SNOWMAN LOGISTICS 2023-24 Annual Report Analysis

Mon, 2 Sep

SNOWMAN LOGISTICS 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.

SNOWMAN LOGISTICS Income Statement Analysis

• Operating income during the year rose 20.5% on a year-on-year (YoY) basis.
• The company's operating profit increased by 14.7% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 20.2% in FY24 as against 21.2% in FY23.
• Depreciation charges increased by 13.2% and finance costs increased by 7.1% YoY, respectively.
• Other income declined by 9.8% YoY.
• Net profit for the year declined by 5.1% YoY.
• Net profit margins during the year declined from 3.2% in FY23 to 2.5% in FY24.

SNOWMAN LOGISTICS Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	4,176	5,034	20.5%
Other income	Rs m	75	68	-9.8%
Total Revenues	Rs m	4,252	5,101	20.0%
Gross profit	Rs m	886	1,016	14.7%
Depreciation	Rs m	523	593	13.2%
Interest	Rs m	222	238	7.1%
Profit before tax	Rs m	215	252	17.4%
Tax	Rs m	81	125	54.7%
Profit after tax	Rs m	134	127	-5.1%
Gross profit margin	%	21.2	20.2
Effective tax rate	%	37.7	49.7
Net profit margin	%	3.2	2.5

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SNOWMAN LOGISTICS Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 941 million as compared to Rs 789 million in FY23, thereby witnessing an increase of 19.2%.
• Long-term debt down at Rs 624 million as compared to Rs 776 million during FY23, a fall of 19.5%.
• Current assets rose 7% and stood at Rs 1 billion, while fixed assets rose 4% and stood at Rs 6 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 7 billion as against Rs 7 billion during FY23, thereby witnessing a growth of 4%.

SNOWMAN LOGISTICS Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	4,216	4,181	-0.8
Current Liabilities	Rs m	789	941	19.2
Long-term Debt	Rs m	776	624	-19.5
Total Liabilities	Rs m	6,878	7,179	4.4
Current assets	Rs m	1,386	1,480	6.8
Fixed Assets	Rs m	5,492	5,698	3.8
Total Assets	Rs m	6,878	7,179	4.4

SNOWMAN LOGISTICS Cash Flow Statement Analysis

• SNOWMAN LOGISTICS's cash flow from operating activities (CFO) during FY24 stood at Rs 878 million, an improvement of 1.6% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -238 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -587 million on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 54 million from the Rs -134 million net cash flows seen during FY23.

SNOWMAN LOGISTICS 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	865	878	1.6%
Cash Flow from Investing Activities	Rs m	-419	-238	-
Cash Flow from Financing Activities	Rs m	-580	-587	-
Net Cash Flow	Rs m	-134	54	-

Current Valuations for SNOWMAN LOGISTICS

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 0.8, an decline from the EPS of Rs 0.8 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 82.0, stands at 123.2 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 3.3 times, while the price to sales ratio stands at 2.7 times.
• The company's price to cash flow (P/CF) ratio stood at 13.6 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	25.0	30.1
TTM Earnings per share	Rs	0.8	0.8
Diluted earnings per share	Rs	0.8	0.8
Price to Cash Flow	x	8.1	13.6
TTM P/E ratio	x	39.9	123.2
Price / Book Value ratio	x	1.4	2.3
Market Cap	Rs m	5,714	9,764
Dividends per share (Unadj.)	Rs	0.8	1.0

Ratio Analysis for SNOWMAN LOGISTICS

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.6x during FY24, from 1.8x 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 2.1x during FY24, from 2.0x 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 3.0% during FY24, from 3.2% 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 10.2% during FY24, from 8.8% 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 5.1% during FY24, from 5.2% 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	1.8	1.6
Debtors’ Days	Days	626	600
Interest coverage	x	2.0	2.1
Debt to equity ratio	x	0.2	0.1
Return on assets	%	5.2	5.1
Return on equity	%	3.2	3.0
Return on capital employed	%	8.8	10.2

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

SNOWMAN LOGISTICS Share Price Performance

Over the last one year, SNOWMAN LOGISTICS share price has moved up from Rs 54.7 to Rs 82.0, registering a gain of Rs 27.3 or around 49.9%.

Overall, the S&P BSE SENSEX is up 26.8% over the year.

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