CONCORD BIOTECH 2023-24 Annual Report Analysis

Tue, 11 Jun

CONCORD BIOTECH 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.

CONCORD BIOTECH Income Statement Analysis

• Operating income during the year rose 19.2% on a year-on-year (YoY) basis.
• The company's operating profit increased by 23.3% YoY during the fiscal. Operating profit margins witnessed a fall and down at 42.5% in FY24 as against 41.1% in FY23.
• Depreciation charges decreased by 0.8% and finance costs decreased by 67.5% YoY, respectively.
• Other income declined by 4.3% YoY.
• Net profit for the year grew by 26.9% YoY.
• Net profit margins during the year grew from 28.1% in FY23 to 30.0% in FY24.

CONCORD BIOTECH Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	8,532	10,169	19.2%
Other income	Rs m	353	338	-4.3%
Total Revenues	Rs m	8,885	10,507	18.3%
Gross profit	Rs m	3,505	4,322	23.3%
Depreciation	Rs m	540	536	-0.8%
Interest	Rs m	98	32	-67.5%
Profit before tax	Rs m	3,220	4,092	27.1%
Tax	Rs m	819	1,045	27.5%
Profit after tax	Rs m	2,401	3,047	26.9%
Gross profit margin	%	41.1	42.5
Effective tax rate	%	25.4	25.5
Net profit margin	%	28.1	30.0

Dear Reader: If You Invest in Midcap Stocks, this is for You

CONCORD BIOTECH Balance Sheet Analysis

• The company's current liabilities during FY24 down at Rs 1 billion as compared to Rs 4 billion in FY23, thereby witnessing an decrease of -62.2%.
• Current assets rose 23% and stood at Rs 9 billion, while fixed assets fell 17% and stood at Rs 8 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 17 billion as against Rs 17 billion during FY23, thereby witnessing a growth of 0%.

CONCORD BIOTECH Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	12,900	15,253	18.2
Current Liabilities	Rs m	3,764	1,422	-62.2
Long-term Debt	Rs m	62	0	-100.0
Total Liabilities	Rs m	16,985	16,993	0.0
Current assets	Rs m	7,277	8,962	23.2
Fixed Assets	Rs m	9,708	8,031	-17.3
Total Assets	Rs m	16,985	16,993	0.0

CONCORD BIOTECH Cash Flow Statement Analysis

• CONCORD BIOTECH's cash flow from operating activities (CFO) during FY24 stood at Rs 3 billion, an improvement of 7.9% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -2 billion on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -992 million on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 116 million from the Rs 28 million net cash flows seen during FY23.

CONCORD BIOTECH 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	2,460	2,655	7.9%
Cash Flow from Investing Activities	Rs m	-1,579	-1,546	-
Cash Flow from Financing Activities	Rs m	-852	-992	-
Net Cash Flow	Rs m	28	116	311.1%

Current Valuations for CONCORD BIOTECH

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 29.1, an improvement from the EPS of Rs 22.9 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 1,451.2, stands at 49.8 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 10.0 times, while the price to sales ratio stands at 14.9 times.
• The company's price to cash flow (P/CF) ratio stood at 36.6 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	81.5	97.2
TTM Earnings per share	Rs	22.9	29.1
Diluted earnings per share	Rs	22.9	29.1
Price to Cash Flow	x	0.0	36.6
TTM P/E ratio	x	0.0	49.8
Price / Book Value ratio	x	0.0	8.6
Market Cap	Rs m	0	131,199
Dividends per share (Unadj.)	Rs	6.8	8.8

Ratio Analysis for CONCORD BIOTECH

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 6.3x during FY24, from 1.9x 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 129.5x during FY24, from 33.9x 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 20.0% during FY24, from 18.6% 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 27.0% during FY24, from 25.6% 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 18.1% during FY24, from 14.7% 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	1.9	6.3
Debtors’ Days	Days	117	1,255
Interest coverage	x	33.9	129.5
Debt to equity ratio	x	0.0	0.0
Return on assets	%	14.7	18.1
Return on equity	%	18.6	20.0
Return on capital employed	%	25.6	27.0

To see how CONCORD BIOTECH has performed over the last 5 years, please visit here.

CONCORD BIOTECH Share Price Performance

Over the last one year, CONCORD BIOTECH share price has moved up from Rs 0.0 to Rs 1,451.2, registering a gain of Rs 1,451.2 or around 0.0%.

Meanwhile, the S&P BSE HEALTHCARE Index is trading at Rs 36,648.8 (up 0.2%). Over the last one year it has moved up from 24,181.0 to 36,648.8, a gain of 12,468 points (up 51.6%).

Overall, the S&P BSE SENSEX is up 21.4% over the year.

(To know more, check out historical annual results for CONCORD BIOTECH and quarterly results for CONCORD BIOTECH)