Equity research on oil and gas and paint sector

2

EQUITY RESEARCH ON OIL ANG GAS & PAINTS SECTOR

CHAPTER 1

INTRODUCTION

To study the oil and gas sector and paints sector stocks in the market and the factors that affect the share prices of the stocks of both the sectors. The growth of the Indian economy has slowed down in recent times on account of the rising inflation, high interest rates, high prices of commodities and fuels.

Indian oil and gas sector offers a considerable opportunity for investors and shows healthy development in conformity with the escalation of the Indian economy. The New Exploration Licensing Policy (NELP), which was envisaged to deal with the increasing demand-supply gap of energy in India, has confirmed to be successful in attracting the interest of both domestic and some overseas players.

The spurt in the economic growth over the past few years has caused a tremendous increase in the size of the industry. This phenomenon has intensified the influx of many worldwide established firms to increase their presence here, 7 out of the top 10 global companies have their operations set up in the country. Even though Indias share in the world paint market is estimated at 0.6% only, the promising scope of growth has not made them apprehensive about increasing their scales and building capacities. Looking at the per capita consumption of paint in India, this currently stands at 1.5kgs. Indias strong economic growth has propelled the paint industry to double digit growth over the past few years and has made it Asia Pacific fastest growing paint market.

OBJECTIVE OF STUDY

To understand and identify overpriced and underpriced shares of the companies of oil and gas sector.To try and predict the volatility of the equities of the companies.To minimize the risk of the inventors by identifying the reversal patterns.To identify the price levels where chances of profitable trade are less and recognize price patterns in and at such levels and when they occur to avoid such trades.

SCOPE OF THE STUDY

The scope of the study can be extended to study any index and any stock market and companies in sector

Information is the plank on which financial market operates. Traders with better information and forecasting ability will have an edge in the market. Place thus, the need for equity research and sophisticated financial modeling in todays buoyant financial markets. This article attempts to give a framework for the analyst on fundamental factors for analyzing companies.

LIMITATION OF THE STUDY

The project report is limited to the in the companies of oil and gas & paints sector only

Because of less experience only one chart is used in technical analysis

Due to time constraint of only 45 days, suggestions and conclusions are depend on limited data

The study is limited to the companies having equities.

RESEARCH METHODOLOGY

Chosen to be invested in depending upon the fundamentals of the company stocks. These stocks were individually analyzed and then measured whether it would give maximum returns if invested in.

The research on the sectors and companies in those sectors is explained in the later part of the report. Though, Primary data collection for preparing this project was not possible due to time and money constraints. Thus, secondary data collection was been used. While preparing this project, daily stock market prices were been tracked and also the annual reports of the company analyzed were taken into consideration for evaluation of company performance.

Government data was collected in order to summarize the sector performance in the country and its contribution in countrys GDP. Company websites were a major source for collecting the annual reports of the company. Internet was a major source of information while preparing the project as most of the data collected was gathered from various websites.

CHAPTER 2

COMPANY PROFILE

An investment strategy is a crucial element of wealth management. It is a combination of expertise and perception, complex market dynamics and innate planning. With the variety and complexity of the investment options available in today's marketplace, it is important to have disciplined, experienced professionals to provide advice at every stage in your life. And this is where they come in.

Aditya Birla Money, Wealth Management offers unique services: so personalized, that the customers get the best of both the worlds. Its focus and dedication is towards the success of its clients and clients aspirations regarding his finances.

That is why; more than a plan, a customer need a partner with the financial expertise and cutting-edge tools and processes to maximize their hard-earned wealth. Wealth Management works with its customers to help ensure their goals are not just met - but exceed their expectations at every step.

Aditya Birla Money Wealth Management is a trusted advisor and partner in helping customers achieve the pinnacle of financial success.

PRODUCT AND SERVICES

Sr. no

Product

About the Product

1

Mutual Funds

Mutual Funds give access to Indian equity and debt securities. It offers advice on the entire universe of mutual funds:

Equity funds growth or capital appreciation

Debt funds capital preservation

2

Portfolio Management System

Portfolio Management System is a unique way to build a customized portfolio of Indian equities. It acts as authorized distributors for various PMS providers to meet the growing needs of investors and expand a portfolio beyond equities and bonds

3

Direct equity structured products

It offers convenient, simple and efficient trading in Indian equities. They provide with a seamless platform to invest in the Indian secondary markets. The Wealth Management advisor will provide valuable advice based on their in-house research

4

Structured products

It brings customized investment solutions, giving access to various asset classes. Unlike most other structures, returns can be linked to a variety of asset types such as equity indices, basket of stocks, and commodities.

5

Alternate asset product

Through its distribution tie-ups, they offer a wide range of Private Equity Fund (which invest in unlisted securities) to give the opportunity of investing in the growing Indian economy. With these products and investment strategy, one can preserve their capital, ensure risk protection, leverage and diversify.

6

Real estate

They bring in a combination of in-depth market knowledge and real estate industry expertise to offer a range of specialized real estate investment services. They provide expert advice and innovate real estate solutions tailor made to ones needs and objectives

7

Loan against Securities and mutual funds

Tie-up with Aditya Birla Finance lets its customers use their share investments as security against borrowing. This way, one is able to investment more, and increases the size of its overall portfolio.

8

Gold

A healthy portfolio is about diversification and risk management. To this end, it offers multiple avenues of investing in gold. Holding gold in a portfolio can provide distinct benefits, as it is not correlated with most other assets.

9

Life Insurance

While offering solutions for building and preserving capital, Relationship Manager will also offer comprehensive advice on how best to provide for financial

protection to loved ones and cover risks and uncertainties. Affiliation with Birla Sun Life Insurance provides the opportunity to obtain even more favorable offers, which can result in lower costs and greater benefits

Services offered

Sr.

No

Service

About the services

1

Research

Birlas quality research provides clients with the information they need to make informed investment decisions. The research team is dedicated to keeping the customer updated with access to the latest publications and a wide range of industry happenings including: market depth, breaking commentary, long-term forecasts, detailed daily updates and the latest financial news.

2

Highly proactive services

Service includes Daily Market Update, Weekly update on mutual Funds and Event Based SMS to keep the customer completely informed on the markets

3

Online Portfolio Access

The online portfolio ensures every detail of ones investments at fingertips. One can constantly monitor the composition of its portfolio, so you always know if their long term objectives are being met.

4

Financial Planning

They offer a comprehensive financial planning session to help devise the investment strategy. This is followed by complimentary personalized report outlining specific recommendations on the step-by-step actions need to take to achieve the financial goals

5

Regular Portfolio Reviews

Customer portfolio undergoes regular reviews to ensure your money is constantly working in your best interest, keeping their personal financial goals in sight.

SWOT ANALYSYS

Strength:-

1. Backed by Aditya Birla Brand and Sun Life financial services

2. Emphasis on Customer Satisfaction through Transparent Functioning

3. Strong Capital Base

Weakness:-

1. Low Presence in Rural Market

2. Lesser advertising as compared to competitors

Opportunity:-

1. Growing potential in the Rural Market

2. Alignment with Government Schemes

3. Better awareness amongst people for getting insurance

Threats:-

1. Economic crisis and economic instability

2. Entry of new NBFCs in the sector

COMPANIES PERFORMANCE

Company achieved gross revenue of Rs. 53.84 Crore during the year under review as against the gross revenue of 64.51 Crore during the previous year, a decrease of 19%. Total expenditure reduced marginally to 69.12 Crore as compared to 69.52 Crore during the previous year. As a result, the total loss before depreciation and tax was 15.28 Crore as against a loss of 5.01 Crore in the previous year. This increase in loss was primarily due to continuous downside witnessed in domestic equities participation which resulted in the growth of AUM of Mutual Funds, thus impacting overall revenue. The Company however continues to expand its distribution channel across various asset classes of financial products and range of product offering for its clients. During the year, Company mobilized aggregate funds under different asset classes to the tune of 1,97,538 Crore. The Mutual Fund Assets Under Advice (AUA) as at March 31, 2012 was 12,545 Crore as against 13,861 Crore last year, a decrease of 9.5%. The market share of the Companys closing AUA stood at 2.14%, which makes it 3rd largest Corporate Distributors in terms of closing AUA as on 31st March 2012 (as per CAMS report).

GROWTH

These regulatory changes remain dynamic and may change the overall structure for investment management as well as the distribution industry. The state of equity market will be the key for growth. Though the MF industry continues to be under pressure and the revenue is at the decline, the Company has plans to strengthen its wealth management segment, streamline its retail distribution network, focus on client acquisition and engagement through its product offering across all segments, improved processes to increase the revenue stream and at the same time work on cost optimizations measures.

AN OVERVIEW OF BIRLA SUN LIFE WEALTH MANAGEMENT

MISSION

To consistently pursue investor's wealth optimization by:

Achieving superior and consistent investment results.

Creating a conducive environment to hone and retain talent.

Providing customer delight.

Institutionalizing system-approach in all aspects of functioning

Upholding highest standards of ethical values at all times.

VISION

To be leader and role model in a broad based and integrated financial services business.

CHAPTER 3

DATA ANALYSIS AND INTERPRETATION

ABOUT OIL AND GAS

Indian oil and gas sector offers a considerable opportunity for investors and shows healthy development in conformity with the escalation of the Indian economy. The New Exploration Licensing Policy (NELP), which was envisaged to deal with the increasing demand-supply gap of energy in India, has confirmed to be successful in attracting the interest of both domestic and some overseas players. The prosperity of Cairn India and Reliance Industries Limited in their Indian operations has emphasized this. Other sectors such as Refining, LNG, and City Gas Distribution etc. are also getting sufficient attention. India has now an excess refining capacity and aspires to prove itself as a major refining centre.

This report outlines the oil and gas sector in India and how companies can go about achieving their business goals in the sector. It aims to provide a basic understanding of the players, size, major developments, and dynamics of India's oil and gas sector across the industries. Further, the report includes sections that provide summary of India's economy, its energy sector, the Indian upstream sector, coal bed methane, refining, gas transportation and distribution, LNG, petroleum product pipelines, fuel retailing, and India's taxation regime. A brief note on the Western Australian oil and gas industry has also been presented. Opportunities for Western Australia in the Indian oil and gas sectors have also been described.

ABOUT PAINTS SECTOR

The paint industry volume in India has been growing at 15% per annum for quite some years now. As far as the future growth prospects are concerned, the industry is expected to grow at 12-13% annually over the next five years. FY11 was a challenging year for the industry as a whole due to subdued demand across key sectors and rising inflation.

The unorganized sector controls around 35% of the paint market, with the organized sector accounting for the balance. In the unorganized segment, there are about 2,000 units having small and medium sized paints manufacturing plants. Top organized players include Asian Paints, Kansai Nerolac, Berger Paints and ICI.

Demand for paints comes from two broad categories:

Decoratives: Major segments in decoratives include exterior wall paints, interior wall paints, wood finishes and enamel and ancillary products such as primers, putties etc. Decorative paints account for over 72% of the overall paint market in India. Asian Paints is the market leader in this segment. Demand for decorative paints arises from household painting, architectural and other display purposes. Demand in the festive season (September-December) is significant, as compared to other periods. This segment is price sensitive and is a higher margin business as compared to industrial segment.

Industrial: Three main segments of the industrial sector include automotive coatings, powder coatings and protective coatings. Kansai Nerolac is the market leader in this segment. User industries for industrial paints include automobiles engineering and consumer durables. The industrial paints segment is far more technology intensive than the decorative segment.

The paints sector is raw material intensive, with over 300 raw materials (30% petro-based derivatives) involved in the manufacturing process. Since most of the raw materials are petroleum based, the industry benefits from softening crude prices.

Key Points

Supply: Supply exceeds demand in both the decorative as well as the industrial paints segments. Industry is fragmented.

Demand: Demand for decorative paints depends on the housing sector and good monsoons. Industrial paint demand is linked to user industries like auto, engineering and consumer durables.

Barriers to entry: Brand, distribution network, working capital efficiency and technology play a crucial role.

Bargaining power of suppliers: Price increase constrained with the presence of the unorganised sector for the decorative segment. Sophisticated buyers of industrial paints also limit the bargaining power of suppliers. It is therefore that margins are better in the decorative segment.

Bargaining power of customers: High due to availability of wide choice.

Competition: In both categories, companies in the organised sector focus on brand building. Higher pricing through product differentiation is also followed as a competitive strategy.

Financial Year '11

FY11 was a mixed bag for the paint companies. While all the 3 players viz. Asian Paints, Kansai Nerolac and Berger Paints reported strong growth in sales, operating margins came under severe pressure due to raw material price inflation. Top-line growth was boosted by strong demand from the decorative paints segment. Nonetheless, the demand environment in the industrial segment continues to remain challenging due to rising interest rates.

Performance on the margins front was a big disappointment. Rising prices of crude oil and titanium dioxide increased the overall expenditure thereby impacting profitability growth. However, companies are undertaking a gradual and calibrated price increase to shield margins. Nonetheless, as a complete pass on of raw material price increase is not possible in the industrial segment, the blended margins continue to suffer.

All the key players are in an expansion phase. Asian Paints' plant in Khandala, Maharashtra is under construction and is expected to be commissioned by 4QFY13. Kansai Nerolac's capacity expansion plans at Jainpur and Hosur culminated during the year. Berger Paints has also undertaken capacity expansion for its plants located in Andhra Pradesh and Goa. Further, it is also contemplating to set up a manufacturing facility in Pune, Maharashtra.

Prospects

The market for paints in India is expected to grow at 1.5 times to 2 times GDP in the next five years. With GDP growth expected to be over 7% levels, the top three players are likely to clock above industry growth rates, especially given the fact that protection that was available to unorganised players has come down significantly.

Decorative paints segment is expected to witness higher growth going forward. The fiscal incentives given by the government to the housing sector have benefited the housing sector immensely. This will benefit key players in the long term.

Although the demand for industrial paints is lukewarm it is expected to increase going forward. This is on account of increasing investments in infrastructure. Domestic and global auto majors have long term plans for the Indian market, which augur well for automotive paint manufacturers like Kansai Nerolac and Asian-PPG. Increased industrial paint demand, especially powder coatings and high performance coatings will also propel topline growth of paint majors in the medium term.

RESEARCH TECHNIQUE

The project is on equity research analysis of the sectors. Hence study has to be done on the basis of information and news available about the sectors i.e. secondary data by various modes. This research had to be completed by doing Fundamental analysis and Technical analysis of the companies.

Secondary data was collected from the internet, company websites, magazines and various articles. However the main source of information is Annual Report issued by the companies and also quarterly reports of the current year showing their performances in current market scenario.

Firstly data was analyzed on the basis of the industry. Both the industry i.e. oil and gas & paints were focused on and its performance and relation with the Indian economy was monitored and then specific stocks were chosen to be invested in depending upon the fundamentals of the company stocks. These stocks were individually analyzed and then measured whether it would give maximum returns if invested in.

FUNDAMENTAL ANALYSIS

Fundamental analysis of a business involves analyzing its financial statements and health, its management and competitive advantages, and its competitors and markets. When analyzing a stock, futures contract, or currency using fundamental analysis there are two basic approaches one can use; bottom up analysis and top down analysis. The term is used to distinguish such analysis from other types of investment analysis, such as quantitative analysis and technical analysis.

Fundamental analysis is performed on historical and present data, but with the goal of making financial forecasts. There are several possible objectives:

To conduct a company stock valuation and predict its probable price evolution,

To make a projection on its business performance,

To evaluate its management and make projected decisions,

Fundamental analysis includes:

Economic analysisIndustry analysisCompany analysis

On the basis of these three analyses the intrinsic value of the shares are determined. This is considered as the true value of the share. If the intrinsic value is higher than the market price it is recommended to buy the share. If it is equal to market price then hold the share and if it is less than the market price then sell the shares.

TECHNICAL ANALYSIS

Technical analysis is a financial term used to denote a security analysis discipline for forecasting the direction of prices through the study of past market data, primarily price and volume. Behavioral economics and quantitative analysis incorporate technical analysis, which being an aspect of active management stands in contradiction to much of modern portfolio theory.

Technical analysis employs models and trading rules based on price and volume transformations, such as the relative strength index, moving averages, regressions, inter-market and intra-market price correlations, business cycles, stock market cycles or, classically, through recognition of chart patterns.

Technical analysis stands in contrast to the fundamental analysis approach to security and stock analysis. Technical analysis analyzes price, volume and other market information, whereas fundamental analysis looks at the actual facts of the company, market, currency or commodity. Most large brokerage, trading group, or financial institutions will typically have both a technical analysis and fundamental analysis team.

CONCEPTS

Resistance a price level that may prompt a net increase of selling activitySupport a price level that may prompt a net increase of buying activityBreakout the concept whereby prices forcefully penetrate an area of prior support or resistance, usually, but not always, accompanied by an increase in volume.Trending the phenomenon by which price movement tends to persist in one direction for an extended period of timeAverage true range averaged daily trading range, adjusted for price gapsChart patterns distinctive pattern created by the movement of security prices on a chart

CHART TYPES

There are three main types of charts that are used by investors and traders depending on the information that they are seeking and their individual skill levels. The chart types are: the line chart, the bar chart, the candlestick chart.

LINE CHART

The most basic of the three charts is the line charts because it represents only the closing prices over a set period of time. The line is formed by connecting the closing prices over the time frame. Line charts do not provide visual information of the trading range for the individual points such as the high, low and opening prices. However, the closing price is often considered to be the most important price in stock data compared to the high and low for the day and this is why it is the only value used in line charts.

BAR CHARTS

The bar chart expands on the line chart by adding several more key pieces of information toeach data point. The chart is made up of a series of vertical lines that represent each datapoint. This vertical line represents the high and low for the trading period, along with theclosing price. The close and open are represented on the vertical line by a horizontal dash. The opening price on a bar chart is illustrated by the dash that is located on the left side of thevertical bar. Conversely, the close is represented by the dash on the right. Generally, if theleft dash (open) is lower than the right dash (close) then the bar will be shaded black,representing an up period for the stock, which means it has gained value. A bar that is coloredred signals that the stock has gone down in value over that period. When this is the case, thedash on the right (close) is lower than the dash on the left (open).

CANDLESTICK CHARTS

The candlestick chart is similar to a bar chart, but it differs in the way that it is visually constructed. Similar to the bar chart, the candlestick also has a thin vertical line showing the periods trading range. The difference comes in the formation of a wide bar on the vertical line, which illustrates the difference between the open and close. And, like bar charts, candlesticks also rely heavily on the use of colors to explain what has happened during the trading period. There are two color constructs for days up and one for days that the price falls. When the price of the stock is up and closes above the opening trade, the candlestick will usually be white or clear. If the stock has traded down for the period, then the candlestick will usually be red or black, depending on the site. If the stock's price has closed above the previous days close but below the day's open, the candlestick will be black or filled with the color that is used to indicate an up day.

OIL AND GAS SECTOR ANALYSIS

RELIANCE COMPANY

Reliance Industries Limited together with its subsidiaries, engages in exploration, development, and production of crude oil and natural gas in India and internationally. The Company operates through three segments: petrochemicals, refining, and oil and gas.

Petrochemicals segment produces and markets petrochemical products, such as polyethylene, polypropylene, poly butadiene rubber, polyester yarn, polyester fiber, ethylene glycol, butadiene, caustic soda, and polyethylene terephthalate.

Refining segment engages in the production and marketing of petroleum products. Oil and Gas segment is involved in the exploration, development, and production of crude oil and natural gas.

The Company also offers textile products, including suitings, shirtings, and readymade garments; and ready-to-stitch and take away fabrics. In addition, RIL operates retail outlets comprising Reliance retail, food and grocery specialty stores, hypermarkets, and wholesale stores.

PROFIT AND LOSS ACCOUNT OF RELIANCE

Profit & Loss account of Reliance

------------------- in Rs. Cr. -------------------

Mar '14

Mar '13

Mar '12

Mar '11

Mar '10

12 mths

12 mths

12 mths

12 mths

12 mths

Income

Sales Turnover

390,117.00

360,297.00

339,792.00

258,651.15

200,399.79

Excise Duty

0.00

0.00

9,860.00

10,515.09

8,307.92

Net Sales

390,117.00

360,297.00

329,932.00

248,136.06

192,091.87

Other Income

8,936.00

7,998.00

5,981.00

3,358.61

3,088.05

Stock Adjustments

-412.00

3,317.00

872.00

3,243.05

3,947.89

Total Income

398,641.00

371,612.00

336,785.00

254,737.72

199,127.81

Expenditure

Raw Materials

334,283.00

310,428.00

279,737.00

198,076.21

153,689.01

Power & Fuel Cost

10,153.00

7,166.00

4,094.00

2,255.07

2,706.71

Employee Cost

3,370.00

3,354.00

2,857.00

2,621.59

2,330.82

Other Manufacturing Expenses

1,985.00

0.00

2,557.00

2,915.44

2,153.67

Selling and Admin Expenses

0.00

0.00

7,510.00

7,207.83

5,756.44

Miscellaneous Expenses

9,037.00

11,879.00

255.00

500.52

651.96

Preoperative Exp Capitalised

0.00

0.00

-37.00

-30.26

-1,217.92

Total Expenses

358,828.00

332,827.00

296,973.00

213,546.40

166,070.69

Mar '14

Mar '13

Mar '12

Mar '11

Mar '10

12 mths

12 mths

12 mths

12 mths

12 mths

Operating Profit

30,877.00

30,787.00

33,831.00

37,832.71

29,969.07

PBDIT

39,813.00

38,785.00

39,812.00

41,191.32

33,057.12

Interest

3,206.00

3,036.00

2,668.00

2,328.30

1,999.95

PBDT

36,607.00

35,749.00

37,144.00

38,863.02

31,057.17

Depreciation

8,789.00

9,465.00

11,394.00

13,607.58

10,496.53

Other Written Off

0.00

0.00

0.00

0.00

0.00

Profit Before Tax

27,818.00

26,284.00

25,750.00

25,255.44

20,560.64

Extra-ordinary items

0.00

0.00

0.00

0.00

0.00

PBT (Post Extra-ord Items)

27,818.00

26,284.00

25,750.00

25,255.44

20,560.64

Tax

5,834.00

5,281.00

5,710.00

4,969.14

4,324.97

Reported Net Profit

21,984.00

21,003.00

20,040.00

20,286.30

16,235.67

Total Value Addition

24,545.00

22,399.00

17,236.00

15,470.19

12,381.68

Preference Dividend

0.00

0.00

0.00

0.00

0.00

Equity Dividend

2,793.00

2,628.00

2,531.00

2,384.99

2,084.67

Corporate Dividend Tax

475.00

447.00

410.00

386.90

346.24

Per share data (annualised)

Shares in issue (lakhs)

32,319.02

32,286.63

32,710.59

32,733.74

32,703.74

Earning Per Share (Rs)

68.02

65.05

61.26

61.97

49.64

Equity Dividend (%)

95.00

90.00

85.00

80.00

70.00

Book Value (Rs)

609.78

557.49

498.21

446.25

392.51

BALANCE SHEET OF RELIANCE

Balance Sheet of Reliance Industries

------------------- in Rs. Cr. -------------------

Mar '14

Mar '13

Mar '12

Mar '11

Mar '10

12 mths

12 mths

12 mths

12 mths

12 mths

Sources Of Funds

Total Share Capital

3,232.00

3,229.00

3,271.00

3,273.37

3,270.37

Equity Share Capital

3,232.00

3,229.00

3,271.00

3,273.37

3,270.37

Share

Application

Money

17.00

25.00

0.00

0.00

0.00

Preference Share Capital

0.00

0.00

0.00

0.00

0.00

Reserves

193,842.00

176,766.00

159,698.00

142,799.95

125,095.97

Revaluation Reserves

0.00

0.00

3,127.00

5,467.00

8,804.27

Networth

197,091.00

180,020.00

166,096.00

151,540.32

137,170.61

Secured Loans

10,744.00

2,422.00

6,969.00

10,571.21

11,670.50

Unsecured Loans

74,737.00

52,101.00

51,658.00

56,825.47

50,824.19

Total Debt

85,481.00

54,523.00

58,627.00

67,396.68

62,494.69

Total Liabilities

282,572.00

234,543.00

224,723.00

218,937.00

199,665.30

Mar '14

Mar '13

Mar '12

Mar '11

Mar '10

12 mths

12 mths

12 mths

12 mths

12 mths

Application Of Funds

Gross Block

194,793.00

187,607.00

209,552.00

221,251.97

215,864.71

Less: Accum. Depreciation

85,387.00

77,859.00

91,770.00

78,545.50

62,604.82

Net Block

109,406.00

109,748.00

117,782.00

142,706.47

153,259.89

Capital Work in Progress

41,716.00

19,116.00

4,885.00

12,819.56

12,138.82

Investments

86,062.00

52,509.00

54,008.00

37,651.54

23,228.62

Inventories

42,932.00

42,729.00

35,955.00

29,825.38

26,981.62

Sundry Debtors

10,664.00

11,880.00

18,424.00

17,441.94

11,660.21

Cash and Bank Balance

36,624.00

49,547.00

889.00

604.57

362.36

Total Current Assets

90,220.00

104,156.00

55,268.00

47,871.89

39,004.19

Loans and Advances

40,179.00

32,982.00

24,573.00

17,320.60

10,517.57

Fixed Deposits

0.00

0.00

38,709.00

26,530.29

13,100.29

Total CA, Loans & Advances

130,399.00

137,138.00

118,550.00

91,722.78

62,622.05

Deffered Credit

0.00

0.00

0.00

0.00

0.00

Current Liabilities

80,844.00

79,620.00

66,244.00

61,399.87

48,018.65

Provisions

4,167.00

4,348.00

4,258.00

4,563.48

3,565.43

Total CL & Provisions

85,011.00

83,968.00

70,502.00

65,963.35

51,584.08

Net Current Assets

45,388.00

53,170.00

48,048.00

25,759.43

11,037.97


0.00

0.00

0.00

0.00

0.00

Total Assets

282,572.00

234,543.00

224,723.00

218,937.00

199,665.30

Contingent Liabilities

77,162.00

54,600.00

45,831.00

41,825.13

25,531.21

Book Value (Rs)

609.78

557.49

498.21

446.25

392.51

Technical Analysis

In the above chart of reliance industries in 2009 rice in share price, but in 2012, there is no rice in share price. After there is up trend in 2014 share price which is followed by the sideways movement so at the current market situation it recommended to buy the stock.

ESSAR COMPANY

Essar Oil Ltd is an integrated oil & gas company with a strong presence across the hydrocarbon value chain. The Company is engaged in the exploration and production of oil and gas, refining of crude oil, and marketing of petroleum products. Essar Oilhas a global portfolio of onshore and offshore oil and gas blocks, with about 35,000 sq km available for exploration and 750,000 bpsd (barrels per stream day) of global crude-refining capacity.

In the mid-stream segment, Company has a world-class highly complex refinery of 20 MMtpa (million metric tonnes per annum)at Vadinar, Gujarat, which has acrude refining capacity of 405,000 barrels per stream-day (bpsd).

In the upstream segment,it has a portfolio of eight oil and gas blocks in India with about 1.7billion barrels of oil equivalent in reserves and resources. In the downstream segment Essar Oilis a leading CBM (coal bed methane) players in India with more than 10 tcf (trillion cubic feet)of reserves and resources under 5 blocks. The Company operates a network of over 1,400 retail outlets across India, with another 200 under various stages of commissioning.

PROFIT AND LOSS ACCOUNT OF ESSAR OIL

Profit & Loss account of Essar Oil

------------------- in Rs. Cr. -------------------

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths

Income

Sales Turnover

88,578.12

58,336.63

53,119.10

42,401.68

41,855.97

Excise Duty

0.00

0.00

5,226.72

5,086.27

3,749.62

Net Sales

88,578.12

58,336.63

47,892.38

37,315.41

38,106.35

Other Income

497.30

-812.70

339.17

871.93

-1,117.35

Stock Adjustments

236.88

988.10

1,157.64

310.81

-991.75

Total Income

89,312.30

58,512.03

49,389.19

38,498.15

35,997.25

Expenditure

Raw Materials

82,260.13

54,851.97

44,158.03

34,633.58

33,265.56

Power & Fuel Cost

1,113.50

0.00

504.50

202.37

159.31

Employee Cost

185.66

134.56

119.67

97.50

96.88


575.51

0.00

174.90

174.11

182.79


0.00

0.00

1,502.74

1,345.34

1,090.10


2,934.36

2,662.20

135.03

107.43

0.00


0.00

0.00

0.00

0.00

0.00

Total Expenses

87,069.16

57,648.73

46,594.87

36,560.33

34,794.64

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths

Operating Profit

1,745.84

1,676.00

2,455.15

1,065.89

2,319.96

PBDIT

2,243.14

863.30

2,794.32

1,937.82

1,202.61

Interest

3,423.58

1,386.84

1,220.24

1,180.93

1,091.48

PBDT

-1,180.44

-523.54

1,574.08

756.89

111.13

Depreciation

0.00

761.94

730.86

728.31

654.85

Other Written Off

0.00

0.00

0.00

0.00

0.00

Profit Before Tax

-1,180.44

-1,285.48

843.22

28.58

-543.72


0.00

0.00

0.00

0.88

0.00


-1,180.44

-1,285.48

843.22

29.46

-543.72

Tax

0.00

0.00

174.51

0.00

-30.21

Reported Net Profit

-1,180.44

-1,285.48

653.88

29.46

-513.51


4,809.03

2,796.76

2,436.84

1,926.75

1,529.08

Preference Dividend

0.00

0.00

0.00

0.00

0.00

Equity Dividend

0.00

0.00

0.00

0.00

0.00


0.00

0.00

0.00

0.00

0.00



13,656.67

13,656.67

13,656.67

12,015.30

12,015.30


-8.64

-9.41

4.79

0.25

-4.27

Equity Dividend (%)

0.00

0.00

0.00

0.00

0.00

Book Value (Rs)

8.10

15.97

47.87

29.30

29.05

BALANCE SHEET OF ESSAR OIL

Balance Sheet of Essar Oil

------------------- in Rs. Cr. -------------------

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths

Sources Of Funds

Total Share Capital

1,382.27

1,382.27

1,382.27

1,218.13

1,218.13


1,382.27

1,382.27

1,382.27

1,218.13

1,218.13

Share

Application

Money

0.00

0.00

0.00

1,153.21

91.03


0.00

0.00

0.00

0.00

0.00

Reserves

-275.44

798.47

5,155.63

2,302.31

2,272.85


0.00

0.00

0.00

0.00

0.00

Networth

1,106.83

2,180.74

6,537.90

4,673.65

3,582.01

Secured Loans

23,652.75

17,361.17

12,274.42

9,470.59

9,419.15

Unsecured Loans

66.19

0.00

2,272.51

883.14

612.56

Total Debt

23,718.94

17,361.17

14,546.93

10,353.73

10,031.71

Total Liabilities

24,825.77

19,541.91

21,084.83

15,027.38

13,613.72

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths


Gross Block

25,558.02

21,319.92

13,974.59

13,802.50

13,364.74


4,283.87

0.00

2,230.50

1,493.15

758.90

Net Block

21,274.15

21,319.92

11,744.09

12,309.35

12,605.84


2,610.38

1,760.47

8,423.04

4,318.75

1,913.90

Investments

103.00

103.00

103.00

203.00

103.05

Inventories

10,588.37

7,681.67

5,749.14

3,969.44

2,250.93

Sundry Debtors

4,716.49

3,996.93

2,423.64

2,095.39

1,165.35


2,430.66

2,060.94

94.89

117.09

155.44


17,735.52

13,739.54

8,267.67

6,181.92

3,571.72

Loans and Advances

5,842.80

3,166.70

2,162.43

1,725.60

2,865.17

Fixed Deposits

0.00

0.00

2,863.77

1,233.66

1,019.19


23,578.32

16,906.24

13,293.87

9,141.18

7,456.08

Deffered Credit

0.00

0.00

0.00

0.00

0.00

Current Liabilities

22,694.88

20,516.09

12,282.19

10,922.09

8,439.81

Provisions

45.20

31.63

196.98

22.81

25.34


22,740.08

20,547.72

12,479.17

10,944.90

8,465.15

Net Current Assets

838.24

-3,641.48

814.70

-1,803.72

-1,009.07


0.00

0.00

0.00

0.00

0.00

Total Assets

24,825.77

19,541.91

21,084.83

15,027.38

13,613.72


2,684.25

2,541.53

2,887.88

22,091.84

6,430.35

Book Value (Rs)

8.10

15.97

47.87

29.30

29.05

Technical Analysis

In the above chart essar oil share price in 2009 is high, but in 2012, there is no rice in share price but there is down trend in curve. After there is up trend in 2014 share price which is followed by the sideways movement so at the current market situation it recommended to buy the stock in less price. In 2014 curve show the positive response. It is a better time to buy share.

CAIRN COMPANY

Cairn India Limited was incorporated on 21 August 2006 as a subsidiary of UK-based Cairn Energy PLC and got listed on the BSE and NSE on 9 January 2007.Cairn India is one of the largest independent oil and gas exploration and production companies in India and is engaged in various related businesses including exploring, refining, trading, transporting and marketing of oil and gas. The Company also deals in minerals and oil and gas related by-products.Cairn Indias producing assets are in Rajasthan, Cambay and Ravva. The Company has a total of 10 blocks/fields in its portfolio. The Company is participant in various oil and gas blocks/fields (which are in the nature of jointly controlled assets), granted by the Government of India through production sharing contracts. For FY 2014, the Companys total income from operations grew by 7.06 % to Rs. 18,761.70 Cr. as against Rs. 17,524.15 Cr. in FY 2013. For the same period, net profit went up by 3.11 % to Rs. 12,431.79 Cr. as against Rs. 12,056.39 Cr. in FY 2013.

PROFIT & LOSS ACCOUNT OF CAIRN

Profit & Loss account of Cairn India

------------------- in Rs. Cr. -------------------

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

15 mths

Income

Sales Turnover

9,200.98

8.80

2.39

3.20

3.73

Excise Duty

0.00

0.00

0.00

0.00

0.00

Net Sales

9,200.98

8.80

2.39

3.20

3.73

Other Income

899.67

224.65

92.71

156.09

276.25

Stock Adjustments

14.06

0.00

0.00

0.00

0.00

Total Income

10,114.71

233.45

95.10

159.29

279.98

Expenditure

Raw Materials

0.00

0.00

0.00

0.00

0.00

Power & Fuel Cost

0.00

0.00

0.00

0.00

0.00

Employee Cost

96.04

13.21

14.56

13.65

9.01


1,901.34

23.10

70.93

3.82

85.43


0.00

33.27

23.77

25.00

33.27


344.02

4.88

11.80

127.92

18.97


0.00

0.00

0.00

0.00

0.00

Total Expenses

2,341.40

74.46

121.06

170.39

146.68

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

15 mths

Operating Profit

6,873.64

-65.66

-118.67

-167.19

-142.95

PBDIT

7,773.31

158.99

-25.96

-11.10

133.30

Interest

66.41

111.45

186.69

66.28

0.34

PBDT

7,706.90

47.54

-212.65

-77.38

132.96

Depreciation

961.80

0.04

0.03

0.05

0.00

Other Written Off

0.00

0.00

0.00

0.00

20.88

Profit Before Tax

6,745.10

47.50

-212.68

-77.43

112.08


8,266.12

0.00

0.00

12.88

0.00


15,011.22

47.50

-212.68

-64.55

112.08

Tax

264.45

3.54

0.00

4.40

57.83

Reported Net Profit

14,746.77

43.96

-212.67

-68.95

54.24


2,341.40

74.46

121.05

170.39

146.68

Preference Dividend

0.00

0.00

0.00

0.00

0.00

Equity Dividend

2,196.53

0.00

0.00

0.00

0.00


356.34

0.00

0.00

0.00

0.00



19,102.00

19,073.96

19,019.17

18,969.74

18,966.68


77.20

0.23

-1.12

-0.36

0.29

Equity Dividend (%)

115.00

0.00

0.00

0.00

0.00

Book Value (Rs)

178.08

167.35

167.28

168.11

168.46

BALANCE SHEET OF CAIRN

Balance Sheet of Cairn India

------------------- in Rs. Cr. -------------------

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

15 mths

Sources Of Funds

Total Share Capital

1,910.24

1,907.40

1,901.92

1,896.97

1,896.67


1,910.24

1,907.40

1,901.92

1,896.97

1,896.67

Share

Application

Money

0.00

0.00

0.00

46.40

38.90


0.00

0.00

0.00

0.00

0.00

Reserves

32,107.12

30,012.22

29,912.64

29,993.37

30,055.23


0.00

0.00

0.00

0.00

0.00

Networth

34,017.36

31,919.62

31,814.56

31,936.74

31,990.80

Secured Loans

0.00

0.00

0.00

1,345.00

0.00

Unsecured Loans

0.00

0.00

1,350.00

0.00

0.00

Total Debt

0.00

0.00

1,350.00

1,345.00

0.00

Total Liabilities

34,017.36

31,919.62

33,164.56

33,281.74

31,990.80

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

15 mths


Gross Block

4,160.15

2.72

2.59

0.11

0.06


1,118.34

0.16

0.12

0.09

0.00

Net Block

3,041.81

2.56

2.47

0.02

0.06


3,671.41

54.07

21.88

24.21

54.03

Investments

26,410.27

32,674.80

32,568.25

33,129.09

29,225.40

Inventories

107.04

3.54

2.87

0.98

0.00

Sundry Debtors

1,169.54

0.47

0.17

1.57

1.79


151.05

0.55

0.51

0.43

1.40


1,427.63

4.56

3.55

2.98

3.19

Loans and Advances

3,690.47

70.21

81.41

84.15

85.45

Fixed Deposits

0.00

459.45

652.42

192.36

2,761.88


5,118.10

534.22

737.38

279.49

2,850.52

Deffered Credit

0.00

0.00

0.00

0.00

0.00

Current Liabilities

1,212.91

1,344.20

167.26

148.07

107.67

Provisions

3,011.32

1.84

0.90

3.01

31.54


4,224.23

1,346.04

168.16

151.08

139.21

Net Current Assets

893.87

-811.82

569.22

128.41

2,711.31


0.00

0.00

2.75

0.00

0.00

Total Assets

34,017.36

31,919.61

33,164.57

33,281.73

31,990.80


1,545.77

10.59

601.28

129.60

351.74

Book Value (Rs)

178.08

167.35

167.28

168.11

168.46

Technical Analysis

In the above chart of cairn ltd in 2009 decrese in share price, but in 2011, there is no rice in share price. After there is up trend in 2014 share price which is followed by the sideways movement so at the current market situation it recommended to buy the stock.

ONGC COMPANY

Oil & Natural Gas Corporation Limited is the second largest oil and gas exploration and production Company in the world and ranks 23rd among leading global energy majors. Headquartered in Dehradun, the Companys primary business includes exploration and production of crude oil, natural gas, LPG and other value-added petroleum products.ONGC has also set up a subsidiary, Oil Videsh Limited (OVL), for overseas oil exploration and production. OVL is operating in 15 countries with 30 projects with cumulative investment worth over USD 15 billion, to source equity oil & gas for energy security of the country.The Company operates with 27 crews, manages 240 onshore production installations, 202 offshore installations, 77 drilling and 58 work-over, owns and operates more than 26,598 kms of pipeline in India, including 4,500 kms of sub-sea pipelines.For FY 2014, the Companys total income from operations grew by 7.44 % to Rs. 1, 74,466.56 Cr. as against Rs. 1, 62,386.33 Cr. in FY 2013. For the same period, net profit went up by 11.10 % to Rs. 26,653.02 Cr. as against Rs. 23,990.26 Cr. in FY 2013.

PROFIT & LOSS ACCOUNT OF OIL AND NATURAL GAS CORPORATION

Profit & Loss account of Oil and Natural Gas Corporation

------------------- in Rs. Cr. -------------------

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths

Income

Sales Turnover

83,005.33

76,515.09

68,338.92

60,470.18

64,342.28

Excise Duty

0.00

0.00

0.00

218.41

338.29

Net Sales

83,005.33

76,515.09

68,338.92

60,251.77

64,003.99

Other Income

5,436.74

7,593.53

3,406.85

3,615.96

4,085.59

Stock Adjustments

0.00

91.34

12.91

118.04

81.10

Total Income

88,442.07

84,199.96

71,758.68

63,985.77

68,170.68

Expenditure

Raw Materials

4,199.15

656.14

635.30

2,431.88

10,905.51

Power & Fuel Cost

334.96

157.86

142.57

260.38

270.79

Employee Cost

10,330.17

1,309.48

1,303.13

5,618.16

4,536.80


10,043.10

19,692.63

17,453.44

26,652.82

19,578.49


0.00

0.00

0.00

-13,243.69

-4,470.78


24,559.03

8,867.56

8,623.49

947.65

1,011.04


0.00

0.00

0.00

0.00

0.00

Total Expenses

49,466.41

30,683.67

28,157.93

22,667.20

31,831.85

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths

Operating Profit

33,538.92

45,922.76

40,193.90

37,702.61

32,253.24

PBDIT

38,975.66

53,516.29

43,600.75

41,318.57

36,338.83

Interest

27.64

34.83

25.11

11,276.89

8,485.40

PBDT

38,948.02

53,481.46

43,575.64

30,041.68

27,853.43

Depreciation

8,373.57

7,495.92

7,676.69

5,242.66

4,355.62

Other Written Off

0.00

9,333.44

8,248.97

0.00

0.00

Profit Before Tax

30,574.45

36,652.10

27,649.98

24,799.02

23,497.81


-53.15

-9.55

-33.63

183.99

790.68


30,521.30

36,642.55

27,616.35

24,983.01

24,288.49

Tax

9,618.64

11,519.65

8,692.37

8,258.73

8,437.78

Reported Net Profit

20,925.70

25,122.92

18,924.00

16,767.56

16,126.32


45,267.25

30,027.53

27,522.63

20,235.33

20,926.34

Preference Dividend

0.00

0.00

0.00

0.00

0.00

Equity Dividend

8,127.72

8,341.61

7,486.05

7,058.28

6,844.39


1,301.16

1,328.62

1,215.65

1,161.56

1,163.20



85,554.90

85,554.90

85,554.90

21,388.73

21,388.73


24.46

29.36

22.12

78.39

75.40

Equity Dividend (%)

190.00

195.00

175.00

330.00

320.00

Book Value (Rs)

145.47

132.03

113.97

408.08

368.12

BALANCE SHEET OF OIL AND NATURAL GAS CORPORATION

Balance Sheet of Oil and Natural Gas Corporation

------------------- in Rs. Cr. -------------------

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths

Sources Of Funds

Total Share Capital

4,277.76

4,277.76

4,277.76

2,138.89

2,138.89


4,277.76

4,277.76

4,277.76

2,138.89

2,138.89

Share

Application

Money

0.00

0.00

0.00

0.00

0.00


0.00

0.00

0.00

0.00

0.00

Reserves

120,175.46

108,678.97

93,226.67

85,143.72

76,596.53


0.00

0.00

0.00

0.00

0.00

Networth

124,453.22

112,956.73

97,504.43

87,282.61

78,735.42

Secured Loans

0.00

4,500.00

0.00

0.00

0.00

Unsecured Loans

0.00

0.00

0.00

16,405.64

16,035.70

Total Debt

0.00

4,500.00

0.00

16,405.64

16,035.70

Total Liabilities

124,453.22

117,456.73

97,504.43

103,688.25

94,771.12

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths


Gross Block

96,463.86

90,019.55

80,501.56

71,553.78

61,355.61


68,980.39

68,341.41

61,862.02

55,905.28

50,941.23

Net Block

27,483.47

21,678.14

18,639.54

15,648.50

10,414.38


14,415.37

73,258.12

65,299.77

56,073.25

52,923.19

Investments

9,173.05

5,216.24

5,182.80

5,772.03

5,090.32

Inventories

5,704.39

5,165.44

4,118.98

4,678.57

4,060.67

Sundry Debtors

6,863.72

6,194.82

3,994.68

3,058.64

4,083.80


13,218.59

20,124.57

14,481.09

282.85

161.48


25,786.70

31,484.83

22,594.75

8,020.06

8,305.95

Loans and Advances

101,268.07

40,090.29

36,300.55

63,721.90

55,964.02

Fixed Deposits

0.00

0.00

0.00

17,948.18

18,934.74


127,054.77

71,575.12

58,895.30

89,690.14

83,204.71

Deffered Credit

0.00

0.00

0.00

0.00

0.00

Current Liabilities

30,575.81

30,715.22

28,763.69

27,244.53

26,854.11

Provisions

23,097.63

23,555.65

21,749.29

37,092.46

30,657.98


53,673.44

54,270.87

50,512.98

64,336.99

57,512.09

Net Current Assets

73,381.33

17,304.25

8,382.32

25,353.15

25,692.62


0.00

0.00

0.00

841.32

650.61

Total Assets

124,453.22

117,456.75

97,504.43

103,688.25

94,771.12


35,810.89

27,810.71

20,465.03

39,178.54

36,024.57

Book Value (Rs)

145.47

132.03

113.97

408.08

368.12

Technical Analysis

In the above chart ONGC share price in 2009 is high, but in 2011 to 12, there is no rice in share price but there is down trend in curve. After there is up trend in 2014 share price which is followed by the sideways movement so at the current market situation it recommended to buy the stock in less price. In 2014 curve show the positive response. It is a good time to buy share.

OIL INDIA

Indian Oil Corporation Limited is India's flagship national oil company with business interests ranging from refining, pipeline transportation and marketing of petroleum products to exploration & production of crude oil & gas.The Company is the market leader with an overall share of (53.1%) among the PSUs.

IOC and its subsidiary, Chennai Petroleum Corporation Limited, account for over 49 % petroleum products market share, 31 % national refining capacity and 71 % downstream sector pipelines capacity in India. The Company has a portfolio of energy brands that includes Indane LPGas,SERVOlubricants, XtraPremium petrol, XtraMile diesel, PROPEL & petrochemicals. During FY 2013, IOC maintained its leadership position in the industry on the basis of unparalleled performance on all operational parameters. The overall sale of petroleum products grew by 1.66 % over the previous year. Capacity utilization of 100.8 % was achieved. The year also witnessed the successful commissioning of 1,910 retail outlets , including 1,050 Kisan Sewa Kendras (KSKs) and 564 LPG distributors including 422 RGGLV distributors.

For FY 2014, the Companys total income from operations grew by 5.75 % to Rs. 4, 88,344.93 Cr. as against Rs. 4,61,779.67 Cr. in FY 2013. For the same period, net profit went up by 92.06 % to Rs. 6,966.58 Cr. as against Rs. 3,627.30 Cr. in FY 2013.

PROFIT & LOSS ACCOUNT OF OIL INDIA

Profit & Loss account of Oil India

------------------- in Rs. Cr. -------------------

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths

Income

Sales Turnover

9,947.57

9,863.23

11,623.38

9,486.75

7,292.19

Excise Duty

0.00

0.00

0.00

0.00

0.00

Net Sales

9,947.57

9,863.23

11,623.38

9,486.75

7,292.19

Other Income

1,508.75

1,445.37

803.98

923.11

891.06

Stock Adjustments

27.37

8.82

7.64

-10.57

-13.00

Total Income

11,483.69

11,317.42

12,435.00

10,399.29

8,170.25

Expenditure

Raw Materials

112.72

110.05

280.89

351.70

227.18

Power & Fuel Cost

27.98

28.10

48.43

51.52

46.77

Employee Cost

1,305.86

1,517.54

1,238.68

1,207.37

1,057.86


0.00

0.00

2,181.11

2,025.70

2,341.64


0.00

0.00

4,290.20

2,909.73

1,344.18


3,913.67

3,541.68

526.81

643.61

500.52


0.00

0.00

-1,106.84

-1,027.55

-1,009.64

Total Expenses

5,360.23

5,197.37

7,459.28

6,162.08

4,508.51

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths

Operating Profit

4,614.71

4,674.68

4,171.74

3,314.10

2,770.68

PBDIT

6,123.46

6,120.05

4,975.72

4,237.21

3,661.74

Interest

2.60

9.37

13.92

3.65

8.74

PBDT

6,120.86

6,110.68

4,961.80

4,233.56

3,653.00

Depreciation

837.63

1,008.82

176.68

218.27

168.08

Other Written Off

0.00

0.00

0.00

0.00

0.00

Profit Before Tax

5,283.23

5,101.86

4,785.12

4,015.29

3,484.92


0.00

0.00

-79.96

-105.11

-66.77


5,283.23

5,101.86

4,705.16

3,910.18

3,418.15

Tax

1,693.89

1,654.94

1,445.05

1,297.06

1,240.11

Reported Net Profit

3,589.34

3,446.92

2,887.73

2,610.52

2,161.68


5,247.51

5,087.32

7,178.39

5,810.37

4,281.33

Preference Dividend

0.00

0.00

0.00

0.00

0.00

Equity Dividend

1,803.41

1,142.15

901.70

817.54

652.71


295.80

185.30

147.95

137.46

110.93



6,011.36

2,404.54

2,404.54

2,404.54

2,140.04


59.71

143.35

120.09

108.57

101.01

Equity Dividend (%)

300.00

475.00

375.00

340.00

305.00

Book Value (Rs)

319.59

736.99

655.69

572.49

436.09

BALANCE SHEET OF OIL INDIA

Balance Sheet of Oil India

------------------- in Rs. Cr. -------------------

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths

Sources Of Funds

Total Share Capital

601.14

240.45

240.45

240.45

214.00


601.14

240.45

240.45

240.45

214.00

Share

Application

Money

0.00

0.00

0.00

0.00

0.00


0.00

0.00

0.00

0.00

0.00

Reserves

18,610.34

17,480.89

15,525.90

13,525.22

9,118.47


0.00

0.00

0.00

0.00

0.00

Networth

19,211.48

17,721.34

15,766.35

13,765.67

9,332.47

Secured Loans

1,021.86

10.13

1,005.54

0.00

2.70

Unsecured Loans

35.95

0.00

21.25

37.50

53.75

Total Debt

1,057.81

10.13

1,026.79

37.50

56.45

Total Liabilities

20,269.29

17,731.47

16,793.14

13,803.17

9,388.92

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths


Gross Block

11,153.66

10,098.43

9,387.66

8,662.10

7,738.04


6,158.79

5,604.90

5,139.37

4,643.19

4,082.81

Net Block

4,994.87

4,493.53

4,248.29

4,018.91

3,655.23


1,769.01

1,131.50

448.36

328.66

318.59

Investments

1,857.07

2,614.19

890.41

859.44

488.66

Inventories

644.33

533.32

500.36

453.38

501.00

Sundry Debtors

902.67

1,051.81

249.47

659.67

404.73


12,132.93

10,935.48

244.92

127.83

86.74


13,679.93

12,520.61

994.75

1,240.88

992.47

Loans and Advances

2,879.97

1,921.44

3,283.42

3,332.00

2,058.27

Fixed Deposits

0.00

0.00

11,524.36

8,415.08

5,983.27


16,559.90

14,442.05

15,802.53

12,987.96

9,034.01

Deffered Credit

0.00

0.00

0.00

0.00

0.00

Current Liabilities

2,928.23

3,395.53

3,374.43

2,945.40

2,479.85

Provisions

1,983.33

1,554.27

1,222.02

1,464.76

1,627.70


4,911.56

4,949.80

4,596.45

4,410.16

4,107.55

Net Current Assets

11,648.34

9,492.25

11,206.08

8,577.80

4,926.46


0.00

0.00

0.00

18.38

0.00

Total Assets

20,269.29

17,731.47

16,793.14

13,803.19

9,388.94


4,895.58

1,110.82

1,788.10

966.23

863.84

Book Value (Rs)

319.59

736.99

655.69

572.49

436.09

Technical Analysis

In the above chart oil india share price in 2009 is high, but in 2012, there is no rice in share price but there is down trend in curve. After there is up trend in 2014 share price which is followed by the sideways movement so at the current market situation it recommended to buy the stock in less price. In 2014 curve show the positive response. It is a good time to buy share.

Stock InfPAINTS SECTOR

ASIAN PAINT LTD

Asian Paints Limited was established way back on February 1,1942 and today stands as Indias largest paint company and Asias third largest paint company with an annual turnover of Rs 5,463 crore.

Presently the company is having its presence in 22 countries with 28 manufacturing locations, over 2500 SKUs, Integrated SAP - ERP & i2 - SCM solution. Besides Asian Paints, the group operates around the world through its subsidiaries Berger International, Apco Coatings, SCIB Paints and Taubmans.

The company manufactures paints in the category of Decorative, Automative and Industrial segment. Apart from these the company also manufactures various Acessories like, Wall Primar, Wood Primer, Putty and Stainers etc.

Asian Paints along with its subsidiaries has operations in 20 countries across the world and 28 paint manufacturing facilities, servicing consumers in 65 countries through Berger International, SCIB Paints-Egypt, Asian Paints, Apco Coatings and Taubmans. Asian Paints operates in 5 regions across the world viz. South Asia, South East Asia, South Pacific, Middle East and Caribbean region through the five corporate brands viz. Asian Paints, Berger International, SCIB Paints, Apco Coatings and Taubmans. In 10 markets, it operates through its subsidiary, Berger International Limited; in Egypt through SCIB Paints; in 5 markets in the South Pacific it operates through Apco Coatings and in Fiji and Samoa it also operates through Taubmans.

The company is having its strategically located Indian plants at Bhandup (Maharashtra), Kasna (Uttar Pradesh) and Sriperumbudur (Tamil Nadu), Ankleshwar (Gujarat), Patancheru (Andhra Pradesh) and the newly built plant at Rohtak (Haryana).

The company is having state-of-the-art supply chain system using cutting edge technology to integrate all its plants, regional distribution centres, outside processing centres and branches in India. All the companys paints plants in India, two chemical plants, 18 processing centres, 350 raw material and intermediate goods suppliers, 140 packing material vendors, 6 regional distribution centres, 72 depots are integrated.

The company is having a big and experienced R&D team which has successfully managed to develop High-end exterior finished and wood finishes in-house, which was earlier imported into the country. These products are currently marketed under Asian Paints Elastomeric Hi-Stretch Exterior paint and Asian Paints PU wood finish respectively.

The company is having three subsidiaries viz, Apco Coatings - it is a subsidiary of Asian Paints in the South Pacific islands. The company operates in Australia, Fiji, Tonga, Solomon Islands and Vanuatu under the brand name of Apco Coatings.

The other subsidiary of the company is Asian Paints Industrial Coatings Limited which has been set up to cater to the powder coatings market which is one of the fastest growing segments in the industrial coatings market.

Berger International Limited in November 2002, became a part of the Asian Paints Group. Today, the name of Berger is synonymous with quality and innovation. BIL has presence across three regions viz. Middle East, Caribbean and South East Asia.Asian Paints participates in the Industrial Coatings segment directly, through a 50:50 JV with PPG Inc. of US as well as through a 100% subsidiary

On the recommendations of Booz, Allen and Hamilton, Asian Paints restructured itself into Growth, Decorative and International business units and has adopted SCM and ERP technology. Asian Paints aims to become the 5th largest decorative paint company in the world.

PROFIT & LOSS ACCOUNT OF ASIAN PAINTS

Profit & Loss account of Asian Paints

------------------- in Rs. Cr. -------------------

Mar '14

Mar '13

Mar '12

Mar '11

Mar '10

12 mths

12 mths

12 mths

12 mths

12 mths

Income

Sales Turnover

10,418.78

8,971.70

9,139.39

7,244.59

5,794.09

Excise Duty

0.00

0.00

812.31

638.57

426.37

Net Sales

10,418.78

8,971.70

8,327.08

6,606.02

5,367.72

Other Income

163.70

126.15

90.43

72.38

150.61

Stock Adjustments

75.34

175.91

143.78

157.54

130.83

Total Income

10,657.82

9,273.76

8,561.29

6,835.94

5,649.16

Expenditure

Raw Materials

6,044.66

5,361.00

4,866.63

3,812.47

2,966.23

Power & Fuel Cost

114.65

101.65

74.29

65.98

47.03

Employee Cost

482.43

404.59

343.51

302.34

262.73


0.00

0.00

77.05

61.46

52.30


0.00

0.00

1,672.74

1,331.85

1,119.89


2,075.11

1,733.10

36.77

28.19

17.41


0.00

0.00

0.00

0.00

0.00

Total Expenses

8,716.85

7,600.34

7,070.99

5,602.29

4,465.59

Mar '14

Mar '13

Mar '12

Mar '11

Mar '10

12 mths

12 mths

12 mths

12 mths

12 mths

Operating Profit

1,777.27

1,547.27

1,399.87

1,161.27

1,032.96

PBDIT

1,940.97

1,673.42

1,490.30

1,233.65

1,183.57

Interest

26.08

30.56

27.88

16.34

19.10

PBDT

1,914.89

1,642.86

1,462.42

1,217.31

1,164.47

Depreciation

212.32

126.98

99.49

94.48

60.74

Other Written Off

0.00

0.00

0.00

0.00

0.00

Profit Before Tax

1,702.57

1,515.88

1,362.93

1,122.83

1,103.73


0.00

0.00

2.38

4.22

7.23


1,702.57

1,515.88

1,365.31

1,127.05

1,110.96

Tax

533.51

465.88

406.92

351.90

336.46

Reported Net Profit

1,169.06

1,050.00

958.39

775.15

774.50


2,672.19

2,239.34

2,204.36

1,789.82

1,499.36

Preference Dividend

0.00

0.00

0.00

0.00

0.00

Equity Dividend

508.37

441.23

383.69

306.94

258.98


82.02

74.29

62.24

50.11

43.33



9,591.98

959.20

959.20

959.20

959.20


12.19

109.47

99.92

80.81

80.74

Equity Dividend (%)

530.00

460.00

400.00

320.00

270.00

Book Value (Rs)

37.54

315.08

259.36

205.93

162.35

BALANCE SHEET OF ASIAN PAINTS

Balance Sheet of Asian Paints

------------------- in Rs. Cr. -------------------

Mar '14

Mar '13

Mar '12

Mar '11

Mar '10

12 mths

12 mths

12 mths

12 mths

12 mths

Sources Of Funds

Total Share Capital

95.92

95.92

95.92

95.92

95.92


95.92

95.92

95.92

95.92

95.92

Share

Application

Money

0.00

0.00

0.00

0.00

0.00


0.00

0.00

0.00

0.00

0.00

Reserves

3,505.01

2,926.34

2,391.86

1,879.40

1,461.30


0.00

0.00

0.00

0.00

0.00

Networth

3,600.93

3,022.26

2,487.78

1,975.32

1,557.22

Secured Loans

6.65

9.28

17.01

23.43

25.59

Unsecured Loans

32.86

37.48

151.21

40.70

40.70

Total Debt

39.51

46.76

168.22

64.13

66.29

Total Liabilities

3,640.44

3,069.02

2,656.00

2,039.45

1,623.51

Mar '14

Mar '13

Mar '12

Mar '11

Mar '10

12 mths

12 mths

12 mths

12 mths

12 mths


Gross Block

2,908.10

2,803.73

1,659.51

1,611.22

1,194.39


895.90

701.84

650.47

554.03

486.93

Net Block

2,012.20

2,101.89

1,009.04

1,057.19

707.46


37.95

52.55

827.30

67.32

380.72

Investments

1,030.19

449.70

542.22

1,034.76

703.69

Inventories

1,665.05

1,480.79

1,264.42

1,071.76

763.14

Sundry Debtors

712.36

633.88

500.24

366.68

331.43


745.36

566.86

450.94

20.28

28.58


3,122.77

2,681.53

2,215.60

1,458.72

1,123.15

Loans and Advances

478.60

362.61

361.22

270.88

241.68

Fixed Deposits

0.00

0.00

50.03

0.19

0.02


3,601.37

3,044.14

2,626.85

1,729.79

1,364.85

Deffered Credit

0.00

0.00

0.00

0.00

0.00

Current Liabilities

2,423.55

2,078.94

1,929.18

1,511.37

1,229.04

Provisions

617.72

500.32

420.23

338.24

304.17


3,041.27

2,579.26

2,349.41

1,849.61

1,533.21

Net Current Assets

560.10

464.88

277.44

-119.82

-168.36


0.00

0.00

0.00

0.00

0.00

Total Assets

3,640.44

3,069.02

2,656.00

2,039.45

1,623.51


447.75

464.28

414.71

505.87

223.80

Book Value (Rs)

37.54

315.08

259.36

205.93

162.35

Technical Analysis

In the above chart asian paint ltd oil share price in 2009, there is no rice in share price but there is down trend in curve. After there is up trend in 2013 there is rice in share price. After that there is down trend in the share price which is followed by the sideways movement so at the current market situation it recommended to do not buy the stock.

BERGER PAINT INDIA LTD

Berger Paints was incorporated in 1923. It is the third largest paint manufacturer and second largest manufacturer in decorative paints. Its headquarter is located in Kolkata, it has distribution network of 75 stock points and 12,000 paint retailers. The company has come a long way to become at one point of time; a part of the worldwide BERGER group in 1983 and thereby acquiring its present name Berger Paints India Limited to having subsequently gone through further ups & downs as well as ownership changes to gain its present status wherein the majority stake is with Delhi based Dhingra brothers and business revenue close to Rs.2000 crore.

The gentleman who took over, as its first managing director was Mr. Alexender Vernon Niblet, an Englishman who was later on followed by Mr. Alfred Godwin in 1962.Further in the year 1965, the share capital of British Paints (Holdings) Limited was acquired by Celanese Corporation, USA and the controlling interest of British Paints (India) Ltd was acquired by CELEURO NV, Holland, a Celanese subsidiary.

Subsequently in 1969, the Celanese Corporation sold its Indian interests to Berger, Jenson & Nicholson, U.K. Then onwards the company British Paints (India) Ltd became a member of the worldwide BERGER group having its operations across oceans in numerous geographies and this marked the beginning of Lewis Berger's legacy in India which the company would later take forward to enviable heights. From 1973 the company entered into one of its dynamic phases of business with introduction of new generation products in the industrial, marine and decorative segments under the able leadership of its first Indian Managing Director Mr. Dongargaokar Madhukar.

Year 1976 was another turning point in the history of the company when the foreign holding in the company was diluted to below 40% by sale of a portion of the shares to the UB Group controlled by Mr. Vittal Mallya. The reins of the company were taken over by Mr. Biji K Kurien as its Chief Executive & Managing Director in the year 1980. Finally in the year 1983, the British Paints (India) Limited, changed its name to Berger Paints India Limited.

The entire 80s & 90s saw the lunch of many new products from company's stable such as premium emulsions and high quality acrylic distempers. The COLOUR BANK tinting system was launched through which the consumer could select from a range of over 5000 shades.

Again the fortunes of the company changed hands in 1991 with UB Group's stake in the company bought over by the Delhi based Dhingra brothers, Mr. K.S.Dhingra & Mr. G.S.Dhingra and their associates of the UK Paints Group. Presently Dhingras' control a majority stake of almost 73% in Berger Paints India Limited, which is a professionally managed organization, headquartered in Kolkata, with the stewardship resting since 1994 with the current Managing Director Mr. Subir Bose.

The companys manufacturing facilitiesare located in West Bengal, Uttar Pradesh, Pondicherry, Goa, and Jammu and Kashmir.

It has subsidiaries areBeepee Coatings, Berger Jenson & Nicholson (Nepal), Berger Paints (Cyprus) and Berger Paints Overseas. It also acquired 100% stake of Motor and Industrial paints business of ICI India.

It has technical license agreement with DuPont Performance in the area of automotive coating; Nippon paints for new generation automotive coating, Orica Australia Pty for protective coating and TIGERWERK Lacku. Farbenfabrik GmbH, Australia for specialised powder coating.

The company has a joint venture with Nippon Bee Chemical for manufacturing of coatings for plastic substrates used in automobiles and mobile phones.

It has wide range of colour bank with over 5000 shades. Lewis Berger ColorBank offers computerised paint technology through its outlets which mixes different shades to create desired paint. It has a network of 2500 such counters.

PROFIT & LOSS ACCOUNT OF BERGER PAINTS

Profit & Loss account of Berger Paints India

------------------- in Rs. Cr. -------------------

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths

Income

Sales Turnover

3,024.21

2,901.20

2,288.35

1,822.42

1,688.66

Excise Duty

0.00

251.30

203.12

135.76

177.70

Net Sales

3,024.21

2,649.90

2,085.23

1,686.66

1,510.96

Other Income

30.76

22.60

40.28

24.22

25.64

Stock Adjustments

41.49

85.40

68.49

10.45

14.16

Total Income

3,096.46

2,757.90

2,194.00

1,721.33

1,550.76

Expenditure

Raw Materials

1,919.93

1,787.30

1,400.83

1,093.30

1,027.64

Power & Fuel Cost

28.04

25.10

22.61

17.86

17.18

Employee Cost

139.96

121.10

107.97

90.12

77.21


0.00

29.80

27.82

23.42

20.50


0.00

433.70

341.03

263.06

224.84


641.45

57.00

40.49

33.02

30.33


0.00

0.00

0.00

0.00

0.00

Total Expenses

2,729.38

2,454.00

1,940.75

1,520.78

1,397.70

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths

Operating Profit

336.32

281.30

212.97

176.33

127.42

PBDIT

367.08

303.90

253.25

200.55

153.06

Interest

27.67

18.10

12.18

4.75

15.33

PBDT

339.41

285.80

241.07

195.80

137.73

Depreciation

46.28

37.60

29.98

26.41

20.40

Other Written Off

0.00

0.00

0.00

0.00

0.00

Profit Before Tax

293.13

248.20

211.09

169.39

117.33


0.00

0.00

0.00

0.00

5.42


293.13

248.20

211.09

169.39

122.75

Tax

83.33

70.80

62.81

49.26

34.00

Reported Net Profit

209.80

177.40

148.31

120.14

88.76


809.45

666.70

539.92

427.47

370.06

Preference Dividend

0.00

0.00

0.00

0.00

0.00

Equity Dividend

62.33

48.50

44.99

38.07

19.13


10.60

7.80

7.37

6.32

3.25



3,462.90

3,461.53

3,460.72

3,460.72

3,188.72


6.06

5.12

4.29

3.47

2.78

Equity Dividend (%)

90.00

70.00

65.00

55.00

30.00

Book Value (Rs)

28.43

24.40

20.84

18.07

12.99

BALANCE SHEET OF BERGER PAINTS

Balance Sheet of Berger Paints India

------------------- in Rs. Cr. -------------------

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths

Sources Of Funds

Total Share Capital

69.26

69.20

69.21

69.21

63.77


69.26

69.20

69.21

69.21

63.77

Share

Application

Money

0.00

0.00

0.88

0.00

9.90


0.00

0.00

0.00

0.00

0.00

Reserves

915.17

775.40

651.99

556.04

350.37


0.00

0.90

0.93

0.98

1.09

Networth

984.43

845.50

723.01

626.23

425.13

Secured Loans

147.68

71.80

78.53

24.41

78.00

Unsecured Loans

155.34

98.00

0.03

0.05

0.06

Total Debt

303.02

169.80

78.56

24.46

78.06

Total Liabilities

1,287.45

1,015.30

801.57

650.69

503.19

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

12 mths

12 mths

12 mths

12 mths

12 mths


Gross Block

601.98

518.80

419.49

371.74

322.68


280.30

246.80

215.33

186.15

160.37

Net Block

321.68

272.00

204.16

185.59

162.31


171.23

98.60

76.79

31.60

18.82

Investments

90.58

79.60

117.59

170.20

29.52

Inventories

576.91

513.90

403.92

299.33

266.33

Sundry Debtors

324.55

305.00

240.29

204.73

180.38


222.54

19.00

28.95

25.99

23.96


1,124.00

837.90

673.16

530.05

470.67

Loans and Advances

131.34

67.10

55.62

50.58

61.60

Fixed Deposits

0.00

157.40

93.98

11.57

7.91


1,255.34

1,062.40

822.76

592.20

540.18

Deffered Credit

0.00

0.00

0.00

0.00

0.00

Current Liabilities

469.91

433.30

375.71

276.31

219.89

Provisions

81.47

64.00

44.01

52.59

27.74


551.38

497.30

419.72

328.90

247

Documents

Equity research on oil and gas and paint sector