CAMLIN FINE CHEM. 2020-21 Annual Report Analysis

Wed, 31 Mar

CAMLIN FINE CHEM. has announced its results for the year ended March 2021. Let us have a look at the detailed performance review of the company during FY20-21.

CAMLIN FINE CHEM. Income Statement Analysis

• Operating income during the year rose 13.1% on a year-on-year (YoY) basis.
• The company's operating profit increased by 38.1% YoY during the fiscal. Operating profit margins witnessed a fall and down at 15.7% in FY21 as against 12.9% in FY20.
• Depreciation charges increased by 35.0% and finance costs increased by 1.1% YoY, respectively.
• Other income grew by 214.8% YoY.
• Net profit for the year grew by 119.1% YoY.
• Net profit margins during the year grew from 2.8% in FY20 to 5.5% in FY21.

CAMLIN FINE CHEM. Income Statement 2020-21

No. of Mths Year Ending		12 Mar-20*	12 Mar-21*	% Change
Net Sales	Rs m	10,491	11,871	13.1%
Other income	Rs m	34	108	214.8%
Total Revenues	Rs m	10,526	11,979	13.8%
Gross profit	Rs m	1,352	1,867	38.1%
Depreciation	Rs m	328	443	35.0%
Interest	Rs m	476	481	1.1%
Profit before tax	Rs m	582	1,051	80.6%
Tax	Rs m	284	397	40.1%
Profit after tax	Rs m	298	654	119.1%
Gross profit margin	%	12.9	15.7
Effective tax rate	%	48.7	37.8
Net profit margin	%	2.8	5.5

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CAMLIN FINE CHEM. Balance Sheet Analysis

• The company's current liabilities during FY21 down at Rs 5 billion as compared to Rs 5 billion in FY20, thereby witnessing an decrease of -12.8%.
• Long-term debt stood at Rs 3 billion as compared to Rs 2 billion during FY20, a growth of 29.2%.
• Current assets rose 18% and stood at Rs 8 billion, while fixed assets rose 26% and stood at Rs 7 billion in FY21.
• Overall, the total assets and liabilities for FY21 stood at Rs 14 billion as against Rs 12 billion during FY20, thereby witnessing a growth of 21%.

CAMLIN FINE CHEM. Balance Sheet as on March 2021

No. of Mths Year Ending		12 Mar-20*	12 Mar-21*	% Change
Networth	Rs m	4,027	5,920	47.0
Current Liabilities	Rs m	5,478	4,776	-12.8
Long-term Debt	Rs m	2,115	2,733	29.2
Total Liabilities	Rs m	11,934	14,486	21.4
Current assets	Rs m	6,750	7,947	17.7
Fixed Assets	Rs m	5,184	6,539	26.1
Total Assets	Rs m	11,934	14,486	21.4

CAMLIN FINE CHEM. Cash Flow Statement Analysis

• CAMLIN FINE CHEM.'s cash flow from operating activities (CFO) during FY21 stood at Rs 1 billion, an improvement of 36.5% on a YoY basis.
• Cash flow from investing activities (CFI) during FY21 stood at Rs -1 billion, an improvement of 47.4% on a YoY basis.
• Cash flow from financial activities (CFF) during FY21 stood at Rs 386 million, an improvement of 1,088% on a YoY basis.
• Overall, net cash flows for the company during FY21 stood at Rs 232 million from the Rs -8 million net cash flows seen during FY20.

CAMLIN FINE CHEM. Cash Flow Statement 2020-21

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-20	Mar-21
Cash Flow from Operating Activities	Rs m	860	1,174	36.5%
Cash Flow from Investing Activities	Rs m	-901	-1,329	-
Cash Flow from Financing Activities	Rs m	33	386	1,088.2%
Net Cash Flow	Rs m	-8	232	-

Current Valuations for CAMLIN FINE CHEM.

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 5.1, an improvement from the EPS of Rs 2.5 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 139.8, stands at 33.6 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 3.7 times, while the price to sales ratio stands at 1.5 times.
• The company's price to cash flow (P/CF) ratio stood at 11.4 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-20*	12 Mar-21*
Sales per share (Unadj.)	Rs	86.5	93.1
TTM Earnings per share	Rs	2.5	5.1
Diluted earnings per share	Rs	1.9	4.2
Price to Cash Flow	x	9.9	11.4
TTM P/E ratio	x	20.7	33.6
Price / Book Value ratio	x	1.9	2.1
Market Cap	Rs m	7,475	12,504
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for CAMLIN FINE CHEM.

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.7x during FY21, from 1.2x during FY20. 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 3.2x during FY21, from 2.2x during FY20. 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 11.0% during FY21, from 7.4% during FY21. 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 17.7% during FY21, from 17.2% during FY20. 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 7.8% during FY21, from 6.5% during FY20. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-20*	12 Mar-21*
Current ratio	x	1.2	1.7
Debtors’ Days	Days	880	832
Interest coverage	x	2.2	3.2
Debt to equity ratio	x	0.5	0.5
Return on assets	%	6.5	7.8
Return on equity	%	7.4	11.0
Return on capital employed	%	17.2	17.7

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

CAMLIN FINE CHEM. Share Price Performance

Over the last one year, CAMLIN FINE CHEM. share price has moved up from Rs 39.4 to Rs 139.8, registering a gain of Rs 100.4 or around 254.8%.

Overall, the S&P BSE SENSEX is up 74.1% over the year.

(To know more, check out historical annual results for CAMLIN FINE CHEM. and quarterly results for CAMLIN FINE CHEM.)

Read: Latest Annual Report Analysis of CAMLIN FINE CHEM.