Markets will remain closed on May 20, 2024 on account of Parliamentary Elections.

CRAFTSMAN AUTOMATION 2023-24 Annual Report Analysis

Tue, 7 May

CRAFTSMAN AUTOMATION has announced its results for the year ended March 2024. Let us have a look at the detailed performance review of the company during FY23-24.

CRAFTSMAN AUTOMATION Income Statement Analysis

• Operating income during the year rose 39.9% on a year-on-year (YoY) basis.
• The company's operating profit increased by 28.5% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 19.7% in FY24 as against 21.5% in FY23.
• Depreciation charges increased by 25.3% and finance costs increased by 45.2% YoY, respectively.
• Other income grew by 45.1% YoY.
• Net profit for the year grew by 34.4% YoY.
• Net profit margins during the year declined from 7.9% in FY23 to 7.6% in FY24.

CRAFTSMAN AUTOMATION Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	31,826	44,517	39.9%
Other income	Rs m	125	182	45.1%
Total Revenues	Rs m	31,951	44,699	39.9%
Gross profit	Rs m	6,841	8,787	28.5%
Depreciation	Rs m	2,216	2,777	25.3%
Interest	Rs m	1,202	1,745	45.2%
Profit before tax	Rs m	3,548	4,447	25.3%
Tax	Rs m	1,038	1,074	3.4%
Profit after tax	Rs m	2,510	3,373	34.4%
Gross profit margin	%	21.5	19.7
Effective tax rate	%	29.3	24.1
Net profit margin	%	7.9	7.6

Revealed: Our 'Shadow Investing' Secret for Small Cap Stocks

CRAFTSMAN AUTOMATION Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 15 billion as compared to Rs 12 billion in FY23, thereby witnessing an increase of 23.2%.
• Long-term debt stood at Rs 11 billion as compared to Rs 9 billion during FY23, a growth of 24.1%.
• Current assets rose 20% and stood at Rs 18 billion, while fixed assets rose 26% and stood at Rs 29 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 47 billion as against Rs 38 billion during FY23, thereby witnessing a growth of 24%.

CRAFTSMAN AUTOMATION Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	13,769	16,580	20.4
Current Liabilities	Rs m	12,424	15,308	23.2
Long-term Debt	Rs m	9,062	11,248	24.1
Total Liabilities	Rs m	38,067	47,057	23.6
Current assets	Rs m	14,879	17,830	19.8
Fixed Assets	Rs m	23,188	29,228	26.0
Total Assets	Rs m	38,067	47,057	23.6

CRAFTSMAN AUTOMATION Cash Flow Statement Analysis

• CRAFTSMAN AUTOMATION's cash flow from operating activities (CFO) during FY24 stood at Rs 5 billion on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -6 billion on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 1 billion, an improvement of 103% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 362 million from the Rs -21 million net cash flows seen during FY23.

CRAFTSMAN AUTOMATION Cash Flow Statement 2023-24

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-23	Mar-24
Cash Flow from Operating Activities	Rs m	6,077	5,133	-15.5%
Cash Flow from Investing Activities	Rs m	-7,079	-6,259	-
Cash Flow from Financing Activities	Rs m	730	1,482	102.9%
Net Cash Flow	Rs m	-21	362	-

Current Valuations for CRAFTSMAN AUTOMATION

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 159.6, an improvement from the EPS of Rs 118.8 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 4,316.4, stands at 27.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 5.5 times, while the price to sales ratio stands at 2.0 times.
• The company's price to cash flow (P/CF) ratio stood at 14.6 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*
Sales per share (Unadj.)	Rs	1,506.2	2,106.8
TTM Earnings per share	Rs	118.8	159.6
Diluted earnings per share	Rs	118.8	159.7
Price to Cash Flow	x	14.5	14.6
TTM P/E ratio	x	27.4	27.1
Price / Book Value ratio	x	4.4	5.4
Market Cap	Rs m	60,574	89,912
Dividends per share (Unadj.)	Rs	11.3	11.3

Ratio Analysis for CRAFTSMAN AUTOMATION

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.2x during FY24, from 1.2x during FY23. 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 3.5x during FY24, from 4.0x during FY23. 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 20.3% during FY24, from 18.2% during FY24. 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 22.3% during FY24, from 20.8% during FY23. 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 improved and stood at 10.9% during FY24, from 9.8% during FY23. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*
Current ratio	x	1.2	1.2
Debtors’ Days	Days	614	473
Interest coverage	x	4.0	3.5
Debt to equity ratio	x	0.7	0.7
Return on assets	%	9.8	10.9
Return on equity	%	18.2	20.3
Return on capital employed	%	20.8	22.3

To see how CRAFTSMAN AUTOMATION has performed over the last 5 years, please visit here.

CRAFTSMAN AUTOMATION Share Price Performance

Over the last one year, CRAFTSMAN AUTOMATION share price has moved up from Rs 3,277.1 to Rs 4,316.4, registering a gain of Rs 1,039.3 or around 31.7%.

Overall, the S&P BSE SENSEX is up 20.2% over the year.

(To know more, check out historical annual results for CRAFTSMAN AUTOMATION and quarterly results for CRAFTSMAN AUTOMATION)