UNO MINDA 2023-24 Annual Report Analysis

Mon, 5 Aug

UNO MINDA 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.

UNO MINDA Income Statement Analysis

• Operating income during the year rose 24.9% on a year-on-year (YoY) basis.
• The company's operating profit increased by 33.9% YoY during the fiscal. Operating profit margins witnessed a fall and down at 12.8% in FY24 as against 11.9% in FY23.
• Depreciation charges increased by 22.4% and finance costs increased by 62.6% YoY, respectively.
• Other income declined by 30.9% YoY.
• Net profit for the year grew by 32.1% YoY.
• Net profit margins during the year grew from 6.2% in FY23 to 6.6% in FY24.

UNO MINDA Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	112,365	140,309	24.9%
Other income	Rs m	489	338	-30.9%
Total Revenues	Rs m	112,854	140,647	24.6%
Gross profit	Rs m	13,419	17,973	33.9%
Depreciation	Rs m	4,299	5,262	22.4%
Interest	Rs m	695	1,130	62.6%
Profit before tax	Rs m	8,914	11,918	33.7%
Tax	Rs m	1,911	2,671	39.8%
Profit after tax	Rs m	7,002	9,247	32.1%
Gross profit margin	%	11.9	12.8
Effective tax rate	%	21.4	22.4
Net profit margin	%	6.2	6.6

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UNO MINDA Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 37 billion as compared to Rs 30 billion in FY23, thereby witnessing an increase of 24.4%.
• Long-term debt stood at Rs 7 billion as compared to Rs 6 billion during FY23, a growth of 19.9%.
• Current assets rose 26% and stood at Rs 45 billion, while fixed assets rose 14% and stood at Rs 53 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 99 billion as against Rs 83 billion during FY23, thereby witnessing a growth of 19%.

UNO MINDA Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	41,402	49,135	18.7
Current Liabilities	Rs m	29,522	36,731	24.4
Long-term Debt	Rs m	5,806	6,963	19.9
Total Liabilities	Rs m	82,671	98,569	19.2
Current assets	Rs m	35,658	45,045	26.3
Fixed Assets	Rs m	46,992	53,468	13.8
Total Assets	Rs m	82,671	98,569	19.2

UNO MINDA Cash Flow Statement Analysis

• UNO MINDA's cash flow from operating activities (CFO) during FY24 stood at Rs 10 billion, an improvement of 22.0% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -10 billion on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 905 million on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 1 billion from the Rs -809 million net cash flows seen during FY23.

UNO MINDA 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	8,026	9,793	22.0%
Cash Flow from Investing Activities	Rs m	-11,901	-9,534	-
Cash Flow from Financing Activities	Rs m	3,010	905	-69.9%
Net Cash Flow	Rs m	-809	1,193	-

Current Valuations for UNO MINDA

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 16.1, an improvement from the EPS of Rs 12.2 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 976.9, stands at 75.9 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 11.4 times, while the price to sales ratio stands at 4.0 times.
• The company's price to cash flow (P/CF) ratio stood at 23.5 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	196.1	244.4
TTM Earnings per share	Rs	12.2	16.1
Diluted earnings per share	Rs	12.2	16.1
Price to Cash Flow	x	24.4	23.5
TTM P/E ratio	x	46.0	75.9
Price / Book Value ratio	x	6.8	6.9
Market Cap	Rs m	283,348	340,696
Dividends per share (Unadj.)	Rs	1.5	2.0

Ratio Analysis for UNO MINDA

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.2x during FY24, from 1.2x 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 11.5x during FY24, from 13.8x 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 18.8% during FY24, from 16.9% 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 23.3% during FY24, from 20.4% 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 10.5% during FY24, from 9.3% 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	1.2	1.2
Debtors’ Days	Days	6	5
Interest coverage	x	13.8	11.5
Debt to equity ratio	x	0.1	0.1
Return on assets	%	9.3	10.5
Return on equity	%	16.9	18.8
Return on capital employed	%	20.4	23.3

To see how UNO MINDA has performed over the last 5 years, please visit here.

UNO MINDA Share Price Performance

Over the last one year, UNO MINDA share price has moved up from Rs 575.0 to Rs 976.9, registering a gain of Rs 401.9 or around 69.9%.

Overall, the S&P BSE SENSEX is up 18.5% over the year.

(To know more, check out historical annual results for UNO MINDA and quarterly results for UNO MINDA)