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BIGBLOC CONSTRUCTION 2022-23 Annual Report Analysis

Thu, 5 Oct

BIGBLOC CONSTRUCTION has announced its results for the year ended March 2023. Let us have a look at the detailed performance review of the company during FY22-23.

BIGBLOC CONSTRUCTION Income Statement Analysis

• Operating income during the year rose 14.2% on a year-on-year (YoY) basis.
• The company's operating profit increased by 84.3% YoY during the fiscal. Operating profit margins witnessed a fall and down at 25.0% in FY23 as against 15.5% in FY22.
• Depreciation charges increased by 3.5% and finance costs increased by 11.6% YoY, respectively.
• Other income grew by 48.5% YoY.
• Net profit for the year grew by 87.4% YoY.
• Net profit margins during the year grew from 9.2% in FY22 to 15.1% in FY23.

BIGBLOC CONSTRUCTION Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	1,752	2,001	14.2%
Other income	Rs m	6	8	48.5%
Total Revenues	Rs m	1,758	2,009	14.3%
Gross profit	Rs m	271	500	84.3%
Depreciation	Rs m	59	61	3.5%
Interest	Rs m	37	42	11.6%
Profit before tax	Rs m	181	406	124.4%
Tax	Rs m	20	105	421.7%
Profit after tax	Rs m	161	301	87.4%
Gross profit margin	%	15.5	25.0
Effective tax rate	%	11.1	25.8
Net profit margin	%	9.2	15.1

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BIGBLOC CONSTRUCTION Balance Sheet Analysis

• The company's current liabilities during FY23 stood at Rs 537 million as compared to Rs 341 million in FY22, thereby witnessing an increase of 57.3%.
• Long-term debt stood at Rs 645 million as compared to Rs 301 million during FY22, a growth of 114.2%.
• Current assets rose 60% and stood at Rs 684 million, while fixed assets rose 84% and stood at Rs 1 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 2 billion as against Rs 1 billion during FY22, thereby witnessing a growth of 75%.

BIGBLOC CONSTRUCTION Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	470	753	60.2
Current Liabilities	Rs m	341	537	57.3
Long-term Debt	Rs m	301	645	114.2
Total Liabilities	Rs m	1,140	1,991	74.6
Current assets	Rs m	429	684	59.5
Fixed Assets	Rs m	711	1,306	83.6
Total Assets	Rs m	1,140	1,991	74.6

BIGBLOC CONSTRUCTION Cash Flow Statement Analysis

• BIGBLOC CONSTRUCTION's cash flow from operating activities (CFO) during FY23 stood at Rs 281 million, an improvement of 15.3% on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -730 million, an improvement of 1,361.2% on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs 451 million, an improvement of 333% on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs 2 million from the Rs 0 million net cash flows seen during FY22.

BIGBLOC CONSTRUCTION Cash Flow Statement 2022-23

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-22	Mar-23
Cash Flow from Operating Activities	Rs m	244	281	15.3%
Cash Flow from Investing Activities	Rs m	-50	-730	-
Cash Flow from Financing Activities	Rs m	-194	451	-
Net Cash Flow	Rs m	0	2	-

Current Valuations for BIGBLOC CONSTRUCTION

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 4.3, an improvement from the EPS of Rs 2.3 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 183.5, stands at 47.0 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 17.2 times, while the price to sales ratio stands at 6.5 times.
• The company's price to cash flow (P/CF) ratio stood at 24.9 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*
Sales per share (Unadj.)	Rs	24.8	28.3
TTM Earnings per share	Rs	2.3	4.3
Diluted earnings per share	Rs	2.3	4.3
Price to Cash Flow	x	29.4	24.9
TTM P/E ratio	x	40.1	47.0
Price / Book Value ratio	x	16.9	12.0
Market Cap	Rs m	7,930	9,025
Dividends per share (Unadj.)	Rs	0.3	0.4

Ratio Analysis for BIGBLOC CONSTRUCTION

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.3x during FY23, from 1.3x during FY22. The current ratio measures the company's ability to pay short-term and long-term obligations.

Interest Coverage Ratio: The company's interest coverage ratio improved and stood at 10.7x during FY23, from 5.8x during FY22. The interest coverage ratio of a company states how easily a company can pay its interest expense on outstanding debt. A higher ratio is preferable.

• Profitability Ratios

Return on Equity (ROE): The ROE for the company improved and stood at 40.0% during FY23, from 34.2% during FY23. The ROE measures the ability of a firm to generate profits from its shareholders capital in the company.

Return on Capital Employed (ROCE): The ROCE for the company improved and stood at 32.0% during FY23, from 28.3% during FY22. The ROCE measures the ability of a firm to generate profits from its total capital (shareholder capital plus debt capital) employed in the company.

Return on Assets (ROA): The ROA of the company declined and down at 17.2% during FY23, from 17.4% during FY22. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*
Current ratio	x	1.3	1.3
Debtors’ Days	Days	547	567
Interest coverage	x	5.8	10.7
Debt to equity ratio	x	0.6	0.9
Return on assets	%	17.4	17.2
Return on equity	%	34.2	40.0
Return on capital employed	%	28.3	32.0

To see how BIGBLOC CONSTRUCTION has performed over the last 5 years, please visit here.

BIGBLOC CONSTRUCTION Share Price Performance

Over the last one year, BIGBLOC CONSTRUCTION share price has moved up from Rs 132.7 to Rs 183.5, registering a gain of Rs 50.9 or around 38.3%.

Meanwhile, the S&P BSE REALTY Index is trading at Rs 4,558.3 (up 0.4%). Over the last one year it has moved up from 3,410.0 to 4,558.3, a gain of 1,148 points (up 33.7%).

Overall, the S&P BSE SENSEX is up 15.6% over the year.

(To know more, check out historical annual results for BIGBLOC CONSTRUCTION and quarterly results for BIGBLOC CONSTRUCTION)