HAVELLS INDIA 2023-24 Annual Report Analysis

Fri, 31 May

HAVELLS INDIA 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.

HAVELLS INDIA Income Statement Analysis

• Operating income during the year rose 9.9% on a year-on-year (YoY) basis.
• The company's operating profit increased by 16.1% YoY during the fiscal. Operating profit margins witnessed a fall and down at 10.1% in FY24 as against 9.6% in FY23.
• Depreciation charges increased by 14.3% and finance costs increased by 52.9% YoY, respectively.
• Other income grew by 40.1% YoY.
• Net profit for the year grew by 18.6% YoY.
• Net profit margins during the year grew from 6.3% in FY23 to 6.8% in FY24.

HAVELLS INDIA Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	169,107	185,900	9.9%
Other income	Rs m	1,777	2,490	40.1%
Total Revenues	Rs m	170,884	188,390	10.2%
Gross profit	Rs m	16,206	18,811	16.1%
Depreciation	Rs m	2,962	3,385	14.3%
Interest	Rs m	551	842	52.9%
Profit before tax	Rs m	14,471	17,074	18.0%
Tax	Rs m	3,753	4,366	16.3%
Profit after tax	Rs m	10,717	12,708	18.6%
Gross profit margin	%	9.6	10.1
Effective tax rate	%	25.9	25.6
Net profit margin	%	6.3	6.8

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HAVELLS INDIA Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 46 billion as compared to Rs 42 billion in FY23, thereby witnessing an increase of 11.2%.
• Current assets rose 12% and stood at Rs 83 billion, while fixed assets rose 11% and stood at Rs 45 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 128 billion as against Rs 115 billion during FY23, thereby witnessing a growth of 11%.

HAVELLS INDIA Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	66,232	74,402	12.3
Current Liabilities	Rs m	41,699	46,371	11.2
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	114,918	127,868	11.3
Current assets	Rs m	73,900	82,515	11.7
Fixed Assets	Rs m	40,913	45,331	10.8
Total Assets	Rs m	114,918	127,868	11.3

HAVELLS INDIA Cash Flow Statement Analysis

• HAVELLS INDIA's cash flow from operating activities (CFO) during FY24 stood at Rs 20 billion, an improvement of 245.7% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -16 billion on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -5 billion, an improvement of 41% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -2 billion from the Rs -3 billion net cash flows seen during FY23.

HAVELLS INDIA 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	5,649	19,529	245.7%
Cash Flow from Investing Activities	Rs m	350	-16,139	-
Cash Flow from Financing Activities	Rs m	-9,069	-5,336	-
Net Cash Flow	Rs m	-3,107	-1,991	-

Current Valuations for HAVELLS INDIA

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 20.3, an improvement from the EPS of Rs 17.1 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 1,868.1, stands at 92.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 15.7 times, while the price to sales ratio stands at 6.3 times.
• The company's price to cash flow (P/CF) ratio stood at 53.5 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	269.8	296.6
TTM Earnings per share	Rs	17.1	20.3
Diluted earnings per share	Rs	17.1	20.3
Price to Cash Flow	x	54.4	53.5
TTM P/E ratio	x	69.5	92.1
Price / Book Value ratio	x	11.7	11.6
Market Cap	Rs m	772,246	861,501
Dividends per share (Unadj.)	Rs	7.5	9.0

Ratio Analysis for HAVELLS INDIA

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.8x during FY24, from 1.8x 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 21.3x during FY24, from 27.3x 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 improved and stood at 17.1% during FY24, from 16.2% 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 24.1% during FY24, from 22.7% 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 improved and stood at 10.6% during FY24, from 9.8% 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	1.8	1.8
Debtors’ Days	Days	2	2
Interest coverage	x	27.3	21.3
Debt to equity ratio	x	0.0	0.0
Return on assets	%	9.8	10.6
Return on equity	%	16.2	17.1
Return on capital employed	%	22.7	24.1

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

HAVELLS INDIA Share Price Performance

Over the last one year, HAVELLS INDIA share price has moved up from Rs 1,310.9 to Rs 1,868.1, registering a gain of Rs 557.2 or around 42.5%.

Meanwhile, the S&P BSE CONSUMER DURABLES Index is trading at Rs 54,968.7 (up 0.6%). Over the last one year it has moved up from 40,855.9 to 54,968.7, a gain of 14,113 points (up 34.5%).

Overall, the S&P BSE SENSEX is up 18.4% over the year.

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