ALBERT DAVID 2021-22 Annual Report Analysis

Tue, 26 Jul

ALBERT DAVID 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.

ALBERT DAVID Income Statement Analysis

• Operating income during the year rose 26.7% on a year-on-year (YoY) basis.
• The company's operating profit increased by 112.3% YoY during the fiscal. Operating profit margins witnessed a fall and down at 13.1% in FY22 as against 7.8% in FY21.
• Depreciation charges increased by 7.0% and finance costs decreased by 14.3% YoY, respectively.
• Other income declined by 7.8% YoY.
• Net profit for the year grew by 59.2% YoY.
• Net profit margins during the year grew from 8.9% in FY21 to 11.2% in FY22.

ALBERT DAVID Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	2,475	3,135	26.7%
Other income	Rs m	172	158	-7.8%
Total Revenues	Rs m	2,646	3,294	24.5%
Gross profit	Rs m	193	409	112.3%
Depreciation	Rs m	82	88	7.0%
Interest	Rs m	8	7	-14.3%
Profit before tax	Rs m	274	473	72.3%
Tax	Rs m	53	120	127.1%
Profit after tax	Rs m	221	353	59.2%
Gross profit margin	%	7.8	13.1
Effective tax rate	%	19.3	25.5
Net profit margin	%	8.9	11.2

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ALBERT DAVID Balance Sheet Analysis

• The company's current liabilities during FY22 stood at Rs 2 billion as compared to Rs 1 billion in FY21, thereby witnessing an increase of 29.7%.
• Long-term debt stood at Rs 11 million as compared to Rs 4 million during FY21, a growth of 180.8%.
• Current assets rose 15% and stood at Rs 3 billion, while fixed assets rose 21% and stood at Rs 2 billion in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 5 billion as against Rs 4 billion during FY21, thereby witnessing a growth of 17%.

ALBERT DAVID Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	2,444	2,795	14.4
Current Liabilities	Rs m	1,353	1,754	29.7
Long-term Debt	Rs m	4	11	180.8
Total Liabilities	Rs m	4,052	4,751	17.2
Current assets	Rs m	2,776	3,203	15.4
Fixed Assets	Rs m	1,276	1,548	21.3
Total Assets	Rs m	4,052	4,751	17.2

ALBERT DAVID Cash Flow Statement Analysis

• ALBERT DAVID's cash flow from operating activities (CFO) during FY22 stood at Rs 404 million, an improvement of 10.3% on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs -397 million, an improvement of 2.6% on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs -49 million on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs -41 million from the Rs -38 million net cash flows seen during FY21.

ALBERT DAVID 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	366	404	10.3%
Cash Flow from Investing Activities	Rs m	-387	-397	-
Cash Flow from Financing Activities	Rs m	-17	-49	-
Net Cash Flow	Rs m	-38	-41	-

Current Valuations for ALBERT DAVID

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 61.7, an improvement from the EPS of Rs 38.8 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 581.8, stands at 9.4 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.2 times, while the price to sales ratio stands at 1.1 times.
• The company's price to cash flow (P/CF) ratio stood at 7.2 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	433.4	549.1
TTM Earnings per share	Rs	38.8	61.7
Diluted earnings per share	Rs	38.8	61.8
Price to Cash Flow	x	7.1	7.2
TTM P/E ratio	x	9.7	9.4
Price / Book Value ratio	x	1.0	1.1
Market Cap	Rs m	2,468	3,192
Dividends per share (Unadj.)	Rs	6.0	9.0

Ratio Analysis for ALBERT DAVID

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.8x during FY22, from 2.1x 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 71.4x during FY22, from 36.0x 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 12.6% during FY22, from 9.1% 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 17.1% during FY22, from 11.5% 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 7.6% during FY22, from 5.7% 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	2.1	1.8
Debtors’ Days	Days	287	292
Interest coverage	x	36.0	71.4
Debt to equity ratio	x	0.0	0.0
Return on assets	%	5.7	7.6
Return on equity	%	9.1	12.6
Return on capital employed	%	11.5	17.1

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

ALBERT DAVID Share Price Performance

Over the last one year, ALBERT DAVID share price has moved down from Rs 562.1 to Rs 0.0, registering a loss of Rs 562.1 or around 100.0%.

Meanwhile, the S&P BSE HEALTHCARE Index is trading at Rs 22,371.9 (down 0.5%). Over the last one year it has moved down from 26,492.6 to 22,371.9, a loss of 4,121 points (down 15.6%).

Overall, the NIFTY 50 is down 0.5% over the year.

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

Read: Latest Annual Report Analysis of ALBERT DAVID