BPCL 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?  

BPCL 2018-19 Annual Report Analysis
Thu, 5 Sep

BPCL 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.

BPCL Income Statement Analysis

  • Operating income during the year rose 26.4% on a year-on-year (YoY) basis.
  • The company's operating profit decreased by 1.1% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 5.1% in FY19 as against 6.5% in FY18.
  • Depreciation charges increased by 18.5% and finance costs increased by 48.8% YoY, respectively.
  • Other income grew by 21.7% YoY.
  • Net profit for the year declined by 12.9% YoY.
  • Net profit margins during the year declined from 4.1% in FY18 to 2.8% in FY19.

BPCL Income Statement 2018-19

No. of Mths Year Ending 12 Mar-18* 12 Mar-19* % Change
Net Sales Rs m 2,358,951 2,982,256 26.4%
Other income Rs m 16,744 20,375 21.7%
Total Revenues Rs m 2,375,695 3,002,631 26.4%
Gross profit Rs m 152,810 151,122 -1.1%
Depreciation Rs m 28,850 34,178 18.5%
Interest Rs m 11,857 17,640 48.8%
Profit before tax Rs m 128,846 119,681 -7.1%
Tax Rs m 43,816 43,775 -0.1%
Profit after tax Rs m 97,919 85,279 -12.9%
Gross profit margin % 6.5 5.1
Effective tax rate % 34.0 36.6
Net profit margin % 4.1 2.8
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



BPCL Balance Sheet Analysis

  • The company's current liabilities during FY19 stood at Rs 531 billion as compared to Rs 458 billion in FY18, thereby witnessing an increase of 15.9%.
  • Long-term debt stood at Rs 343 billion as compared to Rs 289 billion during FY18, a growth of 18.7%.
  • Current assets rose 20% and stood at Rs 488 billion, while fixed assets rose 14% and stood at Rs 630 billion in FY19.
  • Overall, the total assets and liabilities for FY19 stood at Rs 1,369 billion as against Rs 1,204 billion during FY18, thereby witnessing a growth of 14%.

BPCL Balance Sheet as on March 2019

No. of Mths Year Ending 12 Mar-18* 12 Mar-19* % Change
Networth Rs m 366,186 387,647 5.9
 
Current Liabilities Rs m 458,102 531,097 15.9
Long-term Debt Rs m 289,043 343,156 18.7
Total Liabilities Rs m 1,203,561 1,369,304 13.8
 
Current assets Rs m 405,834 487,678 20.2
Fixed Assets Rs m 554,147 629,693 13.6
Total Assets Rs m 1,203,561 1,369,304 13.8
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



BPCL Cash Flow Statement Analysis

  • BPCL's cash flow from operating activities (CFO) during FY19 stood at Rs 102 billion on a YoY basis.
  • Cash flow from investing activities (CFI) during FY19 stood at Rs -105 billion, an improvement of 47.9% on a YoY basis.
  • Cash flow from financial activities (CFF) during FY19 stood at Rs 2 billion, an improvement of 105% on a YoY basis.
  • Overall, net cash flows for the company during FY19 stood at Rs -870 million from the Rs -2 billion net cash flows seen during FY18.

BPCL 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 110,684 101,572 -8.2%
Cash Flow from Investing Activities Rs m -70,655 -104,512 -
Cash Flow from Financing Activities Rs m -42,177 2,070 -
Net Cash Flow Rs m -2,149 -870 -
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



Current Valuations for BPCL

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs 43.4, an decline from the EPS of Rs 49.8 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 370.5, stands at 13.6 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 1.8 times, while the price to sales ratio stands at 0.2 times.
  • The company's price to cash flow (P/CF) ratio stood at 7.3 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 1,199.3 1,516.2
TTM Earnings per share Rs 49.8 43.4
Diluted earnings per share Rs 45.2 39.3
Price to Cash Flow x 6.4 7.3
TTM P/E ratio x 12.3 13.6
Price / Book Value ratio x 3.1 1.8
Market Cap Rs m 728,631 803,064
Dividends per share (Unadj.) Rs 21.0 19.0
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



Ratio Analysis for BPCL

  • Solvency Ratios
  • Current Ratio: The company's current ratio improved and stood at 0.9x during FY19, from 0.9x 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 7.8x during FY19, from 11.9x 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 22.0% during FY19, from 26.7% 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 declined and down at 20.1% during FY19, from 23.4% 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 declined and down at 7.5% during FY19, from 9.1% 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 0.9 0.9
Debtors’ Days Days 8 8
Interest coverage x 11.9 7.8
Debt to equity ratio x 0.8 0.9
Return on assets % 9.1 7.5
Return on equity % 26.7 22.0
Return on capital employed % 23.4 20.1
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



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

BPCL Share Price Performance

Over the last one year, BPCL share price has moved up from Rs 349.3 to Rs 370.5, registering a gain of Rs 21.2 or around 6.1%.

Meanwhile, the S&P BSE OIL & GAS Index is trading at Rs 13,156.7 (up 1.5%). Over the last one year it has moved down from 14,686.2 to 13,156.7, a loss of 1,530 points (down 10.4%).

Overall, the S&P BSE SENSEX is down 3.4% over the year.

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

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

  

Related Views on News

BPCL Announces Quarterly Results (1QFY20); Net Profit Down 53.1% (Quarterly Result Update)

Aug 13, 2019 | Updated on Aug 13, 2019

For the quarter ended June 2019, BPCL has posted a net profit of Rs 11 bn (down 53.1% YoY). Sales on the other hand came in at Rs 859 bn (up 4.2% YoY). Read on for a complete analysis of BPCL's quarterly results.

BPCL Announces Quarterly Results (4QFY19); Net Profit Up 16.9% (Quarterly Result Update)

May 24, 2019 | Updated on May 24, 2019

For the quarter ended March 2019, BPCL has posted a net profit of Rs 31 bn (up 16.9% YoY). Sales on the other hand came in at Rs 839 bn (up 10.4% YoY). Read on for a complete analysis of BPCL's quarterly results.

BPCL 2017-18 Annual Report Analysis (Annual Result Update)

Aug 23, 2018 | Updated on Aug 23, 2018

Here's an analysis of the annual report of BPCL for 2017-18. It includes a full income statement, balance sheet and cash flow analysis of BPCL. Also includes updates on the valuation of BPCL.

More Views on News

Most Popular

What if Indiabulls Housing Finance and Yes Bank Do Not Rebound?(Profit Hunter)

Oct 1, 2019

How long should you wait for fallen blue chips like Yes Bank and Indiabulls Housing Finance to rebound?

Finally, Is the Share Price of Yes Bank Ready for a Rebound?(The 5 Minute Wrapup)

Oct 7, 2019

Here's what every individual investor must know about Yes Bank...

Rebound Riches Could be Yours With These Stocks(Profit Hunter)

Oct 4, 2019

The secret to multibagger is not big businesses, but great managements... Here's how to find them to make the most of once in a decade rebound opportunity.

The One Stock I Like in this Market(The 5 Minute Wrapup)

Oct 10, 2019

There are rare periods in markets when you get good quality stocks at attractive valuations. Is this one such period?

Foreign Money is Chasing Indian Stocks Once Again(The 5 Minute Wrapup)

Oct 4, 2019

Around Rs 75 billion poured into the Indian stock market in the month of September.

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 BPCL

BPCL - PETROCHINA COMPARISON

COMPARE BPCL WITH

MARKET STATS