ASHIMA. 2023-24 Annual Report Analysis

Mon, 29 Jul

ASHIMA. 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.

ASHIMA. Income Statement Analysis

• Operating income during the year rose 59.2% on a year-on-year (YoY) basis.
• The company's operating profit was by NA YoY during the fiscal. Operating profit margins witnessed a fall and down at 21.0% in FY24 as against 2.4% in FY23.
• Depreciation charges increased by 8.2% and finance costs increased by 128.1% YoY, respectively.
• Other income declined by 49.2% YoY.
• Net profit for the year declined by NA YoY.
• Net profit margins during the year grew from 3.7% in FY23 to 29.3% in FY24.

ASHIMA. Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	2,070	3,294	59.2%
Other income	Rs m	36	19	-49.2%
Total Revenues	Rs m	2,106	3,313	57.3%
Gross profit	Rs m	-50	692	NA
Depreciation	Rs m	41	45	8.2%
Interest	Rs m	22	51	128.1%
Profit before tax	Rs m	-77	614	NA
Tax	Rs m	0	-349	0.0
Profit after tax	Rs m	-77	964	NA
Gross profit margin	%	-2.4	21.0
Effective tax rate	%	0.0	-56.9
Net profit margin	%	-3.7	29.3

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ASHIMA. Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 1 billion as compared to Rs 671 million in FY23, thereby witnessing an increase of 73.5%.
• Long-term debt stood at Rs 1 billion as compared to Rs 327 million during FY23, a growth of 239.0%.
• Current assets rose 111% and stood at Rs 3 billion, while fixed assets rose 9% and stood at Rs 2 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 5 billion as against Rs 3 billion during FY23, thereby witnessing a growth of 59%.

ASHIMA. Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	2,203	3,169	43.8
Current Liabilities	Rs m	671	1,165	73.5
Long-term Debt	Rs m	327	1,107	239.0
Total Liabilities	Rs m	3,202	5,092	59.0
Current assets	Rs m	1,564	3,304	111.3
Fixed Assets	Rs m	1,602	1,753	9.5
Total Assets	Rs m	3,202	5,092	59.0

ASHIMA. Cash Flow Statement Analysis

• ASHIMA.'s cash flow from operating activities (CFO) during FY24 stood at Rs -384 million, an improvement of 60.8% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -36 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 865 million, an improvement of 554% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 445 million from the Rs 53 million net cash flows seen during FY23.

ASHIMA. 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	-239	-384	-
Cash Flow from Investing Activities	Rs m	160	-36	-
Cash Flow from Financing Activities	Rs m	132	865	554.4%
Net Cash Flow	Rs m	53	445	735.7%

Current Valuations for ASHIMA.

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 5.0, an improvement from the EPS of Rs -0.4 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 44.6, stands at 8.9 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 2.7 times, while the price to sales ratio stands at 2.6 times.
• The company's price to cash flow (P/CF) ratio stood at 3.6 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	10.8	17.2
TTM Earnings per share	Rs	-0.4	5.0
Diluted earnings per share	Rs	-0.4	5.0
Price to Cash Flow	x	-67.5	3.6
TTM P/E ratio	x	-31.2	8.9
Price / Book Value ratio	x	1.2	1.2
Market Cap	Rs m	2,746	3,675
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for ASHIMA.

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 2.8x during FY24, from 2.3x 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 improved and stood at 13.0x during FY24, from -2.4x 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 30.4% during FY24, from -3.5% 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 15.6% during FY24, from -2.2% 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 19.9% during FY24, from -1.7% 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	2.3	2.8
Debtors’ Days	Days	256	540
Interest coverage	x	-2.4	13.0
Debt to equity ratio	x	0.1	0.3
Return on assets	%	-1.7	19.9
Return on equity	%	-3.5	30.4
Return on capital employed	%	-2.2	15.6

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

ASHIMA. Share Price Performance

Over the last one year, ASHIMA. share price has moved up from Rs 13.4 to Rs 44.6, registering a gain of Rs 31.2 or around 233.5%.

Overall, the S&P BSE SENSEX is up 22.6% over the year.

(To know more, check out historical annual results for ASHIMA. and quarterly results for ASHIMA.)