GL Bajaj Institute of Management & Research. PGDM Institute, Greater Noida organized Workshop on “Financial Modelling using Excel” on November 5 & 6, 2020 for the Finance Specialization students of PGDM Batch 2019-21 under the patronage of Mr. Pankaj Agarwal, Vice Chairman, GL Bajaj Educational Institutions. The speaker of the session was Mr. Kapil Kalra, Vice President, Corporate Finance, Sky Power Global.
The session started with an invocation to Goddess Saraswati. Dr. Shuchita Singh, Associate Professor, GLBIMR welcomed Mr. Kapil Kalra who shared his valuable insights with the students.
On Day-1 of the workshop, Mr. Kapil Kalra explained about input sheets, financial computation sheets, output sheets and ratio sheets of a financial model. He further discussed the capital budgeting decisions required to make a financial model. He divided the input sheet data under two headings - Construction stage and Operational stage and explained the ‘Concept of Circularity’ during Construction stage. He further explained the division of funding of the project between two sources - Debt and Equity. He also explained to the students about how to calculate the Commencement of Operations Date.
On Day-2, he reviewed the models prepared by the students on day-1. He explained the students that in the input sheet, capacity utilization and tariff were taken whereas in the financial computation sheet, major revenue and cost items were identified. He also discussed financial ratios such as DSCR and Current Ratio and explained how financial outputs like EBIDTA, PBT and PAT were calculated. He elaborated how projection was done by calculating Internal Rate of Return (IRR) and Net Present Value (NPV) of the project. He also discussed how scenario analysis was done through Scenario Manager in Excel.
Total 62 students participated in the workshop which provided them hands-on training in Excel to use financial statements for future projections of the firm.