OBEROI REALTY 2023-24 Annual Report Analysis

Mon, 10 Jun

OBEROI REALTY 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.

OBEROI REALTY Income Statement Analysis

• Operating income during the year rose 7.2% on a year-on-year (YoY) basis.
• The company's operating profit increased by 3.7% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 53.8% in FY24 as against 55.6% in FY23.
• Depreciation charges increased by 19.5% and finance costs increased by 29.2% YoY, respectively.
• Other income grew by 221.0% YoY.
• Net profit for the year grew by 1.2% YoY.
• Net profit margins during the year declined from 45.4% in FY23 to 42.9% in FY24.

OBEROI REALTY Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	41,926	44,958	7.2%
Other income	Rs m	1,006	3,230	221.0%
Total Revenues	Rs m	42,932	48,188	12.2%
Gross profit	Rs m	23,321	24,187	3.7%
Depreciation	Rs m	398	475	19.5%
Interest	Rs m	1,691	2,184	29.2%
Profit before tax	Rs m	22,239	24,757	11.3%
Tax	Rs m	3,193	5,491	72.0%
Profit after tax	Rs m	19,045	19,266	1.2%
Gross profit margin	%	55.6	53.8
Effective tax rate	%	14.4	22.2
Net profit margin	%	45.4	42.9

Must See: These Segments are Witnessing Incredible Growth with Modi's Push

OBEROI REALTY Balance Sheet Analysis

• The company's current liabilities during FY24 down at Rs 33 billion as compared to Rs 33 billion in FY23, thereby witnessing an decrease of -0.4%.
• Long-term debt down at Rs 22 billion as compared to Rs 29 billion during FY23, a fall of 23.9%.
• Current assets rose 2% and stood at Rs 127 billion, while fixed assets rose 12% and stood at Rs 67 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 195 billion as against Rs 184 billion during FY23, thereby witnessing a growth of 6%.

OBEROI REALTY Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	122,101	138,444	13.4
Current Liabilities	Rs m	32,878	32,733	-0.4
Long-term Debt	Rs m	28,806	21,920	-23.9
Total Liabilities	Rs m	184,326	194,606	5.6
Current assets	Rs m	124,564	127,459	2.3
Fixed Assets	Rs m	59,762	67,147	12.4
Total Assets	Rs m	184,326	194,606	5.6

OBEROI REALTY Cash Flow Statement Analysis

• OBEROI REALTY's cash flow from operating activities (CFO) during FY24 stood at Rs 28 billion on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -6 billion on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -20 billion on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 1 billion from the Rs 643 million net cash flows seen during FY23.

OBEROI REALTY 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	-23,830	28,099	-
Cash Flow from Investing Activities	Rs m	17,385	-6,443	-
Cash Flow from Financing Activities	Rs m	7,088	-20,345	-
Net Cash Flow	Rs m	643	1,311	103.8%

Current Valuations for OBEROI REALTY

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 53.0, an improvement from the EPS of Rs 52.4 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 1,905.3, stands at 36.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 5.0 times, while the price to sales ratio stands at 15.4 times.
• The company's price to cash flow (P/CF) ratio stood at 22.3 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	115.3	123.6
TTM Earnings per share	Rs	52.4	53.0
Diluted earnings per share	Rs	52.4	53.0
Price to Cash Flow	x	15.8	22.3
TTM P/E ratio	x	18.2	36.1
Price / Book Value ratio	x	2.7	3.2
Market Cap	Rs m	329,905	439,804
Dividends per share (Unadj.)	Rs	4.0	8.0

Ratio Analysis for OBEROI REALTY

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 3.9x during FY24, from 3.8x 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 12.3x during FY24, from 14.2x 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 13.9% during FY24, from 15.6% 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 16.8% during FY24, from 15.9% 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 11.0% during FY24, from 11.2% 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	3.8	3.9
Debtors’ Days	Days	956	166
Interest coverage	x	14.2	12.3
Debt to equity ratio	x	0.2	0.2
Return on assets	%	11.2	11.0
Return on equity	%	15.6	13.9
Return on capital employed	%	15.9	16.8

To see how OBEROI REALTY has performed over the last 5 years, please visit here.

OBEROI REALTY Share Price Performance

Over the last one year, OBEROI REALTY share price has moved up from Rs 964.9 to Rs 1,905.3, registering a gain of Rs 940.4 or around 97.5%.

Meanwhile, the S&P BSE REALTY Index is trading at Rs 8,447.6 (up 1.0%). Over the last one year it has moved up from 3,988.7 to 8,447.6, a gain of 4,459 points (up 111.8%).

Overall, the S&P BSE SENSEX is up 22.2% over the year.

(To know more, check out historical annual results for OBEROI REALTY and quarterly results for OBEROI REALTY)