ALU FLUORIDE 2021-22 Annual Report Analysis

Wed, 22 Jun

ALU FLUORIDE has announced its results for the year ended March 2022. Let us have a look at the detailed performance review of the company during FY21-22.

ALU FLUORIDE Income Statement Analysis

• Operating income during the year rose 128.5% on a year-on-year (YoY) basis.
• The company's operating profit increased by 744.5% YoY during the fiscal. Operating profit margins witnessed a fall and down at 15.2% in FY22 as against 4.1% in FY21.
• Depreciation charges increased by 153.2% and finance costs increased by 193.7% YoY, respectively.
• Other income declined by 16.5% YoY.
• Net profit for the year declined by 740.5% YoY.
• Net profit margins during the year grew from 1.4% in FY21 to 4.0% in FY22.

ALU FLUORIDE Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	385	880	128.5%
Other income	Rs m	8	7	-16.5%
Total Revenues	Rs m	393	886	125.6%
Gross profit	Rs m	16	134	744.5%
Depreciation	Rs m	25	63	153.2%
Interest	Rs m	9	27	193.7%
Profit before tax	Rs m	-11	50	-565.7%
Tax	Rs m	-5	14	-378.8%
Profit after tax	Rs m	-6	35	-740.5%
Gross profit margin	%	4.1	15.2
Effective tax rate	%	48.3	28.9
Net profit margin	%	-1.4	4.0

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ALU FLUORIDE Balance Sheet Analysis

• The company's current liabilities during FY22 stood at Rs 178 million as compared to Rs 133 million in FY21, thereby witnessing an increase of 33.5%.
• Long-term debt down at Rs 160 million as compared to Rs 199 million during FY21, a fall of 19.5%.
• Current assets rose 29% and stood at Rs 330 million, while fixed assets fell 3% and stood at Rs 670 million in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 1 billion as against Rs 948 million during FY21, thereby witnessing a growth of 5%.

ALU FLUORIDE Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	519	556	7.1
Current Liabilities	Rs m	133	178	33.5
Long-term Debt	Rs m	199	160	-19.5
Total Liabilities	Rs m	948	1,000	5.5
Current assets	Rs m	257	330	28.6
Fixed Assets	Rs m	692	670	-3.2
Total Assets	Rs m	948	1,000	5.5

ALU FLUORIDE Cash Flow Statement Analysis

• ALU FLUORIDE's cash flow from operating activities (CFO) during FY22 stood at Rs 37 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs -58 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs -46 million on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs -67 million from the Rs 24 million net cash flows seen during FY21.

ALU FLUORIDE Cash Flow Statement 2021-22

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-21	Mar-22
Cash Flow from Operating Activities	Rs m	-22	37	-
Cash Flow from Investing Activities	Rs m	-115	-58	-
Cash Flow from Financing Activities	Rs m	161	-46	-
Net Cash Flow	Rs m	24	-67	-

Current Valuations for ALU FLUORIDE

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 4.5, an improvement from the EPS of Rs -0.7 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 208.9, stands at 46.7 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 2.9 times, while the price to sales ratio stands at 1.9 times.
• The company's price to cash flow (P/CF) ratio stood at 24.3 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*
Sales per share (Unadj.)	Rs	49.2	112.5
TTM Earnings per share	Rs	-0.7	4.5
Diluted earnings per share	Rs	-0.7	4.5
Price to Cash Flow	x	88.8	24.3
TTM P/E ratio	x	-316.0	46.7
Price / Book Value ratio	x	3.9	4.3
Market Cap	Rs m	2,018	2,394
Dividends per share (Unadj.)	Rs	0.0	1.0

Ratio Analysis for ALU FLUORIDE

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.9x during FY22, from 1.9x during FY21. 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 2.8x during FY22, from -0.2x during FY21. 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 6.3% during FY22, from -1.1% during FY22. 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 10.7% during FY22, from -0.2% during FY21. 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 6.2% during FY22, from 0.4% during FY21. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*
Current ratio	x	1.9	1.9
Debtors’ Days	Days	482	560
Interest coverage	x	-0.2	2.8
Debt to equity ratio	x	0.4	0.3
Return on assets	%	0.4	6.2
Return on equity	%	-1.1	6.3
Return on capital employed	%	-0.2	10.7

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

ALU FLUORIDE Share Price Performance

Over the last one year, ALU FLUORIDE share price has moved down from Rs 233.4 to Rs 208.9, registering a loss of Rs 24.5 or around 10.5%.

Meanwhile, the S&P BSE METAL Index is trading at Rs 15,229.9 (down 3.7%). Over the last one year it has moved down from 18,258.7 to 15,229.9, a loss of 3,029 points (down 16.6%).

Overall, the S&P BSE SENSEX is down 1.0% over the year.

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

Read: Latest Annual Report Analysis of ALU FLUORIDE