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VVIP INFRATECH LTD. 2023-24 Annual Report Analysis

Thu, 1 Aug

VVIP INFRATECH LTD. 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.

VVIP INFRATECH LTD. Income Statement Analysis

• Operating income during the year rose 35.7% on a year-on-year (YoY) basis.
• The company's operating profit increased by 58.9% YoY during the fiscal. Operating profit margins witnessed a fall and down at 11.1% in FY24 as against 9.5% in FY23.
• Depreciation charges increased by 56.1% and finance costs increased by 50.6% YoY, respectively.
• Other income grew by 41.6% YoY.
• Net profit for the year grew by 79.8% YoY.
• Net profit margins during the year grew from 5.6% in FY23 to 7.4% in FY24.

VVIP INFRATECH LTD. Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	2,089	2,835	35.7%
Other income	Rs m	17	24	41.6%
Total Revenues	Rs m	2,106	2,859	35.8%
Gross profit	Rs m	198	315	58.9%
Depreciation	Rs m	10	15	56.1%
Interest	Rs m	27	41	50.6%
Profit before tax	Rs m	178	282	58.6%
Tax	Rs m	61	72	18.0%
Profit after tax	Rs m	117	210	79.8%
Gross profit margin	%	9.5	11.1
Effective tax rate	%	34.2	25.4
Net profit margin	%	5.6	7.4

For Investors: Our Big Prediction

VVIP INFRATECH LTD. Balance Sheet Analysis

• The company's current liabilities during FY24 stood at Rs 916 million as compared to Rs 831 million in FY23, thereby witnessing an increase of 10.3%.
• Long-term debt down at Rs 157 million as compared to Rs 230 million during FY23, a fall of 32.0%.
• Current assets rose 7% and stood at Rs 2 billion, while fixed assets rose 15% and stood at Rs 752 million in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 3 billion as against Rs 2 billion during FY23, thereby witnessing a growth of 9%.

VVIP INFRATECH LTD. Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	864	1,106	28.0
Current Liabilities	Rs m	831	916	10.3
Long-term Debt	Rs m	230	157	-32.0
Total Liabilities	Rs m	2,402	2,617	9.0
Current assets	Rs m	1,750	1,865	6.6
Fixed Assets	Rs m	652	752	15.3
Total Assets	Rs m	2,402	2,617	9.0

VVIP INFRATECH LTD. Cash Flow Statement Analysis

• VVIP INFRATECH LTD.'s cash flow from operating activities (CFO) during FY24 stood at Rs 191 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -100 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs -121 million, an improvement of 68% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs -30 million from the Rs 9 million net cash flows seen during FY23.

VVIP INFRATECH LTD. 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	517	191	-63.0%
Cash Flow from Investing Activities	Rs m	-130	-100	-
Cash Flow from Financing Activities	Rs m	-378	-121	-
Net Cash Flow	Rs m	9	-30	-

Current Valuations for VVIP INFRATECH LTD.

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 11.4, an decline from the EPS of Rs 191.8 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 204.5, stands at 24.3 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 4.6 times, while the price to sales ratio stands at 1.3 times.
• The company's price to cash flow (P/CF) ratio stood at 22.6 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	3,424.6	154.2
TTM Earnings per share	Rs	191.8	11.4
Diluted earnings per share	Rs	4.7	8.4
Price to Cash Flow	x	0.0	22.6
TTM P/E ratio	x	0.0	24.3
Price / Book Value ratio	x	0.0	0.0
Market Cap	Rs m	0	5,106
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for VVIP INFRATECH LTD.

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 2.0x during FY24, from 2.1x 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 7.9x during FY24, from 7.6x 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 improved and stood at 19.0% during FY24, from 13.5% 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 25.6% during FY24, from 18.7% 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 improved and stood at 9.6% during FY24, from 6.0% 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	2.1	2.0
Debtors’ Days	Days	1,175	982
Interest coverage	x	7.6	7.9
Debt to equity ratio	x	0.3	0.1
Return on assets	%	6.0	9.6
Return on equity	%	13.5	19.0
Return on capital employed	%	18.7	25.6

To see how VVIP INFRATECH LTD. has performed over the last 5 years, please visit here.

VVIP INFRATECH LTD. Share Price Performance

Over the last one year, VVIP INFRATECH LTD. share price has moved up from Rs 0.0 to Rs 204.5, registering a gain of Rs 204.5 or around 0.0%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 74,732.0 (down 1.2%). Over the last one year it has moved up from 43,869.5 to 74,732.0, a gain of 30,862 points (up 70.4%).

Overall, the S&P BSE SENSEX is up 22.9% over the year.

(To know more, check out historical annual results for VVIP INFRATECH LTD. and quarterly results for VVIP INFRATECH LTD.)