DHUNSERI INVESTMENTS 2023-24 Annual Report Analysis

Mon, 29 Jul

DHUNSERI INVESTMENTS 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.

DHUNSERI INVESTMENTS Income Statement Analysis

• Operating income during the year rose 91.5% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 76.6% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 33.7% in FY24 as against 275.5% in FY23.
• Depreciation charges increased by 31.2% and finance costs increased by 181.3% YoY, respectively.
• Other income declined by 22.4% YoY.
• Net profit for the year declined by 78.3% YoY.
• Net profit margins during the year declined from 217.6% in FY23 to 24.6% in FY24.

DHUNSERI INVESTMENTS Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	2,429	4,652	91.5%
Other income	Rs m	647	502	-22.4%
Total Revenues	Rs m	3,076	5,154	67.6%
Gross profit	Rs m	6,693	1,566	-76.6%
Depreciation	Rs m	221	290	31.2%
Interest	Rs m	57	162	181.3%
Profit before tax	Rs m	7,062	1,617	-77.1%
Tax	Rs m	1,777	471	-73.5%
Profit after tax	Rs m	5,285	1,146	-78.3%
Gross profit margin	%	275.5	33.7
Effective tax rate	%	25.2	29.1
Net profit margin	%	217.6	24.6

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DHUNSERI INVESTMENTS Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 2 billion as compared to Rs 2 billion in FY23, thereby witnessing an increase of 37.3%.
• Long-term debt stood at Rs 3 billion as compared to Rs 3 billion during FY23, a growth of 4.0%.
• Current assets rose 19% and stood at Rs 4 billion, while fixed assets rose 11% and stood at Rs 40 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 44 billion as against Rs 40 billion during FY23, thereby witnessing a growth of 11%.

DHUNSERI INVESTMENTS Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	22,699	25,585	12.7
Current Liabilities	Rs m	1,524	2,093	37.3
Long-term Debt	Rs m	3,091	3,213	4.0
Total Liabilities	Rs m	39,764	44,224	11.2
Current assets	Rs m	3,153	3,738	18.5
Fixed Assets	Rs m	36,610	40,486	10.6
Total Assets	Rs m	39,764	44,224	11.2

DHUNSERI INVESTMENTS Cash Flow Statement Analysis

• DHUNSERI INVESTMENTS's cash flow from operating activities (CFO) during FY24 stood at Rs -240 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs 651 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -426 million on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -15 million from the Rs 2 billion net cash flows seen during FY23.

DHUNSERI INVESTMENTS 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	1,390	-240	-
Cash Flow from Investing Activities	Rs m	-1,149	651	-
Cash Flow from Financing Activities	Rs m	2,004	-426	-
Net Cash Flow	Rs m	2,230	-15	-

Current Valuations for DHUNSERI INVESTMENTS

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 187.8, an decline from the EPS of Rs 866.4 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 1,460.0, stands at 13.6 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 0.3 times, while the price to sales ratio stands at 1.9 times.
• The company's price to cash flow (P/CF) ratio stood at 4.7 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	398.2	762.6
TTM Earnings per share	Rs	866.4	187.8
Diluted earnings per share	Rs	866.8	187.9
Price to Cash Flow	x	0.7	4.7
TTM P/E ratio	x	-2.8	13.6
Price / Book Value ratio	x	0.2	0.3
Market Cap	Rs m	4,225	6,813
Dividends per share (Unadj.)	Rs	2.5	2.5

Ratio Analysis for DHUNSERI INVESTMENTS

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.8x during FY24, from 2.1x 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 11.0x during FY24, from 124.0x 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 4.5% during FY24, from 23.3% 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 6.2% during FY24, from 27.6% 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 declined and down at 3.0% during FY24, from 13.4% 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	2.1	1.8
Debtors’ Days	Days	2	33
Interest coverage	x	124.0	11.0
Debt to equity ratio	x	0.1	0.1
Return on assets	%	13.4	3.0
Return on equity	%	23.3	4.5
Return on capital employed	%	27.6	6.2

To see how DHUNSERI INVESTMENTS has performed over the last 5 years, please visit here.

DHUNSERI INVESTMENTS Share Price Performance

Over the last one year, DHUNSERI INVESTMENTS share price has moved up from Rs 706.2 to Rs 1,460.0, registering a gain of Rs 753.9 or around 106.8%.

Overall, the S&P BSE SENSEX is up 22.6% over the year.

(To know more, check out historical annual results for DHUNSERI INVESTMENTS and quarterly results for DHUNSERI INVESTMENTS)