SAMHI HOTELS LTD. 2023-24 Annual Report Analysis

Mon, 2 Sep

SAMHI HOTELS LTD. 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.

SAMHI HOTELS LTD. Income Statement Analysis

• Operating income during the year rose 29.6% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 24.8% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 20.2% in FY24 as against 34.8% in FY23.
• Depreciation charges increased by 18.1% and finance costs decreased by 33.9% YoY, respectively.
• Other income declined by 6.6% YoY.
• Net profit for the year declined by NA YoY.
• Net profit margins during the year grew from 45.8% in FY23 to 24.5% in FY24.

SAMHI HOTELS LTD. Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	7,386	9,574	29.6%
Other income	Rs m	229	213	-6.6%
Total Revenues	Rs m	7,614	9,787	28.5%
Gross profit	Rs m	2,569	1,933	-24.8%
Depreciation	Rs m	963	1,137	18.1%
Interest	Rs m	5,221	3,451	-33.9%
Profit before tax	Rs m	-3,386	-2,441	NA
Tax	Rs m	0	-95	NA
Profit after tax	Rs m	-3,386	-2,346	NA
Gross profit margin	%	34.8	20.2
Effective tax rate	%	0.0	3.9
Net profit margin	%	-45.8	-24.5

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SAMHI HOTELS LTD. Balance Sheet Analysis

• The company's current liabilities during FY24 down at Rs 7 billion as compared to Rs 9 billion in FY23, thereby witnessing an decrease of -21.3%.
• Long-term debt down at Rs 16 billion as compared to Rs 21 billion during FY23, a fall of 24.1%.
• Current assets rose 17% and stood at Rs 3 billion, while fixed assets rose 57% and stood at Rs 32 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 34 billion as against Rs 23 billion during FY23, thereby witnessing a growth of 52%.

SAMHI HOTELS LTD. Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	-8,103	10,187	NA
Current Liabilities	Rs m	9,337	7,351	-21.3
Long-term Debt	Rs m	20,553	15,597	-24.1
Total Liabilities	Rs m	22,630	34,451	52.2
Current assets	Rs m	2,402	2,812	17.1
Fixed Assets	Rs m	20,158	31,639	57.0
Total Assets	Rs m	22,630	34,451	52.2

SAMHI HOTELS LTD. Cash Flow Statement Analysis

• SAMHI HOTELS LTD.'s cash flow from operating activities (CFO) during FY24 stood at Rs 3 billion, an improvement of 26.3% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -569 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -2 billion, an improvement of 33% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 138 million from the Rs -328 million net cash flows seen during FY23.

SAMHI HOTELS LTD. 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	2,174	2,747	26.3%
Cash Flow from Investing Activities	Rs m	684	-569	-
Cash Flow from Financing Activities	Rs m	-3,187	-2,123	-
Net Cash Flow	Rs m	-328	138	-

Current Valuations for SAMHI HOTELS LTD.

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs -10.7, an improvement from the EPS of Rs -39.7 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 212.1, stands at -31.8 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 4.6 times, while the price to sales ratio stands at 4.9 times.
• The company's price to cash flow (P/CF) ratio stood at -33.2 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	86.6	43.5
TTM Earnings per share	Rs	-39.7	-10.7
Diluted earnings per share	Rs	-15.4	-10.7
Price to Cash Flow	x	0.0	-33.2
TTM P/E ratio	x	0.0	-31.8
Price / Book Value ratio	x	0.0	3.9
Market Cap	Rs m	0	40,179
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for SAMHI HOTELS LTD.

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 0.4x during FY24, from 0.3x 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 0.3x during FY24, from 0.4x 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 -23.0% during FY24, from 41.8% 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 declined and down at 3.9% during FY24, from 14.7% 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 3.2% during FY24, from 8.1% 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	0.3	0.4
Debtors’ Days	Days	25	23
Interest coverage	x	0.4	0.3
Debt to equity ratio	x	-2.5	1.5
Return on assets	%	8.1	3.2
Return on equity	%	41.8	-23.0
Return on capital employed	%	14.7	3.9

To see how SAMHI HOTELS LTD. has performed over the last 5 years, please visit here.

SAMHI HOTELS LTD. Share Price Performance

Over the last one year, SAMHI HOTELS LTD. share price has moved up from Rs 0.0 to Rs 212.1, registering a gain of Rs 212.1 or around 0.0%.

Overall, the S&P BSE SENSEX is up 27.0% over the year.

(To know more, check out historical annual results for SAMHI HOTELS LTD. and quarterly results for SAMHI HOTELS LTD.)