MEDICAMEN BI 2023-24 Annual Report Analysis

Thu, 21 Nov

MEDICAMEN BI 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.

MEDICAMEN BI Income Statement Analysis

• Operating income during the year rose 27.3% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 3.4% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 13.1% in FY24 as against 17.3% in FY23.
• Depreciation charges increased by 11.4% and finance costs increased by 67.2% YoY, respectively.
• Other income declined by 5.5% YoY.
• Net profit for the year declined by 35.5% YoY.
• Net profit margins during the year declined from 10.5% in FY23 to 5.3% in FY24.

MEDICAMEN BI Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	1,409	1,793	27.3%
Other income	Rs m	25	23	-5.5%
Total Revenues	Rs m	1,433	1,816	26.7%
Gross profit	Rs m	243	235	-3.4%
Depreciation	Rs m	64	71	11.4%
Interest	Rs m	34	57	67.2%
Profit before tax	Rs m	170	131	-23.3%
Tax	Rs m	23	36	54.6%
Profit after tax	Rs m	147	95	-35.5%
Gross profit margin	%	17.3	13.1
Effective tax rate	%	13.6	27.4
Net profit margin	%	10.5	5.3

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MEDICAMEN BI Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 846 million as compared to Rs 826 million in FY23, thereby witnessing an increase of 2.4%.
• Long-term debt stood at Rs 13 million as compared to Rs 9 million during FY23, a growth of 44.4%.
• Current assets fell 2% and stood at Rs 2 billion, while fixed assets rose 18% and stood at Rs 1 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 3 billion as against Rs 3 billion during FY23, thereby witnessing a growth of 6%.

MEDICAMEN BI Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	1,908	2,070	8.5
Current Liabilities	Rs m	826	846	2.4
Long-term Debt	Rs m	9	13	44.4
Total Liabilities	Rs m	2,766	2,920	5.6
Current assets	Rs m	1,634	1,596	-2.3
Fixed Assets	Rs m	1,062	1,257	18.4
Total Assets	Rs m	2,766	2,920	5.6

MEDICAMEN BI Cash Flow Statement Analysis

• MEDICAMEN BI's cash flow from operating activities (CFO) during FY24 stood at Rs -67 million, an improvement of 7.2% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -56 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 63 million on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -60 million from the Rs 170 million net cash flows seen during FY23.

MEDICAMEN BI 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	-63	-67	-
Cash Flow from Investing Activities	Rs m	-59	-56	-
Cash Flow from Financing Activities	Rs m	291	63	-78.3%
Net Cash Flow	Rs m	170	-60	-

Current Valuations for MEDICAMEN BI

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 7.5, an decline from the EPS of Rs 11.6 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 438.4, stands at 96.5 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 2.7 times, while the price to sales ratio stands at 3.1 times.
• The company's price to cash flow (P/CF) ratio stood at 48.3 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	111.4	141.1
TTM Earnings per share	Rs	11.6	7.5
Diluted earnings per share	Rs	11.6	7.5
Price to Cash Flow	x	39.5	48.3
TTM P/E ratio	x	56.6	96.5
Price / Book Value ratio	x	5.9	3.9
Market Cap	Rs m	11,246	8,012
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for MEDICAMEN BI

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.9x during FY24, from 2.0x 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 3.3x during FY24, from 6.0x 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 4.6% during FY24, from 7.7% 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 9.0% during FY24, from 10.7% 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 5.2% during FY24, from 6.6% 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	2.0	1.9
Debtors’ Days	Days	1,691	1,125
Interest coverage	x	6.0	3.3
Debt to equity ratio	x	0.0	0.0
Return on assets	%	6.6	5.2
Return on equity	%	7.7	4.6
Return on capital employed	%	10.7	9.0

To see how MEDICAMEN BI has performed over the last 5 years, please visit here.

MEDICAMEN BI Share Price Performance

Over the last one year, MEDICAMEN BI share price has moved down from Rs 645.5 to Rs 438.4, registering a loss of Rs 207.2 or around 32.1%.

Meanwhile, the S&P BSE HEALTHCARE Index is trading at Rs 42,516.9 (up 0.3%). Over the last one year it has moved up from 29,757.1 to 42,516.9, a gain of 12,760 points (up 42.9%).

Overall, the S&P BSE SENSEX is up 17.4% over the year.

(To know more, check out historical annual results for MEDICAMEN BI and quarterly results for MEDICAMEN BI)