SUPRAJIT ENGINEERING 2023-24 Annual Report Analysis

Mon, 9 Sep

SUPRAJIT ENGINEERING 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.

SUPRAJIT ENGINEERING Income Statement Analysis

• Operating income during the year rose 5.2% on a year-on-year (YoY) basis.
• The company's operating profit increased by 3.3% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 11.2% in FY24 as against 11.4% in FY23.
• Depreciation charges increased by 8.7% and finance costs increased by 44.4% YoY, respectively.
• Other income grew by 55.1% YoY.
• Net profit for the year grew by 10.0% YoY.
• Net profit margins during the year grew from 5.5% in FY23 to 5.8% in FY24.

SUPRAJIT ENGINEERING Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	27,524	28,959	5.2%
Other income	Rs m	386	599	55.1%
Total Revenues	Rs m	27,910	29,558	5.9%
Gross profit	Rs m	3,126	3,230	3.3%
Depreciation	Rs m	955	1,037	8.7%
Interest	Rs m	356	514	44.4%
Profit before tax	Rs m	2,202	2,278	3.4%
Tax	Rs m	681	605	-11.2%
Profit after tax	Rs m	1,521	1,673	10.0%
Gross profit margin	%	11.4	11.2
Effective tax rate	%	30.9	26.6
Net profit margin	%	5.5	5.8

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SUPRAJIT ENGINEERING Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 9 billion as compared to Rs 8 billion in FY23, thereby witnessing an increase of 9.5%.
• Long-term debt down at Rs 2 billion as compared to Rs 3 billion during FY23, a fall of 23.5%.
• Current assets rose 7% and stood at Rs 17 billion, while fixed assets rose 4% and stood at Rs 9 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 26 billion as against Rs 24 billion during FY23, thereby witnessing a growth of 6%.

SUPRAJIT ENGINEERING Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	12,130	13,518	11.4
Current Liabilities	Rs m	8,154	8,925	9.5
Long-term Debt	Rs m	2,648	2,026	-23.5
Total Liabilities	Rs m	24,220	25,630	5.8
Current assets	Rs m	15,622	16,698	6.9
Fixed Assets	Rs m	8,598	8,932	3.9
Total Assets	Rs m	24,220	25,630	5.8

SUPRAJIT ENGINEERING Cash Flow Statement Analysis

• SUPRAJIT ENGINEERING's cash flow from operating activities (CFO) during FY24 stood at Rs 2 billion, an improvement of 4.2% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -1 billion on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -1 billion on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 154 million from the Rs -860 million net cash flows seen during FY23.

SUPRAJIT ENGINEERING 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	2,391	2,492	4.2%
Cash Flow from Investing Activities	Rs m	-5,793	-1,120	-
Cash Flow from Financing Activities	Rs m	2,232	-1,217	-
Net Cash Flow	Rs m	-860	154	-

Current Valuations for SUPRAJIT ENGINEERING

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 12.1, an improvement from the EPS of Rs 11.0 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 508.4, stands at 40.9 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 5.2 times, while the price to sales ratio stands at 2.4 times.
• The company's price to cash flow (P/CF) ratio stood at 20.4 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	198.9	209.1
TTM Earnings per share	Rs	11.0	12.1
Diluted earnings per share	Rs	11.0	12.1
Price to Cash Flow	x	19.3	20.4
TTM P/E ratio	x	31.4	40.9
Price / Book Value ratio	x	4.0	4.1
Market Cap	Rs m	48,154	55,201
Dividends per share (Unadj.)	Rs	2.3	2.5

Ratio Analysis for SUPRAJIT ENGINEERING

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.9x during FY24, from 1.9x 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 5.4x during FY24, from 7.2x 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 12.4% during FY24, from 12.5% 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 18.0% during FY24, from 17.3% 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 8.5% during FY24, from 7.7% 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	1.9	1.9
Debtors’ Days	Days	61	65
Interest coverage	x	7.2	5.4
Debt to equity ratio	x	0.2	0.1
Return on assets	%	7.7	8.5
Return on equity	%	12.5	12.4
Return on capital employed	%	17.3	18.0

To see how SUPRAJIT ENGINEERING has performed over the last 5 years, please visit here.

SUPRAJIT ENGINEERING Share Price Performance

Over the last one year, SUPRAJIT ENGINEERING share price has moved up from Rs 424.6 to Rs 508.4, registering a gain of Rs 83.8 or around 19.7%.

Overall, the S&P BSE SENSEX is up 24.0% over the year.

(To know more, check out historical annual results for SUPRAJIT ENGINEERING and quarterly results for SUPRAJIT ENGINEERING)