GUFIC BIOSCIENCE 2023-24 Annual Report Analysis

Fri, 20 Sep

GUFIC BIOSCIENCE 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.

GUFIC BIOSCIENCE Income Statement Analysis

• Operating income during the year rose 16.8% on a year-on-year (YoY) basis.
• The company's operating profit increased by 8.3% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 18.1% in FY24 as against 19.5% in FY23.
• Depreciation charges decreased by 23.6% and finance costs increased by 86.8% YoY, respectively.
• Other income declined by 15.4% YoY.
• Net profit for the year grew by 8.1% YoY.
• Net profit margins during the year declined from 11.5% in FY23 to 10.7% in FY24.

GUFIC BIOSCIENCE Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	6,906	8,067	16.8%
Other income	Rs m	26	22	-15.4%
Total Revenues	Rs m	6,932	8,088	16.7%
Gross profit	Rs m	1,347	1,459	8.3%
Depreciation	Rs m	223	170	-23.6%
Interest	Rs m	82	154	86.8%
Profit before tax	Rs m	1,067	1,157	8.4%
Tax	Rs m	270	295	9.3%
Profit after tax	Rs m	797	861	8.1%
Gross profit margin	%	19.5	18.1
Effective tax rate	%	25.3	25.5
Net profit margin	%	11.5	10.7

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GUFIC BIOSCIENCE Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 4 billion as compared to Rs 3 billion in FY23, thereby witnessing an increase of 29.1%.
• Long-term debt down at Rs 2 billion as compared to Rs 2 billion during FY23, a fall of 19.3%.
• Current assets rose 29% and stood at Rs 6 billion, while fixed assets rose 24% and stood at Rs 5 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 11 billion as against Rs 9 billion during FY23, thereby witnessing a growth of 27%.

GUFIC BIOSCIENCE Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	3,478	5,326	53.1
Current Liabilities	Rs m	2,882	3,720	29.1
Long-term Debt	Rs m	1,907	1,540	-19.3
Total Liabilities	Rs m	8,602	10,925	27.0
Current assets	Rs m	4,641	6,005	29.4
Fixed Assets	Rs m	3,961	4,921	24.2
Total Assets	Rs m	8,602	10,925	27.0

GUFIC BIOSCIENCE Cash Flow Statement Analysis

• GUFIC BIOSCIENCE's cash flow from operating activities (CFO) during FY24 stood at Rs -75 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -1 billion on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 824 million on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -275 million from the Rs 170 million net cash flows seen during FY23.

GUFIC BIOSCIENCE 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	-266	-75	-
Cash Flow from Investing Activities	Rs m	-1,907	-1,024	-
Cash Flow from Financing Activities	Rs m	2,343	824	-64.8%
Net Cash Flow	Rs m	170	-275	-

Current Valuations for GUFIC BIOSCIENCE

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 8.6, an improvement from the EPS of Rs 8.2 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 400.3, stands at 46.5 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 7.5 times, while the price to sales ratio stands at 5.0 times.
• The company's price to cash flow (P/CF) ratio stood at 26.5 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	71.2	80.4
TTM Earnings per share	Rs	8.2	8.6
Diluted earnings per share	Rs	7.9	8.6
Price to Cash Flow	x	18.4	26.5
TTM P/E ratio	x	23.5	46.5
Price / Book Value ratio	x	6.5	5.1
Market Cap	Rs m	22,620	27,356
Dividends per share (Unadj.)	Rs	0.1	0.1

Ratio Analysis for GUFIC BIOSCIENCE

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.6x during FY24, from 1.6x 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 deteriorated and stood at 8.5x during FY24, from 14.0x 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 declined and down at 16.2% during FY24, from 22.9% 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 declined and down at 19.1% during FY24, from 21.3% 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 declined and down at 9.3% during FY24, from 10.2% 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	1.6	1.6
Debtors’ Days	Days	1,086	1,493
Interest coverage	x	14.0	8.5
Debt to equity ratio	x	0.5	0.3
Return on assets	%	10.2	9.3
Return on equity	%	22.9	16.2
Return on capital employed	%	21.3	19.1

To see how GUFIC BIOSCIENCE has performed over the last 5 years, please visit here.

GUFIC BIOSCIENCE Share Price Performance

Over the last one year, GUFIC BIOSCIENCE share price has moved up from Rs 285.5 to Rs 400.3, registering a gain of Rs 114.8 or around 40.2%.

Meanwhile, the S&P BSE HEALTHCARE Index is trading at Rs 43,655.3 (down 0.3%). Over the last one year it has moved up from 28,349.9 to 43,655.3, a gain of 15,305 points (up 54.0%).

Overall, the S&P BSE SENSEX is up 23.1% over the year.

(To know more, check out historical annual results for GUFIC BIOSCIENCE and quarterly results for GUFIC BIOSCIENCE)