Financial Statement Analysis of Infosys and Wipro through DUPONT Analysis

Abstract: Uniformity, Timeliness, Understandability, Relevance, Reliability and Comparability are some of the qualitative characteristics of financial statements. Every company aims at providing the financial information to its users about the operations of a company through formal reports in the form of financial statements. It summarizes the operations of a business and transactions conducted in a particular accounting period. Financial statements are the trueindicators of the financial health of the company at a particular point of time. The study deployed secondary data published in the form of annual reports of the selected companies. In this context, the present paper aims at analyzing the financial statements of the year 2020- 21 and 2021- 22 prepared as per new accounting standards i.e., Indian Accounting Standards (IND-AS) of two different companies that is Infosys and Wipro through DUPONT analysis. The study highlights there is an increase in Return on Equity (ROE) of both the companies which is the one of the important measures used to find out the direction of the company.