ "asis carr,i#* ri*ht to s'"scri"e for a#d "e a++otted o#e-1/ f'++, paid e?'it,
share of face (a+'e 0e1 each per $arra#t4 at a price of 0s.A5.1> per e?'it, share i#
accorda#ce $ith the SBI prefere#tia+ iss'e *'ide+i#es.
1.12 Equity share suspense
?'it, share s'spe#se of 0s.<.;: crore represe#t the face (a+'e of a# a**re*ate of
<4;:4::4::: e?'it, shares of 0e.1 each of the co3pa#, to "e a++otted i# accorda#ce $ith
the ter3s a#d co#ditio#s of the sche3e of a3a+*a3atio# of Bajaj hi#d'stha# s'*ar a#d
i#d'stries +i3ited $ith Bajaj hi#d'stha# +i3ited as sa#ctio#ed ", ho#2"+e hi*h co'rt
ha(i#* j'dicat're at Bo3"a, (ide order dated No(e3"er 5B45:1:.
1.13 Reserves and surplus
Sec'rities pre3i'3 acco'#t i#creased ", 0s.C:B.B< crore represe#t 0s.;55.:A crore $as
credited i# accorda#ce $ith the sche3e of a3a+*a3atio# "ei#* the a**re*ate of e=cess
of the fair(a+'e of #et assets of a3a+*a3ated co3pa#, o(er the paid 'p (a+'e of e?'it,
shares to "e iss'ed a#d a++otted.
1.14 Loan funds
Loa# f'#ds i#creased to 0s.A4A><.1< crore as a*ai#st 0s.<4:;A.1A crore i# the pre(io's
,ear 3ai#+, d'e to f'rther +oa# ta%e# for f'+fi++3e#t of $or%i#* capita+ re?'ire3e#t a#d
+oa# f'#ds of the a3a+*a3ated co3pa#,.
>B
1.15 Fixed assets
)ross "+oc% i#creased fro3 0s.<4>:;.>C crore to 0s.B4A:9.C; crore $as 3ai#+, d'e to
re(a+'atio3 of certai# assets of the co3pa#, a#d assets of 3a+*a3ted co3pa#, $.e.f
Apri+ :145:1:.
1.16 Investments
D'ri#* the ,ear co3pa#, i#(ested 0s.1<;.:: crore i# Bajaj e#er*, pri(ate
+i3ited-s'"sidiar,/ ", s'"scri"i#* to B949:4::: e?'it, shares of 0s.1:each at a pre3i'3
of 0s1CB per share a#d 0s95.<1 crore i# Bajaj hi#d'stha#-Si#*apore/ pte.+td-s'"sidiar,/
", s'"scri"i#* to 54;:4::4::: e?'it, shares of Q1 each.
1.17 Inventories
The i#(e#tor, of s'*ar at the e#d of the ,ear $as >4B:4:9; MT e?'i(a+e#t tp 1C1 da,s2
sa+es as co3pared to 9A da,s sa+es i# the pre(io's ,ear. This $as d'e to hi*her
prod'ctio# 4 ra$ s'*ar processed i#to $hite s'*ar a#d *rad'a+ +i?'idatio# of stoc%s d'e
to de3a#d "ei#* 3et ", i3port of $hite s'*ar a#d *rad'a+ +i?'idatio# of stoc%s d'e to
de3a#d "ei#* 3et ", i3port of $hite s'*ar a++o$ed ", the *o(er#3e#t.
1.18 Debtors
I# +i#e $ith the co3pa#,2s foc's o# effecti(e $or%i#* capita+ 3a#a*e3e#t 4 (i*oro's
efforts $ere 3ade to reco(er d'es fro3 de"tors. The de"tors at the e#d of the ,ear $ere
e?'i(a+e#t to 5: da,s2 sa+es as co3pared to B da,s sa+es i# the pre(io's ,ear.
1.19 Significant non-recurring income , expenditure and other items
1.19.1 Income
The profit o# sa+es of i#(est3e#t of 0s.1B.B1 crore a#d the pro(isio#s #o +o#*er
re?'ired M credit "a+a#ce appropriated40s.<5.19 crore4 $ere of a #o#Erec'rri#* #at're.
>;
1.19.2 Expenditure
The +oss o# assets so+dMdiscarded 4 0s.:.1: crore is of a #o#Erec'rri#* #at're.
1.19.3 Contingent liabilities
The stat's of co#ti#*e#t +ia"i+ities as at septe3"er<:45:1: has "ee# re(ie$ed ", the
3a#a*e3e#t. fforts are "ei#* 3ade for speed, sett+e3e#t of pe#di#* cases.
1.20 division wise operations
Ta"+e AFCr'shi#* detai+s of p+a#ts d'ri#* the ,ear 5::9E1: F
5::9E1: 5::CE:9
&+a#t +ocatio# Do#e Ca#e
cr'shi#*
S'*ar
reco(er,
S'*ar
prod'ctio#
Ca#e
cr'shi#*
S'*ar
reco(er,
S'*ar
prod'ctio#
)o+a
*o%ara##ath
Ce#tra+
'.p
1.1C> 9.BC 11>AC< :.CA; 9.A< C1B<;
&a+ia %a+a# 6 1.1B1 C.B9 1::;9; :.CA; 9.<1 ;9C1B
1i#a'#i 8ester#
'.p
1.55> 9.:: 11:1:: :.;CC C.;5 BCB>A
Tha#a"ha$a# 6 :.;;; 9.:< ;:5:C :.A>1 C.;; >;>;9
B'dha#a 6 :.9C1 9.<; 919B> :.A;C C.C> A1:<C
Bi+ai 6 :.C;1 1:.1A CCA5C :.>;: 1:.:> >;1>1
)a#*#a'+i 6 :.>A> 9.:; >11CC :.1C; C.>; 1ACA1
%ha3"ar%hera Ce#tra+
'.p
:.;9B 9.11 ;5B:; :.A59 9.1B >C<A1
Bar%hera 6 :.B>< C.9A A;A<C :.<>> C.;9 <:1C;
Ma?soodap'r 6 :.<;B 9.5: <>B:A :.5;> C.>B 5<15<
&ratapp'r aster#
'.p
E E E E
0'da'+i 6 E E E E
Utra'+a 6 E E E E
1'#dar%hi 6 E E E E
total 8.467 9.24 782118 5.425 9.09 493268
1.21 Distillery division
>C
The disti++er, di(isio# prod'ced 9>;19 %i+o+itres of i#d'stria+ a+coho+Metha#o+ a*ai#st
<5:;: %i+o+itres i# the pre(io's ,ear re*isteri#* a# i#crease of 19AI. Li%e$ise
a+coho+Metha#o+ sa+es a**re*ated B<15< %i+o+itres i# the pre(io's ,ear re*isteri#* a#
i#crease of 9BI. I# (a+'e ter3s the sa+e of i#d'stria+ a+coho+Metha#o+ d'ri#* the ,ear $as
rs.1B5.C5 as a*ai#st 0sCA.C1 crore i# the pre(io's ,ear re*isteri#* a# i#crease of 9:I.
I#crease i# prod'ctio# a#d sa+e $as d'e to a(ai+a"i+it, of 3ore s'*arca#e res'+ti#* o#to
hi*her prod'ctio# of 3o+asses.
1.22 Power division
The sa+e of po$er $as at 0sA1.9; crore i# the c'rre#t ,ear as a*ai#st 0s55.B5 crore
recorded i# the pre(io's ,ear re*isteri#* a#3 i#crease of 1<:I 3ai#+, d'e to
a(ai+a"i+it, of 3ore "a*asse fro3 s'*arca#e cr'shi#*.
1.23 Balance sheet as at September 30,2010
Ta"+e BF
>9
1.24 profit and loss account for the year ended september30,2010
Ta"+e ;F

0s.crore
As at
sept<:45:1:
As at
sept<:45::9
sources of funds
shareho+ders f'#ds
capita+ 19.1> 1;.B9
e?'it, share s'spe#se <.;
e?'it, $arra#ts 1C.9
stoc% optio# o'tsta#di#* 1A.<
reser(es@s'rp+'s <4:9C.C5 545A;.:C
<41<B.9B 5459<.B;
+oa# f'#ds
sec'red +oa#s >4>59.;; 149AB.;<
'#sec'red +oa#s 1411<.<B 1411C.>5
A4A><.1< <4:;A.1A
deferred ta= +ia"i+it, C<.>< 1:C.:>
total C4;B<.A5 A4>;B.CB
ii.application of funds
fi=ed assets
*ross "+oc% B4A:9.C; <4>:;.>C
+essFdepreciatio# 1:59.9B ;;>.9C
#et "+oc% A4>;9.91 54B<5.A:
capita+ $or% i# pro*ess 91.5C 1<1.5C
A4A;1.19 54B;<.;C
i#(est3e#ts 1411<.<9 A>9.11
c'rre#t assets4+oa#s@ad(a#ces
I#(e#tories 1951.<B C::.>A
s'#dr, de"tors 1B<.1 5C.A;
cash@"a#% "a+a#ces >;9.5 115.<A
+oa#s@ad(a#ces 14>5>.51 54:9<.:A
<49C;.C; <4:<>.>5
+essFc'rre#t +ia"i+ities
@pro(isio#s
c'rre#t +ia"i+ities 14;1B.9A BC<.:<
pro(isio#s 191.9C 1C;.>5
149:C.9< C;:.>A
#et c'rre#t assets 54:;C.9> 541B<.9;
TOTAL C4;B<.A5 A4>;B.CB
A:
RS,CRORE 2009-10 2008-09
INCOME
)ross sa+esMi#co3e fro3 operatio#s 2970.27 1BAA.;A
+essFe=cise d't, 96.67 ;5.:1
#et sa+esMi#co3e fro3 operatio#s 2,873.60 1AC<.;>
other i#co3e 155.38 5<1.1A
3,028.98 1C1>.C9
EXPENDITURE
ra$ 3ateria+s co#s'3ed 2,765.64 C1B.;B
3a#po$er cost 146.82 15:.C<
other e=pe#ses 246.27 1<C.5C
i#terest@fi#a#ce char*es 301.34 1C;.:C
depreciatio#@a3ortisatio# 257.44 5:5.51
i#creaseMdecrease i# stoc%s -743.57 1><.;<
2,973.94 1B:C.C9
profit for the year before taxation 55.04 206
+essFpro(isio# for ta=atio#
c'rre#t ta= 1B.<A <<.:9
deferred ta= 3.19 >9.11
$ea+th ta= 0.1 :.1
fri#*e "e#efit ta= _ :.AB
19.64 C5.CB
+essFMAT credit e#tit+e3e#t 16.35 <<.:9
3.29 >9.;;
51.75 1AB.5<
profit for the year
addF"a+a#ce "o'*ht for$ard ;9 B.A<
e=cessM-short/pro(isio# for ta= E1.B5
di(ide#d paid of ear+ier ,ear E1.:5
corporate di(ide#d ta= o# di(ide#d paid E:.1;
de"e#t're rede3ptio# reser(e ;A
152.81 >.91
204.56 1B1.1>
Transfers to:
reser(e for 3o+asses stora*e ta#%s 0.33 :.1B
*e#era+ reser(e 10.03 >:
de"e#t're rede3ptio# reser(e 5;.A
proposed di(ide#d 13.4 15.<C
corporate di(ide#d ta= o# proposed
di(ide#d 2.22 5.1
"a+a#ce carried to "a+a#ce sheet 178.58 ;9
A1
"asic ear#i#* per share
#et profitM$ei*hted a(era*e #o.of
shares 51.75/206,133,823 1A>.BM1A:41>C45:;
"asic ear#i#* per share i# r'pees-face
(a+'e re1MEeach/ 5.A1 1:.<
di+'ted ear#i#* per share
#et profitM$ei*hted a(era*e #o.of shares A1.;AM5:B41<<4C5< 1A>.B1M1B>4B>C45:;
di+'ted ear#i#* per share-face (a+'e
re1MEeach/ 5.A1 9.<9
1.25 Cash flow statement for the year ended September 30,2010
Ta"+e CF
2009-2010 2008-2009
A.Cash flow from operating activities
#et profit "efore e=ceptio#a+ ite3s a#d ta=atio#
adj'st3e#t for AA.:> 5:B
Depreciatio# @ a3ortisatio# 5A;.:>
-*ai#/M+oss d'e to forei*# e=cha#*e f+'ct'atio# E1> :
pro(isio# for forei*# e=cha#*e f+'ct'atio# : EC<.BA
+ossM-s'rp+'s/o# sa+e of fi=ed assets-#et/ E:.1A 1.5B
i#terest@fi#a#ce char*es >1A.5 59A.:B
di(ide#dMi#co3e fro3 c'rre#t i#(est3e#t recei(ed E<.A9 E:.>;
profit o# sa+e of i#(est3e#t E1B.B1 :
i#teest recei(ed E11<.CB E1:;.9C
e3p+o,eeGs co3pe#satio# e=pe#ses-SO& cost/ E:.CC :
A5<.AA <:B.><
operati#* profit "efore $or%i#* capita+ cha#*es A;C.A9 A15.><
adj'st3e#t forF
trade@other recei(a"+es >C.;> E5:B.C;
i#(e#tories E145:9.<C E1B<.51
trade pa,a"+es C.5< E;B.CA
cash *e#erated fro3 operatio#s EA;<.C5 519.5
direct ta=es paid E>:.5A E1<.:>
net cash from/(used in)operating activities B1>.:; 5:B.1B
B.Cash flow from investing activities
p'rchase of fi=ed assets E519.B; EB:.C1
dsa+e of fi=ed assets 5.B9 A.A>
p'rchase of i#(est3e#ts E>;::.A EBA:.1<
sa+e of i#(est3e#ts >A15.C< EAC9.5C
A5
+oa#s@ad(a#ces EB1.>> EAA.>;
di(ide#ds recei(ed <.A9 :.>;
i#terest recei(ed 11<.CB 1:;.9C
net cash used in investing activities E<>C.B> B<.1>
C cash flow from financing activities
proceeds fro3 "orro$i#*s-#et of repa,3e#ts/ 1B;>.1C E>BB.51
iss'e of co#(erti"+e $arra#ts 1C.9
iss'e of e?'it, shares @ pre3i'3 thereo#
o# iss'e of RI& ;5<.1C
o# co#(ersio# of e?'it, $arra#ts AB.;
iss'e e=pe#ses-RI&/ 19.C;
i#terest paid E<91.9A E<1B.AB
di(ide#d paid-i#c+'di#* ta= thereo#/ E1A.AC E9.C<
net cash from/(used in) financing activities 14<5<.<A E;:.<9
#et i#creaseM-decrease/i# cash a#d cash e?'i(a+e#ts <B:.B> ;5.B<
cash@cash e?'i(a+e#ts as at oct:1-ope#i#* "a+a#ce/
ear3ar%ed for specific p'rposes <>.C5 1.B1
other "a+a#ces ;;.A< <C.11
115.<A <9.;5
cash a#d cash e?'i(a+e#ts o# a3a+*a3atio# B.51
cash a#d cash e?'i(a+e#ts as at septe3"er <:-c+osi#* "a+a#ce/
ear3ar%ed for specific p'rposes <.1C <>.C5
other "a+a#ces >;B.:5 ;;.A<
>;9.5 115.<A
1.26 consolidated balance sheet as at September 30,2010
Ta"+e 9F
0S.C0O0
AS at
sept<:45:1: As at sept<:45::9
1.sources of funds
shareho+derGs f'#ds
capita+ 19.1> 1;.B9
e?'it, share s'spe#se <.; E
e?'it, $arra#ts 1C.9
stoc% optio#s o'tsta#di#* 1A.< 1B.1C
reser(es @ s'rp+'s 54C>A.B; 5:B:.;>
5CC<.C1 511<.A1
3i#orit, i#terest 5:5.9; BA.:B
+oa# f'#ds
sec'red +oa#s A:;B.<C 5CBA.;C
'#sec'red +oa#s 15;<.<; 119:.>C
B<>9.;A >:AB.5B
deferred ta= +ia"i+it, C<.>A >C.B1
A<
total 9A5:.<C B5C<.>>
2.application of funds
fixed assets
*ross "+oc% BCBB.C A59A.1<
less:depreciation 11:9.;; 1:A9.C<
#et "+oc% A;A;.:< >5<A.<
capital work in progress 9<:.B1 1A>.C
BBC;.B> ><9:.1
i#(est3e#t B9<.9 :.15
c'rre#t assets4+oa#s@ad(a#ces
i#(e#tories 19B;.>< 9AB.>>
s'#dr, de"tors 1A5.C; >9.CB
cash@"a#% "a+a#ces A5A.;; 15;.5;
+oa#s@ad(a#ces 1><A.1 1CA9.<9
>:C1.1; 5995.9B
+essFc'rre#t +ia"+ities @pro(isio#s
c'rre#t +ia"i+ities 1;>9.1C 9:5.;
pro(isio#s 19<.1A 19;.:>
1:99.;>
#et c'rre#t assets 51<C.C> 1C9<.55
tota+ 9A5:.<C B5C<.>>
1.27 Consolidated profit & loss account for the year ended September 30,2010
Ta"+e1:F
0S.C0O0
AS at
sept<:45:1: As at sept<:45::9
income
*ross sa+esMi#co3e fro3 operatio#s <<:>.C 511A.59
+essFe=cise d't, 1:<.<; C9.<>
#et sa+esMi#co3e fro3 operatio#s <5:1.>< 5:5A.9A
other i#co3e 1<9.5A <:;.A;
<<>:.BC 5<<<.A5
expenditure <519.:C 1:;<.>B
ra$ 3ateria+s co#s'3d 1C<.C9 1BA.<<
3a#po$er cost <C;.1B 51C.>>
other e=pe#ses <BC.15 5;C.1<
i#terest@fi#a#ce char*es <>>.:< <>A.BB
A>
depreciatio#@a3ortisatio# -99C.B;
1>;.
<A
i#creaseMdecrease i# stoc%s <A:<.B1 555C.<;
profitM-+oss/ for the ,ear "efore
ta=atio# E1B5.9< 1:;.1A
e=ceptio#a+ ite3sF
s'rp+'s o# cessatio# of s'"sidiar, E19>.9< E
profit before the year before
taxation 32 105.15
+essFpro(isio# for ta=atio#
current tax 1B.B <<.1C
deferred ta= E9.> >>.BC
wealth tax :.11 :.1
fri#*e "e#efit ta= E :.;C
;.<1 ;C.;>
+essFMAT credit e#tit+e3e#t 1B.A5 <<.1<
E9.51 >A.B1
profit for the year >1.51 A9.A>
+essF3i#orit, Mi#terest E5.CA E5.5>
income attributed to consolidated group >>.:B B1.;C
addF"a+a#ce "ro'*ht for$ard E1;B.1 E1A>.:C
e=cessMshort pro(isio# for ta= E:.:< O-1.B5/
di(ide#d paid of ear+ier ,ear E1.:5
corporate di(ide#d ta= o# di(ide#d
paid E:.1;
de"e#t're rede3ptio# reser(e ;A
1:5.<5 E1AA.;
EAC.5B E9<.95
transfers to:
reser(e for 3o+asses stora*e ta#%s :.<A :.5
*e#era+ reser(e 1:.:< >:
de"e#t're rede3ptio# reser(e E 5;.A
proposed di(ide#d 1<.> 15.<C
corporate di(ide#d ta= o# proposed di(ide#d 5.55 -1;B.1:
"a+a#ce carried to "a+a#ce sheet EC>.5B
"asic ear#i#* per share
#et profitM$ei*hted a(* #o.of shares >>.:<M5:B1<<C5< B:.BM1A:1>C5:;
"asic ear#i#* per share i# r'pees 5.1> >.:1
di+'ted ear#i#* per share
#et profitM$ei*hted a(* #o.of shares >>.:<M5:B1<<C5< B:.1BM1B>B>C5:;
di+'ted ear#i#* per share i# r'pees 5.1> <.BA
1.28 Consolidated cash flow statement for the year ended September 30,2010
AA
Ta"+e 11
5::9E1: 5::CE:9
cash flow from operating activities
#et profitM-+oss/ "efore e=ceptio#a+ ite3s a#d ta=atio# E1B5.9< 1:A.1A
adj'st3e#t forF
depreciatio#@a3ortisatio# <>>.:< <>A.BB
-*ai#/M+oss d'e to forei*# e=cha#*e f+'ct'atio# E1>
pro(isio# for forei*# e=cha#*e $ritte# "ac% E E151.15
+ossM-s'rp+'s/ o# sa+e of fi=ed assets E:.5A 1.5;
i#terest@fi#a#ce char*es >>C .1< <AC.;>
di(ide#d recei(ed E<.;1 E:.>;
profit o# sa+e of i#(est3e#t E1B.B5 E
i#terest recei(ed EC:.:1 EC:.B1
e3p+o,eeGs co3pe#satio# e=pe#ses E:.CC E
B;B.B9 A:<.>;
A1<.;B B:C.B5
operati#* "efore $or%i#* capita+ cha#*es
adj'st3e#t forF
trade a#d other recei(a"+es E<>.1 E55A.C
i#(e#tories E1A9A.A< E1B>.:;
trade pa,a"+es <9B.51 E<:.9A
cash *e#erated fro3 operatio#s E;19.BB 1C;.C
direct ta=es paid E<9.B< -1>.55T/
net cash from/(used in) operating activities E;A9.59 1;<.AC
cash flow from investing activities
p'rchase of fi=ed assets E1:11.C E1BB
sa+e of fi=ed assets 5.;C A.B
p'rchase of i#(est3e#ts E>A;1.59 EAC9.5C
sa+e of i#(est3e#ts >AC;.C> AC9.5<
+oa#s a#d ad(a#ces EB1.> E>B.:;
di(ide#d ecei(ed <.;1 :.>;
i#terest recei(ed C:.:1 C:.B1
e=cha#*e f+'ct'atio# reser(e o# co#so+odatio# E:.A< :.B5
net cash(used in) investing activities E9;:.BC E15>.C5
cash flow from finanacing activities
proceeds fro3 "orro$i#*s 5<:5.BC E>5;.B;
iss'e of co#(erti"+e $arra#ts E 1C.9
iss'e of e?'it, shares@pre3i'3 theeo#
o3 iss'e of ?ip ;5<.1C
o# co#(ersio# of e?'it, $arra#ts AB.; E
3i#orit, i#terest 511.CC E
iss'e e=pe#ses E19.C;
i#terest paid E>5;.51 E<C:.5<
di(ide#d paid E1A.AC E9.C<
net cash from/(used in) financing activities 515C.>; E9A.A5
#et i#creaseM-decrease/ i# cash a#d cash e?'i(a+e#ts <9C.A E>B.;B
AB
cash a#d cash e?'i(a+e#ts as at oct1
ear3ar%ed for specific p'rposes <A.9C 5.95
other "a+a#ces 91.59 1;1.11
15;.5; 1;>.:<
cash a#d cash e?'i(a+e#ts as at sept<:
ear3ar%ed for specfic p'rpose 1>.A1 <A.9C
other "a+a#ces A11.5B 91.59
A5A.;; 15;.5;



A;
LIMITATIONS

Ti3e $as the 3ai# co#strai#t

Hi*h Cost
Li3ited f+e=i"i+it, for 3odificatio# as per re?'ire3e#t
0e?'ired specia+ trai#i#* for 'si#* SA&
User ca##ot "e 'sed 3'+tip'rpose+,
'ser re?'ired for co3p+eti#* the specific tas%



.


AC
FINDINGS AND SUGGESTIONS

FINDINGS
D'ri#* the S'33er Trai#i#* at Bajaj Hi#d'stha# Li3ited I *et %#o$+ed*e of acco'#ti#*
po+icies a#d s,ste3 of acco'#ti#* a#d proced're . I a+so *et the %#o$+ed*e of
f'#ctio#i#* a#d *e#era+ ad3i#istratio# of fi#a#ce @ acco'#ts depart3e#t.

CONCLUSIONS AND RECOMMENDATIONS
A9
RECOMMENDATIONS
Bajaj hi#d'stha# +i3ited is I#dia2s +ar*est s'*ar a#d etha#o+ 3a#'fact'ri#* co3pa#,.
The co3pa#, has 3a#, $ea%#ess a#d stre#*ths. The 3ai# $ea%#ess is that o#e sho'+d
ha(e a *ood %#o$+ed*e a"o't SA& for acco'#ts. Stre#*ths is that the co3pa#, has a
*ood f'#ctio#i#* i# fi#a#ce a#d acco'#ts depart3e#t. I $a#t to reco33e#d to the "ajaj
hi#d'stha# +i3ited is that the co3pa#, sho'+d ta%e 3eas'res to a(oid that $ea%#ess.
C ONCLUSION
The s'33er trai#i#* period i# Bajaj Hi#d'stha# Li3ited is a *reat e=perie#ce for 3e.
The project report o# 6Fi#a#cia+ a#a+,sis of "ajaj hi#d'stha# +i3ited! pro(ided 3e
p+atfor3 to i#teract $ith acco'#ti#* po+icies of a co3pa#, a#d +ear# a"o't the
acco'#ti#* s,ste3 of the or*a#isatio#.
D'ri#* the st'd, o# 6fi#a#cia+ a#a+,sis of 6Bajaj hi#d'stha# +i3ited!. I *et %#o$+ed*e
of acco'#ti#* po+icies of the co3pa#,4 s,ste3 of acco'#ti#* a#d proced're i# SA&. I
a+so *et the %#o$+ed*e of f'#ctio#i#* a#d *e#era+ ad3i#istratio# of fi#a#ce @ acco'#ts
depart3e#t.
I# this report I a+so '#dersta#d ho$ co3pa#, 3ai#tai#s their acco'#ts. I# this report I
a+so attached so3e pri#t scree# of SA& as sa3p+es.
I 3et 3a#, peop+e "'t Mr. Sa#ja, 1'3ar )o,a+ -HOD Fi#a#ce @ Acco'#ts/ a#d Mr.
Bh'$a# )a#*+as,a -Asst. Ma#a*er/ i# acco'#t depart3e#t of BHL e#co'ra*ed a#d
3oti(ated 3e a +ot a#d pro(ides 3e $ith (er, 'sef'+ i#for3atio#.
This project e#ha#ced 3, %#o$+ed*e as $e++ as i#creased 3, co#fide#ce a+so.
BIBLIOGRAPHY
B:

So'rceF F.O. LichtGs I#ter#atio#a+ S'*ar a#d S$eete#er 0eport dated Oct. 59th 5::C
So'rceF F.O. LichtGs I#ter#atio#a+ S'*ar a#d S$eete#er 0eport
8or+d S'*ar Ba+a#ces E 0eport dated Oct 59th 5::9E1:.
BHL A##'a+ 0eport
So'rceF 0e+i*are Tech#o(a
$$$.Bajaj Hi#d'stha# Li3ited.co3
$$$.a#s$ers.co3
$$$.$i%ipedia.co3
Boo%sF Acco'#ti#* Sta#dards A#d Corporate Acco'#ti#* &racticesET.&.)HOSH
Fi#a#cia+ a#d Ma#a*e3e#t Acco'#ti#*EDr. S.N.Mashesh$eri




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