NAVIN FLUORINE 2023-24 Annual Report Analysis

Thu, 11 Jul

NAVIN FLUORINE 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.

NAVIN FLUORINE Income Statement Analysis

• Operating income during the year fell 0.6% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 18.2% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 21.8% in FY24 as against 26.5% in FY23.
• Depreciation charges increased by 53.5% and finance costs increased by 170.9% YoY, respectively.
• Other income grew by 56.3% YoY.
• Net profit for the year declined by 27.9% YoY.
• Net profit margins during the year declined from 18.1% in FY23 to 13.1% in FY24.

NAVIN FLUORINE Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	20,774	20,650	-0.6%
Other income	Rs m	357	559	56.3%
Total Revenues	Rs m	21,131	21,209	0.4%
Gross profit	Rs m	5,503	4,504	-18.2%
Depreciation	Rs m	626	962	53.5%
Interest	Rs m	275	746	170.9%
Profit before tax	Rs m	4,959	3,355	-32.3%
Tax	Rs m	1,207	650	-46.1%
Profit after tax	Rs m	3,752	2,705	-27.9%
Gross profit margin	%	26.5	21.8
Effective tax rate	%	24.3	19.4
Net profit margin	%	18.1	13.1

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NAVIN FLUORINE Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 10 billion as compared to Rs 7 billion in FY23, thereby witnessing an increase of 43.2%.
• Long-term debt stood at Rs 10 billion as compared to Rs 8 billion during FY23, a growth of 35.8%.
• Current assets rose 9% and stood at Rs 17 billion, while fixed assets rose 21% and stood at Rs 31 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 48 billion as against Rs 41 billion during FY23, thereby witnessing a growth of 16%.

NAVIN FLUORINE Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	21,673	23,636	9.1
Current Liabilities	Rs m	7,043	10,088	43.2
Long-term Debt	Rs m	7,531	10,229	35.8
Total Liabilities	Rs m	41,029	47,608	16.0
Current assets	Rs m	15,667	17,041	8.8
Fixed Assets	Rs m	25,345	30,566	20.6
Total Assets	Rs m	41,029	47,608	16.0

NAVIN FLUORINE Cash Flow Statement Analysis

• NAVIN FLUORINE's cash flow from operating activities (CFO) during FY24 stood at Rs 7 billion on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -11 billion, an improvement of 66.8% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 3 billion on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -78 million from the Rs -613 million net cash flows seen during FY23.

NAVIN FLUORINE 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	-636	7,499	-
Cash Flow from Investing Activities	Rs m	-6,556	-10,935	-
Cash Flow from Financing Activities	Rs m	6,579	3,357	-49.0%
Net Cash Flow	Rs m	-613	-78	-

Current Valuations for NAVIN FLUORINE

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 54.6, an decline from the EPS of Rs 75.7 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 3,662.9, stands at 67.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 7.7 times, while the price to sales ratio stands at 8.8 times.
• The company's price to cash flow (P/CF) ratio stood at 52.9 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	419.1	416.6
TTM Earnings per share	Rs	75.7	54.6
Diluted earnings per share	Rs	75.7	54.6
Price to Cash Flow	x	48.3	52.9
TTM P/E ratio	x	56.4	67.1
Price / Book Value ratio	x	9.5	8.2
Market Cap	Rs m	205,373	193,887
Dividends per share (Unadj.)	Rs	12.0	15.0

Ratio Analysis for NAVIN FLUORINE

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.7x 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 5.5x during FY24, from 19.0x 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 11.4% during FY24, from 17.3% 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 17.9% 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 7.2% during FY24, from 9.8% 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	1.7
Debtors’ Days	Days	10	9
Interest coverage	x	19.0	5.5
Debt to equity ratio	x	0.3	0.4
Return on assets	%	9.8	7.2
Return on equity	%	17.3	11.4
Return on capital employed	%	17.9	12.1

To see how NAVIN FLUORINE has performed over the last 5 years, please visit here.

NAVIN FLUORINE Share Price Performance

Over the last one year, NAVIN FLUORINE share price has moved down from Rs 4,274.7 to Rs 3,662.9, registering a loss of Rs 611.8 or around 14.3%.

Overall, the S&P BSE SENSEX is up 22.1% over the year.

(To know more, check out historical annual results for NAVIN FLUORINE and quarterly results for NAVIN FLUORINE)