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ALKYL AMINES 2022-23 Annual Report Analysis

Tue, 20 Jun

ALKYL AMINES 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.

ALKYL AMINES Income Statement Analysis

• Operating income during the year rose 9.1% on a year-on-year (YoY) basis.
• The company's operating profit increased by 5.5% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 20.4% in FY23 as against 21.1% in FY22.
• Depreciation charges increased by 30.0% and finance costs increased by 1.2% YoY, respectively.
• Other income declined by 7.2% YoY.
• Net profit for the year grew by 1.7% YoY.
• Net profit margins during the year declined from 14.6% in FY22 to 13.6% in FY23.

ALKYL AMINES Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	15,420	16,823	9.1%
Other income	Rs m	150	139	-7.2%
Total Revenues	Rs m	15,570	16,962	8.9%
Gross profit	Rs m	3,252	3,431	5.5%
Depreciation	Rs m	348	452	30.0%
Interest	Rs m	33	33	1.2%
Profit before tax	Rs m	3,021	3,086	2.1%
Tax	Rs m	772	799	3.5%
Profit after tax	Rs m	2,249	2,287	1.7%
Gross profit margin	%	21.1	20.4
Effective tax rate	%	25.6	25.9
Net profit margin	%	14.6	13.6

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ALKYL AMINES Balance Sheet Analysis

• The company's current liabilities during FY23 stood at Rs 4 billion as compared to Rs 3 billion in FY22, thereby witnessing an increase of 7.5%.
• Current assets fell 7% and stood at Rs 5 billion, while fixed assets rose 24% and stood at Rs 14 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 19 billion as against Rs 17 billion during FY22, thereby witnessing a growth of 14%.

ALKYL AMINES Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	9,865	11,655	18.1
Current Liabilities	Rs m	3,279	3,523	7.5
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	16,569	18,865	13.9
Current assets	Rs m	5,376	4,988	-7.2
Fixed Assets	Rs m	11,193	13,877	24.0
Total Assets	Rs m	16,569	18,865	13.9

ALKYL AMINES Cash Flow Statement Analysis

• ALKYL AMINES's cash flow from operating activities (CFO) during FY23 stood at Rs 2 billion, an improvement of 21.4% on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -3 billion, an improvement of 34.7% on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs 80 million, an improvement of 114% on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs -207 million from the Rs -583 million net cash flows seen during FY22.

ALKYL AMINES 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	2,047	2,484	21.4%
Cash Flow from Investing Activities	Rs m	-2,057	-2,771	-
Cash Flow from Financing Activities	Rs m	-573	80	-
Net Cash Flow	Rs m	-583	-207	-

Current Valuations for ALKYL AMINES

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 44.7, an improvement from the EPS of Rs 44.0 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 2,700.1, stands at 60.3 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 11.8 times, while the price to sales ratio stands at 8.2 times.
• The company's price to cash flow (P/CF) ratio stood at 52.0 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	301.9	329.2
TTM Earnings per share	Rs	44.0	44.7
Diluted earnings per share	Rs	44.0	44.7
Price to Cash Flow	x	56.3	52.0
TTM P/E ratio	x	65.0	60.3
Price / Book Value ratio	x	29.9	12.2
Market Cap	Rs m	295,147	142,291
Dividends per share (Unadj.)	Rs	10.0	10.0

Ratio Analysis for ALKYL AMINES

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.4x during FY23, from 1.6x 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 93.9x during FY23, from 93.1x 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 declined and down at 19.6% during FY23, from 22.8% 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 declined and down at 26.8% during FY23, from 31.0% 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 declined and down at 12.3% during FY23, from 13.8% 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	1.6	1.4
Debtors’ Days	Days	655	561
Interest coverage	x	93.1	93.9
Debt to equity ratio	x	0.0	0.0
Return on assets	%	13.8	12.3
Return on equity	%	22.8	19.6
Return on capital employed	%	31.0	26.8

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

ALKYL AMINES Share Price Performance

Over the last one year, ALKYL AMINES share price has moved up from Rs 2,615.0 to Rs 2,700.1, registering a gain of Rs 85.1 or around 3.3%.

Overall, the S&P BSE SENSEX is up 22.4% over the year.

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