SHRADHA INFRA 2022-23 Annual Report Analysis

Tue, 4 Jul

SHRADHA INFRA has announced its results for the year ended March 2023. Let us have a look at the detailed performance review of the company during FY22-23.

SHRADHA INFRA Income Statement Analysis

• Operating income during the year rose 4920.7% on a year-on-year (YoY) basis.
• The company's operating profit was by NA YoY during the fiscal. Operating profit margins witnessed a fall and down at 13.5% in FY23 as against 55.9% in FY22.
• Depreciation charges decreased by 12.7% and finance costs increased by 55.2% YoY, respectively.
• Other income grew by 146.4% YoY.
• Net profit for the year grew by 868.4% YoY.
• Net profit margins during the year declined from 81.8% in FY22 to 15.8% in FY23.

SHRADHA INFRA Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	18	904	4,920.7%
Other income	Rs m	29	71	146.4%
Total Revenues	Rs m	47	975	1,985.2%
Gross profit	Rs m	-10	122	NA
Depreciation	Rs m	1	1	-12.7%
Interest	Rs m	0	0	55.2%
Profit before tax	Rs m	17	192	1,027.8%
Tax	Rs m	2	49	2,071.6%
Profit after tax	Rs m	15	143	868.4%
Gross profit margin	%	-55.9	13.5
Effective tax rate	%	13.3	25.5
Net profit margin	%	81.8	15.8

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SHRADHA INFRA Balance Sheet Analysis

• The company's current liabilities during FY23 down at Rs 1 billion as compared to Rs 2 billion in FY22, thereby witnessing an decrease of -16.0%.
• Long-term debt stood at Rs 347 million as compared to Rs 273 million during FY22, a growth of 27.1%.
• Current assets fell 6% and stood at Rs 2 billion, while fixed assets rose 44% and stood at Rs 260 million in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 3 billion as against Rs 3 billion during FY22, thereby witnessing a fall of 3%.

SHRADHA INFRA Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	614	736	19.8
Current Liabilities	Rs m	1,696	1,424	-16.0
Long-term Debt	Rs m	273	347	27.1
Total Liabilities	Rs m	2,585	2,515	-2.7
Current assets	Rs m	2,404	2,255	-6.2
Fixed Assets	Rs m	181	260	44.1
Total Assets	Rs m	2,585	2,515	-2.7

SHRADHA INFRA Cash Flow Statement Analysis

• SHRADHA INFRA's cash flow from operating activities (CFO) during FY23 stood at Rs 336 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -70 million, an improvement of 157.2% on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -265 million on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs 1 million from the Rs -87 million net cash flows seen during FY22.

SHRADHA INFRA Cash Flow Statement 2022-23

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-22	Mar-23
Cash Flow from Operating Activities	Rs m	-392	336	-
Cash Flow from Investing Activities	Rs m	-27	-70	-
Cash Flow from Financing Activities	Rs m	333	-265	-
Net Cash Flow	Rs m	-87	1	-

Current Valuations for SHRADHA INFRA

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 7.0, an improvement from the EPS of Rs 1.5 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 50.0, stands at 7.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.4 times, while the price to sales ratio stands at 1.1 times.
• The company's price to cash flow (P/CF) ratio stood at 9.8 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*
Sales per share (Unadj.)	Rs	1.8	44.7
TTM Earnings per share	Rs	1.5	7.0
Diluted earnings per share	Rs	0.7	7.0
Price to Cash Flow	x	0.0	9.8
TTM P/E ratio	x	0.0	7.1
Price / Book Value ratio	x	1.0	1.9
Market Cap	Rs m	613	1,414
Dividends per share (Unadj.)	Rs	0.0	1.3

Ratio Analysis for SHRADHA INFRA

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.6x during FY23, from 1.4x during FY22. 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 426.6x during FY23, from 59.5x during FY22. 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 19.4% during FY23, from 2.4% during FY23. 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 17.7% during FY23, from 1.9% during FY22. 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 5.7% during FY23, from 0.6% during FY22. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*
Current ratio	x	1.4	1.6
Debtors’ Days	Days	1,360	254
Interest coverage	x	59.5	426.6
Debt to equity ratio	x	0.4	0.5
Return on assets	%	0.6	5.7
Return on equity	%	2.4	19.4
Return on capital employed	%	1.9	17.7

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

SHRADHA INFRA Share Price Performance

Over the last one year, SHRADHA INFRA share price has moved down from Rs 0.0 to Rs 0.0, registering a loss of Rs 0.0 or around 0.0%.

Meanwhile, the S&P BSE REALTY Index is trading at Rs 4,196.4 (up 0.9%). Over the last one year it has moved up from 3,127.9 to 4,196.4, a gain of 1,069 points (up 34.2%).

Overall, the NIFTY 50 is up 0.7% over the year.

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