RUSHIL DECOR 2023-24 Annual Report Analysis

Wed, 11 Sep

RUSHIL DECOR 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.

RUSHIL DECOR Income Statement Analysis

• Operating income during the year rose 0.7% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 19.7% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 14.2% in FY24 as against 17.8% in FY23.
• Depreciation charges increased by 12.7% and finance costs increased by 37.0% YoY, respectively.
• Other income grew by 108.8% YoY.
• Net profit for the year declined by 44.5% YoY.
• Net profit margins during the year declined from 9.3% in FY23 to 5.1% in FY24.

RUSHIL DECOR Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	8,384	8,440	0.7%
Other income	Rs m	14	29	108.8%
Total Revenues	Rs m	8,398	8,468	0.8%
Gross profit	Rs m	1,494	1,199	-19.7%
Depreciation	Rs m	260	293	12.7%
Interest	Rs m	235	322	37.0%
Profit before tax	Rs m	1,012	613	-39.5%
Tax	Rs m	236	182	-23.0%
Profit after tax	Rs m	777	431	-44.5%
Gross profit margin	%	17.8	14.2
Effective tax rate	%	23.3	29.6
Net profit margin	%	9.3	5.1

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RUSHIL DECOR Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 3 billion as compared to Rs 3 billion in FY23, thereby witnessing an increase of 8.1%.
• Long-term debt down at Rs 2 billion as compared to Rs 3 billion during FY23, a fall of 39.7%.
• Current assets rose 28% and stood at Rs 4 billion, while fixed assets rose 1% and stood at Rs 7 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 11 billion as against Rs 10 billion during FY23, thereby witnessing a growth of 10%.

RUSHIL DECOR Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	3,634	5,111	40.6
Current Liabilities	Rs m	2,995	3,237	8.1
Long-term Debt	Rs m	2,686	1,618	-39.7
Total Liabilities	Rs m	9,976	10,994	10.2
Current assets	Rs m	3,377	4,312	27.7
Fixed Assets	Rs m	6,599	6,683	1.3
Total Assets	Rs m	9,976	10,994	10.2

RUSHIL DECOR Cash Flow Statement Analysis

• RUSHIL DECOR's cash flow from operating activities (CFO) during FY24 stood at Rs 409 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -353 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -56 million, an improvement of 86% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 0 million from the Rs 0 million net cash flows seen during FY23.

RUSHIL DECOR 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	1,149	409	-64.4%
Cash Flow from Investing Activities	Rs m	-761	-353	-
Cash Flow from Financing Activities	Rs m	-388	-56	-
Net Cash Flow	Rs m	0	0	-

Current Valuations for RUSHIL DECOR

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 16.2, an decline from the EPS of Rs 39.0 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 35.9, stands at 2.2 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 0.2 times, while the price to sales ratio stands at 0.1 times.
• The company's price to cash flow (P/CF) ratio stood at 1.2 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	421.1	318.0
TTM Earnings per share	Rs	39.0	16.2
Diluted earnings per share	Rs	29.3	16.2
Price to Cash Flow	x	0.5	1.2
TTM P/E ratio	x	0.7	2.2
Price / Book Value ratio	x	2.5	0.2
Market Cap	Rs m	8,989	842
Dividends per share (Unadj.)	Rs	0.1	0.1

Ratio Analysis for RUSHIL DECOR

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.3x during FY24, from 1.1x 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 2.9x during FY24, from 5.3x 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 8.4% during FY24, from 21.4% 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 13.9% during FY24, from 19.7% 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 6.9% during FY24, from 10.1% 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	1.1	1.3
Debtors’ Days	Days	517	710
Interest coverage	x	5.3	2.9
Debt to equity ratio	x	0.7	0.3
Return on assets	%	10.1	6.9
Return on equity	%	21.4	8.4
Return on capital employed	%	19.7	13.9

To see how RUSHIL DECOR has performed over the last 5 years, please visit here.

RUSHIL DECOR Share Price Performance

Over the last one year, RUSHIL DECOR share price has moved up from Rs 30.8 to Rs 35.9, registering a gain of Rs 5.1 or around 16.5%.

Overall, the S&P BSE SENSEX is up 21.4% over the year.

(To know more, check out historical annual results for RUSHIL DECOR and quarterly results for RUSHIL DECOR)