CENTURY EXTRUSIONS 2021-22 Annual Report Analysis

Mon, 22 Aug

CENTURY EXTRUSIONS 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.

CENTURY EXTRUSIONS Income Statement Analysis

• Operating income during the year rose 72.1% on a year-on-year (YoY) basis.
• The company's operating profit increased by 23.6% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 5.9% in FY22 as against 8.2% in FY21.
• Depreciation charges decreased by 33.4% and finance costs increased by 2.2% YoY, respectively.
• Other income grew by 108.8% YoY.
• Net profit for the year grew by 183.0% YoY.
• Net profit margins during the year grew from 1.2% in FY21 to 1.9% in FY22.

CENTURY EXTRUSIONS Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	1,873	3,225	72.1%
Other income	Rs m	3	7	108.8%
Total Revenues	Rs m	1,877	3,232	72.2%
Gross profit	Rs m	153	189	23.6%
Depreciation	Rs m	51	34	-33.4%
Interest	Rs m	74	76	2.2%
Profit before tax	Rs m	31	87	176.4%
Tax	Rs m	10	25	161.1%
Profit after tax	Rs m	22	62	183.0%
Gross profit margin	%	8.2	5.9
Effective tax rate	%	30.4	28.7
Net profit margin	%	1.2	1.9

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CENTURY EXTRUSIONS Balance Sheet Analysis

• The company's current liabilities during FY22 stood at Rs 633 million as compared to Rs 550 million in FY21, thereby witnessing an increase of 15.1%.
• Long-term debt stood at Rs 126 million as compared to Rs 61 million during FY21, a growth of 107.9%.
• Current assets rose 29% and stood at Rs 1 billion, while fixed assets fell 7% and stood at Rs 342 million in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 1 billion as against Rs 1 billion during FY21, thereby witnessing a growth of 18%.

CENTURY EXTRUSIONS Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	529	592	12.0
Current Liabilities	Rs m	550	633	15.1
Long-term Debt	Rs m	61	126	107.9
Total Liabilities	Rs m	1,163	1,367	17.5
Current assets	Rs m	796	1,025	28.8
Fixed Assets	Rs m	367	342	-6.8
Total Assets	Rs m	1,163	1,367	17.5

CENTURY EXTRUSIONS Cash Flow Statement Analysis

• CENTURY EXTRUSIONS's cash flow from operating activities (CFO) during FY22 stood at Rs -79 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs 33 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs -38 million, an improvement of 66% on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs -84 million from the Rs 93 million net cash flows seen during FY21.

CENTURY EXTRUSIONS 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	217	-79	-
Cash Flow from Investing Activities	Rs m	-13	33	-
Cash Flow from Financing Activities	Rs m	-112	-38	-
Net Cash Flow	Rs m	93	-84	-

Current Valuations for CENTURY EXTRUSIONS

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 0.8, an improvement from the EPS of Rs 0.3 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 13.9, stands at 14.9 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.9 times, while the price to sales ratio stands at 0.3 times.
• The company's price to cash flow (P/CF) ratio stood at 8.3 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	23.4	40.3
TTM Earnings per share	Rs	0.3	0.8
Diluted earnings per share	Rs	0.3	0.8
Price to Cash Flow	x	4.7	8.3
TTM P/E ratio	x	15.6	14.9
Price / Book Value ratio	x	0.7	1.3
Market Cap	Rs m	349	797
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for CENTURY EXTRUSIONS

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.6x during FY22, from 1.4x 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 2.1x during FY22, from 1.4x 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 improved and stood at 10.4% during FY22, from 4.1% 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 improved and stood at 22.6% during FY22, from 17.9% 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 10.1% during FY22, from 8.3% 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	1.4	1.6
Debtors’ Days	Days	475	521
Interest coverage	x	1.4	2.1
Debt to equity ratio	x	0.1	0.2
Return on assets	%	8.3	10.1
Return on equity	%	4.1	10.4
Return on capital employed	%	17.9	22.6

To see how CENTURY EXTRUSIONS has performed over the last 5 years, please visit here.

CENTURY EXTRUSIONS Share Price Performance

Over the last one year, CENTURY EXTRUSIONS share price has moved up from Rs 9.9 to Rs 13.9, registering a gain of Rs 3.9 or around 39.6%.

Meanwhile, the S&P BSE METAL Index is trading at Rs 18,559.2 (down 1.7%). Over the last one year it has moved down from 19,339.4 to 18,559.2, a loss of 780 points (down 4.0%).

Overall, the S&P BSE SENSEX is up 5.9% over the year.

(To know more, check out historical annual results for CENTURY EXTRUSIONS and quarterly results for CENTURY EXTRUSIONS)