APAR INDUSTRIES 2018-19 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?  

APAR INDUSTRIES 2018-19 Annual Report Analysis
Tue, 17 Sep

APAR INDUSTRIES has announced its results for the year ended March 2019. Let us have a look at the detailed performance review of the company during FY18-19.

APAR INDUSTRIES Income Statement Analysis

  • Operating income during the year rose 36.9% on a year-on-year (YoY) basis.
  • The company's operating profit increased by 14.8% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 5.9% in FY19 as against 7.0% in FY18.
  • Depreciation charges increased by 19.3% and finance costs increased by 42.8% YoY, respectively.
  • Other income grew by 35.5% YoY.
  • Net profit for the year declined by 6.0% YoY.
  • Net profit margins during the year declined from 2.5% in FY18 to 1.7% in FY19.

APAR INDUSTRIES Income Statement 2018-19

No. of Mths Year Ending 12 Mar-18* 12 Mar-19* % Change
Net Sales Rs m 58,185 79,639 36.9%
Other income Rs m 111 151 35.5%
Total Revenues Rs m 58,296 79,789 36.9%
Gross profit Rs m 4,075 4,677 14.8%
Depreciation Rs m 559 667 19.3%
Interest Rs m 1,400 1,999 42.8%
Profit before tax Rs m 2,228 2,162 -2.9%
Tax Rs m 780 802 2.7%
Profit after tax Rs m 1,447 1,361 -6.0%
Gross profit margin % 7.0 5.9
Effective tax rate % 35.0 37.1
Net profit margin % 2.5 1.7
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



APAR INDUSTRIES Balance Sheet Analysis

  • The company's current liabilities during FY19 stood at Rs 36 billion as compared to Rs 30 billion in FY18, thereby witnessing an increase of 22.8%.
  • Long-term debt down at Rs 1 billion as compared to Rs 2 billion during FY18, a fall of 19.5%.
  • Current assets rose 17% and stood at Rs 42 billion, while fixed assets rose 22% and stood at Rs 8 billion in FY19.
  • Overall, the total assets and liabilities for FY19 stood at Rs 50 billion as against Rs 43 billion during FY18, thereby witnessing a growth of 17%.

APAR INDUSTRIES Balance Sheet as on March 2019

No. of Mths Year Ending 12 Mar-18* 12 Mar-19* % Change
Networth Rs m 10,739 11,661 8.6
 
Current Liabilities Rs m 29,637 36,392 22.8
Long-term Debt Rs m 1,619 1,303 -19.5
Total Liabilities Rs m 42,759 50,215 17.4
 
Current assets Rs m 35,729 41,661 16.6
Fixed Assets Rs m 6,680 8,123 21.6
Total Assets Rs m 42,759 50,215 17.4
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



APAR INDUSTRIES Cash Flow Statement Analysis

  • APAR INDUSTRIES 's cash flow from operating activities (CFO) during FY19 stood at Rs 6 billion, an improvement of 180.9% on a YoY basis.
  • Cash flow from investing activities (CFI) during FY19 stood at Rs -4 billion, an improvement of 8,388.8% on a YoY basis.
  • Cash flow from financial activities (CFF) during FY19 stood at Rs -3 billion on a YoY basis.
  • Overall, net cash flows for the company during FY19 stood at Rs -491 million from the Rs 2 billion net cash flows seen during FY18.

APAR INDUSTRIES Cash Flow Statement 2018-19

Particulars No. of months 12 12 % Change
Year Ending Mar-18 Mar-19
Cash Flow from Operating Activities Rs m 2,250 6,320 180.9%
Cash Flow from Investing Activities Rs m -46 -3,879 -
Cash Flow from Financing Activities Rs m -689 -2,933 -
Net Cash Flow Rs m 1,514 -491 -
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



Current Valuations for APAR INDUSTRIES

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs 35.6, an decline from the EPS of Rs 37.8 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 550.3, stands at 14.3 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 2.2 times, while the price to sales ratio stands at 0.3 times.
  • The company's price to cash flow (P/CF) ratio stood at 10.4 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending 12 Mar-18* 12 Mar-19*
Sales per share (Unadj.) Rs 1,520.4 2,081.0
TTM Earnings per share Rs 37.8 35.6
Diluted earnings per share Rs 37.6 35.3
Price to Cash Flow x 10.5 10.4
TTM P/E ratio x 14.2 14.3
Price / Book Value ratio x 2.8 2.2
Market Cap Rs m 21,060 21,184
Dividends per share (Unadj.) Rs 9.5 9.5
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



Ratio Analysis for APAR INDUSTRIES

  • Solvency Ratios
  • Current Ratio: The company's current ratio deteriorated and stood at 1.1x during FY19, from 1.2x during FY18. 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 deteriorated and stood at 2.1x during FY19, from 2.6x during FY18. 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 11.7% during FY19, from 13.5% during FY19. 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 32.1% during FY19, from 29.4% during FY18. 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 6.7% during FY19, from 6.7% during FY18. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending 12 Mar-18* 12 Mar-19*
Current ratio x 1.2 1.1
Debtors’ Days Days 109 98
Interest coverage x 2.6 2.1
Debt to equity ratio x 0.2 0.1
Return on assets % 6.7 6.7
Return on equity % 13.5 11.7
Return on capital employed % 29.4 32.1
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



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

APAR INDUSTRIES Share Price Performance

Over the last one year, APAR INDUSTRIES share price has moved down from Rs 629.6 to Rs 550.3, registering a loss of Rs 79.3 or around 12.6%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 17,268.5 (down 0.2%). Over the last one year it has moved down from 18,429.3 to 17,268.5, a loss of 1,161 points (down 6.3%).

Overall, the S&P BSE SENSEX is down 1.5% over the year.

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

Equitymaster requests your view! Post a comment on "APAR INDUSTRIES 2018-19 Annual Report Analysis". Click here!

  

Related Views on News

APAR INDUSTRIES Announces Quarterly Results (1QFY20); Net Profit Up 51.0% (Quarterly Result Update)

Aug 13, 2019 | Updated on Aug 13, 2019

For the quarter ended June 2019, APAR INDUSTRIES has posted a net profit of Rs 412 m (up 51.0% YoY). Sales on the other hand came in at Rs 20 bn (up 41.1% YoY). Read on for a complete analysis of APAR INDUSTRIES 's quarterly results.

APAR INDUSTRIES Announces Quarterly Results (4QFY19); Net Profit Up 23.0% (Quarterly Result Update)

Jun 10, 2019 | Updated on Jun 10, 2019

For the quarter ended March 2019, APAR INDUSTRIES has posted a net profit of Rs 437 m (up 23.0% YoY). Sales on the other hand came in at Rs 25 bn (up 45.4% YoY). Read on for a complete analysis of APAR INDUSTRIES 's quarterly results.

Garden Reach Shipbuilders and Engineers Ltd: Is This PSU Shipbuilder Worth Betting On? (IPO)

Sep 24, 2018

Should you apply for the IPO of Garden Reach Shipbuilders and Engineers Ltd?

H.G Infra Engineering Ltd. (IPO)

Feb 24, 2018

Should you subscribe to the IPO of H.G Infra Engineering Ltd.?

Amber Enterprises India Ltd. (IPO)

Jan 16, 2018

Should you subscribe to the IPO of Amber Enterprises India Ltd?

More Views on News

Most Popular

Crash Alert! Is There a Big Bubble in Nestle, HUL and Asian Paints?(Profit Hunter)

Nov 7, 2019

Is this the beginning of the end of multibagger gains in quality stocks like Nestle, HUL, and Asian Paints?

The Smartest Stock to Buy for 2020(Profit Hunter)

Nov 14, 2019

Small-cap stocks are selling at bargain prices today and are poised to generate a lot of wealth in 2020 and beyond...

Why Moody's Rating Downgrade is a Strong Sign to Buy Stocks(The 5 Minute Wrapup)

Nov 8, 2019

Investors who took cues from Moody's rating downgrade in 1992 and 2002 created some of the biggest wealth of their lifetime.

A Trade that Could Generate Profits for Decades

Nov 14, 2019

India's #1 trader is back on the Investor Hour. Vijay Bhambwani talks to us about his super-profitable trading system and shares with us his #1 long term trade. Listen in...

The One Trade I'm Most Bullish on Now

Nov 12, 2019

A highly specific trade to potentially triple your money in just three months. You won't find this information anywhere else!

More

Get the Indian Stock Market's
Most Profitable Ideas

How To Beat Sensex Guide 2020
Get our special report, How to Beat Sensex Nearly 3X Now!
We will never sell or rent your email id.
Please read our Terms

TRACK APAR INDUSTRIES

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

MORE ON APAR INDUSTRIES

APAR INDUSTRIES 8-QTR ANALYSIS

COMPARE APAR INDUSTRIES WITH

MARKET STATS