JUBILANT FOODWORKS 2023-24 Annual Report Analysis

Thu, 8 Aug

JUBILANT FOODWORKS 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.

JUBILANT FOODWORKS Income Statement Analysis

• Operating income during the year rose 9.6% on a year-on-year (YoY) basis.
• The company's operating profit increased by 18.1% YoY during the fiscal. Operating profit margins witnessed a fall and down at 23.5% in FY24 as against 21.8% in FY23.
• Depreciation charges increased by 23.1% and finance costs increased by 43.0% YoY, respectively.
• Other income declined by 16.9% YoY.
• Net profit for the year grew by 13.5% YoY.
• Net profit margins during the year grew from 6.8% in FY23 to 7.1% in FY24.

JUBILANT FOODWORKS Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	51,582	56,541	9.6%
Other income	Rs m	504	419	-16.9%
Total Revenues	Rs m	52,087	56,960	9.4%
Gross profit	Rs m	11,254	13,296	18.1%
Depreciation	Rs m	4,859	5,980	23.1%
Interest	Rs m	2,012	2,878	43.0%
Profit before tax	Rs m	4,887	4,857	-0.6%
Tax	Rs m	1,357	850	-37.4%
Profit after tax	Rs m	3,530	4,008	13.5%
Gross profit margin	%	21.8	23.5
Effective tax rate	%	27.8	17.5
Net profit margin	%	6.8	7.1

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JUBILANT FOODWORKS Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 19 billion as compared to Rs 10 billion in FY23, thereby witnessing an increase of 86.3%.
• Long-term debt stood at Rs 12 billion as compared to Rs 2 billion during FY23, a growth of 554.1%.
• Current assets rose 69% and stood at Rs 12 billion, while fixed assets rose 42% and stood at Rs 80 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 92 billion as against Rs 63 billion during FY23, thereby witnessing a growth of 45%.

JUBILANT FOODWORKS Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	20,255	21,274	5.0
Current Liabilities	Rs m	10,290	19,170	86.3
Long-term Debt	Rs m	1,827	11,951	554.1
Total Liabilities	Rs m	63,330	91,522	44.5
Current assets	Rs m	6,858	11,565	68.6
Fixed Assets	Rs m	56,472	79,957	41.6
Total Assets	Rs m	63,330	91,522	44.5

JUBILANT FOODWORKS Cash Flow Statement Analysis

• JUBILANT FOODWORKS's cash flow from operating activities (CFO) during FY24 stood at Rs 10 billion on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -14 billion, an improvement of 131.0% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 4 billion, an improvement of 188% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 1 billion from the Rs 49 million net cash flows seen during FY23.

JUBILANT FOODWORKS 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	10,262	10,096	-1.6%
Cash Flow from Investing Activities	Rs m	-5,949	-13,740	-
Cash Flow from Financing Activities	Rs m	-4,264	3,772	-
Net Cash Flow	Rs m	49	1,015	1,982.3%

Current Valuations for JUBILANT FOODWORKS

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 6.1, an improvement from the EPS of Rs 5.4 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 603.0, stands at 103.4 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 18.7 times, while the price to sales ratio stands at 7.0 times.
• The company's price to cash flow (P/CF) ratio stood at 33.3 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	78.2	85.7
TTM Earnings per share	Rs	5.4	6.1
Diluted earnings per share	Rs	5.4	6.1
Price to Cash Flow	x	34.6	33.3
TTM P/E ratio	x	76.6	103.4
Price / Book Value ratio	x	17.3	15.6
Market Cap	Rs m	351,170	332,133
Dividends per share (Unadj.)	Rs	1.2	1.2

Ratio Analysis for JUBILANT FOODWORKS

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 0.6x during FY24, from 0.7x 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 2.7x during FY24, from 3.4x 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 18.8% during FY24, from 17.4% 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 23.3% during FY24, from 31.2% 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 7.5% during FY24, from 8.8% 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	0.7	0.6
Debtors’ Days	Days	2	17
Interest coverage	x	3.4	2.7
Debt to equity ratio	x	0.1	0.6
Return on assets	%	8.8	7.5
Return on equity	%	17.4	18.8
Return on capital employed	%	31.2	23.3

To see how JUBILANT FOODWORKS has performed over the last 5 years, please visit here.

JUBILANT FOODWORKS Share Price Performance

Over the last one year, JUBILANT FOODWORKS share price has moved up from Rs 505.9 to Rs 603.0, registering a gain of Rs 97.1 or around 19.2%.

Overall, the S&P BSE SENSEX is up 19.8% over the year.

(To know more, check out historical annual results for JUBILANT FOODWORKS and quarterly results for JUBILANT FOODWORKS)