PRAVEG COMM 2023-24 Annual Report Analysis

Mon, 14 Oct

PRAVEG COMM 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.

PRAVEG COMM Income Statement Analysis

• Operating income during the year rose 8.4% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 35.0% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 31.9% in FY24 as against 53.2% in FY23.
• Depreciation charges increased by 75.4% and finance costs increased by 246.2% YoY, respectively.
• Other income grew by 677.9% YoY.
• Net profit for the year declined by 54.3% YoY.
• Net profit margins during the year declined from 33.7% in FY23 to 14.2% in FY24.

PRAVEG COMM Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	845	916	8.4%
Other income	Rs m	4	30	677.9%
Total Revenues	Rs m	849	946	11.4%
Gross profit	Rs m	449	292	-35.0%
Depreciation	Rs m	61	107	75.4%
Interest	Rs m	7	24	246.2%
Profit before tax	Rs m	385	191	-50.5%
Tax	Rs m	101	61	-39.8%
Profit after tax	Rs m	284	130	-54.3%
Gross profit margin	%	53.2	31.9
Effective tax rate	%	26.2	31.8
Net profit margin	%	33.7	14.2

Don't Miss: Key Information for Long-term Investors

PRAVEG COMM Balance Sheet Analysis

• The company's current liabilities during FY24 down at Rs 120 million as compared to Rs 121 million in FY23, thereby witnessing an decrease of -0.7%.
• Current assets rose 150% and stood at Rs 1 billion, while fixed assets rose 227% and stood at Rs 2 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 4 billion as against Rs 1 billion during FY23, thereby witnessing a growth of 191%.

PRAVEG COMM Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	1,044	2,817	169.8
Current Liabilities	Rs m	121	120	-0.7
Long-term Debt	Rs m	0	0	-100.0
Total Liabilities	Rs m	1,255	3,646	190.6
Current assets	Rs m	598	1,498	150.4
Fixed Assets	Rs m	657	2,148	227.2
Total Assets	Rs m	1,255	3,646	190.6

PRAVEG COMM Cash Flow Statement Analysis

• PRAVEG COMM's cash flow from operating activities (CFO) during FY24 stood at Rs 170 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -2 billion, an improvement of 145.0% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 2 billion, an improvement of 323% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 595 million from the Rs 47 million net cash flows seen during FY23.

PRAVEG COMM 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	253	170	-32.6%
Cash Flow from Investing Activities	Rs m	-726	-1,779	-
Cash Flow from Financing Activities	Rs m	521	2,203	323.2%
Net Cash Flow	Rs m	47	595	1,157.8%

Current Valuations for PRAVEG COMM

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 5.3, an decline from the EPS of Rs 13.6 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 745.5, stands at 152.8 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 6.8 times, while the price to sales ratio stands at 20.0 times.
• The company's price to cash flow (P/CF) ratio stood at 90.1 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	40.4	37.3
TTM Earnings per share	Rs	13.6	5.3
Diluted earnings per share	Rs	11.0	5.0
Price to Cash Flow	x	34.8	90.1
TTM P/E ratio	x	42.3	152.8
Price / Book Value ratio	x	7.4	7.6
Market Cap	Rs m	7,678	21,345
Dividends per share (Unadj.)	Rs	4.5	1.0

Ratio Analysis for PRAVEG COMM

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 12.4x during FY24, from 4.9x 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 9.0x during FY24, from 56.8x 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 4.6% during FY24, from 27.2% 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 declined and down at 7.6% during FY24, from 37.5% 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 4.2% during FY24, from 23.2% 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	4.9	12.4
Debtors’ Days	Days	703	796
Interest coverage	x	56.8	9.0
Debt to equity ratio	x	0.0	0.0
Return on assets	%	23.2	4.2
Return on equity	%	27.2	4.6
Return on capital employed	%	37.5	7.6

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

PRAVEG COMM Share Price Performance

Over the last one year, PRAVEG COMM share price has moved up from Rs 541.6 to Rs 745.5, registering a gain of Rs 204.0 or around 37.7%.

Meanwhile, the S&P BSE TECK Index is trading at Rs 19,941.6 (up 0.9%). Over the last one year it has moved up from 14,550.3 to 19,941.6, a gain of 5,391 points (up 37.1%).

Overall, the S&P BSE SENSEX is up 24.1% over the year.

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