ALKYL AMINES 2023-24 Annual Report Analysis

Tue, 11 Jun

ALKYL AMINES 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.

ALKYL AMINES Income Statement Analysis

• Operating income during the year fell 14.4% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 27.1% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 17.4% in FY24 as against 20.4% in FY23.
• Depreciation charges increased by 30.4% and finance costs increased by 32.4% YoY, respectively.
• Other income grew by 14.1% YoY.
• Net profit for the year declined by 34.9% YoY.
• Net profit margins during the year declined from 13.6% in FY23 to 10.3% in FY24.

ALKYL AMINES Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	16,831	14,406	-14.4%
Other income	Rs m	132	151	14.1%
Total Revenues	Rs m	16,962	14,557	-14.2%
Gross profit	Rs m	3,439	2,507	-27.1%
Depreciation	Rs m	452	589	30.4%
Interest	Rs m	33	44	32.4%
Profit before tax	Rs m	3,086	2,025	-34.4%
Tax	Rs m	799	536	-32.9%
Profit after tax	Rs m	2,287	1,489	-34.9%
Gross profit margin	%	20.4	17.4
Effective tax rate	%	25.9	26.5
Net profit margin	%	13.6	10.3

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ALKYL AMINES Balance Sheet Analysis

• The company's current liabilities during FY24 down at Rs 2 billion as compared to Rs 4 billion in FY23, thereby witnessing an decrease of -35.6%.
• Current assets fell 11% and stood at Rs 4 billion, while fixed assets rose 6% and stood at Rs 15 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 19 billion as against Rs 19 billion during FY23, thereby witnessing a growth of 1%.

ALKYL AMINES Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	11,655	12,634	8.4
Current Liabilities	Rs m	3,542	2,279	-35.6
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	18,884	19,142	1.4
Current assets	Rs m	5,006	4,434	-11.4
Fixed Assets	Rs m	13,877	14,708	6.0
Total Assets	Rs m	18,884	19,142	1.4

ALKYL AMINES Cash Flow Statement Analysis

• ALKYL AMINES's cash flow from operating activities (CFO) during FY24 stood at Rs 3 billion, an improvement of 10.7% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -1 billion on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -1 billion on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 132 million from the Rs -207 million net cash flows seen during FY23.

ALKYL AMINES 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	2,484	2,750	10.7%
Cash Flow from Investing Activities	Rs m	-2,771	-1,215	-
Cash Flow from Financing Activities	Rs m	80	-1,403	-
Net Cash Flow	Rs m	-207	132	-

Current Valuations for ALKYL AMINES

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 29.1, an decline from the EPS of Rs 44.7 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 2,014.0, stands at 69.2 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 8.1 times, while the price to sales ratio stands at 7.1 times.
• The company's price to cash flow (P/CF) ratio stood at 56.6 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	329.4	281.8
TTM Earnings per share	Rs	44.7	29.1
Diluted earnings per share	Rs	44.7	29.1
Price to Cash Flow	x	40.3	56.6
TTM P/E ratio	x	48.2	69.2
Price / Book Value ratio	x	12.2	9.3
Market Cap	Rs m	142,291	117,569
Dividends per share (Unadj.)	Rs	10.0	10.0

Ratio Analysis for ALKYL AMINES

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.9x during FY24, from 1.4x 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 47.1x during FY24, from 93.9x 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 declined and down at 11.8% during FY24, from 19.6% 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 declined and down at 16.4% during FY24, from 26.8% 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 declined and down at 8.0% during FY24, from 12.3% 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	1.4	1.9
Debtors’ Days	Days	560	562
Interest coverage	x	93.9	47.1
Debt to equity ratio	x	0.0	0.0
Return on assets	%	12.3	8.0
Return on equity	%	19.6	11.8
Return on capital employed	%	26.8	16.4

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

ALKYL AMINES Share Price Performance

Over the last one year, ALKYL AMINES share price has moved down from Rs 2,508.1 to Rs 2,014.0, registering a loss of Rs 494.1 or around 19.7%.

Overall, the S&P BSE SENSEX is up 21.4% over the year.

(To know more, check out historical annual results for ALKYL AMINES and quarterly results for ALKYL AMINES)