Tips to write Profitability Analysis Project Report on Reliance Industries Ltd-Dissertations Help
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Posted On :
Jan-31-2012
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Article Word Count :
761
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This article is going to give tips to write MBA Project Report and Dissertations on Financial Analysis, Performance Analysis, Company Analysis, Profitability Analysis, Liquidity Analysis, Ratio Analysis and Solvency Analysis of Reliance Industries Limited giving ideas to write on Abstract, Literature Review, Research Methodology, Data Analysis, Conclusion, Questionnaire and Bibliography.
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Financial Analysis of Reliance Industries Limited
In FY-11, RIL took advantage of low interest rates and raised capital at historically low costs. During the year, RIL raised $ 1 billion through external commercial borrowings at competitive rates and issued Rs. 500
crore of debentures.
Additionally, Reliance Holding USA, Inc., a wholly owned subsidiary of RIL raised $ 1.5 billion through the issuance of 10 and 30 year senior notes. The notes were tightly priced as a result of significant investor demand and allowed Reliance to considerably extend its maturity profile. The offering was India's largest corporate bond issuance and the first US Dollar 30 year bond issuance out of Asia since 2003, showcasing the creditworthiness of Reliance and its access to public capital markets. Read Annual Reports to write MBA Project Reports.
Financial Overview of Reliance Industries Limited
RIL continuously undertakes liability management to reduce cost of debt and to diversify its liability mix.
As on March 31, 2011, RIL's total long-term debt was at Rs. 55,092 crore ($ 12.4 billion). RIL's cash and cash equivalent stood at Rs. 42,393 crore ($ 9.5 billion) as at March 31, 2011. RIL's net debt was Rs. 25,004 crore
which is the equivalent of 0.60 times of its FY-11 EBITDA. The increase in cash was primarily driven by the receipt of Rs. 9,004 crore ($ 2.0 billion), part of the total consideration of $ 7.2 billion to be received
from BP Exploration (Alpha) Limited. RIL continued to efficiently manage its short-term resources by placing them in very liquid, highly rated securities such as bank fixed deposits, CDs, Government securities and
bonds.
RIL's short-term debt of Rs. 12,305 crore ($ 2.8 billion) is adequately covered by its net working capital.
As at the end of the fiscal year, RIL's total debt was Rs. 67,397 crore. 85% of long-term debt and almost all of RIL's short-term debt was denominated in foreign currencies. Read lots of Finance Articles to write Non-Plagiarized Dissertations.
RIL's long-term debt to equity ratio was at 0.37. RIL's gross debt to equity ratio, including long-term and short-term debt as on March 31, 2011, was at 0.44, while the net debt to equity ratio was at 0.17. As on
March 31, 2011, RIL's net gearing was 13.5 %. The above content taken from annual reports will help you to write Project Reports on Reliance Industries Limited
RIL's superior credit profile is reflected in its lending relationships, with over 100 banks and financial institutions having commitments to RIL.
Financial Outlook of Reliance Industries Limited
RIL's financial discipline and prudence is also reflected in the strong credit ratings ascribed by rating agencies. Its continued balance sheet strengthening in FY-11 resulted in Moody's, Fitch and S&P recently upgrading their outlook for the Company. Moody's has rated RIL's international debt at investment grade Baa2, with an upgraded outlook from stable' to positive'. S&P has rated RIL's international debt as BBB, which is a notch above India's sovereign rating. Always bear in mind that MBA Project Report on Finance, is difficult to write but not impossible.
S&P recently upgraded its outlook on RIL from stable' to positive'. RIL's long-term debt is rated AAA by CRISIL and Ind AAA' by Fitch, the highest rating awarded by both these agencies. RIL's short-term debt is rated P1+
by CRISIL, the highest credit rating assigned in this category. Custom MBA Project Reports and No Plagiarism Dissertations required reading of financial statements.
Keep reading finance articles, to write Custom Dissertations on Finance Topics
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