VL EGOVERNANCE 2023-24 Annual Report Analysis

Thu, 31 Oct

VL EGOVERNANCE 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.

VL EGOVERNANCE Income Statement Analysis

• Operating income during the year fell 97.0% 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 775.7% in FY24 as against 0.7% in FY23.
• Depreciation charges increased by 0.0% increased by 0.0% YoY, respectively.
• Other income declined by 70.7% YoY.
• Net profit for the year declined by NA YoY.
• Net profit margins during the year declined from 0.8% in FY23 to 772.0% in FY24.

VL EGOVERNANCE Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	7,295	220	-97.0%
Other income	Rs m	28	8	-70.7%
Total Revenues	Rs m	7,323	228	-96.9%
Gross profit	Rs m	53	-1,707	NA
Depreciation	Rs m	0	0	0.0%
Interest	Rs m	0	0	0.0%
Profit before tax	Rs m	81	-1,699	NA
Tax	Rs m	22	0	-100.0%
Profit after tax	Rs m	59	-1,699	NA
Gross profit margin	%	0.7	-775.7
Effective tax rate	%	27.6	0.0
Net profit margin	%	0.8	-772.0

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VL EGOVERNANCE Balance Sheet Analysis

• The company's current liabilities during FY24 down at Rs 687 million as compared to Rs 806 million in FY23, thereby witnessing an decrease of -14.7%.
• Current assets fell 7% and stood at Rs 25 billion, while fixed assets rose 2% and stood at Rs 302 million in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 25 billion as against Rs 27 billion during FY23, thereby witnessing a fall of 7%.

VL EGOVERNANCE Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	26,184	24,484	-6.5
Current Liabilities	Rs m	806	687	-14.7
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	26,989	25,171	-6.7
Current assets	Rs m	26,692	24,870	-6.8
Fixed Assets	Rs m	297	302	1.6
Total Assets	Rs m	26,989	25,171	-6.7

VL EGOVERNANCE Cash Flow Statement Analysis

• VL EGOVERNANCE's cash flow from operating activities (CFO) during FY24 stood at Rs 22 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs 4 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -26 million on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 0 million from the Rs 0 million net cash flows seen during FY23.

VL EGOVERNANCE 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	-565	22	-
Cash Flow from Investing Activities	Rs m	28	4	-84.6%
Cash Flow from Financing Activities	Rs m	537	-26	-
Net Cash Flow	Rs m	0	0	-

Current Valuations for VL EGOVERNANCE

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs -16.0, an decline from the EPS of Rs 0.6 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 146.7, stands at -9.5 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 0.6 times, while the price to sales ratio stands at 70.6 times.
• The company's price to cash flow (P/CF) ratio stood at -3.5 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	68.9	2.1
TTM Earnings per share	Rs	0.6	-16.0
Diluted earnings per share	Rs	0.6	-16.0
Price to Cash Flow	x	0.0	-3.5
TTM P/E ratio	x	0.0	-9.5
Price / Book Value ratio	x	0.0	0.2
Market Cap	Rs m	0	5,995
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for VL EGOVERNANCE

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 36.2x during FY24, from 33.1x during FY23. The current ratio measures the company's ability to pay short-term and long-term obligations.

• Profitability Ratios

Return on Equity (ROE): The ROE for the company declined and down at -6.9% during FY24, from 0.2% 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 -6.9% during FY24, from 0.3% 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 -6.8% 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	33.1	36.2
Debtors’ Days	Days	5,783	192,212
Interest coverage	x	0.0	0.0
Debt to equity ratio	x	0.0	0.0
Return on assets	%	0.2	-6.8
Return on equity	%	0.2	-6.9
Return on capital employed	%	0.3	-6.9

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

VL EGOVERNANCE Share Price Performance

Over the last one year, VL EGOVERNANCE share price has moved up from Rs 30.0 to Rs 146.7, registering a gain of Rs 116.7 or around 388.8%.

Meanwhile, the S&P BSE IT Index is trading at Rs 40,328.4 (down 2.8%). Over the last one year it has moved up from 31,060.5 to 40,328.4, a gain of 9,268 points (up 29.8%).

Overall, the S&P BSE SENSEX is up 24.0% over the year.

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