CSL FINANCE has announced its results for the year ended March 2022. Let us have a look at the detailed performance review of the company during the year 2021-22.
No. of Mths Year Ending | 12 Mar-21* | 12 Mar-22* | % Change | |
---|---|---|---|---|
Interest Income | Rs m | 617 | 746 | 21.0% |
Other Income | Rs m | 2 | 2 | -7.0% |
Interest Expense | Rs m | 71 | 108 | 51.1% |
Net Interest Income | Rs m | 545 | 638 | 17.1% |
Operating Expense | Rs m | 148 | 186 | 26.1% |
Pre-provision Operating Profit | Rs m | 400 | 454 | 13.6% |
Provisions & Contingencies | Rs m | 202 | 145 | -28.3% |
Profit before tax | Rs m | 394 | 448 | 13.7% |
Tax | Rs m | 118 | 113 | -4.5% |
Profit after tax | Rs m | 275 | 334 | 21.5% |
Minority Interest | Rs m | 0 | 0 | 0.0% |
Net Interest Margin | % | 9722.2 | 52766.3 | |
Net profit margin | % | 44.6 | 44.8 |
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No. of Mths Year Ending | 12 Mar-21* | 12 Mar-22* | % Change | |
---|---|---|---|---|
Networth | Rs m | 2,586 | 3,195 | 23.6% |
Advances | Rs m | 0 | 0 | 0.0% |
Deposits | Rs m | 0 | 0 | 0.0% |
Yield on advances | % | 0.0 | 0.0 | |
Cost of Deposits | % | 0.0 | 0.0 | |
Investments | Rs m | 6 | 1 | -78.4% |
Borrowings | Rs m | 373 | 178 | -52.2% |
Total Assets | Rs m | 3,467 | 5,311 | 53.2% |
No. of Mths Year Ending | 12 Mar-21* | 12 Mar-22* | |
---|---|---|---|
Income per share (Unadj.) | Rs | 100.6 | 36.8 |
Earnings per share (Unadj.) | Rs | 44.9 | 16.5 |
Diluted earnings per share | Rs | 13.3 | 16.1 |
Avg P/E ratio | Rs | 5.0 | 16.1 |
Avg P/ABV ratio | Rs | 0.7 | 1.1 |
Avg Market Cap | Rs | 1,374 | 5,370 |
Dividends per share (Unadj.) | Rs | 3.00 | 2.50 |
Credit/Deposit Ratio: The company's credit/deposit ratio improved and stood at 0.0x during FY22, from 0.0x during FY21. The credit/deposit ratio tells us how much money a company has raised in the form of deposits and has deployed as loans.
Debt to Equity Ratio: The company's debt to equity ratio decreased and stood at 0.06x during FY22, from 0.14x during FY21. The debt to equity ratio of a company tells us how much debt a company uses relative to its equity.
Capital Adequacy Ratio (CAR): CSL FINANCE's capital adequacy ratio (CAR) was at 63.8% as on 31 March 2022 as compared to 81.5% a year ago. This ratio helps measure the financial strength of the company or any finance company to meet their obligations using their assets and capital.
A company that has a good CAR has enough capital to absorb potential losses. Thus, it has less risk of becoming insolvent and losing depositor's money.
Provision Coverage Ratio (PCR): Apart from CAR, you also need to take a look at the company's PCR and LCR ratios. Provisioning coverage ratio (PCR) is the percentage of funds that a company sets aside for covering losses due to bad debts.
So a high PCR ratio means asset quality issues are under control and the company is not vulnerable.
Liquidity Coverage Ratio (LCR): The LCR is designed to ensure that companies hold a sufficient reserve of high-quality liquid assets to allow them to survive a period of significant liquidity stress lasting 30 calendar days.
Return on Equity (ROE): The return on equity (ROE) ratio for the company deteriorated and stood at 10.5% during FY22, from 10.6% during FY21. The ROE measures the ability of a firm to generate profits from its shareholders capital in the company.
Return on Assets (ROA): The return on asset (ROA) ratio of the company deteriorated and stood at 6.30% during FY22, from 7.94% during FY21. The ROA measures how efficiently the company uses its assets to generate earnings.
Return on Capital Employed (ROCE): The ROCE for the company deteriorated and stood at 12.80% during FY22, from 13.87% during FY21. The ROCE measures the ability of a company to generate profits from its total capital (shareholder capital plus debt capital) employed in the company.
Gross NPA Ratio: The gross NPA ratio is the ratio of a company's gross NPAs to gross advances. CSL FINANCE's gross NPA ratio stood at 1.7% as of 31 March 2022 compared to 2.1% in the same period a year ago.
A high gross NPA ratio is a bad thing as it indicates how much of a company's loans are in danger of not being repaid.
Net NPA Ratio: In simple language, net NPAs are simply the total non-performing assets minus the provision left aside. It gives you the exact value of NPAs after the company has made provisions.
The net NPA ratio of CSL FINANCE was 1.0% in financial year 2022. This compared with 1.2% a year ago.
No. of Mths Year Ending | 12 Mar-21* | 12 Mar-22* | |
---|---|---|---|
Credit/Deposit Ratio | x | 0.0 | 0.0 |
Debt to Equity Ratio | x | 0.1 | 0.1 |
Loans / Deposits | x | 0.0 | 0.0 |
Capital Adequacy Ratio | % | 81.5 | 63.8 |
Return on Equity | % | 10.6 | 10.5 |
Return on Assets | % | 7.9 | 6.3 |
Return on Capital Employed | % | 13.9 | 12.8 |
% of Gross NPAs | % | 2.1 | 1.7 |
% of Net NPAs | % | 1.2 | 1.0 |
Yield on Advances | x | 0.0 | 0.0 |
Yield on Investments | x | 0.0 | 0.0 |
To see how CSL FINANCE has performed over the last 5 years, please visit here.
Over the last one year, CSL FINANCE share price has moved up from Rs 84.3 to Rs 175.6, registering a gain of Rs 91.3 or around 108.3%.
Overall, the S&P BSE SENSEX is up 16.8% over the year.
(To know more, you can check out historical annual results for CSL FINANCE here and quarterly results for CSL FINANCE here)
CSL FINANCE currently trades at Rs 459.6 per share. You can check out the latest share price performance of CSL FINANCE here...
The net interest income of CSL FINANCE stood at Rs 638 m in FY22, which was up 17.1% compared to Rs 545 m reported in FY21.
CSL FINANCE's net interest income has grown from Rs 349 m in FY18 to Rs 638 m in FY22.
Over the past 5 years, the net interest income of CSL FINANCE has grown at a CAGR of 16.3%.
The net profit of CSL FINANCE stood at Rs 334 m in FY22, which was up 21.5% compared to Rs 275 m reported in FY22.
This compares to a net profit of Rs 225 m in FY20 and a net profit of Rs 252 m in FY19.
Over the past 5 years, CSL FINANCE''s net profit has grown at a CAGR of 16.6%.
Be it the company's profitability, operations effectiveness or utilization of funds, ratio analysis is an important tool which helps in making investment decisions.
The ratio/financial analysis of CSL FINANCE reveals:
Here's the ratio/financial analysis of CSL FINANCE for the past 5 years.
FY18 | FY19 | FY20 | FY21 | FY22 | |
---|---|---|---|---|---|
Net Interest Margin (%) | 29.9 | 20.0 | 4,108.3 | 9,722.2 | 52,766.3 |
Net Profit Margin (%) | 43.7 | 42.3 | 36.9 | 44.6 | 44.8 |
Debt to Equity Ratio (x) | 0.3 | 0.3 | 0.2 | 0.1 | 0.1 |
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