PANASONIC ENERGY (I) 2022-23 Annual Report Analysis

Tue, 27 Feb

PANASONIC ENERGY (I) 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.

PANASONIC ENERGY (I) Income Statement Analysis

• Operating income during the year rose 4.9% on a year-on-year (YoY) basis.
• The company's operating profit was by NA YoY during the fiscal. Operating profit margins witnessed a growth and stood at 5.7% in FY23 as against 5.1% in FY22.
• Depreciation charges increased by 0.2% and finance costs increased by 22.2% YoY, respectively.
• Other income grew by 3.8% YoY.
• Net profit for the year declined by NA YoY.
• Net profit margins during the year declined from 3.9% in FY22 to 4.2% in FY23.

PANASONIC ENERGY (I) Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	2,415	2,533	4.9%
Other income	Rs m	36	37	3.8%
Total Revenues	Rs m	2,451	2,570	4.9%
Gross profit	Rs m	123	-144	NA
Depreciation	Rs m	32	32	0.2%
Interest	Rs m	2	3	22.2%
Profit before tax	Rs m	125	-141	NA
Tax	Rs m	31	-35	NA
Profit after tax	Rs m	94	-106	NA
Gross profit margin	%	5.1	-5.7
Effective tax rate	%	24.9	24.7
Net profit margin	%	3.9	-4.2

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PANASONIC ENERGY (I) Balance Sheet Analysis

• The company's current liabilities during FY23 stood at Rs 395 million as compared to Rs 311 million in FY22, thereby witnessing an increase of 26.8%.
• Current assets fell 9% and stood at Rs 989 million, while fixed assets fell 3% and stood at Rs 317 million in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 1 billion as against Rs 1 billion during FY22, thereby witnessing a fall of 8%.

PANASONIC ENERGY (I) Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	1,086	918	-15.5
Current Liabilities	Rs m	311	395	26.8
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	1,414	1,307	-7.6
Current assets	Rs m	1,087	989	-9.0
Fixed Assets	Rs m	327	317	-2.9
Total Assets	Rs m	1,414	1,307	-7.6

PANASONIC ENERGY (I) Cash Flow Statement Analysis

• PANASONIC ENERGY (I)'s cash flow from operating activities (CFO) during FY23 stood at Rs -85 million, an improvement of 27.2% on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs 97 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -64 million, an improvement of 6% on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs -51 million from the Rs 19 million net cash flows seen during FY22.

PANASONIC ENERGY (I) 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	-66	-85	-
Cash Flow from Investing Activities	Rs m	153	97	-36.7%
Cash Flow from Financing Activities	Rs m	-68	-64	-
Net Cash Flow	Rs m	19	-51	-

Current Valuations for PANASONIC ENERGY (I)

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs -14.2, an decline from the EPS of Rs 12.5 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 216.6, stands at -15.3 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.8 times, while the price to sales ratio stands at 0.6 times.
• The company's price to cash flow (P/CF) ratio stood at -25.6 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	322.0	337.7
TTM Earnings per share	Rs	12.5	-14.2
Diluted earnings per share	Rs	12.5	-14.2
Price to Cash Flow	x	16.6	-25.6
TTM P/E ratio	x	22.2	-15.3
Price / Book Value ratio	x	2.1	2.1
Market Cap	Rs m	2,290	1,915
Dividends per share (Unadj.)	Rs	7.5	0.0

Ratio Analysis for PANASONIC ENERGY (I)

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 2.5x during FY23, from 3.5x 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 deteriorated and stood at -50.3x during FY23, from 56.6x 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 declined and down at -11.6% during FY23, from 8.6% 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 declined and down at -15.1% during FY23, from 11.7% 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 -7.9% during FY23, from 6.8% 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	3.5	2.5
Debtors’ Days	Days	86	137
Interest coverage	x	56.6	-50.3
Debt to equity ratio	x	0.0	0.0
Return on assets	%	6.8	-7.9
Return on equity	%	8.6	-11.6
Return on capital employed	%	11.7	-15.1

To see how PANASONIC ENERGY (I) has performed over the last 5 years, please visit here.

PANASONIC ENERGY (I) Share Price Performance

Over the last one year, PANASONIC ENERGY (I) share price has moved down from Rs 278.1 to Rs 216.6, registering a loss of Rs 61.5 or around 22.1%.

Meanwhile, the S&P BSE CONSUMER DURABLES Index is trading at Rs 37,628.5 (up 0.3%). Over the last one year it has moved down from 42,271.9 to 37,628.5, a loss of 4,643 points (down 11.0%).

Overall, the S&P BSE SENSEX is up 1.8% over the year.

(To know more, check out historical annual results for PANASONIC ENERGY (I) and quarterly results for PANASONIC ENERGY (I))