Comparative Analysis of Financial Statement OfIT industries INTERNATIONAL ACCOUNTING PRACTICES GRADUATE SCHOOL OF MANAGEMENT STUDIES Comparative Analysis Introduction of IT industry TCS Infosys Limited HCL Technologies Wipro Ltd Tech Mahindra Ltd. Comparative of company

1. Comparative Analysis of Financial Statement
Of
IT industries
Submitted to-
Dr .Kaushal Bhatt
Assistant professor GSMS
GTU
Submitted by-
Kacha Avani (20)
Veerani Pranav (60)
Group No. 16
Gujarat Technological University,
Ahmadabad
Academic Year: 2018-20
INTERNATIONAL ACCOUNTING PRACTICES
GRADUATE SCHOOL OF MANAGEMENT STUDIES

2. Road map
• Comparative Analysis
• Introduction of IT industry
• TCS
• Infosys Limited
• HCLTechnologies
• Wipro Ltd
• Tech Mahindra Ltd.
• Comparative of company

3. Comparative Analysis
• Provides a comparison of an entity's financial
performance over multiple periods, so that
you can determine trends.The statements
may also reveal unusual spikes in the
reported information that can indicate the
presence of accounting errors.
• useful for cost management purposes.
• May be useful for predicting future
performance, though you should rely more
on operational indicators and leading
indicators than on historical performance for
this type of analysis.

4. IT INDUSTRY
• Information technology in India is an industry consisting of two
major components: IT services and business process
outsourcing (BPO).
• The sector has increased its contribution to India's GDP from
1.2% in 1998 to 7.7% in 2018.
• According to NASSCOM, the sector aggregated revenues of
US$160 billion in 2018.
• with export revenue standing at US$99 billion and domestic
revenue at US$48 billion, growing by over 13%.The United
States accounts for two-thirds of India's IT services exports.
• India's IT Services industry was born in Mumbai in 1967 with the
establishment of theTata Group in partnership with Burroughs.
• Bangalore is known as the SiliconValley of India.

5. TCS –Tata Consultancy
Services
• CEO: Rajesh Gopinathan
• Founded: 1968
• Headquarters: Mumbai
• Founders: J. R. D.Tata, F. C. Kohli
• Parent organization:Tata Group
• Subsidiaries: CMC,TCS China,Computational Research Laboratories
• Tata Consultancy Services Limited (TCS) is an Indian multinational
information technology (IT) service, consulting company
headquartered in Mumbai, Maharashtra.
• It is the world's 2nd largest IT services provider.
• As of 2017, it is ranked 10th on the Fortune India 500 list. In April
2018,TCS became the first Indian IT company to breach $100 billion
market capitalization

6. Comparative study ofTATA consultancy
service’s Balance sheet

7. https://on.tcs.com/AnnualReport2018

8.  As we show in chat reserves are decreases in
2018 compare to 2017 it is 77825 to 75875. So
reserves are decreases by 2.76%.
 Investment like reserves also decreases in 2018 it
is 42930 to 37259 . so ultimately 13.21%
decreases come.
 Loans and advances is increases compare to 2017
in 2018 by 13.87%.
 Current assets also increases by 24.97% in 2018.
 We conclude that TATA consultancy reduces their
reserves for payment of dividend to their
shareholders.
 By taking loans TATA consultancy invest money in
current assets.

9. Infosys Limited
• Infosys is the second-largest Indian IT company by 2017 revenues
and 596th largest public company in the world in terms of revenue.
• On June 29, 2018 its market capitalisation was $42.23 billion.[6]The
credit rating of the company is A- (rating by Standard & Poor's)
• Type : Public
• Traded as : BSE: 500209
• Industry : IT services, IT consulting
• Founded : 7 July 1981; 37 years ago
• Founder : N. R. Narayana Murthy
• Headquarters : Bengaluru, Karnataka, India
• Area served :Worldwide
• Key people : Nandan Nilekani (Chairman)

10. Comparative study of Infosys Ltd.
Balance sheet

11. https://www.infosys.com/investors/reports-filings/

12. • As per above chat we noticed that compare to 2017 in 2018
the degree of reserves are decreases by 6.70%
• In second point Infosys debtors are increases compare to
2017 in 2018 it was jump 10960 to 12151.
• Debtors are increases in 2018 by 10.87%.
• Increases in debtors is good sign of increases in credit sales
but as well as also bad sing of increases risk.
• Along with debtors here also rise in loan & advances in 2018
it indicated that Infosys also increases their liability by
23.99%
• Compare to 2017 in 2018 the company noticed that the
current assets is decreases 47682 to 44090 with the 7.53%.
• The causes of decreases in current assets is decreases in
current investment as well as in cash and bank balance.

13. HCLTechnologies
• HCLTechnologies Limited (Hindustan Computers Limited) is
an Indian multinational technology company, headquartered in
Noida, Uttar Pradesh, India.
• Industry : IT services, IT consulting
• Founded : 11 August 1976; 42 years ago
• Founder : Shiv Nadar
Arjun Malhotra
• Headquarter : Noida, India
• Area served :Worldwide
• Key people : Shiv Nadar(Chairman &CSO)
CVijayakumar(CEO)
• Services : IT, business consulting and outsourcing
services

14. Comparative study of HCLTechnologies
Balance sheet

15. https://www.hcl.com/financials

16. • Due to the last year high profit or we can say
more earning of HCL Ltd. is reflecting in rise in
reserves of 2018 compare to 2017 by 10.54%
• As we also discuss earlier last year’s handsome
amount of profit is leads to the investment
which is increase 1306 to 2660 in 2018.
• Investment increases by 103.68%.
• Changes in loans and advance in 2018 is
increases by 10.65%. it leads to rise in current
assets of the company.
• In current assets of the company in 2018 is
decreases due to the negative changes is come
in inventories and cash / bank balance.
• As result the current assets of HCL Ltd. was
decreases by 8.84%.

17. Wipro Ltd.
• Type : Public
• Industry : IT services, IT consulting
• Founded : 29 December 1945; 72 years ago
• Founder : Mohamed Prem
• Headquarters : Bengaluru, India
• Area served : Worldwide
• Key people : Azim Premji (Chairman)
Abidali Neemuchwala (CEO)
• Services : Digital Strategy, BusinessConsulting and IT
Services
• Owner : Azim Premji (73.25%)
• Number of
Employees : 164,659 (2018)
Wipro Logo since 2017

18. Comparative study ofWipro Ltd.
Balance sheet

20. https://www.wipro.com/annual-reports/

21. • The reason of falls in reserves is the low level of
profit of the wipro in 2018 due to the
environmental changes in market.
• The reserve is come to the point 45864 to 41180
in 2018.
• Compare to 2017 the reserves are 10.37% less.
• In 2018 the current liability is increases by 8.65%.
it is not favorable situation for any company to
rise in current liability.
• Along with that we found the falls in current
assets of Wipro Ltd. it was 8129 in 2017 by
decreases in 2018 it was reach at the 9502.
• The level of debtors in 2018 is rise compare to
2017 by 16.88%.

22. Tech Mahindra Ltd.
• Industry : IT services, IT consulting
• Founded : 1986; 32 years ago
• Headquarters : Pune, India
• Area served :Worldwide
• Key people :Anand Mahindra (Chairman & Founder)
Vineet Nayyar (VC)
CP Gurnani (CEO)
• Services : IT, business consulting and outsourcing
• Number of
Employees : 113,550+ (2018 Q1)
• Parent : MahindraGroup

23. Comparative study ofTech Mahindra Ltd. Balance
sheet

24. https://www.techmahindra.com/investors/annual_reports.aspx

25. • The reserves are 16403 in 2017 which is now
at the 19051 in 2018.The changes by 16.14%
in positive manner.
• Due to the high level of sales on credit base
we found that rise in the level of debtor in
2018. It was reach 4571 to 5070 and by in
percentage it was rise 10.90%.
• Because the debtor is the part of current
assets the increases in debtors is result into
the rise in current assets.
• The changes is come at the degree of
5.09%.
• Current liability of theTech Mahindra is
increases in 2018 compare to 2017 by 7.12%.

26. Comparative analysis
of company
company %
TATA 25
Infosys 18
Wipro 15
HCL 10
Tech Mahindra 3
Others 29

27. Comparative analysis
of company
company Market
share price
TATA 1900.25
Infosys 680.50
Wipro 321.00
HCL 973.80
Tech Mahindra 679.99