Project On:

MAHINDRA &
MAHINDRA
Submitted To:
Professor Mrs Vani Kamath
Submitted By:

Kavita Bagayatkar
MBA - IB
Roll No:09
Anand Mahindra to Co-Chairman
 CORE PURPOSE

'We don't have a group-wide mission statement. Our Core Purpose is what
makes all of us want to get up and come to work in the morning.'

- Anand G. Mahindra

Indians are second to none in the world. The Founders of our nation and of
our Company passionately believed this. We will prove them right by
believing in ourselves and by making Mahindra & Mahindra Limited known
world-wide for the quality of its products and services.
 CORE VALUES

Our Core Values are influenced by our past, tempered by our present, and will
shape our future. They are an amalgam of what we have been, what we are and
what we want to be.

Good Corporate Citizenship

As in the past, we will continue to seek long term success, which is in alignment
with our country's needs. We will do this without compromising ethical business
standards.

Professionalism

We have always sought the best people for the job and given them the freedom
and the opportunity to grow. We will continue to do so. We will support innovation
and well reasoned risk taking, but will demand performance.
 Customer First

We exist and prosper only because of the customer. We will respond to the
changing needs and expectations of our customers speedily, courteously and
effectively.

Quality Focus
Quality is the key to delivering value for money to our customers. We will make
quality a driving value in our work, in our products and in our interactions with
others. We will do it 'First Time Right'. Quality is the key to delivering value for
money to our

Dignity of the Individual

We will value individual dignity, uphold the right to express disagreement and
respect the time and efforts of others. Through our actions, we will nurture fairness,
trust and transparency.
These values are the compass that will guide our actions, both personal and
corporate.
Mahindra Group
Achieving New Milestones
Globalization : Present across Five
Continents
Mahindra Group : A US$ 6.7 B Indian
conglomerate with interests across the economic
spectrum
• Automotive Sector
• Infrastructure Development sector
• Systems & Technologies Sector
• IT Sector
• Farm Equipment Sector
• After Market Sector
• Financial Services Sector
• Trade, Retail & Logistics Sector
 BOARD OF DIRECTORS

NAME DESIGNATION

1. Mr. Keshub Mahindra Chairman

2. Mr. Anand G. Mahindra Vice Chairman and Managing

Director

3. Deepak Shantilal Parekh Director

4. Nadir Burjorji Godrej Director

5. M. M. Murugappan Director

6. Bharat Narotam Doshi Executive Director & Group Chief

Financial Officer (Group CFO)

7. Arun Kumar Nanda Executive Director & Secretary

8. Narayanan Vaghul Director

9. Dr. Ashok Sekhar Ganguly Director

10. R. K. Kulkarni Director

11. Anupam Pradip Puri Director

12. Thomas Mathew T. Nominee of LIC

Financial Statements
Balance Sheet as on March 31, 2006,
2007 and 2008
 Rupees in crores
Schedule 31-3-2006 31-3-2007 31-3-2008
SOURCES OF FUNDS
SHAREHOLDERS’ FUNDS
Capital I 233.4 238.03 239.07
Employee Stock Options Outstanding 1.58 3.18 4
Reserves and Surplus II 2,673.88 3,311.70 4,107.00
2,908.87 3,552.91 4,350.07
LOAN FUNDS
(a) Secured Loans III A 216.68 106.65 617.26
(b) Unsecured Loans III B 666.71 1,529.35 1,969.80
883.38 1,636.00 2,587.06
DEFERRED TAX LIABILITY (Net) 146.75 19.79 56.72
Total 3,939.00 5,208.70 6,993.85

APPLICATION OF FUNDS :
FIXED ASSETS
Gross Block 2,885.52 3,229.69 3,656.13
Less : Depreciation 1,510.27 1,639.12 1,841.68
Net Block IV 1,375.26 1,590.57 1,814.45
CAPITAL WORK-IN-PROGRESS 179.19 280.6 546.45
1,554.44 1,871.17 2,360.90
INVESTMENTS V 1,669.09 2,237.46 4,215.06
CURRENT ASSETS, LOANS AND ADVANCES
(a) Inventories VI A 878.74 878.48 1,084.11
(b) Sundry Debtors VI B 637.97 700.89 1,004.88
(c) Cash and Bank Balances VI C 730.3 1,326.07 861.23
(d) Other Current Assets VI D 3.14 3.31 13.27
(e) Loans and Advances VI E 498.9 839.42 691.88
2,749.06 3,748.17 3,655.37
CURRENT LIABILITIES AND PROVISIONS
(a) Current Liabilities VII A 1,520.84 1,950.22 2,307.55
(b) Provisions VII B 530.8 715.43 943.46
2,051.64 2,665.65 3,251.01
NET CURRENT ASSETS 697.41 1,082.52 404.36
MISCELLANEOUS EXPENDITURE (TO THE EXTENT NOT
WRITTEN OFF OR ADJUSTED) VIII 18.05 17.55 13.53
Total 3,939.00 5,208.70 6,993.85
NOTES ON ACCOUNTS XIV
Profit and Loss Account
for the Year ended
March 31, 2006, 2007 and
2008
 Rupees in crores
Schedule 31-3-2006 31-3-2007 31-3-2008
SALES - Traded and Manufactured Goods 9,113.66 10,940.50 12,371.03
Less : Excise Duty on Sales (Net) 1,124.90 1,336.78 1,566.39
Net Sales 7,988.77 9,603.72 10,804.64
Income from Operations and Other Income IX 337.77 617.52 867
Net Income 8,326.54 10,221.24 11,671.64
EXPENDITURE :
Raw Materials, Finished and Semi-finished Products X 5,713.76 6,827.93 7,725.91
Excise Duty 11.61 -2.14 18.18
Personnel XI 551.78 666.15 852.45
Interest, Commitment and Finance Charges (Net) XII -18.4 -67.45 24.24
Depreciation/Amortisation 200 209.59 238.66
Other Expenses XIII 1,004.03 1,318.57 1,608.96
7,462.79 8,952.65 10,468.40
Less : Cost of Manufactured Products Capitalised 26.53 47.1 46.49
7,436.26 8,905.55 10,421.91
Profit before provision for contingencies, exceptional items and taxation 890.28 1,315.69 1,249.73
Less : Provision for contingencies 78.45 — 8.16
Profit before exceptional items and taxation 889.49 1,315.69 1,241.57
Add : Exceptional Items 210.01 121.99 165.2
Profit before taxation 1,099.50 1,437.68 1,406.77
Less : Provision for Tax - Current Tax (including Fringe Benefit Tax) 285.4 365.73 278.75
-Deferred Tax (Net) -43 -15.63 24.65
Profit for the year before prior period adjustments 857.1 1,087.58 1,103.37
Prior Period Adjustment (Net of Tax) — 19.19 —
Profit for the year 857.1 1,068.39 1,103.37
Balance of Profit for earlier years 996.4 1,475.75 2,125.08
(Less)/Add : Transfer (to)/from Debenture Redemption Reserve 43.39 15.67 -16.88
996.83 1,491.42 2,108.20
Total of Profit and Loss Account balances shown above 1,853.94 2,559.81 3,211.57

Deduct : General Reserve 100 110 115

: Interim Dividend Paid — 184.03 —
: Income Tax on Interim Dividend Paid — 25.81 —
: Proposed Dividend 243.97 98.2 282.61
: Income Tax on Proposed Dividend 34.22 16.69 38.48
Balance for 2007-2008 and earlier years carried to Balance Sheet 1,475.74 2,125.08 2,775.48

EARNINGS PER SHARE

(Face value Rs. 10/- per share) (Rupees)
Basic 38.07 45.15 46.24
Diluted 34.93 40.94 41.52
NOTES ON ACCOUNTS XIV
COMPARISON YEAR 2006-07 v/s YEAR 2007-08 v/s
-PARAMETER 2005-06 2006-07

ANNUAL SALES 20.22 % 12.51 %

GROWTH IN %

ANNUAL INCOME 24.62 % 3.28 %

NET PROFIT

INCREASE IN 85.28 % 58.13 %

SOURCE OF FUNDS
(LOANS)

INCREASE IN NET 55.23 % (-)62.66 %

ASSET
 MAHINDRA FOUNDATION

SOCIAL ACTIVITIES

The Mahindra Foundation has been set up with a specific objective: to

provide medical relief to the poor and needy sections of society. The
foundation has helped patients suffering from cancer, heart ailments as
well as burn victims. It has also been very active during national
calamities and disasters and has helped contribute and mobilize
resources. The foundation also extends its support to academia and
other professionals and sportsmen by helping them attend workshops
and conferences overseas.
The Mahindra Group has always been very responsive to any major
disaster in India. Whether it's been the tsunami or the Gujarat
earthquake, the Mahindra family has got together and always provided
support either by way of financial help or by way of sending vehicles,
supplying material or manpower.
AWARDS & RECOGNITION
• The Mahindra Group was honoured with nine communication awards at the
48th annual ABCI (Association of Business Communicators of India) awards
nite in Mumbai on Friday, 7th November 2008. These are among the most
prestigious communication awards in India. ABCI is a 52 year old
organization committed to the cause of Business Communications. Mahindra
won in the following categories - External Magazine (Hello), Indian
Language Publications (Ingenious), Newsletter Design (Mahindra
Newsletter), Brochure Design (Systech Brochure Design), Photo Features
(Refresh), Social Responsibility Communication (Lifeline Express), E-Zine
(Mahindra Spectrum), Web Communication (Monsoon Special on Intranet &
One Mahindra) and Corporate Website (Nanhi Kali).
AWARDS & RECOGNITION

Mr. Anand Mahindra received the CEO of the Year award at the Asia Pacific HRM
Congress held at Land's End, Bandra, Mumbai on February 13, 2008. Mr. Mahindra was
felicitated for his "outstanding and unparalleled contribution for providing strong,
efficient, ethical and visionary leadership“.
On January 19, Mr. Anand Mahindra, Vice Chairman and Managing Director of
Mahindra & Mahindra, was honoured with Business India's Businessman of the Year
2007. Now in its 26th year, the award was instituted by Business India in 1982 to
recognize that one outstanding individual in the business community who is a role
model for our times.
Thank you