AJMERA REALTY 2023-24 Annual Report Analysis

Mon, 22 Jul

AJMERA REALTY 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.

AJMERA REALTY Income Statement Analysis

• Operating income during the year rose 62.4% on a year-on-year (YoY) basis.
• The company's operating profit increased by 61.7% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 28.7% in FY24 as against 28.9% in FY23.
• Depreciation charges increased by 13.7% and finance costs increased by 88.9% YoY, respectively.
• Other income declined by 17.4% YoY.
• Net profit for the year grew by 45.2% YoY.
• Net profit margins during the year declined from 16.6% in FY23 to 14.8% in FY24.

AJMERA REALTY Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	4,311	7,000	62.4%
Other income	Rs m	95	79	-17.4%
Total Revenues	Rs m	4,406	7,078	60.6%
Gross profit	Rs m	1,244	2,012	61.7%
Depreciation	Rs m	15	17	13.7%
Interest	Rs m	363	685	88.9%
Profit before tax	Rs m	962	1,388	44.3%
Tax	Rs m	246	349	41.8%
Profit after tax	Rs m	716	1,039	45.2%
Gross profit margin	%	28.9	28.7
Effective tax rate	%	25.6	25.1
Net profit margin	%	16.6	14.8

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AJMERA REALTY Balance Sheet Analysis

• The company's current liabilities during FY24 down at Rs 2 billion as compared to Rs 2 billion in FY23, thereby witnessing an decrease of -6.5%.
• Long-term debt down at Rs 8 billion as compared to Rs 8 billion during FY23, a fall of 5.2%.
• Current assets rose 10% and stood at Rs 16 billion, while fixed assets fell 24% and stood at Rs 3 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 20 billion as against Rs 19 billion during FY23, thereby witnessing a growth of 2%.

AJMERA REALTY Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	7,737	8,657	11.9
Current Liabilities	Rs m	1,706	1,595	-6.5
Long-term Debt	Rs m	8,059	7,643	-5.2
Total Liabilities	Rs m	19,197	19,634	2.3
Current assets	Rs m	14,725	16,252	10.4
Fixed Assets	Rs m	4,473	3,382	-24.4
Total Assets	Rs m	19,197	19,634	2.3

AJMERA REALTY Cash Flow Statement Analysis

• AJMERA REALTY's cash flow from operating activities (CFO) during FY24 stood at Rs 2 billion, an improvement of 62.4% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -717 million, an improvement of 58.6% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -973 million on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 507 million from the Rs 39 million net cash flows seen during FY23.

AJMERA REALTY 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	1,353	2,197	62.4%
Cash Flow from Investing Activities	Rs m	-452	-717	-
Cash Flow from Financing Activities	Rs m	-862	-973	-
Net Cash Flow	Rs m	39	507	1,205.0%

Current Valuations for AJMERA REALTY

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 29.3, an improvement from the EPS of Rs 20.2 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 706.4, stands at 24.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 2.9 times, while the price to sales ratio stands at 3.6 times.
• The company's price to cash flow (P/CF) ratio stood at 17.8 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	121.5	197.3
TTM Earnings per share	Rs	20.2	29.3
Diluted earnings per share	Rs	20.2	29.3
Price to Cash Flow	x	13.4	17.8
TTM P/E ratio	x	13.7	24.1
Price / Book Value ratio	x	1.4	2.2
Market Cap	Rs m	10,922	18,787
Dividends per share (Unadj.)	Rs	3.0	4.0

Ratio Analysis for AJMERA REALTY

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 10.2x during FY24, from 8.6x 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 deteriorated and stood at 3.0x during FY24, from 3.7x 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 12.0% during FY24, from 9.3% 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 12.7% during FY24, from 8.4% 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 8.8% during FY24, from 5.6% 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	8.6	10.2
Debtors’ Days	Days	1,143	1,120
Interest coverage	x	3.7	3.0
Debt to equity ratio	x	1.0	0.9
Return on assets	%	5.6	8.8
Return on equity	%	9.3	12.0
Return on capital employed	%	8.4	12.7

To see how AJMERA REALTY has performed over the last 5 years, please visit here.

AJMERA REALTY Share Price Performance

Over the last one year, AJMERA REALTY share price has moved up from Rs 369.1 to Rs 706.4, registering a gain of Rs 337.4 or around 91.4%.

Meanwhile, the S&P BSE REALTY Index is trading at Rs 8,528.5 (down 0.3%). Over the last one year it has moved up from 4,291.1 to 8,528.5, a gain of 4,237 points (up 98.7%).

Overall, the S&P BSE SENSEX is up 20.6% over the year.

(To know more, check out historical annual results for AJMERA REALTY and quarterly results for AJMERA REALTY)