MISHRA DHATU NIGAM 2023-24 Annual Report Analysis

Fri, 13 Sep

MISHRA DHATU NIGAM 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.

MISHRA DHATU NIGAM Income Statement Analysis

• Operating income during the year rose 23.0% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 24.5% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 18.2% in FY24 as against 29.7% in FY23.
• Depreciation charges increased by 10.5% and finance costs increased by 31.8% YoY, respectively.
• Other income declined by 20.8% YoY.
• Net profit for the year declined by 41.3% YoY.
• Net profit margins during the year declined from 17.9% in FY23 to 8.6% in FY24.

MISHRA DHATU NIGAM Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	8,719	10,727	23.0%
Other income	Rs m	378	299	-20.8%
Total Revenues	Rs m	9,097	11,026	21.2%
Gross profit	Rs m	2,591	1,956	-24.5%
Depreciation	Rs m	530	586	10.5%
Interest	Rs m	269	355	31.8%
Profit before tax	Rs m	2,169	1,315	-39.4%
Tax	Rs m	607	397	-34.6%
Profit after tax	Rs m	1,563	918	-41.3%
Gross profit margin	%	29.7	18.2
Effective tax rate	%	28.0	30.2
Net profit margin	%	17.9	8.6

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MISHRA DHATU NIGAM Balance Sheet Analysis

• The company's current liabilities during FY24 down at Rs 8 billion as compared to Rs 8 billion in FY23, thereby witnessing an decrease of -3.2%.
• Long-term debt down at Rs 591 million as compared to Rs 674 million during FY23, a fall of 12.2%.
• Current assets rose 1% and stood at Rs 18 billion, while fixed assets rose 2% and stood at Rs 11 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 29 billion as against Rs 29 billion during FY23, thereby witnessing a growth of 1%.

MISHRA DHATU NIGAM Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	12,854	13,192	2.6
Current Liabilities	Rs m	8,009	7,751	-3.2
Long-term Debt	Rs m	674	591	-12.2
Total Liabilities	Rs m	28,628	29,054	1.5
Current assets	Rs m	17,435	17,671	1.4
Fixed Assets	Rs m	11,193	11,383	1.7
Total Assets	Rs m	28,628	29,054	1.5

MISHRA DHATU NIGAM Cash Flow Statement Analysis

• MISHRA DHATU NIGAM's cash flow from operating activities (CFO) during FY24 stood at Rs 2 billion on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -652 million, an improvement of 2,108.6% 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 22 million from the Rs 44 million net cash flows seen during FY23.

MISHRA DHATU NIGAM 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	-354	2,156	-
Cash Flow from Investing Activities	Rs m	-30	-652	-
Cash Flow from Financing Activities	Rs m	428	-1,483	-
Net Cash Flow	Rs m	44	22	-50.5%

Current Valuations for MISHRA DHATU NIGAM

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 4.9, an decline from the EPS of Rs 8.3 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 397.4, stands at 95.6 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 5.6 times, while the price to sales ratio stands at 6.9 times.
• The company's price to cash flow (P/CF) ratio stood at 45.6 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	46.5	57.3
TTM Earnings per share	Rs	8.3	4.9
Diluted earnings per share	Rs	8.3	4.9
Price to Cash Flow	x	16.5	45.6
TTM P/E ratio	x	22.2	95.6
Price / Book Value ratio	x	3.1	5.2
Market Cap	Rs m	39,763	68,515
Dividends per share (Unadj.)	Rs	3.4	1.4

Ratio Analysis for MISHRA DHATU NIGAM

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 2.3x during FY24, from 2.2x 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 4.7x during FY24, from 9.1x 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 7.0% during FY24, from 12.2% 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 declined and down at 12.1% during FY24, from 18.0% 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 declined and down at 4.4% during FY24, from 6.4% 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	2.2	2.3
Debtors’ Days	Days	1,322	1,099
Interest coverage	x	9.1	4.7
Debt to equity ratio	x	0.1	0.0
Return on assets	%	6.4	4.4
Return on equity	%	12.2	7.0
Return on capital employed	%	18.0	12.1

To see how MISHRA DHATU NIGAM has performed over the last 5 years, please visit here.

MISHRA DHATU NIGAM Share Price Performance

Over the last one year, MISHRA DHATU NIGAM share price has moved down from Rs 404.6 to Rs 397.4, registering a loss of Rs 7.3 or around 1.8%.

Meanwhile, the S&P BSE METAL Index is trading at Rs 31,649.1 (up 3.1%). Over the last one year it has moved up from 23,158.4 to 31,649.1, a gain of 8,491 points (up 36.7%).

Overall, the S&P BSE SENSEX is up 23.6% over the year.

(To know more, check out historical annual results for MISHRA DHATU NIGAM and quarterly results for MISHRA DHATU NIGAM)