JNK INDIA LTD. 2023-24 Annual Report Analysis

Fri, 18 Oct

JNK INDIA LTD. 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.

JNK INDIA LTD. Income Statement Analysis

• Operating income during the year rose 17.9% on a year-on-year (YoY) basis.
• The company's operating profit increased by 43.0% YoY during the fiscal. Operating profit margins witnessed a fall and down at 20.7% in FY24 as against 17.1% in FY23.
• Depreciation charges decreased by 14.6% and finance costs increased by 137.0% YoY, respectively.
• Other income grew by 21.5% YoY.
• Net profit for the year grew by 34.5% YoY.
• Net profit margins during the year grew from 11.4% in FY23 to 13.0% in FY24.

JNK INDIA LTD. Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	4,073	4,802	17.9%
Other income	Rs m	42	52	21.5%
Total Revenues	Rs m	4,115	4,854	17.9%
Gross profit	Rs m	695	993	43.0%
Depreciation	Rs m	66	56	-14.6%
Interest	Rs m	42	100	137.0%
Profit before tax	Rs m	629	889	41.3%
Tax	Rs m	163	262	60.5%
Profit after tax	Rs m	466	626	34.5%
Gross profit margin	%	17.1	20.7
Effective tax rate	%	26.0	29.5
Net profit margin	%	11.4	13.0

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JNK INDIA LTD. Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 3 billion as compared to Rs 2 billion in FY23, thereby witnessing an increase of 67.9%.
• Long-term debt down at Rs 26 million as compared to Rs 32 million during FY23, a fall of 19.1%.
• Current assets rose 54% and stood at Rs 5 billion, while fixed assets rose 78% and stood at Rs 533 million in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 5 billion as against Rs 3 billion during FY23, thereby witnessing a growth of 57%.

JNK INDIA LTD. Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	1,173	1,833	56.3
Current Liabilities	Rs m	1,867	3,134	67.9
Long-term Debt	Rs m	32	26	-19.1
Total Liabilities	Rs m	3,353	5,247	56.5
Current assets	Rs m	3,054	4,714	54.4
Fixed Assets	Rs m	299	533	78.1
Total Assets	Rs m	3,353	5,247	56.5

JNK INDIA LTD. Cash Flow Statement Analysis

• JNK INDIA LTD.'s cash flow from operating activities (CFO) during FY24 stood at Rs -101 million, an improvement of 15.2% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -141 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 145 million on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -99 million from the Rs -71 million net cash flows seen during FY23.

JNK INDIA LTD. 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	-87	-101	-
Cash Flow from Investing Activities	Rs m	-250	-141	-
Cash Flow from Financing Activities	Rs m	266	145	-45.6%
Net Cash Flow	Rs m	-71	-99	-

Current Valuations for JNK INDIA LTD.

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 12.9, an decline from the EPS of Rs 48.5 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 691.2, stands at 61.4 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 21.0 times, while the price to sales ratio stands at 7.0 times.
• The company's price to cash flow (P/CF) ratio stood at 56.3 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	424.3	99.2
TTM Earnings per share	Rs	48.5	12.9
Diluted earnings per share	Rs	8.4	11.3
Price to Cash Flow	x	0.0	56.3
TTM P/E ratio	x	0.0	61.4
Price / Book Value ratio	x	0.0	0.0
Market Cap	Rs m	0	38,442
Dividends per share (Unadj.)	Rs	0.3	0.3

Ratio Analysis for JNK INDIA LTD.

• 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 deteriorated and stood at 9.9x during FY24, from 15.9x 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 declined and down at 34.2% during FY24, from 39.7% 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 53.2% during FY24, from 55.7% 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 declined and down at 13.8% during FY24, from 15.1% 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	102	162
Interest coverage	x	15.9	9.9
Debt to equity ratio	x	0.0	0.0
Return on assets	%	15.1	13.8
Return on equity	%	39.7	34.2
Return on capital employed	%	55.7	53.2

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

JNK INDIA LTD. Share Price Performance

Over the last one year, JNK INDIA LTD. share price has moved up from Rs 0.0 to Rs 691.2, registering a gain of Rs 691.2 or around 0.0%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 71,818.3 (down 0.7%). Over the last one year it has moved up from 47,715.6 to 71,818.3, a gain of 24,103 points (up 50.5%).

Overall, the S&P BSE SENSEX is up 22.4% over the year.

(To know more, check out historical annual results for JNK INDIA LTD. and quarterly results for JNK INDIA LTD.)