SIGNATUREGLOBAL 2023-24 Annual Report Analysis

Thu, 12 Sep

SIGNATUREGLOBAL 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.

SIGNATUREGLOBAL Income Statement Analysis

• Operating income during the year fell 20.1% on a year-on-year (YoY) basis.
• The company's operating profit was by NA YoY during the fiscal. Operating profit margins witnessed a growth and stood at 2.2% in FY24 as against 0.4% in FY23.
• Depreciation charges decreased by 2.6% and finance costs decreased by 58.6% YoY, respectively.
• Other income grew by 160.0% YoY.
• Net profit for the year declined by NA YoY.
• Net profit margins during the year grew from 4.1% in FY23 to 1.3% in FY24.

SIGNATUREGLOBAL Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	15,536	12,406	-20.1%
Other income	Rs m	323	840	160.0%
Total Revenues	Rs m	15,859	13,246	-16.5%
Gross profit	Rs m	63	-276	NA
Depreciation	Rs m	222	216	-2.6%
Interest	Rs m	732	303	-58.6%
Profit before tax	Rs m	-568	45	NA
Tax	Rs m	70	-119	NA
Profit after tax	Rs m	-637	163	NA
Gross profit margin	%	0.4	-2.2
Effective tax rate	%	-12.3	-265.3
Net profit margin	%	-4.1	1.3

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SIGNATUREGLOBAL Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 65 billion as compared to Rs 46 billion in FY23, thereby witnessing an increase of 40.8%.
• Long-term debt down at Rs 13 billion as compared to Rs 13 billion during FY23, a fall of 0.1%.
• Current assets rose 42% and stood at Rs 80 billion, while fixed assets rose 13% and stood at Rs 2 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 83 billion as against Rs 59 billion during FY23, thereby witnessing a growth of 41%.

SIGNATUREGLOBAL Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	475	6,267	1,218.2
Current Liabilities	Rs m	46,226	65,103	40.8
Long-term Debt	Rs m	12,988	12,976	-0.1
Total Liabilities	Rs m	58,771	83,032	41.3
Current assets	Rs m	56,654	80,380	41.9
Fixed Assets	Rs m	2,117	2,398	13.3
Total Assets	Rs m	58,771	83,032	41.3

SIGNATUREGLOBAL Cash Flow Statement Analysis

• SIGNATUREGLOBAL's cash flow from operating activities (CFO) during FY24 stood at Rs 924 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -5 billion on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 4 billion on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -282 million from the Rs 4 billion net cash flows seen during FY23.

SIGNATUREGLOBAL 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	-2,782	924	-
Cash Flow from Investing Activities	Rs m	76	-4,886	-
Cash Flow from Financing Activities	Rs m	6,734	3,679	-45.4%
Net Cash Flow	Rs m	4,029	-282	-

Current Valuations for SIGNATUREGLOBAL

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 1.2, an improvement from the EPS of Rs -5.1 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 1,481.4, stands at 687.0 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 33.2 times, while the price to sales ratio stands at 16.8 times.
• The company's price to cash flow (P/CF) ratio stood at 348.5 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	124.4	88.3
TTM Earnings per share	Rs	-5.1	1.2
Diluted earnings per share	Rs	-4.5	1.2
Price to Cash Flow	x	0.0	348.5
TTM P/E ratio	x	0.0	687.0
Price / Book Value ratio	x	0.0	21.1
Market Cap	Rs m	0	132,228
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for SIGNATUREGLOBAL

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.2x during FY24, from 1.2x 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 1.1x during FY24, from 0.2x 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 improved and stood at 2.6% during FY24, from -134.0% 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 1.8% during FY24, from 1.2% 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 0.6% during FY24, from 0.2% 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	1.2	1.2
Debtors’ Days	Days	7	10
Interest coverage	x	0.2	1.1
Debt to equity ratio	x	27.3	2.1
Return on assets	%	0.2	0.6
Return on equity	%	-134.0	2.6
Return on capital employed	%	1.2	1.8

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

SIGNATUREGLOBAL Share Price Performance

Over the last one year, SIGNATUREGLOBAL share price has moved up from Rs 0.0 to Rs 1,481.4, registering a gain of Rs 1,481.4 or around 0.0%.

Meanwhile, the S&P BSE REALTY Index is trading at Rs 8,066.1 (up 0.6%). Over the last one year it has moved up from 4,618.6 to 8,066.1, a gain of 3,448 points (up 74.6%).

Overall, the S&P BSE SENSEX is up 23.6% over the year.

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