SAKUMA EXPORTS 2023-24 Annual Report Analysis

Wed, 3 Jul

SAKUMA EXPORTS 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.

SAKUMA EXPORTS Income Statement Analysis

• Operating income during the year fell 40.9% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 56.0% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 0.9% in FY24 as against 1.2% in FY23.
• Depreciation charges decreased by 19.9% and finance costs decreased by 42.2% YoY, respectively.
• Other income grew by 47.0% YoY.
• Net profit for the year declined by 42.6% YoY.
• Net profit margins during the year declined from 0.9% in FY23 to 0.9% in FY24.

SAKUMA EXPORTS Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	31,731	18,743	-40.9%
Other income	Rs m	72	107	47.0%
Total Revenues	Rs m	31,804	18,850	-40.7%
Gross profit	Rs m	390	172	-56.0%
Depreciation	Rs m	15	12	-19.9%
Interest	Rs m	68	39	-42.2%
Profit before tax	Rs m	380	228	-40.2%
Tax	Rs m	96	64	-33.0%
Profit after tax	Rs m	284	163	-42.6%
Gross profit margin	%	1.2	0.9
Effective tax rate	%	25.2	28.3
Net profit margin	%	0.9	0.9

Dear Reader: If You Invest in Midcap Stocks, this is for You

SAKUMA EXPORTS Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 2 billion as compared to Rs 1 billion in FY23, thereby witnessing an increase of 54.4%.
• Current assets fell 16% and stood at Rs 5 billion, while fixed assets fell 10% and stood at Rs 291 million in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 5 billion as against Rs 6 billion during FY23, thereby witnessing a fall of 16%.

SAKUMA EXPORTS Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	4,126	2,910	-29.5
Current Liabilities	Rs m	1,233	1,903	54.4
Long-term Debt	Rs m	8	0	-100.0
Total Liabilities	Rs m	5,714	4,815	-15.7
Current assets	Rs m	5,391	4,524	-16.1
Fixed Assets	Rs m	324	291	-10.1
Total Assets	Rs m	5,714	4,815	-15.7

SAKUMA EXPORTS Cash Flow Statement Analysis

• SAKUMA EXPORTS's cash flow from operating activities (CFO) during FY24 stood at Rs -915 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs 121 million, an improvement of 931.0% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 771 million, an improvement of 200% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -24 million from the Rs 150 million net cash flows seen during FY23.

SAKUMA EXPORTS 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	908	-915	-
Cash Flow from Investing Activities	Rs m	12	121	931.0%
Cash Flow from Financing Activities	Rs m	-770	771	-
Net Cash Flow	Rs m	150	-24	-

Current Valuations for SAKUMA EXPORTS

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 0.7, an decline from the EPS of Rs 1.2 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 31.2, stands at 24.5 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 3.4 times, while the price to sales ratio stands at 0.4 times.
• The company's price to cash flow (P/CF) ratio stood at 27.1 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	135.3	79.9
TTM Earnings per share	Rs	1.2	0.7
Diluted earnings per share	Rs	0.9	0.5
Price to Cash Flow	x	10.7	27.1
TTM P/E ratio	x	11.2	24.5
Price / Book Value ratio	x	0.9	1.6
Market Cap	Rs m	3,550	4,739
Dividends per share (Unadj.)	Rs	0.1	0.1

Ratio Analysis for SAKUMA EXPORTS

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 2.4x during FY24, from 4.4x 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 6.8x 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 declined and down at 5.6% during FY24, from 6.9% 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 9.2% during FY24, from 10.8% 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 4.2% during FY24, from 6.2% 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	4.4	2.4
Debtors’ Days	Days	361	406
Interest coverage	x	6.6	6.8
Debt to equity ratio	x	0.0	0.0
Return on assets	%	6.2	4.2
Return on equity	%	6.9	5.6
Return on capital employed	%	10.8	9.2

To see how SAKUMA EXPORTS has performed over the last 5 years, please visit here.

SAKUMA EXPORTS Share Price Performance

Over the last one year, SAKUMA EXPORTS share price has moved up from Rs 13.5 to Rs 31.2, registering a gain of Rs 17.7 or around 130.5%.

Overall, the S&P BSE SENSEX is up 22.5% over the year.

(To know more, check out historical annual results for SAKUMA EXPORTS and quarterly results for SAKUMA EXPORTS)