Financial Statement

Analysis
(Confectionary Company)
Presented By
Ashutosh Tawade
Bhushan Bhargav
Rohit Umrao
Confectionary Companies Introduction
❖ Nestle India - Subsidy of
❖ Nestle S.A of Switzerland
❖ Popular brands - Nescafe,Maggi,Milky bar,
❖ Milo,Kit Kat,Bar one,Milkmaid
❖ Providing consumers products of Global Standards

❖ Mondelez India (Cadbury India) is a

❖ fully owned subsidiary of Kraft Foods Inc.
❖ Cadbury enjoys a value market share of over 70%
❖ the highest Cadbury brand share in the world!
Ratio Analysis (FY 2015-2016)

➢ With approx. 8% higher Gross profit ratio,

cadbury has achieved this mark through

increase in sales mix.

➢ Comparing the Operating profit ratio,

Nestle with 18.55% has almost 10 % more

ability to cover total operating expense.

Ratio Analysis (FY 2015-2016)

➢ Comparing current ratio,Cadbury is

struggling to maintain Current asset

to current liabilities ideal ratio of 2:1.

➢ Nestle India with Liquid ratio of 1.43

has better position to meet current

Obligations in time.
Ratio Analysis (FY 2015-2016)

➢ With the Ratio of 30.74%,

Nestle is efficiently handling

shareholder’s investment as a part of net profit.

➢ Considering total investment made

in business,Nestle has provided 14.95 %

return on capital when compared with net profit.

Ratio Analysis (FY 2015-2016)
➢ With EPS of 92.65,Nestle is at

strong financial position over

cadbury whose EPS IS AT 11.61.

➢ With close to 1.7 times Inventory turnover

ratio,Nestle shows better stock utilization

and efficient investment in stock in trade

than Cadbury.
Ratio Analysis (FY 2015-2016)
➢ With ratio of 2.07,Cadbury has efficiently

utilized its capital employed over Nestle.

➢ Comparing the Proprietary Ratio,

Nestle has approx.8 % higher share

of owner in total asset of company

against that of Cadbury.

Analysis and Future plan - Nestle India
➢ Financial statements of both the companies are based on accounting
concepts of Entity,Accounting period,Going concern,Cost and Money
Measurement.
➢ Net Sale of Nestle India has increased by approx.12% after the issue with
Maggi Noodles.
➢ MAGGI Noodles were welcomed back by shoppers while confectionery
opened doors to export to eight markets in the Middle East and Ghana.
➢ The year 2016 witnessed a spate of innovations and renovations with the
launch of more than 30 new products and variants.
➢ MAGGI HOT HEADS’ and ‘MAGGI No Onion No Garlic Masala’ variants of
MAGGI Noodles
➢ The Company renovated the entire CERELAC range fortifying it with Iron.
➢ Expanding Coffee and Beverages Portfolio.
Analysis and Future plan - Mondelez India (Cadbury)
➢ India business of Mondelez,grew the slowest in more than a decade last fiscal
when demand for most discretionary products took a hit due to sluggishness
in the economy.
➢ Along with number of changes in Management,Mondelez India aiming to
leading share positions in the near term through investing in selling,marketing
and people.
➢ Mondelēz International announced an investment of approximately US$15
million to build a global Research, Development & Quality (RDQ) hub in
Thane, Maharashtra.
➢ mondelēz international inaugurates its largest manufacturing plant in asia
pacific in andhra pradesh.
➢ mondelez india gives oreo a new twist - introduces golden oreo,Launches
cadbury bournvita biscuits tiffin pack,‘cadbury fuse,cadbury bournvita biscuits