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PTC INDUSTRIES 2022-23 Annual Report Analysis

Fri, 31 Mar

PTC INDUSTRIES has announced its results for the year ended March 2023. Let us have a look at the detailed performance review of the company during FY22-23.

PTC INDUSTRIES Income Statement Analysis

• Operating income during the year rose 22.5% on a year-on-year (YoY) basis.
• The company's operating profit increased by 44.7% YoY during the fiscal. Operating profit margins witnessed a fall and down at 26.7% in FY23 as against 22.7% in FY22.
• Depreciation charges increased by 13.9% and finance costs increased by 4.0% YoY, respectively.
• Other income grew by 19.0% YoY.
• Net profit for the year grew by 101.5% YoY.
• Net profit margins during the year grew from 7.2% in FY22 to 11.8% in FY23.

PTC INDUSTRIES Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	1,790	2,193	22.5%
Other income	Rs m	63	75	19.0%
Total Revenues	Rs m	1,852	2,267	22.4%
Gross profit	Rs m	405	586	44.7%
Depreciation	Rs m	146	167	13.9%
Interest	Rs m	152	158	4.0%
Profit before tax	Rs m	170	337	97.8%
Tax	Rs m	42	78	86.5%
Profit after tax	Rs m	128	258	101.5%
Gross profit margin	%	22.7	26.7
Effective tax rate	%	24.7	23.3
Net profit margin	%	7.2	11.8

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PTC INDUSTRIES Balance Sheet Analysis

• The company's current liabilities during FY23 down at Rs 1 billion as compared to Rs 1 billion in FY22, thereby witnessing an decrease of -10.3%.
• Long-term debt stood at Rs 964 million as compared to Rs 937 million during FY22, a growth of 2.9%.
• Current assets rose 28% and stood at Rs 2 billion, while fixed assets rose 31% and stood at Rs 4 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 6 billion as against Rs 4 billion during FY22, thereby witnessing a growth of 30%.

PTC INDUSTRIES Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	1,681	2,675	59.2
Current Liabilities	Rs m	1,371	1,230	-10.3
Long-term Debt	Rs m	937	964	2.9
Total Liabilities	Rs m	4,260	5,529	29.8
Current assets	Rs m	1,528	1,964	28.5
Fixed Assets	Rs m	2,732	3,566	30.5
Total Assets	Rs m	4,260	5,529	29.8

PTC INDUSTRIES Cash Flow Statement Analysis

• PTC INDUSTRIES's cash flow from operating activities (CFO) during FY23 stood at Rs 468 million, an improvement of 88.3% on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -1 billion, an improvement of 305.8% on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs 744 million, an improvement of 2,463% on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs 55 million from the Rs -7 million net cash flows seen during FY22.

PTC INDUSTRIES Cash Flow Statement 2022-23

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-22	Mar-23
Cash Flow from Operating Activities	Rs m	248	468	88.3%
Cash Flow from Investing Activities	Rs m	-285	-1,156	-
Cash Flow from Financing Activities	Rs m	29	744	2,462.6%
Net Cash Flow	Rs m	-7	55	-

Current Valuations for PTC INDUSTRIES

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 19.3, an decline from the EPS of Rs 24.5 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 2,340.9, stands at 123.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 11.9 times, while the price to sales ratio stands at 14.3 times.
• The company's price to cash flow (P/CF) ratio stood at 69.1 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*
Sales per share (Unadj.)	Rs	341.5	163.9
TTM Earnings per share	Rs	24.5	19.3
Diluted earnings per share	Rs	9.4	19.0
Price to Cash Flow	x	99.6	69.1
TTM P/E ratio	x	213.2	123.1
Price / Book Value ratio	x	4.3	11.0
Market Cap	Rs m	7,268	29,339
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for PTC INDUSTRIES

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.6x during FY23, from 1.1x during FY22. 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 3.1x during FY23, from 2.1x during FY22. 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 9.6% during FY23, from 7.6% during FY23. 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 13.6% during FY23, from 12.3% during FY22. 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 7.5% during FY23, from 6.6% during FY22. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*
Current ratio	x	1.1	1.6
Debtors’ Days	Days	1,254	1,093
Interest coverage	x	2.1	3.1
Debt to equity ratio	x	0.6	0.4
Return on assets	%	6.6	7.5
Return on equity	%	7.6	9.6
Return on capital employed	%	12.3	13.6

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

PTC INDUSTRIES Share Price Performance

Over the last one year, PTC INDUSTRIES share price has moved up from Rs 2,012.3 to Rs 2,340.9, registering a gain of Rs 328.5 or around 16.3%.

Overall, the S&P BSE SENSEX is up 1.8% over the year.

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