For the year ended March 31,
| Schedule | 2010 | 2009 | |
| CASH FLOWS FROM OPERATING ACTIVITIES | |||
| Net profit before tax, minority interest and exceptional item | 7,899 | 6,907 | |
| Adjustments to reconcile net profit before tax to cash provided by operating activities | |||
| (Profit) / loss on sale of fixed assets | (2) | – | |
| Provision for investments | (9) | – | |
| Depreciation | 905 | 761 | |
| Interest and dividend income | (881) | (876) | |
| Effect of exchange differences on translation of foreign currency cash and cash equivalents | 31 | (76) | |
| Effect of exchange differences on translation of subsidiaries | 54 | (29) | |
| Changes in current assets and liabilities | |||
| Sundry debtors | 16 | 194 | (375) |
| Loans and advances | 17 | (438) | (514) |
| Current liabilities and provisions | 18 | 204 | 429 |
| 7,957 | 6,227 | ||
| Income taxes paid | 19 | (1,753) | (902) |
| NET CASH GENERATED BY OPERATING ACTIVITIES | 6,204 | 5,325 | |
| CASH FLOWS FROM INVESTING ACTIVITIES | |||
| Purchases of fixed assets and change in capital work-in-progress | 20 | (675) | (1,327) |
| Payment for acquisition of business, net of cash acquired | (173) | (10) | |
| Payment for acquisition of shared service center | – | (6) | |
| Investments in / (disposal) of securities | 21 | (3,698) | 72 |
| Proceeds from disposal of fixed assets | 2 | 2 | |
| Interest and dividend received | 22 | 871 | 1,056 |
| Cash flow from investing activities before exceptional item | (3,673) | (213) | |
| Proceeds on sale of long-term investments, net of taxes (refer to Note 24.2.22) | 53 | – | |
| NET CASH USED IN INVESTING ACTIVITIES | (3,620) | (213) | |
| CASH FLOWS FROM FINANCING ACTIVITIES | |||
| Proceeds from issuance of share capital on exercise of stock options | 89 | 64 | |
| Dividends paid including residual dividend | (1,346) | (2,131) | |
| Dividend tax paid | (228) | (363) | |
| NET CASH USED IN FINANCING ACTIVITIES | (1,485) | (2,430) | |
| Effect of exchange differences on translation of foreign currency cash and cash equivalents | (31) | 76 | |
| NET INCREASE IN CASH AND CASH EQUIVALENTS | 1,068 | 2,758 | |
| CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE YEAR | 10,993 | 8,235 | |
| Add : Opening balance of cash and cash equivalents arising on consolidation of controlled trusts | 50 | – | |
| CASH AND CASH EQUIVALENTS AT THE END OF THE YEAR | 23 | 12,111 | 10,993 |
| SIGNIFICANT ACCOUNTING POLICIES AND NOTES ON ACCOUNTS | 24 |
As per our report attached.
for B S R & Co.
Chartered Accountants
| Natrajan Ramkrishna Partner Membership no. : 32815 |
N. R. Narayana Murthy Chairman and Chief Mentor |
S. Gopalakrishnan Chief Executive Officer and Managing Director |
S. D. Shibulal Chief Operating Officer and Director |
Deepak M. Satwalekar Director |
| Prof. Marti G. Subrahmanyam Director |
Claude Smadja Director |
Dr. Omkar Goswami Director |
Rama Bijapurkar Director |
|
| Sridar A. Iyengar Director |
David L. Boyles Director |
Prof. Jeffrey S. Lehman Director |
K. V. Kamath Director |
|
| K. Dinesh Director |
T. V. Mohandas Pai Director |
Srinath Batni Director |
V. Balakrishnan Chief Financial Officer |
|
| Bangalore April 13, 2010 |
K. Parvatheesam Company Secretary |