Cash Flow from Operating Activities
Net cash provided by operating activities was Rs. 14,455.5 million in the nine-month period of fiscal 2004. During this period there was a decrease in accounts receivable of Rs. 2,911.5 million, and prepaid expenses and other current assets of the TCS Division increased by Rs. 1,781.5 million during this period. Unbilled revenues increased by Rs. 1,428.94 million.
Net cash provided by operating activities was Rs. 8,774.8 million and Rs. 12,605.5 million in fiscal 2003 and 2002, respectively. Net cash provided by operations was lower in fiscal 2003 as compared to fiscal 2002 primarily due to increases in accrued expenses and other liabilities, loans and advances and unbilled revenues. These were partly offset by higher depreciation and a decrease in accounts receivable. Accrued expenses and other liabilities increased by Rs. 3,977.7 million in fiscal 2003 compared to a decrease of Rs. 403.1 million in fiscal 2002, primarily because of sales discounts payable to companies of the General Electric group of Rs. 1,326 million, an increase in accounts payable of Rs. 592.5 million, an increase in other current liabilities of Rs. 915 million, and the inclusion of adjustments relating to TCS America and the European Subsidiaries. Prepaid expenses and other current assets increased by Rs. 3,518.1 million in fiscal 2003 compared to Rs. 974.8 million in fiscal 2002, primarily because of an increase in estimated overseas advance taxes of Rs. 2,261 million that we paid in foreign jurisdictions in fiscal 2003. Unbilled revenues, which represent revenues that are recognized but not yet invoiced, increased by Rs. 756.5 million in fiscal 2003 compared to a decrease of Rs. 1,208.8 million in fiscal 2002.
Depreciation expenses increased to Rs. 1,059.6 million in fiscal 2003 compared to Rs. 819.5 million in fiscal 2002, primarily because of an increase in the number of computers which in turn was impacted by the increase in our employee...
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