MANKIND PHARMA 2023-24 Annual Report Analysis

Mon, 22 Jul

MANKIND PHARMA 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.

MANKIND PHARMA Income Statement Analysis

• Operating income during the year rose 18.1% on a year-on-year (YoY) basis.
• The company's operating profit increased by 33.3% YoY during the fiscal. Operating profit margins witnessed a fall and down at 24.7% in FY24 as against 21.9% in FY23.
• Depreciation charges increased by 22.2% and finance costs decreased by 23.4% YoY, respectively.
• Other income grew by 118.5% YoY.
• Net profit for the year grew by 48.3% YoY.
• Net profit margins during the year grew from 15.0% in FY23 to 18.8% in FY24.

MANKIND PHARMA Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	87,494	103,348	18.1%
Other income	Rs m	1,286	2,809	118.5%
Total Revenues	Rs m	88,780	106,156	19.6%
Gross profit	Rs m	19,144	25,518	33.3%
Depreciation	Rs m	3,259	3,983	22.2%
Interest	Rs m	458	350	-23.4%
Profit before tax	Rs m	16,712	23,994	43.6%
Tax	Rs m	3,616	4,576	26.6%
Profit after tax	Rs m	13,097	19,418	48.3%
Gross profit margin	%	21.9	24.7
Effective tax rate	%	21.6	19.1
Net profit margin	%	15.0	18.8

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MANKIND PHARMA Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 21 billion as compared to Rs 19 billion in FY23, thereby witnessing an increase of 13.8%.
• Long-term debt stood at Rs 249 million as compared to Rs 231 million during FY23, a growth of 7.4%.
• Current assets rose 52% and stood at Rs 66 billion, while fixed assets fell 1% and stood at Rs 53 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 119 billion as against Rs 97 billion during FY23, thereby witnessing a growth of 23%.

MANKIND PHARMA Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	74,352	93,398	25.6
Current Liabilities	Rs m	18,631	21,197	13.8
Long-term Debt	Rs m	231	249	7.4
Total Liabilities	Rs m	96,857	118,829	22.7
Current assets	Rs m	43,246	65,655	51.8
Fixed Assets	Rs m	53,578	53,146	-0.8
Total Assets	Rs m	96,857	118,829	22.7

MANKIND PHARMA Cash Flow Statement Analysis

• MANKIND PHARMA's cash flow from operating activities (CFO) during FY24 stood at Rs 22 billion, an improvement of 18.7% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -21 billion, an improvement of 97.5% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 53 million, an improvement of 101% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 772 million from the Rs 218 million net cash flows seen during FY23.

MANKIND PHARMA 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	18,133	21,524	18.7%
Cash Flow from Investing Activities	Rs m	-10,541	-20,817	-
Cash Flow from Financing Activities	Rs m	-7,397	53	-
Net Cash Flow	Rs m	218	772	254.7%

Current Valuations for MANKIND PHARMA

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 48.5, an improvement from the EPS of Rs 32.7 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 2,112.0, stands at 43.9 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 9.1 times, while the price to sales ratio stands at 8.2 times.
• The company's price to cash flow (P/CF) ratio stood at 30.9 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	218.4	258.0
TTM Earnings per share	Rs	32.7	48.5
Diluted earnings per share	Rs	32.7	48.5
Price to Cash Flow	x	0.0	30.9
TTM P/E ratio	x	0.0	43.9
Price / Book Value ratio	x	0.0	7.8
Market Cap	Rs m	0	724,164
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for MANKIND PHARMA

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 3.1x during FY24, from 2.3x 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 69.5x during FY24, from 37.5x 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 20.8% during FY24, from 17.6% 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 26.0% during FY24, from 23.0% 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 16.6% during FY24, from 14.0% 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	2.3	3.1
Debtors’ Days	Days	240	300
Interest coverage	x	37.5	69.5
Debt to equity ratio	x	0.0	0.0
Return on assets	%	14.0	16.6
Return on equity	%	17.6	20.8
Return on capital employed	%	23.0	26.0

To see how MANKIND PHARMA has performed over the last 5 years, please visit here.

MANKIND PHARMA Share Price Performance

Over the last one year, MANKIND PHARMA share price has moved up from Rs 1,898.6 to Rs 2,112.0, registering a gain of Rs 213.4 or around 11.2%.

Meanwhile, the S&P BSE HEALTHCARE Index is trading at Rs 38,595.4 (up 1.2%). Over the last one year it has moved up from 26,692.7 to 38,595.4, a gain of 11,903 points (up 44.6%).

Overall, the S&P BSE SENSEX is up 20.6% over the year.

(To know more, check out historical annual results for MANKIND PHARMA and quarterly results for MANKIND PHARMA)