ABB INDIA 2020-21 Annual Report Analysis

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  
Top Ad

Find Out

How to Find One Stock with Crorepati Potential? >> READ MORE

ABB INDIA 2020-21 Annual Report Analysis
Fri, 31 Dec

ABB INDIA has announced its results for the year ended December 2021. Let us have a look at the detailed performance review of the company during FY20-21.

ABB INDIA Income Statement Analysis

  • Operating income during the year rose 19.1% on a year-on-year (YoY) basis.
  • The company's operating profit increased by 96.3% YoY during the fiscal. Operating profit margins witnessed a fall and down at 9.2% in CY21 as against 5.6% in CY20.
  • Depreciation charges decreased by 14.7% and finance costs decreased by 24.1% YoY, respectively.
  • Other income grew by 67.1% YoY.
  • Net profit for the year grew by 131.1% YoY.
  • Net profit margins during the year grew from 4.0% in CY20 to 7.7% in CY21.

ABB INDIA Income Statement 2020-21

No. of Mths Year Ending 12 Dec-20* 12 Dec-21* % Change
Net Sales Rs m 58,210 69,340 19.1%
Other income Rs m 1,250 2,089 67.1%
Total Revenues Rs m 59,459 71,429 20.1%
Gross profit Rs m 3,244 6,368 96.3%
Depreciation Rs m 1,204 1,027 -14.7%
Interest Rs m 246 187 -24.1%
Profit before tax Rs m 3,044 7,243 138.0%
Tax Rs m 739 1,918 159.4%
Profit after tax Rs m 2,304 5,325 131.1%
Gross profit margin % 5.6 9.2
Effective tax rate % 24.3 26.5
Net profit margin % 4.0 7.7
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Find Out: How to Find One Stock with Crorepati Potential?

ABB INDIA Balance Sheet Analysis

  • The company's current liabilities during CY21 stood at Rs 40 billion as compared to Rs 39 billion in CY20, thereby witnessing an increase of 1.8%.
  • Current assets rose 9% and stood at Rs 66 billion, while fixed assets fell 3% and stood at Rs 13 billion in CY21.
  • Overall, the total assets and liabilities for CY21 stood at Rs 80 billion as against Rs 75 billion during CY20, thereby witnessing a growth of 7%.

ABB INDIA Balance Sheet as on December 2021

No. of Mths Year Ending 12 Dec-20* 12 Dec-21* % Change
Networth Rs m 36,063 40,451 12.2
 
Current Liabilities Rs m 39,339 40,038 1.8
Long-term Debt Rs m 0 0 0.0
Total Liabilities Rs m 74,733 79,789 6.8
 
Current assets Rs m 60,836 66,353 9.1
Fixed Assets Rs m 13,897 13,435 -3.3
Total Assets Rs m 74,733 79,789 6.8
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



ABB INDIA Cash Flow Statement Analysis

  • ABB INDIA's cash flow from operating activities (CFO) during CY21 stood at Rs 6 billion, an improvement of 104.0% on a YoY basis.
  • Cash flow from investing activities (CFI) during CY21 stood at Rs -20 billion on a YoY basis.
  • Cash flow from financial activities (CFF) during CY21 stood at Rs -1 billion, an improvement of 17% on a YoY basis.
  • Overall, net cash flows for the company during CY21 stood at Rs -15 billion from the Rs 6 billion net cash flows seen during CY20.

ABB INDIA Cash Flow Statement 2020-21

Particulars No. of months 12 12 % Change
Year Ending Dec-20 Dec-21
Cash Flow from Operating Activities Rs m 3,182 6,492 104.0%
Cash Flow from Investing Activities Rs m 4,424 -20,079 -
Cash Flow from Financing Activities Rs m -1,523 -1,268 -
Net Cash Flow Rs m 6,090 -14,858 -
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Current Valuations for ABB INDIA

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs 25.1, an improvement from the EPS of Rs 10.9 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 2,287.3, stands at 105.7 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 9.4 times, while the price to sales ratio stands at 5.5 times.
  • The company's price to cash flow (P/CF) ratio stood at 59.8 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending 12 Dec-20* 12 Dec-21*
Sales per share (Unadj.) Rs 274.7 327.2
TTM Earnings per share Rs 10.9 25.1
Diluted earnings per share Rs 10.9 25.1
Price to Cash Flow x 74.6 59.8
TTM P/E ratio x 88.9 105.7
Price / Book Value ratio x 6.3 9.4
Market Cap Rs m 226,133 379,756
Dividends per share (Unadj.) Rs 5.0 5.2
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Ratio Analysis for ABB INDIA

  • Solvency Ratios
  • Current Ratio: The company's current ratio improved and stood at 1.7x during CY21, from 1.5x during CY20. 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 39.8x during CY21, from 13.4x during CY20. 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 13.2% during CY21, from 6.4% during CY21. 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 18.4% during CY21, from 9.1% during CY20. 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 6.9% during CY21, from 3.4% during CY20. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending 12 Dec-20* 12 Dec-21*
Current ratio x 1.5 1.7
Debtors’ Days Days 11 10
Interest coverage x 13.4 39.8
Debt to equity ratio x 0.0 0.0
Return on assets % 3.4 6.9
Return on equity % 6.4 13.2
Return on capital employed % 9.1 18.4
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



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

ABB INDIA Share Price Performance

Over the last one year, ABB INDIA share price has moved up from Rs 1,425.4 to Rs 2,287.3, registering a gain of Rs 861.9 or around 60.5%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 26,418.0 (up 3.1%). Over the last one year it has moved up from 22,019.0 to 26,418.0, a gain of 4,399 points (up 20.0%).

Overall, the S&P BSE SENSEX is up 8.2% over the year.

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

Annual Report FAQs

What is the current share price of ABB INDIA?

ABB INDIA currently trades at Rs 2,293.6 per share. You can check out the latest share price performance of ABB INDIA here...

What was the revenue of ABB INDIA in CY21? How does it compare to earlier years?

The revenues of ABB INDIA stood at Rs 71,429 m in CY21, which was up 20.1% compared to Rs 59,459 m reported in CY20.

ABB INDIA's revenue has fallen from Rs 89,301 m in CY17 to Rs 71,429 m in CY21.

Over the past 5 years, the revenue of ABB INDIA has grown at a CAGR of -5.4%.

What was the net profit of ABB INDIA in CY21? How does it compare to earlier years?

The net profit of ABB INDIA stood at Rs 5,325 m in CY21, which was up 131.1% compared to Rs 2,304 m reported in CY20.

This compares to a net profit of Rs 3,034 m in CY19 and a net profit of Rs 5,109 m in CY18.

Over the past 5 years, ABB INDIA net profit has grown at a CAGR of 6.1%.

What does the cash flow statement of ABB INDIA reveal?

The cash flow statement is the financial statement that presents the cash inflows and outflows of a company during a given period of time.

This statement is one of the most useful tools for judging a company's liquidity position. The ratios and parameters in this statement helps test a company's financial health.

The cash flow statement of ABB INDIA reveals:

  • Cash flow from operations increased in CY21 and stood at Rs 6,492 m as compared to Rs 3,182 m in CY20.
  • Cash flow from investments decreased in CY21 and stood at Rs -20,079 m as compared to Rs 4,424 m in CY20.
  • Cash flow from financial activity increased in CY21 and stood at Rs -1,268 m as compared to Rs -1,523 m in CY20.

Here's the cash flow statement of ABB INDIA for the past 5 years.

(Rs m)CY17CY18CY19CY20CY21
From Operations7,9176,2556,6693,1826,492
From Investments-3,2051,437-3,9074,424-20,079
From Financial Activity-1,710-7,937-1,467-1,523-1,268
Net Cashflow3,023-1681,2256,090-14,858

What does the Key Ratio analysis of ABB INDIA reveal?

Be it the company's profitability, operations effectiveness or utilization of funds, ratio analysis is an important tool which helps in making investment decisions.

The ratio/financial analysis of ABB INDIA reveals:

  • Operating profit margins witnessed a fall and down at 9.2% in CY21 as against 5.6% in CY20.
  • Net profit margins grew from 4.0% in CY20 to 7.7% in CY21.
  • Debt to Equity ratio for CY21 stood at 0.0 as compared to 0.0 in CY20.

Here's the ratio/financial analysis of ABB INDIA for the past 5 years.

 CY17CY18CY19CY20CY21
Operating Profit Margin (%)8.38.55.65.69.2
Net Profit Margin (%)4.84.73.74.07.7
Debt to Equity Ratio (x)0.00.00.00.00.0

Equitymaster requests your view! Post a comment on "ABB INDIA 2020-21 Annual Report Analysis". Click here!

  

Related Views On News

The Game Changer - This Company's EV Battery Charger takes only 15 Minutes for a Full Charge (Views On News)

Feb 10, 2022

The number one barrier to the adoption of EVs is no longer just cost, it is Range anxiety. But what if the experience of a driver is exactly like fuelling a petrol or diesel car?

ABB INDIA 2020-21 Annual Report Analysis (Annual Result Update)

Dec 31, 2021

Here's an analysis of the annual report of ABB INDIA for 2020-21. It includes a full income statement, balance sheet and cash flow analysis of ABB INDIA. Also includes updates on the valuation of ABB INDIA.

High Voltage EV Deal Sends Greaves Cotton Share Price Soaring. Key Points to Know (Views On News)

Jun 2, 2022

Greaves Cotton shares have surged 14% on this big bang deal. Read on to know more...

Infrastructure Boom Ahead. Here are 3 Ways to Play It... (Views On News)

Aug 24, 2021

India is expected to become the third largest construction market next year. For that, it needs huge investments.

G R Infraprojects Makes a Bumper Listing on Bourses. Big Gains for IPO Investors (Views On News)

Jul 19, 2021

GR Infra shares were subscribed over 100 times in its IPO.

More Views on News

Most Popular

4 Sectors to Watch for Future Multibagger Stocks (Views On News)

Jun 17, 2022

With India's economic recovery accelerating, these sectors are likely to give multibagger returns in the future.

Why Tata Power Share Price is Falling (Views On News)

Jun 14, 2022

Here's why shares of Tata Power have fallen in recent days.

Is it Time to Start Buying Stocks Selectively? (Profit Hunter)

Jun 16, 2022

Some sectors have corrected by 50%. Do they merit a look?

Best Monopoly Stocks to Own in 2022 Views On News (Views On News)

Jun 18, 2022

Constant product innovation, latest technology, strong supply chain etc can all help companies enjoy monopoly like fortunes.

When Will the Stock Market Recover? (Views On News)

Jun 15, 2022

This is how you can tell the market is going to recover.

More

Become A Smarter Investor
In Just 5 Minutes

Multibagger Stock Guide 2022
Get our special report Multibagger Stocks Guide (2022 Edition) Now!
We will never sell or rent your email id.
Please read our Terms

TRACK ABB INDIA

  • Track your investment in ABB INDIA with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
  • Add To MyStocks

ABB INDIA - HPL ELECTRIC & POWER COMPARISON

COMPARE ABB INDIA WITH

MARKET STATS