BALRAMPUR CHINI 2023-24 Annual Report Analysis

Thu, 11 Jul

BALRAMPUR CHINI 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.

BALRAMPUR CHINI Income Statement Analysis

• Operating income during the year rose 19.9% on a year-on-year (YoY) basis.
• The company's operating profit increased by 55.1% YoY during the fiscal. Operating profit margins witnessed a fall and down at 14.5% in FY24 as against 11.2% in FY23.
• Depreciation charges increased by 28.5% and finance costs increased by 71.9% YoY, respectively.
• Other income grew by 186.5% YoY.
• Net profit for the year grew by 88.1% YoY.
• Net profit margins during the year grew from 6.1% in FY23 to 9.6% in FY24.

BALRAMPUR CHINI Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	46,659	55,937	19.9%
Other income	Rs m	628	1,799	186.5%
Total Revenues	Rs m	47,287	57,737	22.1%
Gross profit	Rs m	5,237	8,123	55.1%
Depreciation	Rs m	1,295	1,664	28.5%
Interest	Rs m	486	836	71.9%
Profit before tax	Rs m	4,083	7,422	81.8%
Tax	Rs m	1,241	2,077	67.3%
Profit after tax	Rs m	2,842	5,345	88.1%
Gross profit margin	%	11.2	14.5
Effective tax rate	%	30.4	28.0
Net profit margin	%	6.1	9.6

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BALRAMPUR CHINI Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 22 billion as compared to Rs 20 billion in FY23, thereby witnessing an increase of 13.2%.
• Long-term debt down at Rs 3 billion as compared to Rs 4 billion during FY23, a fall of 23.9%.
• Current assets rose 22% and stood at Rs 31 billion, while fixed assets rose 6% and stood at Rs 37 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 68 billion as against Rs 61 billion during FY23, thereby witnessing a growth of 13%.

BALRAMPUR CHINI Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	28,956	33,770	16.6
Current Liabilities	Rs m	19,644	22,243	13.2
Long-term Debt	Rs m	4,288	3,263	-23.9
Total Liabilities	Rs m	60,570	68,188	12.6
Current assets	Rs m	25,777	31,392	21.8
Fixed Assets	Rs m	34,793	36,796	5.8
Total Assets	Rs m	60,570	68,188	12.6

BALRAMPUR CHINI Cash Flow Statement Analysis

• BALRAMPUR CHINI's cash flow from operating activities (CFO) during FY24 stood at Rs 2 billion 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 470 million on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 0 million from the Rs 0 million net cash flows seen during FY23.

BALRAMPUR CHINI 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	4,529	1,778	-60.7%
Cash Flow from Investing Activities	Rs m	-8,588	-2,248	-
Cash Flow from Financing Activities	Rs m	4,058	470	-88.4%
Net Cash Flow	Rs m	0	0	-

Current Valuations for BALRAMPUR CHINI

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 26.5, an improvement from the EPS of Rs 14.1 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 441.3, stands at 17.5 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 2.6 times, while the price to sales ratio stands at 1.6 times.
• The company's price to cash flow (P/CF) ratio stood at 11.9 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	231.3	277.3
TTM Earnings per share	Rs	14.1	26.5
Diluted earnings per share	Rs	14.1	26.5
Price to Cash Flow	x	19.3	11.9
TTM P/E ratio	x	29.3	17.5
Price / Book Value ratio	x	2.9	2.5
Market Cap	Rs m	83,978	83,650
Dividends per share (Unadj.)	Rs	2.5	3.0

Ratio Analysis for BALRAMPUR CHINI

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.4x during FY24, from 1.3x 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 9.9x during FY24, from 9.4x 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 15.8% during FY24, from 9.8% 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 22.3% during FY24, from 13.7% 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 9.1% during FY24, from 5.5% 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	1.3	1.4
Debtors’ Days	Days	98	82
Interest coverage	x	9.4	9.9
Debt to equity ratio	x	0.1	0.1
Return on assets	%	5.5	9.1
Return on equity	%	9.8	15.8
Return on capital employed	%	13.7	22.3

To see how BALRAMPUR CHINI has performed over the last 5 years, please visit here.

BALRAMPUR CHINI Share Price Performance

Over the last one year, BALRAMPUR CHINI share price has moved up from Rs 382.4 to Rs 441.3, registering a gain of Rs 58.9 or around 15.4%.

Overall, the S&P BSE SENSEX is up 22.1% over the year.

(To know more, check out historical annual results for BALRAMPUR CHINI and quarterly results for BALRAMPUR CHINI)