PVR INOX 2023-24 Annual Report Analysis

Mon, 2 Sep

PVR INOX 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.

PVR INOX Income Statement Analysis

• Operating income during the year rose 62.8% on a year-on-year (YoY) basis.
• The company's operating profit increased by 73.4% YoY during the fiscal. Operating profit margins witnessed a fall and down at 29.4% in FY24 as against 27.6% in FY23.
• Depreciation charges increased by 61.9% and finance costs increased by 38.4% YoY, respectively.
• Other income grew by 112.9% YoY.
• Net profit for the year declined by NA YoY.
• Net profit margins during the year grew from 9.0% in FY23 to 0.5% in FY24.

PVR INOX Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	37,506	61,071	62.8%
Other income	Rs m	791	1,684	112.9%
Total Revenues	Rs m	38,297	62,755	63.9%
Gross profit	Rs m	10,368	17,983	73.4%
Depreciation	Rs m	7,533	12,193	61.9%
Interest	Rs m	5,716	7,913	38.4%
Profit before tax	Rs m	-2,090	-439	NA
Tax	Rs m	1,274	-112	NA
Profit after tax	Rs m	-3,364	-327	NA
Gross profit margin	%	27.6	29.4
Effective tax rate	%	-61.0	25.5
Net profit margin	%	-9.0	-0.5

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PVR INOX Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 24 billion as compared to Rs 21 billion in FY23, thereby witnessing an increase of 14.6%.
• Long-term debt down at Rs 10 billion as compared to Rs 13 billion during FY23, a fall of 17.7%.
• Current assets rose 17% and stood at Rs 10 billion, while fixed assets rose 1% and stood at Rs 153 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 163 billion as against Rs 160 billion during FY23, thereby witnessing a growth of 2%.

PVR INOX Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	73,069	72,991	-0.1
Current Liabilities	Rs m	20,513	23,503	14.6
Long-term Debt	Rs m	12,723	10,474	-17.7
Total Liabilities	Rs m	160,000	163,296	2.1
Current assets	Rs m	8,498	9,939	17.0
Fixed Assets	Rs m	151,502	153,357	1.2
Total Assets	Rs m	160,000	163,296	2.1

PVR INOX Cash Flow Statement Analysis

• PVR INOX's cash flow from operating activities (CFO) during FY24 stood at Rs 20 billion, an improvement of 129.1% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -6 billion, an improvement of 8.8% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -13 billion on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 599 million from the Rs -2 billion net cash flows seen during FY23.

PVR INOX 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	8,639	19,790	129.1%
Cash Flow from Investing Activities	Rs m	-5,759	-6,266	-
Cash Flow from Financing Activities	Rs m	-6,935	-12,925	-
Net Cash Flow	Rs m	-1,677	599	-

Current Valuations for PVR INOX

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs -3.3, an improvement from the EPS of Rs -34.3 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 1,514.5, stands at -114.7 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 2.0 times, while the price to sales ratio stands at 2.4 times.
• The company's price to cash flow (P/CF) ratio stood at 12.9 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	382.8	622.3
TTM Earnings per share	Rs	-34.3	-3.3
Diluted earnings per share	Rs	-34.3	-3.3
Price to Cash Flow	x	36.1	12.9
TTM P/E ratio	x	-44.8	-114.7
Price / Book Value ratio	x	2.5	2.1
Market Cap	Rs m	180,399	153,463
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for PVR INOX

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 0.4x during FY24, from 0.4x 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 0.9x during FY24, from 0.6x 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 -0.4% during FY24, from -4.6% 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 9.0% during FY24, from 4.2% 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 4.6% during FY24, from 1.5% 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	0.4	0.4
Debtors’ Days	Days	18	14
Interest coverage	x	0.6	0.9
Debt to equity ratio	x	0.2	0.1
Return on assets	%	1.5	4.6
Return on equity	%	-4.6	-0.4
Return on capital employed	%	4.2	9.0

To see how PVR INOX has performed over the last 5 years, please visit here.

PVR INOX Share Price Performance

Over the last one year, PVR INOX share price has moved down from Rs 1,778.9 to Rs 1,514.5, registering a loss of Rs 264.4 or around 14.9%.

Meanwhile, the S&P BSE TECK Index is trading at Rs 19,979.9 (up 0.1%). Over the last one year it has moved up from 14,185.1 to 19,979.9, a gain of 5,795 points (up 40.9%).

Overall, the S&P BSE SENSEX is up 26.9% over the year.

(To know more, check out historical annual results for PVR INOX and quarterly results for PVR INOX)