SASTASUNDAR VENTURES 2023-24 Annual Report Analysis

Wed, 9 Oct

SASTASUNDAR VENTURES has announced its results for the year ended March 2024. Let us have a look at the detailed performance review of the company during the year 2023-24.

SASTASUNDAR VENTURES Income Statement Analysis

• Interest income during the year rose 32.3% on a year-on-year (YoY) basis.
• Interest expenses were down by 44.8% YoY during the same period.
• Operating expenses increased by 26.6% YoY during the year.
• The company's net interest income (NII) increased by 32.4% YoY during the fiscal. Consequently, net interest margins (NIM) witnessed a growth and stood at 176.4% in FY24 as against 166.1% in FY23.
• Other income increased by 155.6% YoY during the year.
• Net profit for the year increased by 112.3% YoY.
• Net profit margins during the year increased to 0.6% in FY24 from -6.9% in FY23.

SASTASUNDAR VENTURES Income Statement – 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Interest Income	Rs m	10,398	13,757	32.3%
Other Income	Rs m	236	604	155.6%
Interest Expense	Rs m	19	11	-44.8%
Net Interest Income	Rs m	10,379	13,746	32.4%
Operating Expense	Rs m	10,827	13,702	26.6%
Pre-provision Operating Profit	Rs m	-212	648	405.9%
Provisions & Contingencies	Rs m	2,854	797	-72.1%
Profit before tax	Rs m	-1,223	-305	75.1%
Tax	Rs m	-228	-364	-59.6%
Profit after tax	Rs m	-722	89	112.3%
Minority Interest	Rs m	273	30	-88.9%
Net Interest Margin	%	166.1	176.4
Net profit margin	%	-6.9	0.6

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SASTASUNDAR VENTURES Balance Sheet Analysis

• The company's deposits during FY24 stood at Rs 0 m as compared to Rs 0 m in FY23, thereby witnessing an increase of 0.0%.
• Advances for the year stood at Rs 0 m as compared to Rs 0 m during FY23, a rise of 0.0%.
• Cost of deposits for SASTASUNDAR VENTURES rose 49.7% and stood at 28.6%, while yield on advances rose to 0.0%.
• The lender's investments rose to Rs 7.8 bn during the year from Rs 6.2 bn in FY23.
• Borrowing stood at Rs 0 m, a growth of 0.0% as compared to previous year.
• Overall, the total assets and liabilities for FY24 stood at Rs 11.5 bn as against Rs 12.0 bn during FY23, thereby witnessing a fall of 4.6%.

SASTASUNDAR VENTURES Balance Sheet – as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	7,484	7,574	1.2%
Advances	Rs m	0	0	0.0%
Deposits	Rs m	0	0	0.0%
Yield on advances	%	0.0	0.0
Cost of Deposits	%	19.1	28.6
Investments	Rs m	6,249	7,791	24.7%
Borrowings	Rs m	0	0	0.0%
Total Assets	Rs m	12,041	11,492	-4.6%

Current Valuations for SASTASUNDAR VENTURES

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 2.8, an improvement from the EPS of Rs -22.7 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 298.1, stands at 125.0 times its trailing twelve months earnings.
• The price to adjusted book value (P/ABV) ratio at current price levels stands at 1.3 times, while the price to income ratio stands at 0.8 times.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*
Income per share (Unadj.)	Rs	326.9	432.5
Earnings per share (Unadj.)	Rs	-22.7	2.8
Diluted earnings per share	Rs	-22.7	2.8
Avg P/E ratio	Rs	-14.1	125.0
Avg P/ABV ratio	Rs	1.3	1.3
Avg Market Cap	Rs	10,165	11,107
Dividends per share (Unadj.)	Rs	0.00	0.00

Ratio Analysis for SASTASUNDAR VENTURES

• Efficiency Ratios

  Credit/Deposit Ratio: The company's credit/deposit ratio improved and stood at 0.0x during FY24, from 0.0x during FY23. The credit/deposit ratio tells us how much money a company has raised in the form of deposits and has deployed as loans.

  Debt to Equity Ratio: The company's debt to equity ratio decreased and stood at 0.00x during FY24, from 0.00x during FY23. The debt to equity ratio of a company tells us how much debt a company uses relative to its equity.

• Liquidity Ratios

  Capital Adequacy Ratio (CAR): SASTASUNDAR VENTURES's capital adequacy ratio (CAR) was at 0.0% as on 31 March 2024 as compared to 0.0% a year ago. This ratio helps measure the financial strength of the company or any finance company to meet their obligations using their assets and capital.

  A company that has a good CAR has enough capital to absorb potential losses. Thus, it has less risk of becoming insolvent and losing depositor's money.

  Provision Coverage Ratio (PCR): Apart from CAR, you also need to take a look at the company's PCR and LCR ratios. Provisioning coverage ratio (PCR) is the percentage of funds that a company sets aside for covering losses due to bad debts.

  So a high PCR ratio means asset quality issues are under control and the company is not vulnerable.

  Liquidity Coverage Ratio (LCR): The LCR is designed to ensure that companies hold a sufficient reserve of high-quality liquid assets to allow them to survive a period of significant liquidity stress lasting 30 calendar days.

• Profitability Ratios

  Return on Equity (ROE): The return on equity (ROE) ratio for the company improved and stood at 1.2% during FY24, from -9.6% during FY23. The ROE measures the ability of a firm to generate profits from its shareholders capital in the company.

  Return on Assets (ROA): The return on asset (ROA) ratio of the company improved and stood at 0.77% during FY24, from -6.00% during FY23. The ROA measures how efficiently the company uses its assets to generate earnings.

  Return on Capital Employed (ROCE): The ROCE for the company improved and stood at -3.88% during FY24, from -15.23% during FY23. The ROCE measures the ability of a company to generate profits from its total capital (shareholder capital plus debt capital) employed in the company.

• NPA Ratios

  Gross NPA Ratio: The gross NPA ratio is the ratio of a company's gross NPAs to gross advances. SASTASUNDAR VENTURES's gross NPA ratio stood at 0.0% as of 31 March 2024 compared to 0.0% in the same period a year ago.

  A high gross NPA ratio is a bad thing as it indicates how much of a company's loans are in danger of not being repaid.

  Net NPA Ratio: In simple language, net NPAs are simply the total non-performing assets minus the provision left aside. It gives you the exact value of NPAs after the company has made provisions.

  The net NPA ratio of SASTASUNDAR VENTURES was 0.0% in financial year 2024. This compared with 0.0% a year ago.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*
Credit/Deposit Ratio	x	0.0	0.0
Debt to Equity Ratio	x	0.0	0.0
Loans / Deposits	x	0.0	0.0
Capital Adequacy Ratio	%	0.0	0.0
Return on Equity	%	-9.6	1.2
Return on Assets	%	-6.0	0.8
Return on Capital Employed	%	-15.2	-3.9
% of Gross NPAs	%	0.0	0.0
% of Net NPAs	%	0.0	0.0
Yield on Advances	x	0.0	0.0
Yield on Investments	x	0.0	0.0

To see how SASTASUNDAR VENTURES has performed over the last 5 years, please visit here.

SASTASUNDAR VENTURES Share Price Performance

Over the last one year, SASTASUNDAR VENTURES share price has moved up from Rs 297.5 to Rs 298.1, registering a gain of Rs 0.6 or around 0.2%.

Overall, the S&P BSE SENSEX is up 25.6% over the year.

(To know more, you can check out historical annual results for SASTASUNDAR VENTURES here and quarterly results for SASTASUNDAR VENTURES here)