We are currently facing an issue in receiving the NSE feed. Hence the stock prices are not updated. We are working on fixing this at the earliest. We regret the inconvenience caused.

BHANSALI ENG 2022-23 Annual Report Analysis

Fri, 26 May

BHANSALI ENG 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.

BHANSALI ENG Income Statement Analysis

• Operating income during the year fell 2.8% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 61.7% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 15.9% in FY23 as against 40.3% in FY22.
• Depreciation charges decreased by 0.5% and finance costs increased by 597.6% YoY, respectively.
• Other income grew by 52.0% YoY.
• Net profit for the year declined by 60.9% YoY.
• Net profit margins during the year declined from 30.4% in FY22 to 12.2% in FY23.

BHANSALI ENG Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	11,496	11,173	-2.8%
Other income	Rs m	190	289	52.0%
Total Revenues	Rs m	11,686	11,462	-1.9%
Gross profit	Rs m	4,638	1,778	-61.7%
Depreciation	Rs m	100	99	-0.5%
Interest	Rs m	2	12	597.6%
Profit before tax	Rs m	4,727	1,956	-58.6%
Tax	Rs m	1,226	589	-52.0%
Profit after tax	Rs m	3,500	1,368	-60.9%
Gross profit margin	%	40.3	15.9
Effective tax rate	%	25.9	30.1
Net profit margin	%	30.4	12.2

RESPONSE PENDING: Your Meeting with Tanushree Banerjee Tomorrow...

BHANSALI ENG Balance Sheet Analysis

• The company's current liabilities during FY23 down at Rs 797 million as compared to Rs 1 billion in FY22, thereby witnessing an decrease of -26.2%.
• Current assets fell 5% and stood at Rs 9 billion, while fixed assets rose 56% and stood at Rs 3 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 12 billion as against Rs 11 billion during FY22, thereby witnessing a growth of 5%.

BHANSALI ENG Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	9,813	10,680	8.8
Current Liabilities	Rs m	1,079	797	-26.2
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	11,082	11,671	5.3
Current assets	Rs m	9,157	8,667	-5.4
Fixed Assets	Rs m	1,925	3,004	56.0
Total Assets	Rs m	11,082	11,671	5.3

BHANSALI ENG Cash Flow Statement Analysis

• BHANSALI ENG's cash flow from operating activities (CFO) during FY23 stood at Rs 1 billion on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -153 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -498 million, an improvement of 0% on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs 750 million from the Rs -522 million net cash flows seen during FY22.

BHANSALI ENG 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	2,978	1,401	-52.9%
Cash Flow from Investing Activities	Rs m	-3,002	-153	-
Cash Flow from Financing Activities	Rs m	-498	-498	-
Net Cash Flow	Rs m	-522	750	-

Current Valuations for BHANSALI ENG

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 8.2, an decline from the EPS of Rs 21.1 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 144.9, stands at 17.7 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 2.3 times, while the price to sales ratio stands at 2.2 times.
• The company's price to cash flow (P/CF) ratio stood at 13.1 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	69.3	67.3
TTM Earnings per share	Rs	21.1	8.2
Diluted earnings per share	Rs	21.1	8.2
Price to Cash Flow	x	5.8	13.1
TTM P/E ratio	x	6.0	17.7
Price / Book Value ratio	x	2.9	1.8
Market Cap	Rs m	28,540	19,228
Dividends per share (Unadj.)	Rs	3.0	17.0

Ratio Analysis for BHANSALI ENG

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 10.9x during FY23, from 8.5x 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 deteriorated and stood at 167.9x during FY23, from 2,814.5x 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 12.8% during FY23, from 35.7% 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 18.4% during FY23, from 48.2% 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 11.8% during FY23, from 31.6% 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	8.5	10.9
Debtors’ Days	Days	897	777
Interest coverage	x	2,814.5	167.9
Debt to equity ratio	x	0.0	0.0
Return on assets	%	31.6	11.8
Return on equity	%	35.7	12.8
Return on capital employed	%	48.2	18.4

To see how BHANSALI ENG has performed over the last 5 years, please visit here.

BHANSALI ENG Share Price Performance

Over the last one year, BHANSALI ENG share price has moved up from Rs 107.4 to Rs 144.9, registering a gain of Rs 37.5 or around 34.9%.

Meanwhile, the S&P BSE OIL & GAS Index is trading at Rs 18,394.5 (down 0.0%). Over the last one year it has moved down from 18,466.6 to 18,394.5, a loss of 72 points (down 0.4%).

Overall, the S&P BSE SENSEX is up 15.6% over the year.

(To know more, check out historical annual results for BHANSALI ENG and quarterly results for BHANSALI ENG)