ANSAL PROPERTIES 2017-18 Annual Report Analysis

Sat, 31 Mar

ANSAL PROPERTIES has announced its results for the year ended March 2018. Let us have a look at the detailed performance review of the company during FY17-18.

ANSAL PROPERTIES Income Statement Analysis

• Operating income during the year fell 19.8% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 145.8% YoY during the fiscal. Operating profit margins witnessed a growth and stood at 5.5% in FY18 as against 9.7% in FY17.
• Depreciation charges increased by 44.6% and finance costs increased by 55.9% YoY, respectively.
• Other income grew by 76.4% YoY.
• Net profit for the year grew by 376.8% YoY.
• Net profit margins during the year declined from 4.4% in FY17 to 26.1% in FY18.

ANSAL PROPERTIES Income Statement 2017-18

No. of Mths Year Ending		12 Mar-17*	12 Mar-18*	% Change
Net Sales	Rs m	8,357	6,701	-19.8%
Other income	Rs m	163	288	76.4%
Total Revenues	Rs m	8,520	6,989	-18.0%
Gross profit	Rs m	808	-370	-145.8%
Depreciation	Rs m	164	237	44.6%
Interest	Rs m	1,093	1,704	55.9%
Profit before tax	Rs m	-285	-2,024	608.9%
Tax	Rs m	81	-277	-441.9%
Profit after tax	Rs m	-366	-1,747	376.8%
Gross profit margin	%	9.7	-5.5
Effective tax rate	%	-28.4	13.7
Net profit margin	%	-4.4	-26.1

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ANSAL PROPERTIES Balance Sheet Analysis

• The company's current liabilities during FY18 down at Rs 46 billion as compared to Rs 50 billion in FY17, thereby witnessing an decrease of -7.3%.
• Long-term debt down at Rs 9 billion as compared to Rs 11 billion during FY17, a fall of 14.7%.
• Current assets fell 11% and stood at Rs 61 billion, while fixed assets rose 2% and stood at Rs 13 billion in FY18.
• Overall, the total assets and liabilities for FY18 stood at Rs 74 billion as against Rs 81 billion during FY17, thereby witnessing a fall of 9%.

ANSAL PROPERTIES Balance Sheet as on March 2018

No. of Mths Year Ending		12 Mar-17*	12 Mar-18*	% Change
Networth	Rs m	16,107	15,452	-4.1
Current Liabilities	Rs m	50,073	46,397	-7.3
Long-term Debt	Rs m	10,589	9,034	-14.7
Total Liabilities	Rs m	81,186	74,133	-8.7
Current assets	Rs m	68,448	61,190	-10.6
Fixed Assets	Rs m	12,738	12,943	1.6
Total Assets	Rs m	81,186	74,133	-8.7

ANSAL PROPERTIES Cash Flow Statement Analysis

• ANSAL PROPERTIES's cash flow from operating activities (CFO) during FY18 stood at Rs 5 billion on a YoY basis.
• Cash flow from investing activities (CFI) during FY18 stood at Rs 688 million, an improvement of 109.8% on a YoY basis.
• Cash flow from financial activities (CFF) during FY18 stood at Rs -6 billion on a YoY basis.
• Overall, net cash flows for the company during FY18 stood at Rs -167 million from the Rs 65 million net cash flows seen during FY17.

ANSAL PROPERTIES Cash Flow Statement 2017-18

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-17	Mar-18
Cash Flow from Operating Activities	Rs m	-4,201	4,857	-
Cash Flow from Investing Activities	Rs m	328	688	109.8%
Cash Flow from Financing Activities	Rs m	3,939	-5,712	-
Net Cash Flow	Rs m	65	-167	-

Current Valuations for ANSAL PROPERTIES

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs -11.1, an decline from the EPS of Rs -2.3 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 19.5, stands at -18.2 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 0.2 times, while the price to sales ratio stands at 0.5 times.
• The company's price to cash flow (P/CF) ratio stood at -2.7 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-17*	12 Mar-18*
Sales per share (Unadj.)	Rs	53.1	42.6
TTM Earnings per share	Rs	-2.3	-11.1
Diluted earnings per share	Rs	-2.3	-11.1
Price to Cash Flow	x	-11.7	-2.7
TTM P/E ratio	x	-14.1	-18.2
Price / Book Value ratio	x	0.2	0.3
Market Cap	Rs m	3,010	4,010
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for ANSAL PROPERTIES

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.3x during FY18, from 1.4x during FY17. 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 -0.2x during FY18, from 0.7x during FY17. 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 -11.3% during FY18, from -2.3% during FY18. 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 -1.3% during FY18, from 3.0% during FY17. 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 -0.1% during FY18, from 0.9% during FY17. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-17*	12 Mar-18*
Current ratio	x	1.4	1.3
Debtors’ Days	Days	3,220	3,156
Interest coverage	x	0.7	-0.2
Debt to equity ratio	x	0.7	0.6
Return on assets	%	0.9	-0.1
Return on equity	%	-2.3	-11.3
Return on capital employed	%	3.0	-1.3

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

ANSAL PROPERTIES Share Price Performance

Over the last one year, ANSAL PROPERTIES share price has moved up from Rs 15.1 to Rs 19.5, registering a gain of Rs 4.4 or around 28.9%.

Meanwhile, the S&P BSE REALTY Index is trading at Rs 2,229.9 (down 1.1%). Over the last one year it has moved up from 1,600.0 to 2,229.9, a gain of 630 points (up 39.4%).

Overall, the S&P BSE SENSEX is up 12.1% over the year.

(To know more, check out historical annual results for ANSAL PROPERTIES and quarterly results for ANSAL PROPERTIES)