BASANT AGRO TECH 2021-22 Annual Report Analysis

Tue, 8 Nov

BASANT AGRO TECH 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.

BASANT AGRO TECH Income Statement Analysis

• Operating income during the year rose 38.8% on a year-on-year (YoY) basis.
• The company's operating profit increased by 66.0% YoY during the fiscal. Operating profit margins witnessed a fall and down at 6.8% in FY22 as against 5.7% in FY21.
• Depreciation charges increased by 5.0% and finance costs increased by 47.9% YoY, respectively.
• Other income grew by 4.7% YoY.
• Net profit for the year grew by 107.5% YoY.
• Net profit margins during the year grew from 2.8% in FY21 to 4.2% in FY22.

BASANT AGRO TECH Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	3,230	4,482	38.8%
Other income	Rs m	2	2	4.7%
Total Revenues	Rs m	3,231	4,483	38.7%
Gross profit	Rs m	183	303	66.0%
Depreciation	Rs m	49	52	5.0%
Interest	Rs m	40	60	47.9%
Profit before tax	Rs m	95	194	104.4%
Tax	Rs m	3	4	15.2%
Profit after tax	Rs m	92	190	107.5%
Gross profit margin	%	5.7	6.8
Effective tax rate	%	3.3	1.9
Net profit margin	%	2.8	4.2

Don't Miss: Best Chance to Access Midcap Stocks Research at 80% OFF

BASANT AGRO TECH 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 57.2%.
• Long-term debt stood at Rs 195 million as compared to Rs 169 million during FY21, a growth of 15.6%.
• Current assets rose 38% and stood at Rs 3 billion, while fixed assets rose 22% and stood at Rs 1 billion in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 4 billion as against Rs 3 billion during FY21, thereby witnessing a growth of 33%.

BASANT AGRO TECH Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	1,348	1,533	13.7
Current Liabilities	Rs m	1,266	1,990	57.2
Long-term Debt	Rs m	169	195	15.6
Total Liabilities	Rs m	2,812	3,738	32.9
Current assets	Rs m	1,974	2,716	37.6
Fixed Assets	Rs m	838	1,022	22.0
Total Assets	Rs m	2,812	3,738	32.9

BASANT AGRO TECH Cash Flow Statement Analysis

• BASANT AGRO TECH's cash flow from operating activities (CFO) during FY22 stood at Rs -95 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs -231 million, an improvement of 367.0% on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs 329 million, an improvement of 469% on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs 3 million from the Rs -2 million net cash flows seen during FY21.

BASANT AGRO TECH 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	136	-95	-
Cash Flow from Investing Activities	Rs m	-49	-231	-
Cash Flow from Financing Activities	Rs m	-89	329	-
Net Cash Flow	Rs m	-2	3	-

Current Valuations for BASANT AGRO TECH

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 2.1, an improvement from the EPS of Rs 1.0 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 21.0, stands at 9.7 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 0.4 times.
• The company's price to cash flow (P/CF) ratio stood at 5.4 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	35.6	49.4
TTM Earnings per share	Rs	1.0	2.1
Diluted earnings per share	Rs	1.0	2.1
Price to Cash Flow	x	4.2	5.4
TTM P/E ratio	x	6.5	9.7
Price / Book Value ratio	x	0.4	0.9
Market Cap	Rs m	501	1,311
Dividends per share (Unadj.)	Rs	0.1	0.1

Ratio Analysis for BASANT AGRO TECH

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.4x during FY22, from 1.6x 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 4.2x during FY22, from 3.3x 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 12.4% during FY22, from 6.8% 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 14.7% during FY22, from 8.9% 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 6.7% during FY22, from 4.7% 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	1.6	1.4
Debtors’ Days	Days	636	413
Interest coverage	x	3.3	4.2
Debt to equity ratio	x	0.1	0.1
Return on assets	%	4.7	6.7
Return on equity	%	6.8	12.4
Return on capital employed	%	8.9	14.7

To see how BASANT AGRO TECH has performed over the last 5 years, please visit here.

BASANT AGRO TECH Share Price Performance

Over the last one year, BASANT AGRO TECH share price has moved up from Rs 12.1 to Rs 21.0, registering a gain of Rs 8.8 or around 72.9%.

Overall, the S&P BSE SENSEX is up 1.9% over the year.

(To know more, check out historical annual results for BASANT AGRO TECH and quarterly results for BASANT AGRO TECH)

Read: Latest Annual Report Analysis of BASANT AGRO TECH