AETHER INDUSTRIES 2023-24 Annual Report Analysis

Sun, 18 Aug

AETHER INDUSTRIES 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.

AETHER INDUSTRIES Income Statement Analysis

• Operating income during the year fell 8.1% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 36.4% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 19.8% in FY24 as against 28.6% in FY23.
• Depreciation charges increased by 70.6% and finance costs increased by 67.3% YoY, respectively.
• Other income grew by 136.7% YoY.
• Net profit for the year declined by 36.7% YoY.
• Net profit margins during the year declined from 20.0% in FY23 to 13.8% in FY24.

AETHER INDUSTRIES Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	6,511	5,982	-8.1%
Other income	Rs m	166	392	136.7%
Total Revenues	Rs m	6,676	6,374	-4.5%
Gross profit	Rs m	1,862	1,185	-36.4%
Depreciation	Rs m	232	397	70.6%
Interest	Rs m	51	85	67.3%
Profit before tax	Rs m	1,745	1,095	-37.2%
Tax	Rs m	441	270	-38.7%
Profit after tax	Rs m	1,304	825	-36.7%
Gross profit margin	%	28.6	19.8
Effective tax rate	%	25.3	24.7
Net profit margin	%	20.0	13.8

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

AETHER INDUSTRIES Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 3 billion as compared to Rs 940 million in FY23, thereby witnessing an increase of 207.5%.
• Current assets rose 93% and stood at Rs 13 billion, while fixed assets rose 56% and stood at Rs 11 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 24 billion as against Rs 14 billion during FY23, thereby witnessing a growth of 74%.

AETHER INDUSTRIES Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	12,431	20,587	65.6
Current Liabilities	Rs m	940	2,891	207.5
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	13,799	24,007	74.0
Current assets	Rs m	6,752	13,027	92.9
Fixed Assets	Rs m	7,047	10,981	55.8
Total Assets	Rs m	13,799	24,007	74.0

AETHER INDUSTRIES Cash Flow Statement Analysis

• AETHER INDUSTRIES's cash flow from operating activities (CFO) during FY24 stood at Rs -165 million, an improvement of 150.9% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -4 billion, an improvement of 21.7% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 9 billion, an improvement of 103% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 5 billion from the Rs 843 million net cash flows seen during FY23.

AETHER INDUSTRIES 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	-66	-165	-
Cash Flow from Investing Activities	Rs m	-3,484	-4,239	-
Cash Flow from Financing Activities	Rs m	4,392	8,938	103.5%
Net Cash Flow	Rs m	843	4,534	438.0%

Current Valuations for AETHER INDUSTRIES

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 6.2, an decline from the EPS of Rs 10.5 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 903.3, stands at 144.9 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 5.8 times, while the price to sales ratio stands at 20.0 times.
• The company's price to cash flow (P/CF) ratio stood at 107.7 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	52.3	45.1
TTM Earnings per share	Rs	10.5	6.2
Diluted earnings per share	Rs	9.8	6.2
Price to Cash Flow	x	80.9	107.7
TTM P/E ratio	x	95.3	144.9
Price / Book Value ratio	x	8.8	6.4
Market Cap	Rs m	108,938	131,609
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for AETHER INDUSTRIES

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 4.5x during FY24, from 7.2x 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 13.9x during FY24, from 35.3x 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 declined and down at 4.0% during FY24, from 10.5% 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 declined and down at 5.7% during FY24, from 14.4% 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 3.8% during FY24, from 9.8% 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	7.2	4.5
Debtors’ Days	Days	145	142
Interest coverage	x	35.3	13.9
Debt to equity ratio	x	0.0	0.0
Return on assets	%	9.8	3.8
Return on equity	%	10.5	4.0
Return on capital employed	%	14.4	5.7

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

AETHER INDUSTRIES Share Price Performance

Over the last one year, AETHER INDUSTRIES share price has moved down from Rs 1,049.7 to Rs 903.3, registering a loss of Rs 146.4 or around 13.9%.

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

(To know more, check out historical annual results for AETHER INDUSTRIES and quarterly results for AETHER INDUSTRIES)