GOKUL AGRO RESOURCES 2023-24 Annual Report Analysis

Mon, 12 Aug

GOKUL AGRO RESOURCES 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.

GOKUL AGRO RESOURCES Income Statement Analysis

• Operating income during the year rose 29.0% on a year-on-year (YoY) basis.
• The company's operating profit increased by 11.7% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 2.1% in FY24 as against 2.5% in FY23.
• Depreciation charges increased by 10.6% and finance costs increased by 51.7% YoY, respectively.
• Other income grew by 88.7% YoY.
• Net profit for the year grew by 2.5% YoY.
• Net profit margins during the year declined from 1.2% in FY23 to 1.0% in FY24.

GOKUL AGRO RESOURCES Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	107,398	138,539	29.0%
Other income	Rs m	168	317	88.7%
Total Revenues	Rs m	107,566	138,856	29.1%
Gross profit	Rs m	2,644	2,953	11.7%
Depreciation	Rs m	289	319	10.6%
Interest	Rs m	776	1,177	51.7%
Profit before tax	Rs m	1,747	1,773	1.5%
Tax	Rs m	423	416	-1.8%
Profit after tax	Rs m	1,324	1,358	2.5%
Gross profit margin	%	2.5	2.1
Effective tax rate	%	24.2	23.4
Net profit margin	%	1.2	1.0

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GOKUL AGRO RESOURCES Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 21 billion as compared to Rs 12 billion in FY23, thereby witnessing an increase of 79.4%.
• Long-term debt stood at Rs 3 billion as compared to Rs 3 billion during FY23, a growth of 6.8%.
• Current assets rose 59% and stood at Rs 24 billion, while fixed assets rose 31% and stood at Rs 8 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 32 billion as against Rs 21 billion during FY23, thereby witnessing a growth of 51%.

GOKUL AGRO RESOURCES Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	6,506	7,863	20.9
Current Liabilities	Rs m	11,648	20,895	79.4
Long-term Debt	Rs m	2,755	2,943	6.8
Total Liabilities	Rs m	21,210	32,068	51.2
Current assets	Rs m	15,277	24,287	59.0
Fixed Assets	Rs m	5,933	7,781	31.2
Total Assets	Rs m	21,210	32,068	51.2

GOKUL AGRO RESOURCES Cash Flow Statement Analysis

• GOKUL AGRO RESOURCES's cash flow from operating activities (CFO) during FY24 stood at Rs 4 billion, an improvement of 1,689.8% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -3 billion, an improvement of 49.0% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 24 million on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 608 million from the Rs -365 million net cash flows seen during FY23.

GOKUL AGRO RESOURCES 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	199	3,554	1,689.8%
Cash Flow from Investing Activities	Rs m	-1,992	-2,969	-
Cash Flow from Financing Activities	Rs m	1,428	24	-98.3%
Net Cash Flow	Rs m	-365	608	-

Current Valuations for GOKUL AGRO RESOURCES

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 9.2, an improvement from the EPS of Rs 9.0 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 208.7, stands at 18.7 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 0.2 times.
• The company's price to cash flow (P/CF) ratio stood at 10.1 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	727.9	939.0
TTM Earnings per share	Rs	9.0	9.2
Diluted earnings per share	Rs	9.0	9.2
Price to Cash Flow	x	9.4	10.1
TTM P/E ratio	x	11.4	18.7
Price / Book Value ratio	x	2.5	2.2
Market Cap	Rs m	16,577	16,960
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for GOKUL AGRO RESOURCES

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.2x during FY24, from 1.3x 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 2.5x during FY24, from 3.3x 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 17.3% during FY24, from 20.4% 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 improved and stood at 27.3% during FY24, from 27.2% 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 7.9% during FY24, from 9.9% 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	1.3	1.2
Debtors’ Days	Days	138	102
Interest coverage	x	3.3	2.5
Debt to equity ratio	x	0.4	0.4
Return on assets	%	9.9	7.9
Return on equity	%	20.4	17.3
Return on capital employed	%	27.2	27.3

To see how GOKUL AGRO RESOURCES has performed over the last 5 years, please visit here.

GOKUL AGRO RESOURCES Share Price Performance

Over the last one year, GOKUL AGRO RESOURCES share price has moved up from Rs 109.4 to Rs 208.7, registering a gain of Rs 99.3 or around 90.8%.

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

(To know more, check out historical annual results for GOKUL AGRO RESOURCES and quarterly results for GOKUL AGRO RESOURCES)