[Forked off from this thread] You asked for it Sir. Here they are:
BMTC is a Statutory Corporation set up the Companies Act for providing an affordable socio-economic transport to the commuters of namma Bengaluru in - Earlier it was BTS - a separate division of KSRTC for city transport.
Statement showing working results for 3 years of BMTC - a statutory corporation 2005-06 to 2007-08 P & L Accounts finalised and certified under the Companies Act, 1956 as amended from time to time:
Total of Operating (running buses) and Non-operating Revenue (Advts etc.)
(a) Revenue 2005-06 Rs.703.40 croes, 2006-07 Rs.887.58 crores; 2007-08 Rs.939.80 crores
(b) Expr: Rs.588.52, 663.26, 799.57 crores
(c) Net profit(+)/Loss(-) : Rs.114.88, Rs.224.32 and Rs.140.23 crores (No loss - very good)
But Percentage of return on capital employed : 28.07, 43.98, 22.29 crores
Why there is a drastic fall in profit percentage during 2007-08 even though the capital employed had increased substantially is a matter to be commented upon by all those concerned.
Pray, kindly allow me to make my comments after others have commented. (Please note: These are official figures / I am not very good at accounts
- Vasanth Mysoremath (:=(
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You win sir
You have all the stats, and the full picture VKMM sir. You know it all, and have everything figured out. We look forward to learning more on this forum. You are the winner on this BMTC post.
Let us dig deeper now - will be good to know more about BMTC numbers.
Let us dig more, and lay BMTC operations bare. That will be fun, more fun than opinionated perceptions !!
My comments - on VKMM's BMTC numbers
VKMM sir,
You can see more details here
http://www.bmtcinfo.com/english/ach.htm
a. In 2007-2008 government reimbursements fell by about Rs 57 crores vs. 2006-2007. That is about 2/3rd of the Rs.84 crores profit fall seen between those 2 years.
b. Volvos are brand new and probably depreciated only to the tune of 20-30%. The other buses would probably be depreciated (in an accounting sense) to the tune of 75-80%. Volvos are more expensive. Adding 300 buses (which will also last 10 years), suddenly will increase capital employed to the tune of RS.225 crores.
c. Might be instructive to compare the 9mths ending Jan '09 and Jan' 08 as well. Gross receipts were up 15.8% and cost of operations were up 15.7%. Nothing to indicate that Volvos are a parasite.
d. BMTC has about 5400 buses of which some 300 are Volvos. It has 5100 ordinary+Suvarna buses. BEST http://bestundertaking.com/org_info.asp has about 3400 buses carrying 45 lakh passengers on just 335 routes. It also has differentiated services (it had aircon buses as far back as 1996 - from Andheri Stn to WTC and Ghatkopar to WTC). You will find a BEST bus covering every nook and corner of Bombay. BMTC has a lot more potential with 5100 buses. (I have harped on this many times - e.g. not many routes cover 11th Main in Jayanagar or 9th cross / Ranga Shankara Road in JP Nagar).
Hope this helps.
Srivathsa
Drive safe. It is not just the car maker which can recall its product.
Prajegala Aasheervaada... more figures
SB Sir ThanQ - like in Shakesperean Drama, I take a 'half bow and recede to the shadows only to appear...'
Asking for more figures? (In lighter vein, our Prajegalu are more interested in stats/FIGURES) Here they are:
Year-wise break up of operating/non-operating revenues/expr/surplus or deficit:
last 3 years : 2005-06, 2006-07, 2007-08 (in crores)
Op. revenue:
1. (a) Rev. 623.34, 707.43, 801.48
(b) Expr: 580.24 649.54 782.85
(c) Surplus/deficit(-) 43.10 57.89 18.63
Non-op. revenue: (a) 80-06 180.15 138.32
(b) 8.18 13.72 16.72
(c) 71.78 166.43 121.60
Pl.see earlier post for total effect of these transactions.
YEJAMAANRE, subsidy / grants etc. : total grant recd. from Central Government stands at Rs.1076.01 crores, State Grant: 461.15 and State SUBSIDY Rs.5223.30 crores (vow!!).
Subsidy for what?! May I have the opportunity of reserving my comments.
-Vasanth Mysoremath
In lakhs
VKMM sir,
That is in lakh rupees.
Fundamentally the figures do not prove anything conclusively. An RTI to BMTC might help.
I think many of us here do not agree with your fundamental premise that Volvos are the reasons for the ills of BMTC blue buses. They were just as good/bad even before Volvos came in by the 100s. Nothing stops BMTC from cleaning buses properly or have functioning doors. etc
BEST - 335 routes - 3500 buses - 45 lakh passengers - more than 1200 passengers/bus/day
BMTC - 2000 routes, 5100 buses - 35 lakh passengers - 700 passengers/bus/day.
BEST has some double deckers/BMTC has as many trailers - give and take. Why then does BEST do a much better job. That is a better question to ask, no?
Srivathsa
Drive safe. It is not just the car maker which can recall its product.
BEST Vs BMTC is wrong comparison
Yejamaanre,
For your personal satisfaction for fundamentally proving something about figures pertaining to BMTC accounts, please visit the following site:
http://www.cag.gov.in without whose authenticated/certified accounts, under Section 619(4) of the Companies Act, BMTC cannot hold its Annual General Meetings year after year.
Fundamentally comparisons also does not prove anything since not all transport systems have compatible fundamentals.
- Vasanth Mysoremath
Some interesting BMTC numbers....
....from the CAG Report noted by VKM in the previous post. Good find sir!
Here is the link to the complete PDF document. Annex Pg 153 (Document Page 46).
As a side note, go read other reports on the status of our GOK companies. It is an eye opener - a lot of them don't even seem to think Accounting Standards apply to them!.
(-)166.90
(-6.27)
(6.71)
Ravi
Notice huge difference of Profit per km - P is reduced to 50%
Ravi Sir,
I just did not want to cram Prajegalu with all these details and wanted to keep them as the last nail. No probs; now that you have brought them on to the spectrum of losses it is worthwhile to gloss over the stats/figures.
One glaring alarming figure is - 50% Decline in earning Profit earning per km during 2007-08 albeit provisional. Final figure may be even less. This is despite increase in capital investment, increase in number of buses/schedules etc.
What more can be said about this? Will this result in making BMTC becoming a sick unit ultimately?
Stratified BMTC service - Making profits with deficit services?
-Vasanth Mysoremath
let's not cherry pick data
Dear Vasanth sir,
Let us not cherry pick data. You will notice that (1) profit /loss per kilometer is comparable tpo the 2005/2006 number. Profit loss is severely dependent on items such as capex. If the BMTC spends money on buying buses, it can easily contribute to a lower profit. You are pointing to a trend going in the opposite direction and linking it to your favorite reason.
I am not arguing against you. You may be right or you may be wrong, but the argument here is not convincing. A simple change in the price of diesel could hurt profits. I don't have the numbers or history to know what explains these trends, but let us either do a full unbiased analysis or in the absence of that avoid speculating on probable reasons.
From the figured you provided earlier, non operating revenue appears to have dropped about 24%. Could that be due to stratified service?
Sorry if I come across as rude, that is not the intention. I am a volvo convert who loves the fact that (a) I don't take 1000 kgs of metal with me to work and (b) The bus I take is well occupied both to and fro.
Blow hot ... blow cold ?
Sanjay avare,
Before you rise further objections on cherry picking or whatever, please visit www.cag.gov.in, (Ravi has done it) study the accounts compiled by BMTC read with the Report of the Chartered Accountants, finally test checked and certified by the Statutory Auditor i.e., the Comptroller and Auditor General of India who is the final authority to safeguard the interests of the public moneys being invested in commercial undertakings in the public sector.
While setting up public sector companies/corporations, studies are conducted for the need, requirement or purposes, projected investment needs from public money, viability factors and variables, competitions, private players around etc., and then decide. Whether it will be in the interest of public service that a company/corporation has to be set up for meeting the socio economic needs of the people will be the main factor for prudent investment.
- Earning Non-op revenue is secondary and is not connected with the socio economic objectives of BMTC. It is only incidental - if you examine the variables that go into this kind of revenue, you will understand the difference.
- JNNURM's central government initiative in transport sector for providing better transport system for the aam aadmi is imprudently being invested in creating monstro-city bus bays (only in the ground floor/first floor in some cases) and the rest of the major portion of money is for creating glitzy malls without giving proper value added service for the commuter at the grassroots level. These buildings are nothing but CO2 spewing buildings and are a disservice to the environment and ecology. As enunciated in the JNNURM conditions, public are not consulted about the design and development of such infrastructure at base level. You will have to take it with a pinch of salt.
...Reg being rude, just leave it ... it is passe'...I can go on but let me leave it to your 'converted' mindset (your controlled usage of car is really appreciated...but at whose cost?). Please arrive at an unbiased decision as regards justifiable variables for continuing to make BMTC bleed for the third consecutive year despite increase in capital investment.
- Vasanth Mysoremath
CAG report
Thank you vasanth sir for the CAG link. I had already gone through it yesterday, but nothing there convinced me that stratified service is the cause for BMTC's lower profit. In fact, the last few days I have been gathering available information to understand the finanical aspects of this issue, but unfortunately, I am none the wiser for the exercise. I will get back to this post when I understand the facts better.
However, I absolutely agree with you that BMTC and most other government agencies operate without sufficient (or any) public consultation. In fact, the approach seems to be to obfuscate facts to create a situation where their policies can get through.
Regarding my car usage - well, for starters I help the environment and the road users of Bangalore. My approach is to convince fellow car users to use the volvo and other differentiated bus services so that those services are not a financial drag on the corporation. Would you have an objection if these services are financially viable?
Prajagale missing from BCIC - BMTC/KSRTC?BMRCL/BMLTA meet
What happened? No one from Praja came. It was a fantastic meeting. Tremendous traction.
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Regards
Devesh
Bangalore Aviation
Enjoy life, destroy FUD
Regards
Devesh
Bangalore Aviation
Enjoy life, destroy FUD