GLOSTER 2023-24 Annual Report Analysis

Mon, 22 Jul

GLOSTER 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.

GLOSTER Income Statement Analysis

• Operating income during the year fell 9.0% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 9.1% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 11.7% in FY24 as against 11.7% in FY23.
• Depreciation charges decreased by 0.1% and finance costs increased by 24.0% YoY, respectively.
• Other income declined by 11.9% YoY.
• Net profit for the year declined by 19.0% YoY.
• Net profit margins during the year declined from 7.7% in FY23 to 6.8% in FY24.

GLOSTER Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	7,102	6,466	-9.0%
Other income	Rs m	259	228	-11.9%
Total Revenues	Rs m	7,361	6,694	-9.1%
Gross profit	Rs m	832	756	-9.1%
Depreciation	Rs m	356	356	-0.1%
Interest	Rs m	21	26	24.0%
Profit before tax	Rs m	714	603	-15.6%
Tax	Rs m	170	162	-4.8%
Profit after tax	Rs m	544	441	-19.0%
Gross profit margin	%	11.7	11.7
Effective tax rate	%	23.8	26.8
Net profit margin	%	7.7	6.8

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

GLOSTER Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 3 billion as compared to Rs 2 billion in FY23, thereby witnessing an increase of 97.9%.
• Long-term debt down at Rs 19 million as compared to Rs 469 million during FY23, a fall of 96.1%.
• Current assets rose 23% and stood at Rs 4 billion, while fixed assets rose 9% and stood at Rs 11 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 15 billion as against Rs 14 billion during FY23, thereby witnessing a growth of 12%.

GLOSTER Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	10,790	11,425	5.9
Current Liabilities	Rs m	1,566	3,099	97.9
Long-term Debt	Rs m	469	19	-96.1
Total Liabilities	Rs m	13,771	15,481	12.4
Current assets	Rs m	3,465	4,265	23.1
Fixed Assets	Rs m	10,306	11,215	8.8
Total Assets	Rs m	13,771	15,481	12.4

GLOSTER Cash Flow Statement Analysis

• GLOSTER's cash flow from operating activities (CFO) during FY24 stood at Rs 708 million, an improvement of 5.8% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -834 million, an improvement of 8.0% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 119 million on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -8 million from the Rs 45 million net cash flows seen during FY23.

GLOSTER 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	669	708	5.8%
Cash Flow from Investing Activities	Rs m	-773	-834	-
Cash Flow from Financing Activities	Rs m	149	119	-19.9%
Net Cash Flow	Rs m	45	-8	-

Current Valuations for GLOSTER

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 40.3, an decline from the EPS of Rs 49.7 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 817.5, stands at 36.7 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 0.8 times, while the price to sales ratio stands at 1.4 times.
• The company's price to cash flow (P/CF) ratio stood at 10.7 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	649.2	591.0
TTM Earnings per share	Rs	49.7	40.3
Diluted earnings per share	Rs	49.7	40.3
Price to Cash Flow	x	6.8	10.7
TTM P/E ratio	x	11.2	36.7
Price / Book Value ratio	x	0.7	0.7
Market Cap	Rs m	7,865	8,517
Dividends per share (Unadj.)	Rs	70.0	20.0

Ratio Analysis for GLOSTER

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.4x during FY24, from 2.2x 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 24.2x during FY24, from 35.0x 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 3.9% during FY24, from 5.0% 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 5.5% during FY24, from 6.5% 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 4.1% 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	2.2	1.4
Debtors’ Days	Days	196	226
Interest coverage	x	35.0	24.2
Debt to equity ratio	x	0.0	0.0
Return on assets	%	4.1	3.0
Return on equity	%	5.0	3.9
Return on capital employed	%	6.5	5.5

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

GLOSTER Share Price Performance

Over the last one year, GLOSTER share price has moved up from Rs 759.6 to Rs 817.5, registering a gain of Rs 58.0 or around 7.6%.

Overall, the S&P BSE SENSEX is up 20.6% over the year.

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