CENTURY PLYBOARDS 2022-23 Annual Report Analysis

Thu, 21 Sep

CENTURY PLYBOARDS 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.

CENTURY PLYBOARDS Income Statement Analysis

• Operating income during the year rose 20.5% on a year-on-year (YoY) basis.
• The company's operating profit increased by 5.2% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 15.3% in FY23 as against 17.5% in FY22.
• Depreciation charges increased by 4.3% and finance costs increased by 48.5% YoY, respectively.
• Other income grew by 106.7% YoY.
• Net profit for the year grew by 22.6% YoY.
• Net profit margins during the year grew from 10.3% in FY22 to 10.5% in FY23.

CENTURY PLYBOARDS Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	30,270	36,466	20.5%
Other income	Rs m	231	477	106.7%
Total Revenues	Rs m	30,501	36,943	21.1%
Gross profit	Rs m	5,308	5,587	5.2%
Depreciation	Rs m	743	775	4.3%
Interest	Rs m	114	170	48.5%
Profit before tax	Rs m	4,682	5,119	9.3%
Tax	Rs m	1,550	1,278	-17.6%
Profit after tax	Rs m	3,132	3,841	22.6%
Gross profit margin	%	17.5	15.3
Effective tax rate	%	33.1	25.0
Net profit margin	%	10.3	10.5

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CENTURY PLYBOARDS Balance Sheet Analysis

• The company's current liabilities during FY23 stood at Rs 8 billion as compared to Rs 6 billion in FY22, thereby witnessing an increase of 20.0%.
• Long-term debt down at Rs 19 million as compared to Rs 20 million during FY22, a fall of 6.7%.
• Current assets rose 7% and stood at Rs 13 billion, while fixed assets rose 40% and stood at Rs 14 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 27 billion as against Rs 22 billion during FY22, thereby witnessing a growth of 22%.

CENTURY PLYBOARDS Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	15,568	19,143	23.0
Current Liabilities	Rs m	6,307	7,568	20.0
Long-term Debt	Rs m	20	19	-6.7
Total Liabilities	Rs m	22,304	27,160	21.8
Current assets	Rs m	12,154	12,945	6.5
Fixed Assets	Rs m	10,151	14,216	40.0
Total Assets	Rs m	22,304	27,160	21.8

CENTURY PLYBOARDS Cash Flow Statement Analysis

• CENTURY PLYBOARDS's cash flow from operating activities (CFO) during FY23 stood at Rs 4 billion, an improvement of 58.5% on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -5 billion, an improvement of 49.9% on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs 388 million, an improvement of 11% on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs -29 million from the Rs -88 million net cash flows seen during FY22.

CENTURY PLYBOARDS 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	2,762	4,379	58.5%
Cash Flow from Investing Activities	Rs m	-3,199	-4,796	-
Cash Flow from Financing Activities	Rs m	349	388	11.4%
Net Cash Flow	Rs m	-88	-29	-

Current Valuations for CENTURY PLYBOARDS

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 17.3, an improvement from the EPS of Rs 14.1 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 653.6, stands at 38.4 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 7.6 times, while the price to sales ratio stands at 4.0 times.
• The company's price to cash flow (P/CF) ratio stood at 28.0 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	136.2	164.1
TTM Earnings per share	Rs	14.1	17.3
Diluted earnings per share	Rs	14.1	17.3
Price to Cash Flow	x	41.1	28.0
TTM P/E ratio	x	50.8	38.4
Price / Book Value ratio	x	7.4	6.7
Market Cap	Rs m	114,641	129,016
Dividends per share (Unadj.)	Rs	1.5	1.0

Ratio Analysis for CENTURY PLYBOARDS

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.7x during FY23, from 1.9x 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 31.1x during FY23, from 42.0x 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 20.1% during FY23, from 20.1% 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 27.6% during FY23, from 30.8% 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 improved and stood at 14.8% during FY23, from 14.6% 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	1.9	1.7
Debtors’ Days	Days	425	391
Interest coverage	x	42.0	31.1
Debt to equity ratio	x	0.0	0.0
Return on assets	%	14.6	14.8
Return on equity	%	20.1	20.1
Return on capital employed	%	30.8	27.6

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

CENTURY PLYBOARDS Share Price Performance

Over the last one year, CENTURY PLYBOARDS share price has moved down from Rs 661.6 to Rs 653.6, registering a loss of Rs 8.0 or around 1.2%.

Overall, the S&P BSE SENSEX is up 10.9% over the year.

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