PHANTOM DIGITAL EFFECTS 2023-24 Annual Report Analysis

Wed, 9 Oct

PHANTOM DIGITAL EFFECTS 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.

PHANTOM DIGITAL EFFECTS Income Statement Analysis

• Operating income during the year rose 54.3% on a year-on-year (YoY) basis.
• The company's operating profit increased by 67.5% YoY during the fiscal. Operating profit margins witnessed a fall and down at 42.5% in FY24 as against 39.1% in FY23.
• Depreciation charges increased by 294.0% and finance costs increased by 228.2% YoY, respectively.
• Other income grew by 30.8% YoY.
• Net profit for the year grew by 48.9% YoY.
• Net profit margins during the year declined from 28.0% in FY23 to 27.0% in FY24.

PHANTOM DIGITAL EFFECTS Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	579	893	54.3%
Other income	Rs m	8	11	30.8%
Total Revenues	Rs m	587	904	54.0%
Gross profit	Rs m	226	379	67.5%
Depreciation	Rs m	12	45	294.0%
Interest	Rs m	5	18	228.2%
Profit before tax	Rs m	218	327	50.1%
Tax	Rs m	56	86	53.5%
Profit after tax	Rs m	162	241	48.9%
Gross profit margin	%	39.1	42.5
Effective tax rate	%	25.6	26.2
Net profit margin	%	28.0	27.0

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PHANTOM DIGITAL EFFECTS Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 274 million as compared to Rs 126 million in FY23, thereby witnessing an increase of 117.3%.
• Long-term debt stood at Rs 52 million as compared to Rs 16 million during FY23, a growth of 236.7%.
• Current assets rose 208% and stood at Rs 1 billion, while fixed assets rose 183% and stood at Rs 368 million in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 2 billion as against Rs 590 million during FY23, thereby witnessing a growth of 202%.

PHANTOM DIGITAL EFFECTS Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	442	1,447	227.4
Current Liabilities	Rs m	126	274	117.3
Long-term Debt	Rs m	16	52	236.7
Total Liabilities	Rs m	590	1,782	202.2
Current assets	Rs m	460	1,415	207.6
Fixed Assets	Rs m	130	368	183.2
Total Assets	Rs m	590	1,782	202.2

PHANTOM DIGITAL EFFECTS Cash Flow Statement Analysis

• PHANTOM DIGITAL EFFECTS's cash flow from operating activities (CFO) during FY24 stood at Rs -153 million, an improvement of 53.3% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -488 million, an improvement of 359.7% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 783 million, an improvement of 240% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 142 million from the Rs 24 million net cash flows seen during FY23.

PHANTOM DIGITAL EFFECTS 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	-100	-153	-
Cash Flow from Investing Activities	Rs m	-106	-488	-
Cash Flow from Financing Activities	Rs m	230	783	240.5%
Net Cash Flow	Rs m	24	142	494.0%

Current Valuations for PHANTOM DIGITAL EFFECTS

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 17.8, an improvement from the EPS of Rs 13.9 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 349.0, stands at 19.6 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 3.3 times, while the price to sales ratio stands at 5.3 times.
• The company's price to cash flow (P/CF) ratio stood at 17.7 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	49.7	65.8
TTM Earnings per share	Rs	13.9	17.8
Diluted earnings per share	Rs	11.9	17.8
Price to Cash Flow	x	0.0	17.7
TTM P/E ratio	x	0.0	19.6
Price / Book Value ratio	x	6.1	3.5
Market Cap	Rs m	2,712	5,075
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for PHANTOM DIGITAL EFFECTS

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 5.2x during FY24, from 3.6x 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 19.1x during FY24, from 40.7x 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 16.7% during FY24, from 36.6% 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 declined and down at 23.0% during FY24, from 48.8% 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 14.5% during FY24, from 28.4% 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	3.6	5.2
Debtors’ Days	Days	992	2,081
Interest coverage	x	40.7	19.1
Debt to equity ratio	x	0.0	0.0
Return on assets	%	28.4	14.5
Return on equity	%	36.6	16.7
Return on capital employed	%	48.8	23.0

To see how PHANTOM DIGITAL EFFECTS has performed over the last 5 years, please visit here.

PHANTOM DIGITAL EFFECTS Share Price Performance

Over the last one year, PHANTOM DIGITAL EFFECTS share price has moved down from Rs 0.0 to Rs 0.0, registering a loss of Rs 0.0 or around 0.0%.

Meanwhile, the S&P BSE TECK Index is trading at Rs 19,927.4 (up 1.0%). Over the last one year it has moved up from 14,647.6 to 19,927.4, a gain of 5,280 points (up 36.0%).

Overall, the NIFTY 50 is up 0.8% over the year.

(To know more, check out historical annual results for PHANTOM DIGITAL EFFECTS and quarterly results for PHANTOM DIGITAL EFFECTS)