AUTO CORP. OF GOA 2022-23 Annual Report Analysis

Tue, 13 Jun

AUTO CORP. OF GOA 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.

AUTO CORP. OF GOA Income Statement Analysis

• Operating income during the year rose 79.6% on a year-on-year (YoY) basis.
• The company's operating profit increased by 2928.2% YoY during the fiscal. Operating profit margins witnessed a fall and down at 6.7% in FY23 as against 0.4% in FY22.
• Depreciation charges decreased by 6.0% and finance costs decreased by 11.7% YoY, respectively.
• Other income grew by 8.8% YoY.
• Net profit for the year grew by 709.2% YoY.
• Net profit margins during the year grew from 1.2% in FY22 to 5.5% in FY23.

AUTO CORP. OF GOA Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	2,818	5,062	79.6%
Other income	Rs m	73	79	8.8%
Total Revenues	Rs m	2,891	5,141	77.9%
Gross profit	Rs m	11	339	2,928.2%
Depreciation	Rs m	50	47	-6.0%
Interest	Rs m	1	1	-11.7%
Profit before tax	Rs m	33	371	1,009.7%
Tax	Rs m	-1	93	NA
Profit after tax	Rs m	34	278	709.2%
Gross profit margin	%	0.4	6.7
Effective tax rate	%	-2.9	25.0
Net profit margin	%	1.2	5.5

Download Now: 7 Unstoppable Growth Engines of India's $10 Trillion Bull Run...

AUTO CORP. OF GOA Balance Sheet Analysis

• The company's current liabilities during FY23 stood at Rs 1 billion as compared to Rs 1 billion in FY22, thereby witnessing an increase of 21.2%.
• Current assets rose 21% and stood at Rs 3 billion, while fixed assets rose 12% and stood at Rs 632 million in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 3 billion as against Rs 3 billion during FY22, thereby witnessing a growth of 19%.

AUTO CORP. OF GOA Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	1,689	1,937	14.7
Current Liabilities	Rs m	1,092	1,323	21.2
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	2,827	3,364	19.0
Current assets	Rs m	2,261	2,732	20.8
Fixed Assets	Rs m	566	632	11.6
Total Assets	Rs m	2,827	3,364	19.0

AUTO CORP. OF GOA Cash Flow Statement Analysis

• AUTO CORP. OF GOA's cash flow from operating activities (CFO) during FY23 stood at Rs -43 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -286 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs 279 million, an improvement of 10% on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs -49 million from the Rs 58 million net cash flows seen during FY22.

AUTO CORP. OF GOA 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	-286	-43	-
Cash Flow from Investing Activities	Rs m	90	-286	-
Cash Flow from Financing Activities	Rs m	254	279	9.8%
Net Cash Flow	Rs m	58	-49	-

Current Valuations for AUTO CORP. OF GOA

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 45.7, an improvement from the EPS of Rs 5.7 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 965.0, stands at 21.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 3.0 times, while the price to sales ratio stands at 1.2 times.
• The company's price to cash flow (P/CF) ratio stood at 16.9 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	462.7	831.2
TTM Earnings per share	Rs	5.7	45.7
Diluted earnings per share	Rs	5.7	45.7
Price to Cash Flow	x	67.6	16.9
TTM P/E ratio	x	-212.0	21.1
Price / Book Value ratio	x	2.8	2.8
Market Cap	Rs m	4,743	5,499
Dividends per share (Unadj.)	Rs	0.0	17.5

Ratio Analysis for AUTO CORP. OF GOA

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 2.1x during FY23, from 2.1x 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 448.2x during FY23, from 36.6x 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 improved and stood at 14.4% during FY23, from 2.0% 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 improved and stood at 19.2% during FY23, from 2.0% 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 improved and stood at 8.3% during FY23, from 1.3% 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	2.1	2.1
Debtors’ Days	Days	934	585
Interest coverage	x	36.6	448.2
Debt to equity ratio	x	0.0	0.0
Return on assets	%	1.3	8.3
Return on equity	%	2.0	14.4
Return on capital employed	%	2.0	19.2

To see how AUTO CORP. OF GOA has performed over the last 5 years, please visit here.

AUTO CORP. OF GOA Share Price Performance

Over the last one year, AUTO CORP. OF GOA share price has moved up from Rs 770.0 to Rs 965.0, registering a gain of Rs 195.0 or around 25.3%.

Overall, the S&P BSE SENSEX is up 14.0% over the year.

(To know more, check out historical annual results for AUTO CORP. OF GOA and quarterly results for AUTO CORP. OF GOA)