JAI CORP 2023-24 Annual Report Analysis

Mon, 29 Jul

JAI CORP 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.

JAI CORP Income Statement Analysis

• Operating income during the year fell 22.1% on a year-on-year (YoY) basis.
• The company's operating profit was by NA YoY during the fiscal. Operating profit margins witnessed a fall and down at 10.3% in FY24 as against 1.2% in FY23.
• Depreciation charges decreased by 5.1% and finance costs decreased by 30.7% YoY, respectively.
• Other income grew by 46.0% YoY.
• Net profit for the year declined by NA YoY.
• Net profit margins during the year grew from 2.3% in FY23 to 11.4% in FY24.

JAI CORP Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	5,943	4,631	-22.1%
Other income	Rs m	251	367	46.0%
Total Revenues	Rs m	6,195	4,997	-19.3%
Gross profit	Rs m	-71	477	NA
Depreciation	Rs m	129	122	-5.1%
Interest	Rs m	3	2	-30.7%
Profit before tax	Rs m	48	719	1,394.2%
Tax	Rs m	184	190	3.7%
Profit after tax	Rs m	-136	529	NA
Gross profit margin	%	-1.2	10.3
Effective tax rate	%	381.7	26.5
Net profit margin	%	-2.3	11.4

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

JAI CORP Balance Sheet Analysis

• The company's current liabilities during FY24 down at Rs 281 million as compared to Rs 318 million in FY23, thereby witnessing an decrease of -11.7%.
• Current assets rose 9% and stood at Rs 6 billion, while fixed assets rose 1% and stood at Rs 10 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 15 billion as against Rs 15 billion during FY23, thereby witnessing a growth of 3%.

JAI CORP Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	14,318	14,861	3.8
Current Liabilities	Rs m	318	281	-11.7
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	14,833	15,333	3.4
Current assets	Rs m	5,277	5,735	8.7
Fixed Assets	Rs m	9,513	9,566	0.6
Total Assets	Rs m	14,833	15,333	3.4

JAI CORP Cash Flow Statement Analysis

• JAI CORP's cash flow from operating activities (CFO) during FY24 stood at Rs 410 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -300 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -112 million, an improvement of 35% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -2 million from the Rs -54 million net cash flows seen during FY23.

JAI CORP 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	719	410	-43.0%
Cash Flow from Investing Activities	Rs m	-602	-300	-
Cash Flow from Financing Activities	Rs m	-171	-112	-
Net Cash Flow	Rs m	-54	-2	-

Current Valuations for JAI CORP

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 3.0, an improvement from the EPS of Rs -0.8 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 379.5, stands at 124.0 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 4.6 times, while the price to sales ratio stands at 14.6 times.
• The company's price to cash flow (P/CF) ratio stood at 76.9 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	33.3	25.9
TTM Earnings per share	Rs	-0.8	3.0
Diluted earnings per share	Rs	-0.8	3.0
Price to Cash Flow	x	-3,676.5	76.9
TTM P/E ratio	x	-491.2	124.0
Price / Book Value ratio	x	2.0	3.4
Market Cap	Rs m	28,006	50,018
Dividends per share (Unadj.)	Rs	0.5	0.5

Ratio Analysis for JAI CORP

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 20.4x during FY24, from 16.6x 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 304.4x during FY24, from 15.1x 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 3.6% during FY24, from -0.9% 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 4.9% during FY24, from 0.4% 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 3.5% during FY24, from -0.9% 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	16.6	20.4
Debtors’ Days	Days	322	387
Interest coverage	x	15.1	304.4
Debt to equity ratio	x	0.0	0.0
Return on assets	%	-0.9	3.5
Return on equity	%	-0.9	3.6
Return on capital employed	%	0.4	4.9

To see how JAI CORP has performed over the last 5 years, please visit here.

JAI CORP Share Price Performance

Over the last one year, JAI CORP share price has moved up from Rs 179.0 to Rs 379.5, registering a gain of Rs 200.5 or around 112.0%.

Meanwhile, the S&P BSE METAL Index is trading at Rs 32,395.8 (up 0.4%). Over the last one year it has moved up from 21,804.0 to 32,395.8, a gain of 10,592 points (up 48.6%).

Overall, the S&P BSE SENSEX is up 23.0% over the year.

(To know more, check out historical annual results for JAI CORP and quarterly results for JAI CORP)