MAGAZINE

of excise) of Rs. 80,684 crores as against
Rs. 67,778 crores for the corresponding
quarter last year.
Consolidated Profit before tax (before
exceptional item) for the quarter was Rs.
5,957 crores, against Rs. 2,932 crores for
the corresponding quarter last year
The price to earnings ratio (PE Ratio) is
the measure of the share price relative to
the annual net income earned by the firm
per share. PE ratio shows current investor
demand for a company share. A high PE
ratio generally indicates increased demand
because investors anticipate earnings
growth in the future. The PE ratio has
units of years, which can be interpreted as
the number of years of earnings to pay
back purchase price.
PE ratio is often referred to as the
"multiple" because it demonstrates how
much an investor is willing to pay for one
dollar of earnings. PE Ratios are
sometimes calculated using estimations of
next year's earnings per share in the
denominator. When this happens, it is
usually noted.
Annual Results Financial Year 2015-16
Consolidated Net Revenue grows to Rs. 2,
75,561 crores in FY 2015-16
Consolidated PAT stood at Rs. 11,024
crores in FY 2015-16
Consolidated Financial Results for the
Quarter and Year ended March 31, 2016
For the quarter ended March 31, 2016, Tata
Motors reported consolidated revenues (net
Tata Motors Financial Results for the
Quarter and Year ended March 31, 2016
The revenues (net of excise) for the year
ended March 31, 2016, stood at Rs. 42,370
crores as compared to Rs. 36,302 crores in
the corresponding period last year.
Operating profit (EBITDA) for the year
stood at Rs. 2,740 crores with operating
margin at 6.5 %. Profit before and after tax
for the year ended March 31, 2016 was Rs.
150 crores and Rs. 234 crores, respectively,
against the Loss before and after tax of Rs.
3,975 crores and Rs. 4,739 crores,
respectively, for the corresponding period
last year.
Performance Ratios:
2016 2015
ROA 0.46 -9.51
ROE 1.26 -27.88
ROCE 4.40 -6.73
Return on Capital Employed (ROCE):
ROCE is a measure of how effectively a
company is able to deploy its capital base
(debt and equity) to generate returns for the
capital providers. A company which can
generate higher return from a lower capital