KOKUYO CAMLIN 2021-22 Annual Report Analysis

Wed, 8 Jun

KOKUYO CAMLIN 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.

KOKUYO CAMLIN Income Statement Analysis

• Operating income during the year rose 26.1% on a year-on-year (YoY) basis.
• The company's operating profit increased by 100.6% YoY during the fiscal. Operating profit margins witnessed a fall and down at 3.2% in FY22 as against 2.0% in FY21.
• Depreciation charges decreased by 3.9% and finance costs decreased by 52.3% YoY, respectively.
• Other income declined by 24.1% YoY.
• Net profit for the year declined by 67.6% YoY.
• Net profit margins during the year grew from 3.6% in FY21 to 0.9% in FY22.

KOKUYO CAMLIN Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	4,031	5,085	26.1%
Other income	Rs m	9	7	-24.1%
Total Revenues	Rs m	4,041	5,092	26.0%
Gross profit	Rs m	82	165	100.6%
Depreciation	Rs m	184	177	-3.9%
Interest	Rs m	89	43	-52.3%
Profit before tax	Rs m	-182	-47	-74.0%
Tax	Rs m	-35	0	-100.0%
Profit after tax	Rs m	-146	-47	-67.6%
Gross profit margin	%	2.0	3.2
Effective tax rate	%	19.5	0.0
Net profit margin	%	-3.6	-0.9

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KOKUYO CAMLIN Balance Sheet Analysis

• The company's current liabilities during FY22 stood at Rs 1 billion as compared to Rs 1 billion in FY21, thereby witnessing an increase of 8.7%.
• Long-term debt down at Rs 59 million as compared to Rs 134 million during FY21, a fall of 55.8%.
• Current assets rose 7% and stood at Rs 2 billion, while fixed assets fell 8% and stood at Rs 2 billion in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 4 billion as against Rs 4 billion during FY21, thereby witnessing a fall of 0%.

KOKUYO CAMLIN Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	2,436	2,394	-1.7
Current Liabilities	Rs m	1,266	1,377	8.7
Long-term Debt	Rs m	134	59	-55.8
Total Liabilities	Rs m	3,903	3,887	-0.4
Current assets	Rs m	2,035	2,176	6.9
Fixed Assets	Rs m	1,868	1,711	-8.4
Total Assets	Rs m	3,903	3,887	-0.4

KOKUYO CAMLIN Cash Flow Statement Analysis

• KOKUYO CAMLIN's cash flow from operating activities (CFO) during FY22 stood at Rs 178 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs -56 million, an improvement of 63.9% on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs -119 million, an improvement of 79% on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs 3 million from the Rs 18 million net cash flows seen during FY21.

KOKUYO CAMLIN 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	617	178	-71.2%
Cash Flow from Investing Activities	Rs m	-34	-56	-
Cash Flow from Financing Activities	Rs m	-565	-119	-
Net Cash Flow	Rs m	18	3	-83.8%

Current Valuations for KOKUYO CAMLIN

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs -0.5, an improvement from the EPS of Rs -1.5 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 58.9, stands at -124.9 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 2.5 times, while the price to sales ratio stands at 1.2 times.
• The company's price to cash flow (P/CF) ratio stood at 51.1 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	40.2	50.7
TTM Earnings per share	Rs	-1.5	-0.5
Diluted earnings per share	Rs	-1.5	-0.5
Price to Cash Flow	x	145.5	51.1
TTM P/E ratio	x	-37.7	-124.9
Price / Book Value ratio	x	2.4	2.8
Market Cap	Rs m	5,785	6,623
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for KOKUYO CAMLIN

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.6x 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 -0.1x during FY22, from -1.0x 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 -2.0% during FY22, from -6.0% 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 -0.2% during FY22, from -3.6% 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 -0.1% during FY22, from -1.5% 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	1.6
Debtors’ Days	Days	463	427
Interest coverage	x	-1.0	-0.1
Debt to equity ratio	x	0.1	0.0
Return on assets	%	-1.5	-0.1
Return on equity	%	-6.0	-2.0
Return on capital employed	%	-3.6	-0.2

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

KOKUYO CAMLIN Share Price Performance

Over the last one year, KOKUYO CAMLIN share price has moved down from Rs 68.3 to Rs 58.9, registering a loss of Rs 9.4 or around 13.8%.

Meanwhile, the S&P BSE FMCG Index is trading at Rs 13,749.0 (down 0.4%). Over the last one year it has moved up from 13,313.7 to 13,749.0, a gain of 435 points (up 3.3%).

Overall, the S&P BSE SENSEX is up 5.5% over the year.

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

Read: Latest Annual Report Analysis of KOKUYO CAMLIN