INTELLECT DESIGN 2023-24 Annual Report Analysis

Thu, 6 Jun

INTELLECT DESIGN 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.

INTELLECT DESIGN Income Statement Analysis

• Operating income during the year rose 12.3% on a year-on-year (YoY) basis.
• The company's operating profit increased by 23.8% YoY during the fiscal. Operating profit margins witnessed a fall and down at 21.7% in FY24 as against 19.7% in FY23.
• Depreciation charges increased by 12.9% and finance costs decreased by 15.2% YoY, respectively.
• Other income grew by 14.9% YoY.
• Net profit for the year grew by 20.1% YoY.
• Net profit margins during the year grew from 12.0% in FY23 to 12.9% in FY24.

INTELLECT DESIGN Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	22,313	25,064	12.3%
Other income	Rs m	513	590	14.9%
Total Revenues	Rs m	22,826	25,654	12.4%
Gross profit	Rs m	4,400	5,450	23.8%
Depreciation	Rs m	1,215	1,372	12.9%
Interest	Rs m	65	55	-15.2%
Profit before tax	Rs m	3,633	4,612	26.9%
Tax	Rs m	948	1,385	46.1%
Profit after tax	Rs m	2,686	3,227	20.1%
Gross profit margin	%	19.7	21.7
Effective tax rate	%	26.1	30.0
Net profit margin	%	12.0	12.9

End of Year Sale: Grab our small cap recommendation service at 60% off!

INTELLECT DESIGN Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 9 billion as compared to Rs 8 billion in FY23, thereby witnessing an increase of 9.3%.
• Current assets rose 27% and stood at Rs 18 billion, while fixed assets rose 10% and stood at Rs 16 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 34 billion as against Rs 29 billion during FY23, thereby witnessing a growth of 18%.

INTELLECT DESIGN Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	19,445	23,000	18.3
Current Liabilities	Rs m	8,003	8,751	9.3
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	28,542	33,782	18.4
Current assets	Rs m	14,018	17,833	27.2
Fixed Assets	Rs m	14,524	15,949	9.8
Total Assets	Rs m	28,542	33,782	18.4

INTELLECT DESIGN Cash Flow Statement Analysis

• INTELLECT DESIGN's cash flow from operating activities (CFO) during FY24 stood at Rs 4 billion, an improvement of 135.2% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -3 billion, an improvement of 43.6% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -490 million, an improvement of 1% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 1 billion from the Rs -523 million net cash flows seen during FY23.

INTELLECT DESIGN 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	1,744	4,101	135.2%
Cash Flow from Investing Activities	Rs m	-1,774	-2,547	-
Cash Flow from Financing Activities	Rs m	-495	-490	-
Net Cash Flow	Rs m	-523	1,059	-

Current Valuations for INTELLECT DESIGN

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 23.6, an improvement from the EPS of Rs 19.8 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 927.0, stands at 39.7 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 5.5 times, while the price to sales ratio stands at 5.1 times.
• The company's price to cash flow (P/CF) ratio stood at 24.0 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	164.4	183.2
TTM Earnings per share	Rs	19.8	23.6
Diluted earnings per share	Rs	19.6	23.6
Price to Cash Flow	x	14.4	24.0
TTM P/E ratio	x	21.1	39.7
Price / Book Value ratio	x	4.8	4.8
Market Cap	Rs m	93,241	110,229
Dividends per share (Unadj.)	Rs	2.5	3.5

Ratio Analysis for INTELLECT DESIGN

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 2.0x 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 improved and stood at 84.7x during FY24, from 56.9x 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 14.0% during FY24, from 13.8% 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 20.3% during FY24, from 19.0% 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 9.7% during FY24, from 9.6% 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	2.0
Debtors’ Days	Days	68	81
Interest coverage	x	56.9	84.7
Debt to equity ratio	x	0.0	0.0
Return on assets	%	9.6	9.7
Return on equity	%	13.8	14.0
Return on capital employed	%	19.0	20.3

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

INTELLECT DESIGN Share Price Performance

Over the last one year, INTELLECT DESIGN share price has moved up from Rs 589.8 to Rs 927.0, registering a gain of Rs 337.2 or around 57.2%.

Overall, the S&P BSE SENSEX is up 19.0% over the year.

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