SAYAJI HOTEL 2023-24 Annual Report Analysis

Mon, 10 Jun

SAYAJI HOTEL 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.

SAYAJI HOTEL Income Statement Analysis

• Operating income during the year fell 58.0% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 60.0% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 29.7% in FY24 as against 31.1% in FY23.
• Depreciation charges decreased by 43.3% and finance costs decreased by 36.8% YoY, respectively.
• Other income declined by 2.3% YoY.
• Net profit for the year declined by 59.1% YoY.
• Net profit margins during the year declined from 13.2% in FY23 to 12.8% in FY24.

SAYAJI HOTEL Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	2,663	1,118	-58.0%
Other income	Rs m	50	49	-2.3%
Total Revenues	Rs m	2,713	1,166	-57.0%
Gross profit	Rs m	829	332	-60.0%
Depreciation	Rs m	202	114	-43.3%
Interest	Rs m	117	74	-36.8%
Profit before tax	Rs m	560	192	-65.7%
Tax	Rs m	210	49	-76.7%
Profit after tax	Rs m	351	143	-59.1%
Gross profit margin	%	31.1	29.7
Effective tax rate	%	37.4	25.4
Net profit margin	%	13.2	12.8

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SAYAJI HOTEL Balance Sheet Analysis

• The company's current liabilities during FY24 down at Rs 215 million as compared to Rs 402 million in FY23, thereby witnessing an decrease of -46.5%.
• Current assets fell 25% and stood at Rs 417 million, while fixed assets fell 39% and stood at Rs 2 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 2 billion as against Rs 4 billion during FY23, thereby witnessing a fall of 37%.

SAYAJI HOTEL Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	2,490	1,585	-36.3
Current Liabilities	Rs m	402	215	-46.5
Long-term Debt	Rs m	180	0	-100.0
Total Liabilities	Rs m	3,549	2,242	-36.8
Current assets	Rs m	553	417	-24.5
Fixed Assets	Rs m	2,995	1,824	-39.1
Total Assets	Rs m	3,549	2,242	-36.8

SAYAJI HOTEL Cash Flow Statement Analysis

• SAYAJI HOTEL's cash flow from operating activities (CFO) during FY24 stood at Rs 473 million, an improvement of 26.1% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs 52 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -511 million, an improvement of 3% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 4 million from the Rs -253 million net cash flows seen during FY23.

SAYAJI HOTEL 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	375	473	26.1%
Cash Flow from Investing Activities	Rs m	-103	52	-
Cash Flow from Financing Activities	Rs m	-525	-511	-
Net Cash Flow	Rs m	-253	4	-

Current Valuations for SAYAJI HOTEL

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 8.2, an decline from the EPS of Rs 20.0 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 304.1, stands at 29.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 3.4 times, while the price to sales ratio stands at 4.8 times.
• The company's price to cash flow (P/CF) ratio stood at 23.9 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	152.0	63.8
TTM Earnings per share	Rs	20.0	8.2
Diluted earnings per share	Rs	20.0	8.2
Price to Cash Flow	x	9.7	23.9
TTM P/E ratio	x	98.3	29.1
Price / Book Value ratio	x	2.2	3.9
Market Cap	Rs m	5,474	6,163
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for SAYAJI HOTEL

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.9x during FY24, from 1.4x 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 3.6x during FY24, from 5.8x 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 9.0% during FY24, from 14.1% 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 16.8% during FY24, from 25.4% 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 declined and down at 9.7% during FY24, from 13.2% 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	1.4	1.9
Debtors’ Days	Days	146	229
Interest coverage	x	5.8	3.6
Debt to equity ratio	x	0.1	0.0
Return on assets	%	13.2	9.7
Return on equity	%	14.1	9.0
Return on capital employed	%	25.4	16.8

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

SAYAJI HOTEL Share Price Performance

Over the last one year, SAYAJI HOTEL share price has moved down from Rs 347.9 to Rs 304.1, registering a loss of Rs 43.8 or around 12.6%.

Overall, the S&P BSE SENSEX is up 22.2% over the year.

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