ASAHI INDIA 2023-24 Annual Report Analysis

Fri, 16 Aug

ASAHI INDIA 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.

ASAHI INDIA Income Statement Analysis

• Operating income during the year rose 8.0% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 10.0% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 16.8% in FY24 as against 20.2% in FY23.
• Depreciation charges increased by 10.8% and finance costs increased by 29.9% YoY, respectively.
• Other income grew by 54.2% YoY.
• Net profit for the year declined by 10.1% YoY.
• Net profit margins during the year declined from 9.0% in FY23 to 7.5% in FY24.

ASAHI INDIA Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	40,188	43,406	8.0%
Other income	Rs m	164	253	54.2%
Total Revenues	Rs m	40,352	43,659	8.2%
Gross profit	Rs m	8,112	7,300	-10.0%
Depreciation	Rs m	1,597	1,768	10.8%
Interest	Rs m	1,046	1,359	29.9%
Profit before tax	Rs m	5,633	4,426	-21.4%
Tax	Rs m	2,017	1,175	-41.7%
Profit after tax	Rs m	3,617	3,251	-10.1%
Gross profit margin	%	20.2	16.8
Effective tax rate	%	35.8	26.6
Net profit margin	%	9.0	7.5

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

ASAHI INDIA Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 17 billion as compared to Rs 16 billion in FY23, thereby witnessing an increase of 4.8%.
• Long-term debt stood at Rs 13 billion as compared to Rs 8 billion during FY23, a growth of 69.5%.
• Current assets fell 0% and stood at Rs 17 billion, while fixed assets rose 33% and stood at Rs 38 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 55 billion as against Rs 46 billion during FY23, thereby witnessing a growth of 20%.

ASAHI INDIA Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	20,745	23,535	13.4
Current Liabilities	Rs m	16,172	16,944	4.8
Long-term Debt	Rs m	7,554	12,807	69.5
Total Liabilities	Rs m	45,804	54,996	20.1
Current assets	Rs m	17,453	17,426	-0.2
Fixed Assets	Rs m	28,338	37,557	32.5
Total Assets	Rs m	45,804	54,996	20.1

ASAHI INDIA Cash Flow Statement Analysis

• ASAHI INDIA's cash flow from operating activities (CFO) during FY24 stood at Rs 7 billion, an improvement of 62.7% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -9 billion, an improvement of 188.4% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 3 billion, an improvement of 733% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 592 million from the Rs 292 million net cash flows seen during FY23.

ASAHI INDIA 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	4,016	6,533	62.7%
Cash Flow from Investing Activities	Rs m	-3,203	-9,237	-
Cash Flow from Financing Activities	Rs m	-521	3,295	-
Net Cash Flow	Rs m	292	592	102.6%

Current Valuations for ASAHI INDIA

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 13.4, an decline from the EPS of Rs 14.9 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 640.4, stands at 52.9 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 6.6 times, while the price to sales ratio stands at 3.6 times.
• The company's price to cash flow (P/CF) ratio stood at 26.6 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	165.3	178.6
TTM Earnings per share	Rs	14.9	13.4
Diluted earnings per share	Rs	14.9	13.4
Price to Cash Flow	x	21.1	26.6
TTM P/E ratio	x	31.8	52.9
Price / Book Value ratio	x	6.3	5.7
Market Cap	Rs m	130,904	133,292
Dividends per share (Unadj.)	Rs	2.0	2.0

Ratio Analysis for ASAHI INDIA

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.0x during FY24, from 1.1x 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 4.3x during FY24, from 6.4x 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 declined and down at 13.8% during FY24, from 17.4% 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 15.9% during FY24, from 23.6% 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 8.4% during FY24, from 10.2% 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	1.1	1.0
Debtors’ Days	Days	306	297
Interest coverage	x	6.4	4.3
Debt to equity ratio	x	0.4	0.5
Return on assets	%	10.2	8.4
Return on equity	%	17.4	13.8
Return on capital employed	%	23.6	15.9

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

ASAHI INDIA Share Price Performance

Over the last one year, ASAHI INDIA share price has moved up from Rs 502.2 to Rs 640.4, registering a gain of Rs 138.3 or around 27.5%.

Overall, the S&P BSE SENSEX is up 23.0% over the year.

(To know more, check out historical annual results for ASAHI INDIA and quarterly results for ASAHI INDIA)