SHILCHAR TECH. 2023-24 Annual Report Analysis

Wed, 24 Jul

SHILCHAR TECH. 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.

SHILCHAR TECH. Income Statement Analysis

• Operating income during the year rose 41.6% on a year-on-year (YoY) basis.
• The company's operating profit increased by 113.4% YoY during the fiscal. Operating profit margins witnessed a fall and down at 28.5% in FY24 as against 18.9% in FY23.
• Depreciation charges increased by 8.1% and finance costs decreased by 65.0% YoY, respectively.
• Other income grew by 58.8% YoY.
• Net profit for the year grew by 113.1% YoY.
• Net profit margins during the year grew from 15.4% in FY23 to 23.2% in FY24.

SHILCHAR TECH. Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	2,802	3,969	41.6%
Other income	Rs m	81	128	58.8%
Total Revenues	Rs m	2,883	4,097	42.1%
Gross profit	Rs m	531	1,133	113.4%
Depreciation	Rs m	24	26	8.1%
Interest	Rs m	6	2	-65.0%
Profit before tax	Rs m	582	1,233	112.0%
Tax	Rs m	150	314	109.1%
Profit after tax	Rs m	431	919	113.1%
Gross profit margin	%	18.9	28.5
Effective tax rate	%	25.9	25.5
Net profit margin	%	15.4	23.2

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SHILCHAR TECH. Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 796 million as compared to Rs 531 million in FY23, thereby witnessing an increase of 49.9%.
• Current assets rose 80% and stood at Rs 2 billion, while fixed assets rose 15% and stood at Rs 485 million in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 3 billion as against Rs 2 billion during FY23, thereby witnessing a growth of 65%.

SHILCHAR TECH. Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	1,214	2,096	72.6
Current Liabilities	Rs m	531	796	49.9
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	1,778	2,925	64.5
Current assets	Rs m	1,357	2,440	79.8
Fixed Assets	Rs m	421	485	15.4
Total Assets	Rs m	1,778	2,925	64.5

SHILCHAR TECH. Cash Flow Statement Analysis

• SHILCHAR TECH.'s cash flow from operating activities (CFO) during FY24 stood at Rs 765 million, an improvement of 95.0% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -226 million, an improvement of 87.0% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -290 million on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 249 million from the Rs 85 million net cash flows seen during FY23.

SHILCHAR TECH. 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	392	765	95.0%
Cash Flow from Investing Activities	Rs m	-121	-226	-
Cash Flow from Financing Activities	Rs m	-186	-290	-
Net Cash Flow	Rs m	85	249	191.0%

Current Valuations for SHILCHAR TECH.

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 120.4, an improvement from the EPS of Rs 113.2 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 6,045.4, stands at 50.2 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 22.0 times, while the price to sales ratio stands at 11.6 times.
• The company's price to cash flow (P/CF) ratio stood at 21.2 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	735.5	520.2
TTM Earnings per share	Rs	113.2	120.4
Diluted earnings per share	Rs	56.5	120.5
Price to Cash Flow	x	12.7	21.2
TTM P/E ratio	x	13.4	50.2
Price / Book Value ratio	x	3.0	9.6
Market Cap	Rs m	3,691	20,074
Dividends per share (Unadj.)	Rs	10.0	12.5

Ratio Analysis for SHILCHAR TECH.

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 3.1x during FY24, from 2.6x 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 588.3x during FY24, from 97.9x 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 43.8% during FY24, from 35.5% 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 58.9% during FY24, from 48.4% 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 31.5% during FY24, from 24.6% 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	2.6	3.1
Debtors’ Days	Days	1,200	861
Interest coverage	x	97.9	588.3
Debt to equity ratio	x	0.0	0.0
Return on assets	%	24.6	31.5
Return on equity	%	35.5	43.8
Return on capital employed	%	48.4	58.9

To see how SHILCHAR TECH. has performed over the last 5 years, please visit here.

SHILCHAR TECH. Share Price Performance

Over the last one year, SHILCHAR TECH. share price has moved up from Rs 1,251.6 to Rs 6,045.4, registering a gain of Rs 4,793.9 or around 383.0%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 71,391.6 (up 0.3%). Over the last one year it has moved up from 42,734.2 to 71,391.6, a gain of 28,657 points (up 67.1%).

Overall, the S&P BSE SENSEX is up 20.3% over the year.

(To know more, check out historical annual results for SHILCHAR TECH. and quarterly results for SHILCHAR TECH.)