GLAND PHARMA 2023-24 Annual Report Analysis

Mon, 12 Aug

GLAND PHARMA 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.

GLAND PHARMA Income Statement Analysis

• Operating income during the year rose 56.3% on a year-on-year (YoY) basis.
• The company's operating profit increased by 37.7% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 23.5% in FY24 as against 26.7% in FY23.
• Depreciation charges increased by 134.8% and finance costs increased by 251.8% YoY, respectively.
• Other income declined by 29.2% YoY.
• Net profit for the year declined by 1.1% YoY.
• Net profit margins during the year declined from 21.5% in FY23 to 13.6% in FY24.

GLAND PHARMA Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	36,246	56,647	56.3%
Other income	Rs m	2,405	1,702	-29.2%
Total Revenues	Rs m	38,651	58,350	51.0%
Gross profit	Rs m	9,683	13,331	37.7%
Depreciation	Rs m	1,467	3,446	134.8%
Interest	Rs m	74	262	251.8%
Profit before tax	Rs m	10,546	11,325	7.4%
Tax	Rs m	2,735	3,601	31.6%
Profit after tax	Rs m	7,810	7,725	-1.1%
Gross profit margin	%	26.7	23.5
Effective tax rate	%	25.9	31.8
Net profit margin	%	21.5	13.6

Don't Miss: Key Information for Long-term Investors

GLAND PHARMA Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 14 billion as compared to Rs 7 billion in FY23, thereby witnessing an increase of 91.8%.
• Long-term debt stood at Rs 1 billion as compared to Rs 33 million during FY23, a growth of 3167.1%.
• Current assets fell 18% and stood at Rs 56 billion, while fixed assets rose 165% and stood at Rs 50 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 106 billion as against Rs 88 billion during FY23, thereby witnessing a growth of 21%.

GLAND PHARMA Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	79,571	87,225	9.6
Current Liabilities	Rs m	7,291	13,984	91.8
Long-term Debt	Rs m	33	1,065	3,167.1
Total Liabilities	Rs m	87,775	106,108	20.9
Current assets	Rs m	69,008	56,452	-18.2
Fixed Assets	Rs m	18,767	49,657	164.6
Total Assets	Rs m	87,775	106,108	20.9

GLAND PHARMA Cash Flow Statement Analysis

• GLAND PHARMA's cash flow from operating activities (CFO) during FY24 stood at Rs 10 billion, an improvement of 173.9% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -18 billion on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -8 billion on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -16 billion from the Rs 16 billion net cash flows seen during FY23.

GLAND PHARMA 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	3,640	9,968	173.9%
Cash Flow from Investing Activities	Rs m	12,082	-17,569	-
Cash Flow from Financing Activities	Rs m	149	-7,994	-
Net Cash Flow	Rs m	15,901	-15,518	-

Current Valuations for GLAND PHARMA

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 46.9, an decline from the EPS of Rs 47.4 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 2,047.2, stands at 46.7 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 3.9 times, while the price to sales ratio stands at 6.0 times.
• The company's price to cash flow (P/CF) ratio stood at 22.5 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	220.1	343.9
TTM Earnings per share	Rs	47.4	46.9
Diluted earnings per share	Rs	47.4	46.9
Price to Cash Flow	x	22.5	22.5
TTM P/E ratio	x	26.8	46.7
Price / Book Value ratio	x	4.9	2.9
Market Cap	Rs m	385,935	251,781
Dividends per share (Unadj.)	Rs	0.0	20.0

Ratio Analysis for GLAND PHARMA

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 4.0x during FY24, from 9.5x 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 44.2x during FY24, from 142.6x 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 8.9% 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 declined and down at 13.1% during FY24, from 13.3% 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 7.5% during FY24, from 9.0% 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	9.5	4.0
Debtors’ Days	Days	88	100
Interest coverage	x	142.6	44.2
Debt to equity ratio	x	0.0	0.0
Return on assets	%	9.0	7.5
Return on equity	%	9.8	8.9
Return on capital employed	%	13.3	13.1

To see how GLAND PHARMA has performed over the last 5 years, please visit here.

GLAND PHARMA Share Price Performance

Over the last one year, GLAND PHARMA share price has moved up from Rs 1,649.7 to Rs 2,047.2, registering a gain of Rs 397.5 or around 24.1%.

Meanwhile, the S&P BSE HEALTHCARE Index is trading at Rs 41,063.3 (down 0.0%). Over the last one year it has moved up from 27,952.4 to 41,063.3, a gain of 13,111 points (up 46.9%).

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

(To know more, check out historical annual results for GLAND PHARMA and quarterly results for GLAND PHARMA)