BURNPUR CEMENT 2021-22 Annual Report Analysis

Sat, 17 Sep

BURNPUR CEMENT has announced its results for the year ended March 2022. Let us have a look at the detailed performance review of the company during FY21-22.

BURNPUR CEMENT Income Statement Analysis

• Operating income during the year rose 22.2% on a year-on-year (YoY) basis.
• The company's operating profit was by NA YoY during the fiscal. Operating profit margins witnessed a growth and stood at 29.0% in FY22 as against 13.6% in FY21.
• Depreciation charges decreased by 1.9% and finance costs increased by 13.9% YoY, respectively.
• Other income grew by 2083.7% YoY.
• Net profit for the year declined by NA YoY.
• Net profit margins during the year grew from 88.9% in FY21 to 54.2% in FY22.

BURNPUR CEMENT Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	891	1,089	22.2%
Other income	Rs m	22	489	2,083.7%
Total Revenues	Rs m	913	1,578	72.8%
Gross profit	Rs m	-121	-315	NA
Depreciation	Rs m	113	111	-1.9%
Interest	Rs m	562	640	13.9%
Profit before tax	Rs m	-774	-578	NA
Tax	Rs m	18	12	-33.6%
Profit after tax	Rs m	-792	-590	NA
Gross profit margin	%	-13.6	-29.0
Effective tax rate	%	-2.3	-2.0
Net profit margin	%	-88.9	-54.2

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BURNPUR CEMENT Balance Sheet Analysis

• The company's current liabilities during FY22 stood at Rs 5 billion as compared to Rs 5 billion in FY21, thereby witnessing an increase of 6.3%.
• Current assets fell 67% and stood at Rs 133 million, while fixed assets fell 10% and stood at Rs 2 billion in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 2 billion as against Rs 3 billion during FY21, thereby witnessing a fall of 18%.

BURNPUR CEMENT Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	-2,231	-2,820	NA
Current Liabilities	Rs m	4,610	4,899	6.3
Long-term Debt	Rs m	218	0	-100.0
Total Liabilities	Rs m	2,858	2,348	-17.9
Current assets	Rs m	398	133	-66.7
Fixed Assets	Rs m	2,461	2,215	-10.0
Total Assets	Rs m	2,858	2,348	-17.9

BURNPUR CEMENT Cash Flow Statement Analysis

• BURNPUR CEMENT's cash flow from operating activities (CFO) during FY22 stood at Rs 67 million, an improvement of 34.9% on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs -3 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs -63 million on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs 2 million from the Rs 1 million net cash flows seen during FY21.

BURNPUR CEMENT Cash Flow Statement 2021-22

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-21	Mar-22
Cash Flow from Operating Activities	Rs m	50	67	34.9%
Cash Flow from Investing Activities	Rs m	10	-3	-
Cash Flow from Financing Activities	Rs m	-59	-63	-
Net Cash Flow	Rs m	1	2	123.2%

Current Valuations for BURNPUR CEMENT

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs -6.8, an improvement from the EPS of Rs -9.2 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 5.5, stands at -0.8 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at -0.2 times, while the price to sales ratio stands at 0.4 times.
• The company's price to cash flow (P/CF) ratio stood at -1.0 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*
Sales per share (Unadj.)	Rs	10.3	12.6
TTM Earnings per share	Rs	-9.2	-6.8
Diluted earnings per share	Rs	-9.2	-6.8
Price to Cash Flow	x	-0.3	-1.0
TTM P/E ratio	x	-0.2	-0.8
Price / Book Value ratio	x	-0.1	-0.2
Market Cap	Rs m	164	461
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for BURNPUR CEMENT

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 0.0x during FY22, from 0.1x during FY21. 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 0.1x during FY22, from -0.4x during FY21. 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 20.9% during FY22, from 35.5% during FY22. 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 -2.2% during FY22, from 10.5% during FY21. 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 2.2% during FY22, from -8.0% during FY21. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*
Current ratio	x	0.1	0.0
Debtors’ Days	Days	85	1
Interest coverage	x	-0.4	0.1
Debt to equity ratio	x	-0.1	0.0
Return on assets	%	-8.0	2.2
Return on equity	%	35.5	20.9
Return on capital employed	%	10.5	-2.2

To see how BURNPUR CEMENT has performed over the last 5 years, please visit here.

BURNPUR CEMENT Share Price Performance

Over the last one year, BURNPUR CEMENT share price has moved up from Rs 3.2 to Rs 5.5, registering a gain of Rs 2.3 or around 73.0%.

Overall, the S&P BSE SENSEX is up 0.2% over the year.

(To know more, check out historical annual results for BURNPUR CEMENT and quarterly results for BURNPUR CEMENT)