WOCKHARDT 2023-24 Annual Report Analysis

Mon, 10 Jun

WOCKHARDT 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.

WOCKHARDT Income Statement Analysis

• Operating income during the year rose 5.5% 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 0.9% in FY24 as against 7.3% in FY23.
• Depreciation charges decreased by 11.2% and finance costs increased by 1.0% YoY, respectively.
• Other income declined by 32.0% YoY.
• Net profit for the year declined by NA YoY.
• Net profit margins during the year grew from 23.4% in FY23 to 16.9% in FY24.

WOCKHARDT Income Statement 2023-24

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Net Sales	Rs m	26,510	27,980	5.5%
Other income	Rs m	1,220	830	-32.0%
Total Revenues	Rs m	27,730	28,810	3.9%
Gross profit	Rs m	-1,930	250	NA
Depreciation	Rs m	2,510	2,230	-11.2%
Interest	Rs m	3,020	3,050	1.0%
Profit before tax	Rs m	-6,240	-4,200	NA
Tax	Rs m	-30	520	NA
Profit after tax	Rs m	-6,210	-4,720	NA
Gross profit margin	%	-7.3	0.9
Effective tax rate	%	0.5	-12.4
Net profit margin	%	-23.4	-16.9

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

WOCKHARDT Balance Sheet Analysis

• The company's current liabilities during FY24 down at Rs 28 billion as compared to Rs 34 billion in FY23, thereby witnessing an decrease of -18.7%.
• Long-term debt stood at Rs 9 billion as compared to Rs 2 billion during FY23, a growth of 297.8%.
• Current assets rose 8% and stood at Rs 21 billion, while fixed assets rose 0% and stood at Rs 49 billion in FY24.
• Overall, the total assets and liabilities for FY24 stood at Rs 71 billion as against Rs 71 billion during FY23, thereby witnessing a fall of 0%.

WOCKHARDT Balance Sheet as on March 2024

No. of Mths Year Ending		12 Mar-23*	12 Mar-24*	% Change
Networth	Rs m	33,380	33,460	0.2
Current Liabilities	Rs m	34,350	27,910	-18.7
Long-term Debt	Rs m	2,240	8,910	297.8
Total Liabilities	Rs m	70,750	70,700	-0.1
Current assets	Rs m	19,140	20,730	8.3
Fixed Assets	Rs m	48,670	48,860	0.4
Total Assets	Rs m	70,750	70,700	-0.1

WOCKHARDT Cash Flow Statement Analysis

• WOCKHARDT's cash flow from operating activities (CFO) during FY24 stood at Rs 2 billion, an improvement of 43.1% on a YoY basis.
• Cash flow from investing activities (CFI) during FY24 stood at Rs -1 billion, an improvement of 9.6% on a YoY basis.
• Cash flow from financial activities (CFF) during FY24 stood at Rs 3 billion, an improvement of 206% on a YoY basis.
• Overall, net cash flows for the company during FY24 stood at Rs 4 billion from the Rs -3 billion net cash flows seen during FY23.

WOCKHARDT 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	1,530	2,190	43.1%
Cash Flow from Investing Activities	Rs m	-1,250	-1,370	-
Cash Flow from Financing Activities	Rs m	-3,150	3,340	-
Net Cash Flow	Rs m	-2,800	4,150	-

Current Valuations for WOCKHARDT

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs -30.8, an improvement from the EPS of Rs -43.1 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 578.1, stands at -18.8 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 2.7 times, while the price to sales ratio stands at 3.2 times.
• The company's price to cash flow (P/CF) ratio stood at -24.2 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	184.0	182.4
TTM Earnings per share	Rs	-43.1	-30.8
Diluted earnings per share	Rs	-40.5	-30.8
Price to Cash Flow	x	-6.4	-24.2
TTM P/E ratio	x	-3.8	-18.8
Price / Book Value ratio	x	1.0	1.8
Market Cap	Rs m	33,202	60,183
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for WOCKHARDT

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 0.7x during FY24, from 0.6x 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 -0.4x during FY24, from -1.1x 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 -14.1% during FY24, from -18.6% 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 -2.7% during FY24, from -9.0% 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 -2.4% during FY24, from -4.5% 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	0.6	0.7
Debtors’ Days	Days	11	8
Interest coverage	x	-1.1	-0.4
Debt to equity ratio	x	0.1	0.3
Return on assets	%	-4.5	-2.4
Return on equity	%	-18.6	-14.1
Return on capital employed	%	-9.0	-2.7

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

WOCKHARDT Share Price Performance

Over the last one year, WOCKHARDT share price has moved up from Rs 171.5 to Rs 578.1, registering a gain of Rs 406.7 or around 237.2%.

Meanwhile, the S&P BSE HEALTHCARE Index is trading at Rs 36,618.2 (up 0.9%). Over the last one year it has moved up from 24,181.0 to 36,618.2, a gain of 12,437 points (up 51.4%).

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

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