SUNTECK REALTY 2023-24 Annual Report Analysis

Thu, 12 Sep

SUNTECK REALTY 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.

SUNTECK REALTY Income Statement Analysis

• Operating income during the year rose 55.8% on a year-on-year (YoY) basis.
• The company's operating profit increased by 64.9% YoY during the fiscal. Operating profit margins witnessed a fall and down at 20.8% in FY24 as against 19.6% in FY23.
• Depreciation charges increased by 3.3% and finance costs decreased by 20.4% YoY, respectively.
• Other income grew by 95.1% YoY.
• Net profit for the year grew by 4933.9% YoY.
• Net profit margins during the year grew from 0.4% in FY23 to 12.6% in FY24.

SUNTECK REALTY Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	3,624	5,648	55.8%
Other income	Rs m	284	555	95.1%
Total Revenues	Rs m	3,909	6,203	58.7%
Gross profit	Rs m	712	1,174	64.9%
Depreciation	Rs m	92	95	3.3%
Interest	Rs m	859	684	-20.4%
Profit before tax	Rs m	45	950	2,018.1%
Tax	Rs m	31	240	682.0%
Profit after tax	Rs m	14	709	4,933.9%
Gross profit margin	%	19.6	20.8
Effective tax rate	%	68.6	25.3
Net profit margin	%	0.4	12.6

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SUNTECK REALTY Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 45 billion as compared to Rs 40 billion in FY23, thereby witnessing an increase of 12.1%.
• Long-term debt down at Rs 3 billion as compared to Rs 4 billion during FY23, a fall of 40.4%.
• Current assets rose 5% and stood at Rs 69 billion, while fixed assets rose 44% and stood at Rs 12 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 81 billion as against Rs 75 billion during FY23, thereby witnessing a growth of 9%.

SUNTECK REALTY Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	27,872	31,241	12.1
Current Liabilities	Rs m	40,360	45,256	12.1
Long-term Debt	Rs m	4,208	2,507	-40.4
Total Liabilities	Rs m	74,594	81,488	9.2
Current assets	Rs m	65,941	69,021	4.7
Fixed Assets	Rs m	8,653	12,467	44.1
Total Assets	Rs m	74,594	81,488	9.2

SUNTECK REALTY Cash Flow Statement Analysis

• SUNTECK REALTY's cash flow from operating activities (CFO) during FY24 stood at Rs 1 billion on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs 3 billion on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -4 billion on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 74 million from the Rs -155 million net cash flows seen during FY23.

SUNTECK REALTY 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	2,830	1,090	-61.5%
Cash Flow from Investing Activities	Rs m	-372	2,511	-
Cash Flow from Financing Activities	Rs m	-2,614	-3,527	-
Net Cash Flow	Rs m	-155	74	-

Current Valuations for SUNTECK REALTY

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 4.8, an improvement from the EPS of Rs 0.1 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 564.8, stands at 83.3 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 2.6 times, while the price to sales ratio stands at 14.6 times.
• The company's price to cash flow (P/CF) ratio stood at 71.3 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	25.8	38.6
TTM Earnings per share	Rs	0.1	4.8
Diluted earnings per share	Rs	0.1	4.8
Price to Cash Flow	x	390.1	71.3
TTM P/E ratio	x	-741.5	83.3
Price / Book Value ratio	x	2.0	1.8
Market Cap	Rs m	56,929	57,342
Dividends per share (Unadj.)	Rs	1.5	1.5

Ratio Analysis for SUNTECK REALTY

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.5x during FY24, from 1.6x 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 improved and stood at 2.4x during FY24, from 1.1x 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 improved and stood at 2.3% during FY24, from 0.1% 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 4.8% during FY24, from 2.8% 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 1.7% during FY24, from 1.2% 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	1.6	1.5
Debtors’ Days	Days	1,507	1,890
Interest coverage	x	1.1	2.4
Debt to equity ratio	x	0.2	0.1
Return on assets	%	1.2	1.7
Return on equity	%	0.1	2.3
Return on capital employed	%	2.8	4.8

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

SUNTECK REALTY Share Price Performance

Over the last one year, SUNTECK REALTY share price has moved up from Rs 386.3 to Rs 564.8, registering a gain of Rs 178.5 or around 46.2%.

Meanwhile, the S&P BSE REALTY Index is trading at Rs 8,028.3 (up 0.2%). Over the last one year it has moved up from 4,618.6 to 8,028.3, a gain of 3,410 points (up 73.8%).

Overall, the S&P BSE SENSEX is up 21.6% over the year.

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