This document is an accounting assignment report for Nykaa, an Indian e-commerce company that sells beauty products online and offline. It discusses Nykaa's financial performance in 2020-21 including increases in inventory and decreases in trade receivables compared to the previous year. Key financial figures like basic EPS, cash flow statements, and various financial ratios comparing 2021 to 2020 are also presented and analyzed in the report.
This document is an accounting assignment report for Nykaa, an Indian e-commerce company that sells beauty products online and offline. It discusses Nykaa's financial performance in 2020-21 including increases in inventory and decreases in trade receivables compared to the previous year. Key financial figures like basic EPS, cash flow statements, and various financial ratios comparing 2021 to 2020 are also presented and analyzed in the report.
This document is an accounting assignment report for Nykaa, an Indian e-commerce company that sells beauty products online and offline. It discusses Nykaa's financial performance in 2020-21 including increases in inventory and decreases in trade receivables compared to the previous year. Key financial figures like basic EPS, cash flow statements, and various financial ratios comparing 2021 to 2020 are also presented and analyzed in the report.
This document is an accounting assignment report for Nykaa, an Indian e-commerce company that sells beauty products online and offline. It discusses Nykaa's financial performance in 2020-21 including increases in inventory and decreases in trade receivables compared to the previous year. Key financial figures like basic EPS, cash flow statements, and various financial ratios comparing 2021 to 2020 are also presented and analyzed in the report.
= 95.96 There are no diluted equity shares for the FY”2020-21
A5) No segment analysis.
A6) The report helps shareholders understand the company’s finances, capacity to expand and performance within the market.
A7) Yes, the report provides useful information that would enable investors and analysts to understand the long term direction of their investments.
A8) Good corporate governance helps companies build trust with investors and the community.
A9) Additional non-financial information is not included within the company’s report viz corporate governance. Analysis reports, chairman’s statement etc.
A10) The company follows the indirect method of reporting net cash flow from operating activities.
A11) Cash generated from operating activities: 14,558.81 lakhs
Cash used in investing activities: 1,599.26 Net cash flow used in financing activities: 10,655.56 Increase in cash or cash equivalents: 2303.99
A12) 14,558.81 – 1599.26 – 10,665.56 = 2303.99
Increase in cash and cash equivalent in beginning of the year = 521.94 Cash and cash equivalents at the end of the year= 2825.93 Cash and cash equivalents ( balance sheet under current assets)= 2825.93 - 521.94 = 2303.99 Hence verified, they are same
A13) In the financial statement provided by Nykaa, non-cash items in the net cash flow from operating activities like employee benefits expense, depreciation and amortization expense are mentioned. Depreciation and Amortization expense - Rs 3242.63 lakhs. We add it to the net profit.
A14) Depreciation shows the reduction in the value of the asset and is treated as an expense. It does not lead to any outflow of the cash as it is a non-cash transaction, so it should be added to the net profit.
A15) Interest income= 140.43
Interest received= 89.49 +7.80 Difference= 43.14
Interest income also includes miscellaneous income which is why there is a difference.
A16) Not applicable
A17) Interest expense includes interest payable and interest paid and hence they aren't equal.
A18) 53651.01 – 48205.10 = 5445.91
47920.58 – 51131.57 = - 3210.99 Working capital = 2234.92
A19) Cash Flow from operating activities 2020= 6206.83
Cash flow from operating activities 2021= 14558.81 Profit- 9128.25
A20) Formula = Net cash flow from operating – net cash flow from investing
The company has a cash flow of Rs 12959.55 which means positive free cash flow.
A21)
A22)
RATIO CALCULATION
2021 2020
Debt-to-Equity Ratio 7.488 8.17
Total Liabilities / Average Total Equity
Current Ratio - 1.11 0.93
Current Assets / Current Liabilities Quick Ratio - 0.37 0.35 (Current Assets – Inventories) / Current Liabilities
