Telco VS Maruti (the P & L account comparison)

sunandaC

Sunanda K. Chavan
• Maruti scores over Telco in sales turnover. This is an immediate difference in the case from Daewoo. This is simply because of the reason that Maruti unlike Daewoo is a far better entrenched player and hence exposes Telco.

• Maruti scores over Telco in the total income category as well which doesn’t come as surprise looking at the advantage that it enjoys in the sales.

• Telco pays out a lower excise duty than Maruti, which comes as a surprise.

• Telco has over five times the power and fuel cost than Maruti. This is not justified by any means and points o the outdated methods of production that Telco still uses also under consideration is the point that Maruti produces greater number than Telco.

• Telco’s employee cost is over five times that of Maruti. This is surprising since Maruti keeps a large staff, which is second only to Telco. A1so this signifies that Telco overpays its employees and that it is perhaps an overstaffed organization.

• Again Telco pays out interest that is five times the interest paid out by Maruti. This shows the equity base of Maruti and also indebtedness of Telco Interest as we know is a vicious cycle and Telco is stuck in it.

• The most important point is the comparison of net profits. Maruti has a net profit that almost seven nines that
of Telco. In figured it is 97.46 million for Telco and 651.91 I million for Maruti. A huge difference by any standards.

• Telco’s earning per share is a measly 3.48 rs and it is a huge 489.79 for Maruti Udyog.
 
• Maruti scores over Telco in sales turnover. This is an immediate difference in the case from Daewoo. This is simply because of the reason that Maruti unlike Daewoo is a far better entrenched player and hence exposes Telco.

• Maruti scores over Telco in the total income category as well which doesn’t come as surprise looking at the advantage that it enjoys in the sales.

• Telco pays out a lower excise duty than Maruti, which comes as a surprise.

• Telco has over five times the power and fuel cost than Maruti. This is not justified by any means and points o the outdated methods of production that Telco still uses also under consideration is the point that Maruti produces greater number than Telco.

• Telco’s employee cost is over five times that of Maruti. This is surprising since Maruti keeps a large staff, which is second only to Telco. A1so this signifies that Telco overpays its employees and that it is perhaps an overstaffed organization.

• Again Telco pays out interest that is five times the interest paid out by Maruti. This shows the equity base of Maruti and also indebtedness of Telco Interest as we know is a vicious cycle and Telco is stuck in it.

• The most important point is the comparison of net profits. Maruti has a net profit that almost seven nines that
of Telco. In figured it is 97.46 million for Telco and 651.91 I million for Maruti. A huge difference by any standards.

• Telco’s earning per share is a measly 3.48 rs and it is a huge 489.79 for Maruti Udyog.

Well, many many thanks for your help and providing the information on Telco VS Maruti. BTW, i am also going to upload a document where you can find some useful information and can also included in your report..
 

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