KRISHANA PHOSCHEM 2023-24 Annual Report Analysis

Wed, 9 Oct

KRISHANA PHOSCHEM 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.

KRISHANA PHOSCHEM Income Statement Analysis

• Operating income during the year rose 186.2% on a year-on-year (YoY) basis.
• The company's operating profit increased by 148.6% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 13.9% in FY24 as against 16.0% in FY23.
• Depreciation charges increased by 293.5% and finance costs increased by 438.7% YoY, respectively.
• Other income declined by 37.5% YoY.
• Net profit for the year grew by 51.3% YoY.
• Net profit margins during the year declined from 8.3% in FY23 to 4.4% in FY24.

KRISHANA PHOSCHEM Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	3,228	9,239	186.2%
Other income	Rs m	29	18	-37.5%
Total Revenues	Rs m	3,257	9,257	184.2%
Gross profit	Rs m	516	1,282	148.6%
Depreciation	Rs m	87	342	293.5%
Interest	Rs m	68	368	438.7%
Profit before tax	Rs m	389	591	51.7%
Tax	Rs m	122	186	52.6%
Profit after tax	Rs m	267	404	51.3%
Gross profit margin	%	16.0	13.9
Effective tax rate	%	31.3	31.5
Net profit margin	%	8.3	4.4

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KRISHANA PHOSCHEM Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 4 billion as compared to Rs 2 billion in FY23, thereby witnessing an increase of 129.0%.
• Long-term debt stood at Rs 2 billion as compared to Rs 1 billion during FY23, a growth of 10.1%.
• Current assets rose 123% and stood at Rs 5 billion, while fixed assets rose 1% and stood at Rs 4 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 8 billion as against Rs 6 billion during FY23, thereby witnessing a growth of 45%.

KRISHANA PHOSCHEM Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	2,618	3,006	14.8
Current Liabilities	Rs m	1,557	3,565	129.0
Long-term Debt	Rs m	1,444	1,590	10.1
Total Liabilities	Rs m	5,822	8,447	45.1
Current assets	Rs m	2,122	4,727	122.7
Fixed Assets	Rs m	3,700	3,720	0.6
Total Assets	Rs m	5,822	8,447	45.1

KRISHANA PHOSCHEM Cash Flow Statement Analysis

• KRISHANA PHOSCHEM's cash flow from operating activities (CFO) during FY24 stood at Rs -816 million, an improvement of 149.1% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -365 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 1 billion on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 26 million from the Rs 0 million net cash flows seen during FY23.

KRISHANA PHOSCHEM 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	-328	-816	-
Cash Flow from Investing Activities	Rs m	-1,901	-365	-
Cash Flow from Financing Activities	Rs m	2,229	1,208	-45.8%
Net Cash Flow	Rs m	0	26	21,600.0%

Current Valuations for KRISHANA PHOSCHEM

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 6.5, an decline from the EPS of Rs 8.6 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 229.8, stands at 31.6 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 4.7 times, while the price to sales ratio stands at 1.5 times.
• The company's price to cash flow (P/CF) ratio stood at 30.1 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	104.4	149.4
TTM Earnings per share	Rs	8.6	6.5
Diluted earnings per share	Rs	4.3	6.5
Price to Cash Flow	x	0.0	30.1
TTM P/E ratio	x	0.0	31.6
Price / Book Value ratio	x	4.7	7.5
Market Cap	Rs m	12,334	22,482
Dividends per share (Unadj.)	Rs	0.5	0.5

Ratio Analysis for KRISHANA PHOSCHEM

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.3x during FY24, from 1.4x 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 2.6x during FY24, from 6.7x 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 13.5% during FY24, from 10.2% 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 20.9% during FY24, from 11.3% 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 9.1% during FY24, from 5.8% 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	1.4	1.3
Debtors’ Days	Days	838	1,044
Interest coverage	x	6.7	2.6
Debt to equity ratio	x	0.6	0.5
Return on assets	%	5.8	9.1
Return on equity	%	10.2	13.5
Return on capital employed	%	11.3	20.9

To see how KRISHANA PHOSCHEM has performed over the last 5 years, please visit here.

KRISHANA PHOSCHEM Share Price Performance

Over the last one year, KRISHANA PHOSCHEM share price has moved down from Rs 0.0 to Rs 0.0, registering a loss of Rs 0.0 or around 0.0%.

Overall, the NIFTY 50 is up 0.4% over the year.

(To know more, check out historical annual results for KRISHANA PHOSCHEM and quarterly results for KRISHANA PHOSCHEM)