MOLD-TEK PACKAGING 2023-24 Annual Report Analysis

Mon, 16 Sep

MOLD-TEK PACKAGING 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.

MOLD-TEK PACKAGING Income Statement Analysis

• Operating income during the year fell 4.3% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 1.6% YoY during the fiscal. Operating profit margins witnessed a fall and down at 19.1% in FY24 as against 18.6% in FY23.
• Depreciation charges increased by 27.4% and finance costs increased by 89.4% YoY, respectively.
• Other income declined by 5.7% YoY.
• Net profit for the year declined by 17.2% YoY.
• Net profit margins during the year declined from 11.0% in FY23 to 9.5% in FY24.

MOLD-TEK PACKAGING Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	7,299	6,987	-4.3%
Other income	Rs m	14	13	-5.7%
Total Revenues	Rs m	7,313	6,999	-4.3%
Gross profit	Rs m	1,355	1,333	-1.6%
Depreciation	Rs m	302	385	27.4%
Interest	Rs m	40	75	89.4%
Profit before tax	Rs m	1,027	886	-13.7%
Tax	Rs m	223	220	-1.1%
Profit after tax	Rs m	804	666	-17.2%
Gross profit margin	%	18.6	19.1
Effective tax rate	%	21.7	24.9
Net profit margin	%	11.0	9.5

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MOLD-TEK PACKAGING Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 2 billion as compared to Rs 1 billion in FY23, thereby witnessing an increase of 30.7%.
• Long-term debt stood at Rs 484 million as compared to Rs 135 million during FY23, a growth of 259.5%.
• Current assets rose 10% and stood at Rs 3 billion, while fixed assets rose 20% and stood at Rs 5 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 8 billion as against Rs 7 billion during FY23, thereby witnessing a growth of 16%.

MOLD-TEK PACKAGING Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	5,585	5,943	6.4
Current Liabilities	Rs m	1,236	1,615	30.7
Long-term Debt	Rs m	135	484	259.5
Total Liabilities	Rs m	7,206	8,381	16.3
Current assets	Rs m	2,642	2,918	10.4
Fixed Assets	Rs m	4,564	5,463	19.7
Total Assets	Rs m	7,206	8,381	16.3

MOLD-TEK PACKAGING Cash Flow Statement Analysis

• MOLD-TEK PACKAGING's cash flow from operating activities (CFO) during FY24 stood at Rs 788 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -1 billion, an improvement of 1.5% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 595 million, an improvement of 684% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -46 million from the Rs 8 million net cash flows seen during FY23.

MOLD-TEK PACKAGING 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	1,517	788	-48.0%
Cash Flow from Investing Activities	Rs m	-1,408	-1,429	-
Cash Flow from Financing Activities	Rs m	-102	595	-
Net Cash Flow	Rs m	8	-46	-

Current Valuations for MOLD-TEK PACKAGING

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 20.0, an decline from the EPS of Rs 24.3 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 802.8, stands at 41.4 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 4.5 times, while the price to sales ratio stands at 3.8 times.
• The company's price to cash flow (P/CF) ratio stood at 29.2 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	220.1	210.2
TTM Earnings per share	Rs	24.3	20.0
Diluted earnings per share	Rs	24.2	20.0
Price to Cash Flow	x	27.1	29.2
TTM P/E ratio	x	37.3	41.4
Price / Book Value ratio	x	5.3	5.2
Market Cap	Rs m	29,369	30,673
Dividends per share (Unadj.)	Rs	6.0	3.0

Ratio Analysis for MOLD-TEK PACKAGING

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.8x during FY24, from 2.1x 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 12.8x during FY24, from 26.9x 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 11.2% during FY24, from 14.4% 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 15.0% during FY24, from 18.7% 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 8.8% during FY24, from 11.7% 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	2.1	1.8
Debtors’ Days	Days	617	711
Interest coverage	x	26.9	12.8
Debt to equity ratio	x	0.0	0.1
Return on assets	%	11.7	8.8
Return on equity	%	14.4	11.2
Return on capital employed	%	18.7	15.0

To see how MOLD-TEK PACKAGING has performed over the last 5 years, please visit here.

MOLD-TEK PACKAGING Share Price Performance

Over the last one year, MOLD-TEK PACKAGING share price has moved down from Rs 939.3 to Rs 802.8, registering a loss of Rs 136.5 or around 14.5%.

Overall, the S&P BSE SENSEX is up 23.3% over the year.

(To know more, check out historical annual results for MOLD-TEK PACKAGING and quarterly results for MOLD-TEK PACKAGING)