BEDMUTHA INDUSTRIES 2023-24 Annual Report Analysis

Thu, 26 Sep

BEDMUTHA 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.

BEDMUTHA INDUSTRIES Income Statement Analysis

• Operating income during the year rose 18.2% on a year-on-year (YoY) basis.
• The company's operating profit increased by 58.0% YoY during the fiscal. Operating profit margins witnessed a fall and down at 3.3% in FY24 as against 2.5% in FY23.
• Depreciation charges decreased by 16.3% and finance costs increased by 4.3% YoY, respectively.
• Other income declined by 9.2% YoY.
• Net profit for the year grew by 61.0% YoY.
• Net profit margins during the year grew from 1.9% in FY23 to 2.6% in FY24.

BEDMUTHA INDUSTRIES Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	6,868	8,120	18.2%
Other income	Rs m	620	563	-9.2%
Total Revenues	Rs m	7,487	8,683	16.0%
Gross profit	Rs m	171	269	58.0%
Depreciation	Rs m	319	267	-16.3%
Interest	Rs m	341	356	4.3%
Profit before tax	Rs m	130	209	61.0%
Tax	Rs m	0	0	0.0
Profit after tax	Rs m	130	209	61.0%
Gross profit margin	%	2.5	3.3
Effective tax rate	%	0.0	0.0
Net profit margin	%	1.9	2.6

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BEDMUTHA INDUSTRIES Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 3 billion as compared to Rs 2 billion in FY23, thereby witnessing an increase of 13.0%.
• Long-term debt down at Rs 1 billion as compared to Rs 2 billion during FY23, a fall of 4.9%.
• Current assets rose 20% and stood at Rs 4 billion, while fixed assets rose 2% and stood at Rs 2 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 6 billion as against Rs 5 billion during FY23, thereby witnessing a growth of 13%.

BEDMUTHA INDUSTRIES Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	995	1,205	21.0
Current Liabilities	Rs m	2,214	2,502	13.0
Long-term Debt	Rs m	1,560	1,484	-4.9
Total Liabilities	Rs m	4,995	5,657	13.2
Current assets	Rs m	3,050	3,673	20.4
Fixed Assets	Rs m	1,945	1,983	2.0
Total Assets	Rs m	4,995	5,657	13.2

BEDMUTHA INDUSTRIES Cash Flow Statement Analysis

• BEDMUTHA INDUSTRIES's cash flow from operating activities (CFO) during FY24 stood at Rs 739 million, an improvement of 2.2% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -285 million, an improvement of 235.6% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -507 million, an improvement of 11% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -54 million from the Rs 68 million net cash flows seen during FY23.

BEDMUTHA 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	723	739	2.2%
Cash Flow from Investing Activities	Rs m	-85	-285	-
Cash Flow from Financing Activities	Rs m	-570	-507	-
Net Cash Flow	Rs m	68	-54	-

Current Valuations for BEDMUTHA INDUSTRIES

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 6.5, an improvement from the EPS of Rs 4.0 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 209.8, stands at 25.2 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 5.6 times, while the price to sales ratio stands at 0.8 times.
• The company's price to cash flow (P/CF) ratio stood at 12.5 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	212.9	251.7
TTM Earnings per share	Rs	4.0	6.5
Diluted earnings per share	Rs	4.0	6.5
Price to Cash Flow	x	4.3	12.5
TTM P/E ratio	x	15.5	25.2
Price / Book Value ratio	x	2.4	5.0
Market Cap	Rs m	2,390	5,964
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for BEDMUTHA INDUSTRIES

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.5x 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 improved and stood at 1.6x during FY24, from 1.4x 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 improved and stood at 17.4% during FY24, from 13.1% 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 improved and stood at 21.0% during FY24, from 18.4% 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 improved and stood at 10.0% during FY24, from 9.4% 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	1.5
Debtors’ Days	Days	372	470
Interest coverage	x	1.4	1.6
Debt to equity ratio	x	1.6	1.2
Return on assets	%	9.4	10.0
Return on equity	%	13.1	17.4
Return on capital employed	%	18.4	21.0

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

BEDMUTHA INDUSTRIES Share Price Performance

Over the last one year, BEDMUTHA INDUSTRIES share price has moved down from Rs 77.1 to Rs 0.0, registering a loss of Rs 77.1 or around 100.0%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 74,048.2 (down 0.0%). Over the last one year it has moved up from 46,692.7 to 74,048.2, a gain of 27,356 points (up 58.6%).

Overall, the NIFTY 50 is down 0.0% over the year.

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