GTPL HATHWAY 2023-24 Annual Report Analysis

Wed, 16 Oct

GTPL HATHWAY 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.

GTPL HATHWAY Income Statement Analysis

• Operating income during the year rose 20.6% on a year-on-year (YoY) basis.
• The company's operating profit increased by 6.5% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 14.9% in FY24 as against 16.8% in FY23.
• Depreciation charges increased by 5.7% and finance costs increased by 130.8% YoY, respectively.
• Other income declined by 33.0% YoY.
• Net profit for the year declined by 10.4% YoY.
• Net profit margins during the year declined from 4.7% in FY23 to 3.5% in FY24.

GTPL HATHWAY Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	26,639	32,125	20.6%
Other income	Rs m	501	336	-33.0%
Total Revenues	Rs m	27,140	32,460	19.6%
Gross profit	Rs m	4,481	4,774	6.5%
Depreciation	Rs m	3,189	3,372	5.7%
Interest	Rs m	99	229	130.8%
Profit before tax	Rs m	1,694	1,508	-10.9%
Tax	Rs m	445	390	-12.3%
Profit after tax	Rs m	1,248	1,118	-10.4%
Gross profit margin	%	16.8	14.9
Effective tax rate	%	26.3	25.9
Net profit margin	%	4.7	3.5

Must See: These Segments are Witnessing Incredible Growth with Modi's Push

GTPL HATHWAY Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 16 billion as compared to Rs 14 billion in FY23, thereby witnessing an increase of 13.8%.
• Long-term debt stood at Rs 584 million as compared to Rs 274 million during FY23, a growth of 112.9%.
• Current assets rose 10% and stood at Rs 7 billion, while fixed assets rose 14% and stood at Rs 23 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 30 billion as against Rs 27 billion during FY23, thereby witnessing a growth of 13%.

GTPL HATHWAY Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	11,032	11,598	5.1
Current Liabilities	Rs m	13,732	15,628	13.8
Long-term Debt	Rs m	274	584	112.9
Total Liabilities	Rs m	26,724	30,193	13.0
Current assets	Rs m	6,606	7,248	9.7
Fixed Assets	Rs m	20,118	22,945	14.1
Total Assets	Rs m	26,724	30,193	13.0

GTPL HATHWAY Cash Flow Statement Analysis

• GTPL HATHWAY's cash flow from operating activities (CFO) during FY24 stood at Rs 5 billion on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -5 billion, an improvement of 3.5% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -475 million, an improvement of 18% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -695 million from the Rs 638 million net cash flows seen during FY23.

GTPL HATHWAY 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	5,826	4,548	-21.9%
Cash Flow from Investing Activities	Rs m	-4,609	-4,770	-
Cash Flow from Financing Activities	Rs m	-581	-475	-
Net Cash Flow	Rs m	638	-695	-

Current Valuations for GTPL HATHWAY

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 9.9, an decline from the EPS of Rs 11.1 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 158.9, stands at 25.9 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.5 times, while the price to sales ratio stands at 0.6 times.
• The company's price to cash flow (P/CF) ratio stood at 4.0 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	236.9	285.7
TTM Earnings per share	Rs	11.1	9.9
Diluted earnings per share	Rs	11.1	9.9
Price to Cash Flow	x	2.5	4.0
TTM P/E ratio	x	8.8	25.9
Price / Book Value ratio	x	1.6	1.5
Market Cap	Rs m	17,988	17,806
Dividends per share (Unadj.)	Rs	4.0	4.0

Ratio Analysis for GTPL HATHWAY

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 0.5x during FY24, from 0.5x 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 7.6x during FY24, from 18.1x 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 9.6% during FY24, from 11.3% 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 14.3% during FY24, from 15.9% 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 4.5% during FY24, from 5.0% 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	0.5	0.5
Debtors’ Days	Days	40	50
Interest coverage	x	18.1	7.6
Debt to equity ratio	x	0.0	0.1
Return on assets	%	5.0	4.5
Return on equity	%	11.3	9.6
Return on capital employed	%	15.9	14.3

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

GTPL HATHWAY Share Price Performance

Over the last one year, GTPL HATHWAY share price has moved down from Rs 172.9 to Rs 158.9, registering a loss of Rs 14.0 or around 8.1%.

Overall, the S&P BSE SENSEX is up 23.7% over the year.

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