BRIGADE ENTERPRISES 2023-24 Annual Report Analysis

Wed, 17 Jul

BRIGADE ENTERPRISES 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.

BRIGADE ENTERPRISES Income Statement Analysis

• Operating income during the year rose 42.2% on a year-on-year (YoY) basis.
• The company's operating profit increased by 31.5% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 24.4% in FY24 as against 26.4% in FY23.
• Depreciation charges decreased by 4.0% and finance costs increased by 13.1% YoY, respectively.
• Other income grew by 41.2% YoY.
• Net profit for the year grew by 80.5% YoY.
• Net profit margins during the year grew from 6.4% in FY23 to 8.2% in FY24.

BRIGADE ENTERPRISES Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	34,446	48,967	42.2%
Other income	Rs m	1,186	1,675	41.2%
Total Revenues	Rs m	35,632	50,642	42.1%
Gross profit	Rs m	9,081	11,944	31.5%
Depreciation	Rs m	3,146	3,021	-4.0%
Interest	Rs m	4,342	4,910	13.1%
Profit before tax	Rs m	2,780	5,687	104.6%
Tax	Rs m	558	1,676	200.3%
Profit after tax	Rs m	2,222	4,010	80.5%
Gross profit margin	%	26.4	24.4
Effective tax rate	%	20.1	29.5
Net profit margin	%	6.4	8.2

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BRIGADE ENTERPRISES Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 90 billion as compared to Rs 88 billion in FY23, thereby witnessing an increase of 3.3%.
• Long-term debt stood at Rs 49 billion as compared to Rs 42 billion during FY23, a growth of 16.5%.
• Current assets rose 8% and stood at Rs 105 billion, while fixed assets rose 11% and stood at Rs 70 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 175 billion as against Rs 160 billion during FY23, thereby witnessing a growth of 9%.

BRIGADE ENTERPRISES Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	32,378	36,363	12.3
Current Liabilities	Rs m	87,521	90,388	3.3
Long-term Debt	Rs m	41,933	48,866	16.5
Total Liabilities	Rs m	160,338	175,167	9.2
Current assets	Rs m	97,121	105,065	8.2
Fixed Assets	Rs m	63,216	70,102	10.9
Total Assets	Rs m	160,338	175,167	9.2

BRIGADE ENTERPRISES Cash Flow Statement Analysis

• BRIGADE ENTERPRISES's cash flow from operating activities (CFO) during FY24 stood at Rs 3 billion on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -4 billion, an improvement of 40.2% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 2 billion, an improvement of 135% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 2 billion from the Rs 6 million net cash flows seen during FY23.

BRIGADE ENTERPRISES 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	9,665	3,340	-65.4%
Cash Flow from Investing Activities	Rs m	-2,706	-3,795	-
Cash Flow from Financing Activities	Rs m	-6,952	2,406	-
Net Cash Flow	Rs m	6	1,951	30,390.6%

Current Valuations for BRIGADE ENTERPRISES

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 17.4, an improvement from the EPS of Rs 9.6 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 1,295.3, stands at 74.7 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 8.2 times, while the price to sales ratio stands at 6.1 times.
• The company's price to cash flow (P/CF) ratio stood at 25.8 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	149.3	211.9
TTM Earnings per share	Rs	9.6	17.4
Diluted earnings per share	Rs	9.6	17.4
Price to Cash Flow	x	20.4	25.8
TTM P/E ratio	x	50.3	74.7
Price / Book Value ratio	x	3.5	5.0
Market Cap	Rs m	111,934	181,545
Dividends per share (Unadj.)	Rs	2.0	2.0

Ratio Analysis for BRIGADE ENTERPRISES

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.2x 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 improved and stood at 2.2x during FY24, from 1.6x 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 11.0% during FY24, from 6.9% 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 12.4% during FY24, from 9.6% 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 improved and stood at 5.1% during FY24, from 4.1% 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	1.2
Debtors’ Days	Days	489	372
Interest coverage	x	1.6	2.2
Debt to equity ratio	x	1.3	1.3
Return on assets	%	4.1	5.1
Return on equity	%	6.9	11.0
Return on capital employed	%	9.6	12.4

To see how BRIGADE ENTERPRISES has performed over the last 5 years, please visit here.

BRIGADE ENTERPRISES Share Price Performance

Over the last one year, BRIGADE ENTERPRISES share price has moved up from Rs 586.7 to Rs 1,295.3, registering a gain of Rs 708.6 or around 120.8%.

Meanwhile, the S&P BSE REALTY Index is trading at Rs 8,796.9 (up 1.6%). Over the last one year it has moved up from 4,317.9 to 8,796.9, a gain of 4,479 points (up 103.7%).

Overall, the S&P BSE SENSEX is up 21.2% over the year.

(To know more, check out historical annual results for BRIGADE ENTERPRISES and quarterly results for BRIGADE ENTERPRISES)