APOLLO MICRO SYSTEMS 2023-24 Annual Report Analysis

Mon, 23 Sep

APOLLO MICRO SYSTEMS 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.

APOLLO MICRO SYSTEMS Income Statement Analysis

• Operating income during the year rose 24.9% on a year-on-year (YoY) basis.
• The company's operating profit increased by 37.8% YoY during the fiscal. Operating profit margins witnessed a fall and down at 22.6% in FY24 as against 20.5% in FY23.
• Depreciation charges increased by 9.0% and finance costs increased by 35.5% YoY, respectively.
• Other income grew by 121.6% YoY.
• Net profit for the year grew by 66.0% YoY.
• Net profit margins during the year grew from 6.3% in FY23 to 8.4% in FY24.

APOLLO MICRO SYSTEMS Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	2,975	3,716	24.9%
Other income	Rs m	8	18	121.6%
Total Revenues	Rs m	2,984	3,735	25.2%
Gross profit	Rs m	609	839	37.8%
Depreciation	Rs m	104	113	9.0%
Interest	Rs m	224	303	35.5%
Profit before tax	Rs m	290	441	52.3%
Tax	Rs m	102	130	27.1%
Profit after tax	Rs m	187	311	66.0%
Gross profit margin	%	20.5	22.6
Effective tax rate	%	35.3	29.5
Net profit margin	%	6.3	8.4

Don't Miss: Key Information for Long-term Investors

APOLLO MICRO SYSTEMS Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 4 billion as compared to Rs 3 billion in FY23, thereby witnessing an increase of 40.4%.
• Long-term debt stood at Rs 96 million as compared to Rs 19 million during FY23, a growth of 403.6%.
• Current assets rose 40% and stood at Rs 8 billion, while fixed assets rose 31% and stood at Rs 2 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 10 billion as against Rs 7 billion during FY23, thereby witnessing a growth of 38%.

APOLLO MICRO SYSTEMS Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	3,375	5,073	50.3
Current Liabilities	Rs m	2,789	3,916	40.4
Long-term Debt	Rs m	19	96	403.6
Total Liabilities	Rs m	6,926	9,562	38.1
Current assets	Rs m	5,531	7,740	39.9
Fixed Assets	Rs m	1,395	1,822	30.6
Total Assets	Rs m	6,926	9,562	38.1

APOLLO MICRO SYSTEMS Cash Flow Statement Analysis

• APOLLO MICRO SYSTEMS's cash flow from operating activities (CFO) during FY24 stood at Rs -785 million, an improvement of 381.9% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -589 million, an improvement of 69.4% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 1 billion, an improvement of 170% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -1 million from the Rs -1 million net cash flows seen during FY23.

APOLLO MICRO SYSTEMS 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	-163	-785	-
Cash Flow from Investing Activities	Rs m	-348	-589	-
Cash Flow from Financing Activities	Rs m	510	1,373	169.5%
Net Cash Flow	Rs m	-1	-1	-

Current Valuations for APOLLO MICRO SYSTEMS

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 1.1, an decline from the EPS of Rs 9.0 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 108.0, stands at 87.4 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 6.5 times, while the price to sales ratio stands at 8.2 times.
• The company's price to cash flow (P/CF) ratio stood at 63.3 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	143.3	13.2
TTM Earnings per share	Rs	9.0	1.1
Diluted earnings per share	Rs	0.6	1.0
Price to Cash Flow	x	29.2	63.3
TTM P/E ratio	x	49.7	87.4
Price / Book Value ratio	x	0.2	5.3
Market Cap	Rs m	508	26,852
Dividends per share (Unadj.)	Rs	0.0	0.1

Ratio Analysis for APOLLO MICRO SYSTEMS

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 2.0x during FY24, from 2.0x 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 2.5x during FY24, from 2.3x 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 6.1% during FY24, from 5.6% 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 14.4% during FY24, from 15.1% 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 6.4% during FY24, from 5.9% 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	2.0	2.0
Debtors’ Days	Days	1,798	2,311
Interest coverage	x	2.3	2.5
Debt to equity ratio	x	0.0	0.0
Return on assets	%	5.9	6.4
Return on equity	%	5.6	6.1
Return on capital employed	%	15.1	14.4

To see how APOLLO MICRO SYSTEMS has performed over the last 5 years, please visit here.

APOLLO MICRO SYSTEMS Share Price Performance

Over the last one year, APOLLO MICRO SYSTEMS share price has moved up from Rs 53.9 to Rs 108.0, registering a gain of Rs 54.1 or around 100.4%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 73,907.8 (up 0.7%). Over the last one year it has moved up from 46,719.8 to 73,907.8, a gain of 27,188 points (up 58.2%).

Overall, the S&P BSE SENSEX is up 27.1% over the year.

(To know more, check out historical annual results for APOLLO MICRO SYSTEMS and quarterly results for APOLLO MICRO SYSTEMS)