Assessment of the Financial Position and Performance of the Chosen Companies Operating in the Telecommunication Industry in India

Dharati Darji

Master's thesis

Abstract:

Financial performance analysis involves the analysis and evaluation of financial statements to give an entire summary of the company’s profitability and financial stability. The financial analyst program teaches critical financial analysis methodologies. Reliance Jio is a telecommunication company which under the Reliance industries which has headquartered in Mumbai, Maharashtra, India, with the subsidiary of Jio Platforms. It runs a nationwide LTE network that serves all 22 telecom circles. Depending on the country of operation, Airtel offers 2G, 4G LTE, 4G+ mobile networks, fixed line broadband, and voice services. Bharti Airtel is prominent leader in the telecommunication industry which reached 89,473 crores INR (US$13 billion, 2020) and named as the most valued brand in India. The thesis performed the financial analysis of two valued telecommunication Reliance Jio and Bharti Airtel that support the investors, financial analysts, and shareholder to invest money in the company. Well, with the current analysis of the data, the thesis developed. Further, the thesis followed the past, present results and use the figures, statistics to make thesis better. The motive of the thesis is to analyses the financial situation of both the company with the help of financial records i.e., cash flow statements, income statements and balance sheet. Thus, in the thesis evaluate the annual reports and relevant data from companies’ websites of last few years which help in understanding situation of the companies. The data used to measure the financial performance of the company with the help of ratio analysis, trends, etc. Lastly, the thesis evaluated the financial performance of the Reliance Jio and Bharti Airtel that analyses the core parts of the finance and analysts use those with the view to invest resources in both the companies.

Keywords

Financial Statements, Financial Position, Financial Performance, Balance Sheet, Assets, Liabilities, Equity, Income Statement, Expenses, Revenues, Profit, Financial Analysis, Telecommunication Industry

Language used: English

Date on which the thesis was submitted / produced: 31. 3. 2021

Thesis defence

• Supervisor: Ing. Enikö Lörinczová, Ph.D.

Czech University of Life Sciences Prague

Faculty of Economics and Management

Master programme / field:
Economics Policy and Administration / Business Administration