Mumbai: Mint got its Mark to Market analysts to look at the balance sheets produced by yoga guru Ramdev in Haridwar on Thursday as a part of his efforts to prove that there was nothing murky about his assets. The balance sheets themselves are sketchy—the schedules aren’t available, nor are the accounts of his business enterprises. Here is what we were able to make of his two largest trusts:

Divya Yog Mandir Trust

The balance sheet size of Divya Yog Mandir has grown from 20 lakh in fiscal 2000 to 251.5 crore in fiscal 2010. Nearly 75% of the assets are in the form of investments in business undertakings that are involved in retailing Ayurvedic products. The complete accounts with schedules are not available, so it’s difficult to make further observations. Prima facie, it appears that the income generated from business undertakings owned by Divya Yoga Mandir generated 92 crore in profit in fiscal 2009. The income and expenditure statement for fiscal 2010 has not been provided and the 2009 figure may be the trust’s share of profit generated, as we don’t know whether it has 100% ownership of its business undertakings.

After investment in business undertakings, fixed assets account for the next big chunk of assets.

In fiscal 2009, the income and expenditure statement showed that the source of funds was donations and the largest expenditure was donations to other trusts and charities. It’s possible the funds are passed on to the business undertakings, but we do not have any details on that. Incidentally, it is income from the business undertakings that has boosted income and allowed for a surplus. Income from business undertakings has gone up by leaps and bounds, rising from 12.39 crore in fiscal 2006 to 92.11 crore in 2009.

The trust’s balance sheet has grown at a compounded annual growth rate (CAGR) of 104.55% in the last 10 years, while its investments have grown at a CAGR of 128.44%.

Patanjali Yog Peeth (Nyas)

Patanjali Yog Peeth’s main activities include running the residential camps Yog Gram and Patanjali Yogpeeth II, and a herbal garden and research centre at the Teliwala farm. In addition, it conducts yoga science camps, training through television, the Patanjali Yog Samiti, and also runs the University of Patanjali.

The trust’s income and expenditure statement for 2009-10 shows its capital at 157.3 crore. It has also set aside 4.5 crore in a corpus fund and about 3 crore in a disaster relief fund. To get a sense of how the trust has grown over the years—its capital was 20 crore five years ago, and it has grown about eight times since then.

Its 2009-10 annual report also shows loans at 8.7 crore and cash on hand of 6.2 crore.

The funds are deployed chiefly in fixed assets, mostly buildings. The total fixed assets shown in the balance sheet are valued at around 143 crore, of which buildings contribute 114 crore. Its assets side also shows a balance with an owned projects figure of 3.1 crore.

The trust has given advances worth 24.4 crore, but in the absence of schedules, what these advances are for is not evident. Advances in the normal course of business could be, among others, balances with government authorities, advance payment of taxes, advances to employees, or advances against capital expenditure.

Total income in 2009-10 was about 56 crore, nearly all of it from donations, and has nearly doubled in five years. But donations fell from the level of about 70 crore in 2008-09.

Its income and expenditure statement for 2009-10 shows a surplus (income less expenditure) of 45 crore, compared with a surplus of 63 crore in the previous year.

While donations fell, expenditure increased to 11 crore in 2009-10 from 7 crore the previous year. The main reason is a sharp increase in campus-related expenses. Expenses have not risen commensurate with the increase in income, as they were 9 crore in 2005-06.

The main heads of expenses are those incurred on its campuses, about 4 crore in 2009-10, donations and assistance given of 3.8 crore, and other operational expenses such as salaries and honorarium, stationery, camp-related expenses and telephone costs.

A trust’s accounts cannot be compared with that of a company, due to the nature of operations, various concessions applicable to trusts, and even differences in accounting practices. But if this was a company, it can lay claim to a very profitable operation, a relatively debt-free balance sheet (on a net debt basis), and investments in fixed assets that are revenue-generating in nature. But the ploughing back of profits or accruals into assets is leaving it with relatively less cash surpluses. That explains why it needs loans, to ensure it has adequate capital to meet running expenses.