PREMIER POLYFILM 2023-24 Annual Report Analysis

Tue, 27 Aug

PREMIER POLYFILM 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.

PREMIER POLYFILM Income Statement Analysis

• Operating income during the year rose 3.3% on a year-on-year (YoY) basis.
• The company's operating profit increased by 48.8% YoY during the fiscal. Operating profit margins witnessed a fall and down at 14.6% in FY24 as against 10.1% in FY23.
• Depreciation charges increased by 4.7% and finance costs decreased by 25.3% YoY, respectively.
• Other income grew by 103.7% YoY.
• Net profit for the year grew by 76.4% YoY.
• Net profit margins during the year grew from 5.4% in FY23 to 9.2% in FY24.

PREMIER POLYFILM Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	2,175	2,246	3.3%
Other income	Rs m	8	17	103.7%
Total Revenues	Rs m	2,183	2,262	3.6%
Gross profit	Rs m	221	328	48.8%
Depreciation	Rs m	49	52	4.7%
Interest	Rs m	27	20	-25.3%
Profit before tax	Rs m	152	273	79.4%
Tax	Rs m	35	67	89.5%
Profit after tax	Rs m	117	206	76.4%
Gross profit margin	%	10.1	14.6
Effective tax rate	%	23.2	24.5
Net profit margin	%	5.4	9.2

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PREMIER POLYFILM Balance Sheet Analysis

• The company's current liabilities during FY24 down at Rs 336 million as compared to Rs 496 million in FY23, thereby witnessing an decrease of -32.1%.
• Long-term debt down at Rs 60 million as compared to Rs 100 million during FY23, a fall of 40.3%.
• Current assets fell 2% and stood at Rs 746 million, while fixed assets fell 3% and stood at Rs 633 million in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 1 billion as against Rs 1 billion during FY23, thereby witnessing a fall of 2%.

PREMIER POLYFILM Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	739	944	27.8
Current Liabilities	Rs m	496	336	-32.1
Long-term Debt	Rs m	100	60	-40.3
Total Liabilities	Rs m	1,409	1,379	-2.1
Current assets	Rs m	758	746	-1.6
Fixed Assets	Rs m	651	633	-2.7
Total Assets	Rs m	1,409	1,379	-2.1

PREMIER POLYFILM Cash Flow Statement Analysis

• PREMIER POLYFILM's cash flow from operating activities (CFO) during FY24 stood at Rs 269 million, an improvement of 116.3% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -56 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -99 million on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 114 million from the Rs -31 million net cash flows seen during FY23.

PREMIER POLYFILM 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	124	269	116.3%
Cash Flow from Investing Activities	Rs m	-171	-56	-
Cash Flow from Financing Activities	Rs m	16	-99	-
Net Cash Flow	Rs m	-31	114	-

Current Valuations for PREMIER POLYFILM

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 9.8, an improvement from the EPS of Rs 5.6 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 219.0, stands at 21.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 4.9 times, while the price to sales ratio stands at 2.0 times.
• The company's price to cash flow (P/CF) ratio stood at 13.4 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	103.8	107.2
TTM Earnings per share	Rs	5.6	9.8
Diluted earnings per share	Rs	5.6	9.8
Price to Cash Flow	x	9.1	13.4
TTM P/E ratio	x	13.0	21.1
Price / Book Value ratio	x	2.9	3.6
Market Cap	Rs m	2,154	3,442
Dividends per share (Unadj.)	Rs	0.5	0.8

Ratio Analysis for PREMIER POLYFILM

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 2.2x during FY24, from 1.5x 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 improved and stood at 14.4x during FY24, from 6.6x 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 21.8% during FY24, from 15.8% 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 29.2% during FY24, from 21.4% 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 16.4% during FY24, from 10.2% 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	1.5	2.2
Debtors’ Days	Days	543	574
Interest coverage	x	6.6	14.4
Debt to equity ratio	x	0.1	0.1
Return on assets	%	10.2	16.4
Return on equity	%	15.8	21.8
Return on capital employed	%	21.4	29.2

To see how PREMIER POLYFILM has performed over the last 5 years, please visit here.

PREMIER POLYFILM Share Price Performance

Over the last one year, PREMIER POLYFILM share price has moved up from Rs 112.6 to Rs 219.0, registering a gain of Rs 106.5 or around 94.6%.

Overall, the S&P BSE SENSEX is up 24.9% over the year.

(To know more, check out historical annual results for PREMIER POLYFILM and quarterly results for PREMIER POLYFILM)