By GROUP -

36

Moumita Halder Mohita Sarkar Kunal Makoriya

Rittika Jain Riddhi Foflia

ELEMENTS FROM THE BALANCESHEET
 Trend
Analysis
Capital
Capital
The company's capital has been increasing steadily over the past five years. This is a positive
sign, as it indicates that the company is growing and expanding its business.

Reserves
Reserves
The company's reserves have also been increasing steadily over the past five years. This is a
positive sign, as it indicates that the company is profitable and is able to retain earnings.

Debt
Debt
The company has no debt. This is a very positive sign, as it means that the company is financially
sound and is not at risk of defaulting on its debt obligations.
 PPEPPE
The company's PPE has been increasing steadily over the past five years. This is a positive sign,
as it indicates that the company is investing in its future growth.

Inventories
Inventories
The company has no inventories. This is neutral, as it means that the company is not carrying
any excess inventory.

Debtors
Debtors
The company has no debtors. This is neutral, as it means that the company has no outstanding
accounts receivable.

Cash And Cash Equivalents

Cash And Cash Equivalents
The company's cash and cash equivalents have been fluctuating over the past five years.
However, the overall trend is positive, as the company's cash and cash equivalents have
increased from ₹10.01 crores in 2019 to ₹34.02 crores in 2023.
The company's capital and reserves have grown at a much faster rate than its PPE and
inventories over the past 5 years. This suggests that the company is focusing on investing in its
businesses and strengthening its financial position, rather than simply expanding its asset base.
The company's cash and cash equivalents have also grown at a faster rate than its capital and
reserves over the past 5 years. This suggests that the company is generating strong cash flows
and is managing its liquidity position effectively.

Overall trend
The overall trend of Bajaj Holdings and Investments Ltd's balance sheet is positive. The
company's capital, reserves, PPE, and cash and cash equivalents have all been increasing
steadily over the past five years. The company has no debt and no inventories. These are all
positive signs that indicate that the company is financially sound and is growing.
ELEMENTS FROM THE INCOME STATEMENT
 Trend
REVENUE FROM OPERATIONS
Analysis

Revenue from operations has increased steadily over the past 5 years, from Rs. 993.63 crores in FY20 to Rs.
1,875.15 crores in FY23.
The compound annual growth rate (CAGR) for revenue from operations over the past 5 years is 14.4%.
This growth is likely due to a combination of factors, including the expansion of the company's investment
portfolio and the growth of the Indian economy.
OTHER INCOME

Other income has also increased steadily over the past 5 years, from Rs. 42 crores in FY20 to Rs. 61.86 crores
in FY23.
The CAGR for other income over the past 5 years is 11.5%.
This growth is likely due to a combination of factors, including dividend income from investments and interest
income from loans.
COGS has remained relatively flat over the past 5 years, ranging from Rs. 0 crores in FY20 to Rs. 0 crores in
FY23.
This is because the company's primary business is investing in other companies, and it does not manufacture or
sell any products of its own.

OPERATING EXPENSE

Operating expenses have increased steadily over the past 5 years, from Rs. 36.05 crores in FY20 to Rs. 42 crores in
FY23.
The CAGR for operating expenses over the past 5 years is 7.3%.
This growth is likely due to a combination of factors, including the expansion of the company's operations and the
rising cost of doing business.
 PROFIT BEFORE TAX (PBT)

PBT has increased steadily over the past 5 years, from Rs. 30.75 crores in FY20 to Rs. 63.67 crores in FY23.
The CAGR for PBT over the past 5 years is 14.6%.
This growth is likely due to a combination of factors, including the growth in revenue from operations and the
control of operating expenses.

NET PROFIT

Net profit has increased steadily over the past 5 years, from Rs. 29.69 crores in FY20 to Rs. 48.50 crores in FY23.
The CAGR for net profit over the past 5 years is 15.2%.
This growth is likely due to a combination of factors, including the growth in PBT and the reduction in tax expenses.
Overall, the financial performance of Bajaj Holdings and Investments Ltd. has been positive over the past 5 years. The
company has shown steady growth in revenue from operations, other income, PBT, and net profit. This growth is likely due
to a combination of factors, including the expansion of the company's investment portfolio and the growth of the Indian
economy.
 Key Takeaways

Revenue from operations has increased at a CAGR of 14.4% over the past 5 years.
Other income has increased at a CAGR of 11.5% over the past 5 years.
Operating expenses have increased at a CAGR of 7.3% over the past 5 years.
PBT has increased at a CAGR of 14.6% over the past 5 years.
Net profit has increased at a CAGR of 15.2% over the past 5 years.

The company should continue to expand its investment portfolio into new and growing industries.
The company should focus on controlling operating expenses in order to further improve its profitability.
The company should also explore opportunities to diversify its revenue stream
CASHFLOW STATEMENT OF LAST 5 YEAR
 CASH FLOW

2500

2000

1500

1000

500

0 2 3 4 5

-500

-1000

-1500

-2000
OPERATING ACT. INVESTING ACT. FINANCING ACT.
 The cash flow trend of Bajaj Holdings & Investment is as follows

• OPERATING ACTIVITY Net cash flow from operating activities has been increasing steadily over the past five years, from Rs. 627.64
crores in FY19 to Rs. 1727.65 crores in FY23.
• INVESTING ACTIVITY Net cash flow from investing activities has been negative over the past five years, indicating that the company has
been investing more cash than it is generating from its operations. However, the net cash outflow from investing activities has decreased over
the past five years, from Rs. 799.63 crores in FY20 to Rs. 136.84 crores in FY23.
• FINANCING ACTIVITY Net cash flow from financing activities has also been negative over the past five years, indicating that the
company has been repaying more debt than it is raising. However, the net cash outflow from financing activities has decreased over the past
five years, from Rs. 1028.28 crores in FY20 to Rs. 1586.91 crores in FY23.

Overall, the cash flow trend of Bajaj Holdings & Investment is improving. The company is generating more cash from its operations and reducing
its net cash outflow from investing and financing activities. This is a positive sign for the company's financial health.

Here is a table that shows the change in cash flow from the previous year:
| Year | Change in Cash Flow
| Mar 23 | 3.90 | | Mar 22 | -0.63 | | Mar 21 | -72.89 | | Mar 20 | 91.92 | | Mar 19 | -71.65 |
As you can see, the change in cash flow has been positive in the past two years, which is a good sign. However, it is important to note that the
change in cash flow can fluctuate from year to year due to a variety of factors, such as changes in working capital, capital expenditures, and
investment activity.
 Present Directors of Bajaj Holding &
Investment Ltd.

Rajiv Bajaj Sanjiv Bajaj (Managing Madhur Bajaj (Director)

Shekhar Bajaj (Chairman)
Niraj Bajaj (Vice Chairman) Director & CEO)

Manish Kejriwal (Director) D J Balaji Rao (Independent Dr. Naushad Forbes Anami Roy (Independent Pradip Shah (Independent
Director) (Independent Director) Director) Director)
Present Directors of Bajaj Holding & Investment
Ltd.

Dr. Arindam Kumar

Bhattacharya (Independent Late Rahul Bajaj (Chairman
Director) Emeritus)

Dr. Vidya Yeravdekar

(Independent Director)
 Changes in BOD over last 5
years:
Tendered her resignation as an Independent Director of the Company with
effect from 30 June 2022, due to her ailing health.
Dr. Gita Piramal

tendered his resignation as an Independent Director of the Company with

effect from 9 July 2021, due to personal commitments and additional
professional work.
Chairman has been a Director/ Chairman of the Company (including erstwhile Bajaj Auto Dr. Omkar Goswami
Limited) since 1 April 1970.
As part of succession planning, Shri Rahul Bajaj has, vide letter dated 15 February 2019
expressed his intention to step down as Nonexecutive director & Chairman of the Company
with effect from the conclusion of the Board meeting on 17 May 2019.
Late Shri Rahul Bajaj
The Company has received a letter dated 28 February 2019 from Shri P Murari stating that due to
his commitments, priorities and health reasons, he will be unable to continue as an Independent
Director of the Company for another term after 31 March 2019.
Shri P Murari
 Gist of Discussion in Management Discussion and Analysis Section of
Annual Report.
BACKGROUND

• BHIL is a registered NBFC-Base Layer company in India.

• It is primarily involved in holding and investment activities.
• BHIL has strategic investments in group companies like Bajaj Auto Ltd. (BAL), BFS, MSL,
and others.
• It also has financial investments in capital markets and properties.
• As of March 31, 2023, BHIL's strategic and financial investments were worth H 132,034
crore.
• BAL manufactures and sells motorbikes and commercial vehicles, including electric
vehicles through its subsidiary.
• BFS is focused on diversified financial services, owning significant stakes in Bajaj Finance
Ltd. (BFL), Bajaj Allianz General Insurance Company Ltd. (BAGIC), and BALIC, among
others.
• BAL and BFS have shown impressive growth and returns in the past.
Gist of Discussion in Management Discussion and Analysis Section of
Annual Report.
ECONOMY AND MARKET

• In FY2023, India faced a mixed economic scenario:

• Positive factors included a successful mass vaccination campaign and a milder Omicron variant,
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indicating recovery from the COVID-19 pandemic.
• Challenges included inflation, supply chain disruptions from China, and the Russia-Ukraine conflict
affecting commodity prices.

• Consumer Price Inflation (CPI) exceeded the RBI's tolerance range of 6% for most of the year due to
high food prices, global crude oil price increases, and adverse domestic weather conditions.

• To combat inflation, the government reduced excise and customs duties and restricted exports,
while the RBI increased interest rates and reduced liquidity.

• Concerns existed about elevated commodity prices, a weaker Indian rupee, and a growing current
account deficit.
Gist of Discussion in Management Discussion and Analysis Section of
Annual Report.
ECONOMY AND MARKET

• Despite challenges, India became the fastest-growing major economy in FY2023, with an expected
real GDP growth rate of 7.0%.

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• Central government's capital expenditure played a vital role in driving the economy, even as
private consumption slowed down.

• The RBI raised policy rates by 250 basis points during the year to manage inflation.

• In the FY2024 budget, the government aimed to balance fiscal consolidation and growth, targeting
a reduced fiscal deficit of 5.9% of GDP, down from 6.4% in FY2023.

• The budget also allocated a significant budget for capital expenditure, indicating the government's
focus on economic growth.

• Despite external shocks, the Indian economy is expected to continue growing in FY2024.
Gist of Discussion in Management Discussion and Analysis Section of Annua
Report.
ECONOMY AND
MARKET

However, potential challenges include global banking turmoil,

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depending on monsoon patterns, and the risk of below-normal
rainfall impacting agricultural production and food prices. In the
financial markets, Indian bond markets experienced significant
changes in yield spreads due to RBI rate hikes. The equity markets
ended FY2023 with minimal growth, mainly due to foreign
investors selling off assets, while domestic investors provided
support with significant investments.
Gist of Discussion in Management Discussion and Analysis Section of
Annual Report.
ECONOMY AND MARKET

As at 31 March 2023, assets

under management (AUM) of
BHIL crossed
Z H 130,000 crore
at market value. BHIL, being
an investment company, its
investment portfolio largely
depends on the performance
of stock and money markets.
The Company recorded an all-
time high consolidated profit
for the year of
4,850.52 crore in FY2023 v/s
4,055.68 crore in FY2022, on
the back of a strong
Gist of Discussion in Management Discussion and Analysis Section of
Annual Report.
ECONOMY AND MARKET

Standalone results :
BHIL’s focus is on earning income
through dividends, interest and profits
on investments held.
Gist of Discussion in Management Discussion and Analysis Section of
Annual Report.
Investmen
ts:

Bhilwara (BHIL) has significantly grown its investments over the years. It has increased its strategic shareholdings
in BAL, BFS, and MSL from 30%, 30%, and 24% to 36.64%, 41.63%, and 51%, respectively, in the last 15 years. Its
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financial investments now exceed H 10,000 crore in market value. BHIL has no significant liabilities and is not
constrained by Asset Liability Management.

BHIL has been distributing a significant portion of its profits in the last two years. With its strong financial position,
BHIL aims to gradually expand its portfolio with a long-term focus on investments.

The company's investment policy dictates that a minimum of 35% of surplus funds at cost (excluding strategic
investments) should be in debt instruments, while a maximum of 65% should be in equity and equity-linked
instruments. These limits are monitored based on market value as well.

BHIL manages its investment portfolio through an Investment Committee that includes the Managing Director &
CEO and other management members, meeting at least once a month. Additionally, the company has a
professional team of fund managers, research analysts, and credit analysts led by a Chief Investment Officer, with
Gist of Discussion in Management Discussion and Analysis Section of
Annual Report.
Investments
:
• BHIL focuses on long-term investments, typically holding equities for five years or more to manage liquidity risks
and achieve reasonable returns.
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• By the end of FY2023, BHIL's exposure to other equities increased slightly to 41% compared to 40% in FY2022
when considering the cost of these investments. However, at market value, the exposure to other equities
remained around 60%.
• In FY2023, certain sectors like industrials, consumer staples, consumer discretionary, and financials performed
better than the Sensex index, while technology, real estate, materials, and healthcare sectors lagged behind.
• BHIL's other equities portfolio includes investments in both listed and unlisted entities, with approximately
77.3% of investments in listed entities.
• Unlisted equities investments include entities like the National Stock Exchange (NSE) and Fabindia.
• BHIL also invests in various Alternative Investment Funds (AIFs).
• BHIL's other equities portfolio achieved a return of 4.1% for FY2023, outperforming the Sensex.
• Investments in unlisted equities and AIFs delivered even better returns compared to the Sensex during the
Q. Reviews about the company as per 3 reputed websites like (money
control etc.)
Money Control:

• Bajaj Holdings & Investment Ltd. is a well-established company in the Finance -

NBFC sector. Here’s a brief review based on the information available on
Moneycontrol:
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• Share Price: As of September 29, 2023, the share price was ₹7,108.50, which
was an increase of 0.71%.
• Market Cap: The company has a market capitalization of ₹79,112.99 Cr.
• P/E Ratio: The Price to Earnings (P/E) ratio is 45.9, which might suggest that the
stock is currently overvalued.
• P/B Ratio: The Price to Book (P/B) ratio is 5.03, which is relatively high and
might indicate that the stock is overpriced compared to its book value.
• Dividend Yield: The dividend yield is 1.73%, which could be attractive to
income-focused investors.
Q. Reviews about the company as per 3 reputed websites like (money
control etc.)
The Economic
Times
• Bajaj Holdings & Investment Ltd. is a well-established company in the Finance -
NBFC sector.
• a brief
Z review based on the information available on The Economic Times:
• Share Price: As of September 29, 2023, the share price was ₹7,108.50, which was
an increase of 0.70%.
• Market Cap: The company has a market capitalization of ₹79,112.99 Cr.
• P/E Ratio: The Price to Earnings (P/E) ratio is 14.94, which might suggest that the
stock is currently overvalued.
• P/B Ratio: The Price to Book (P/B) ratio is 1.53, which is relatively high and might
indicate that the stock is overpriced compared to its book value.
• Dividend Yield: The dividend yield is 1.73%, which could be attractive to income-
focused investors.
Q. Reviews about the company as per 3 reputed websites like (money
control etc.)
Value Research
Online
• According to Value Research Online, Bajaj Holdings & Investment Ltd. has a
share price of ₹7,014.25 as of 03-Oct-2023.
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• The company’s stock performance shows a trailing annual return of 22.17%
• YTD, -4.45% in the last month, 0.14% in the last 3 months, 9.76% in the last
year, 42.00% in the last 3 years, 18.80% in the last 5 years, and 24.55% in
the last 10 years.
• The company’s valuation includes a P/E ratio of 14.67 and a P/B ratio of 1.76.
• The company’s growth and efficiency show a TTM EBIT Growth of 14.36%,
• A TTM EPS YoY change of 24.73%, and Returns on Equity of 0.67%.
• The company’s shareholding pattern shows that Indian Promoters hold
51.46%, DIIs hold 5.03%, FIIs hold 12.39%, and Others hold 31.12%.
Dividend Trend of 5 Years

INTRODUCTION :

The dividend trend refers to the pattern of dividend payments made by a company over time.

It is an essential metric for investors to evaluate the financial health of a company and its ability to generate profits.

For instance, if a company has consistently increased its dividend payments over the years, it indicates it is growing and
generating more profits.

On the other hand, if a company has been reducing or not paying dividends, it may indicate that it is facing financial
difficulties.
DIVIDEND
TREND OF
5 YEARS
The company has consistently paid high dividends to its shareholders, significantly increasing in
the last two years.

The dividend yield, the ratio of dividend per share to share price, is currently 1.73%, which is
higher than the average of its peers in the finance and investment sector.

This indicates that the company generates strong cash flows and rewards its investors.
BONUS SHARES
A bonus is an extra share provided to present firm owners based on the amount of shares they
currently own, free of charge.

These are the accumulated profits of the business that are turned into free shares rather than being
distributed as dividends.

Bonus shares are given to promote retail participation and broaden the company's equity base. It is
challenging for new investors to purchase shares of a particular company when the price per share is
high. The price per share decreases as more shares are issued.
Bonus/ Split Shares in 5 years:

Bajaj Holdings and Investments Ltd has not issued any bonus or split shares in the
last five years. Therefore, the table of bonus/split shares in 5 years of dividend trend
of Bajaj Holdings and Investments Ltd is empty.
Bonus/ Split Shares in 5 years: