Some things are best left unsaid or are they?
Some things are best left unsaid or are they?
UTVi has made a successful attempt at unlocking the secrets of some of the most renowned companies in our country through their successful show- India’s Best Kept Secrets. Through a series of investigations, UTVi’s journalists brought to our notice, information about the biggest companies in India which are unlisted and belong to the private domain. India’s best kept series aimed at uncovering some interesting and well kept secrets about these companies. It focused on their revenues, profitability and uncovered a few other lesser known facts about the company.
The first company in this series, that UTVi uncovered, is from the Tata stable. Not only is this company probably the most profitable unlisted company in India, but its EPS is possibly higher than any other company listed on BSE. In the financial year 2007, with a total Income of over 3800 crores, net Profit above 3300 crores, Earnings per Share of over Rs. 82,000, and accumulated Reserves to the tune of 12,000 crores, this Tata company could be the most highly valued unlisted company in India.
Next on the cards was one of India’s biggest advertising agencies – ‘Lowe’ or ‘Lintas India’. Lintas India, closed FY07 with revenues of Rs 165 crore, a 12.2% increase year-on-year. Profits were up marginally at Rs 31.4 crore. The EPS – a whopping Rs 6,547 and the company’s reserves and cash surplus stand at Rs 175 crore. The agency attributes the profits largely to an increase in commission and fees earned and cost control.
Moving on to another powerful media hub UTVi dug into the records of O & M – Ogilvy & Mather the agency behind the Hutch ads, who conceptualized the cute pug who follows us around. Good creative work has not only got O&M the reputation of being the most creative, it has brought in profits as well. O&M closed financial year 2007 with revenue of Rs 228 crore, a 25 % jump over FY06. While profits were from existing clients like Asian Paints, Castrol/BP, Vodafone, Fevicol and Cadbury, O&M also added an impressive list of new clients in 2007.
India’s Best Kept Secrets also focused on a brand that figures in the top five list of any global marketing survey-PepsiCo. Its parent has turnover and profitability in billions of dollars but the Indian subsidiary has a long way to go before matching these numbers. PepsiCo reported worldwide revenue of $39 billion and a net profit of over $5 billion in FY07. While Pepsi India may not have much to boast about its numbers, the company can still possibly take heart from the fact that it is perceived to be doing better than its biggest competitor Coca Cola.
After PepsiCo, UTVi delved into the records of Godrej & Boyce which has a strong balance sheet with reserves of Rs 550 crore, and investments with a market value of over Rs 4,500 crore. Of this, Rs 3,000 crore is the current worth of its stake in its listed subsidiary – Godrej Industries. It has over a dozen unlisted subsidiaries where there could be a potential for unlocking value.
After hard core business next on the list for UTVi was India’s rich political parties. In this special UTVi looked at the Congress party, BJP and RJD among others. The Congress party- The Nehru-Gandhi family-ruled party has ruled the country for nearly 50 of the last 61 years. The party now runs a political coalition that is governing a trillion dollar economy. Not surprisingly, then, the Congress Party has seen a rise in its income and assets too. While the rise appears impressive in percentage terms, the actual figures appear timid for a organization that has 153 MPs in Lok Sabha and 71 in Rajya Sabha.
Continuing this special series on India’s richest political parties, UTVi looked at the accounts books of the main opposition party – Bharatiya Janata Party (BJP). Today, there are 129 BJP MPs in Lok Sabha and 53 in Rajya Sabha. BJP also rules in 10 states. Political success helped BJP increase its income from 96 crores to 146 crores. The top contributors to the party in 2004 included quite a few corporate leaders- Bajaj Auto, Videocon and Jindal Steel and Power.
Next on the list was the Rashtriya Janata Dal (RJD). The party having 24 MPs in Lok Sabha and 4 in the Rajya Sabha was founded in 1997 by Laloo Prasad Yadav. Looking at the party’s financials, we find surprisingly that RJDs income appears to be modest. In 2006-07, the income was Rs 4.4 crore. The party claims, most of the income comes in the form of contributions from supporters and party members.
UTVi also examined the income of a party that bailed out the UPA government in the recent trust vote, and continues to be a strong political force in Uttar Pradesh- Samajawadi Party. The party’s income has gone up close to six times in five years. Coincidentally, it was during this period, 2003 to 2007, that Mulayam Singh Yadav was the Chief Minister of Uttar Pradesh. Income has been generated mostly by contributions from supporters. Those who contributed more than Rs 1 crore each were district party presidents of Etah, Deoria, Gonda, Auriya and Manipuri.
Last in the political party series was the Bhaujan Samaj Party’s accounts. Founded by Kanshi Ram in 1984, it was Mayawati who led BSP to success in other states after his demise in 2006. BSP has 17 MPs in Lok Sabha and six MPs in Rajya Sabha. Mayawati is also one of the highest tax-paying political leaders of the country. The party’s income has trebled in the last five years from 11 crs to 37 crs.
Known for their innovative programming and clutter breaking shows ‘Best Kept Secrets’ exemplifies UTVi’s commitment to bring to their viewers more that what meets the eye… We Mean Business.
