ASIAN PETRO 2022-23 Annual Report Analysis

Wed, 8 Nov

ASIAN PETRO 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.

ASIAN PETRO Income Statement Analysis

• Operating income during the year rose 4702.3% on a year-on-year (YoY) basis.
• The company's operating profit was by NA YoY during the fiscal. Operating profit margins witnessed a growth and down at 0.6% in FY23 as against 134.3% in FY22.
• Depreciation charges decreased by 6.3% increased by 0.0% YoY, respectively.
• Other income grew by 35.3% YoY.
• Net profit for the year declined by NA YoY.
• Net profit margins during the year grew from 85.0% in FY22 to 0.7% in FY23.

ASIAN PETRO Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	3	167	4,702.3%
Other income	Rs m	2	3	35.3%
Total Revenues	Rs m	6	169	2,974.4%
Gross profit	Rs m	-5	-1	NA
Depreciation	Rs m	0	0	-6.3%
Interest	Rs m	0	0	0.0%
Profit before tax	Rs m	-3	1	NA
Tax	Rs m	0	0	0.0
Profit after tax	Rs m	-3	1	NA
Gross profit margin	%	-134.3	-0.6
Effective tax rate	%	0.0	25.2
Net profit margin	%	-85.0	0.7

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ASIAN PETRO Balance Sheet Analysis

• The company's current liabilities during FY23 stood at Rs 16 million as compared to Rs 13 million in FY22, thereby witnessing an increase of 20.2%.
• Long-term debt down at Rs 24 million as compared to Rs 31 million during FY22, a fall of 24.0%.
• Current assets fell 18% and stood at Rs 17 million, while fixed assets fell 6% and stood at Rs 4 million in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 20 million as against Rs 24 million during FY22, thereby witnessing a fall of 16%.

ASIAN PETRO Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	-38	-29	NA
Current Liabilities	Rs m	13	16	20.2
Long-term Debt	Rs m	31	24	-24.0
Total Liabilities	Rs m	24	20	-15.7
Current assets	Rs m	20	17	-17.6
Fixed Assets	Rs m	4	4	-6.0
Total Assets	Rs m	24	20	-15.7

ASIAN PETRO Cash Flow Statement Analysis

• ASIAN PETRO's cash flow from operating activities (CFO) during FY23 stood at Rs 8 million, an improvement of 271.0% on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs 0 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -8 million on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs 1 million from the Rs 1 million net cash flows seen during FY22.

ASIAN PETRO 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	8	271.0%
Cash Flow from Investing Activities	Rs m	0	0	-
Cash Flow from Financing Activities	Rs m	-2	-8	-
Net Cash Flow	Rs m	1	1	41.2%

Current Valuations for ASIAN PETRO

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 0.1, an improvement from the EPS of Rs -0.4 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 16.7, stands at 451.3 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at -5.0 times, while the price to sales ratio stands at 0.8 times.
• The company's price to cash flow (P/CF) ratio stood at 128.1 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	0.5	21.6
TTM Earnings per share	Rs	-0.4	0.1
Diluted earnings per share	Rs	-0.3	0.1
Price to Cash Flow	x	-91.4	128.1
TTM P/E ratio	x	-81.4	451.3
Price / Book Value ratio	x	-8.9	-6.2
Market Cap	Rs m	334	179
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for ASIAN PETRO

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.1x during FY23, from 1.5x 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 74.5x during FY23, from -146.5x 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 -3.8% during FY23, from 7.8% 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 -30.0% during FY23, from 46.8% 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 improved and stood at 5.5% during FY23, from -12.1% 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	1.5	1.1
Debtors’ Days	Days	17,974	281
Interest coverage	x	-146.5	74.5
Debt to equity ratio	x	-0.8	-0.8
Return on assets	%	-12.1	5.5
Return on equity	%	7.8	-3.8
Return on capital employed	%	46.8	-30.0

To see how ASIAN PETRO has performed over the last 5 years, please visit here.

ASIAN PETRO Share Price Performance

Over the last one year, ASIAN PETRO share price has moved down from Rs 24.0 to Rs 16.7, registering a loss of Rs 7.3 or around 30.6%.

Overall, the S&P BSE SENSEX is up 6.2% over the year.

(To know more, check out historical annual results for ASIAN PETRO and quarterly results for ASIAN PETRO)