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CAMS 2021-22 Annual Report Analysis
Wed, 8 Jun

CAMS 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.

CAMS Income Statement Analysis

  • Operating income during the year rose 28.9% on a year-on-year (YoY) basis.
  • The company's operating profit increased by 51.5% YoY during the fiscal. Operating profit margins witnessed a fall and down at 45.8% in FY22 as against 39.0% in FY21.
  • Depreciation charges increased by 18.9% and finance costs decreased by 9.7% YoY, respectively.
  • Other income declined by 51.0% YoY.
  • Net profit for the year grew by 39.8% YoY.
  • Net profit margins during the year grew from 29.1% in FY21 to 31.5% in FY22.

CAMS Income Statement 2021-22

No. of Mths Year Ending 12 Mar-21* 12 Mar-22* % Change
Net Sales Rs m 7,055 9,097 28.9%
Other income Rs m 509 249 -51.0%
Total Revenues Rs m 7,564 9,346 23.6%
Gross profit Rs m 2,749 4,165 51.5%
Depreciation Rs m 434 516 18.9%
Interest Rs m 79 71 -9.7%
Profit before tax Rs m 2,745 3,826 39.4%
Tax Rs m 692 957 38.4%
Profit after tax Rs m 2,053 2,869 39.8%
Gross profit margin % 39.0 45.8
Effective tax rate % 25.2 25.0
Net profit margin % 29.1 31.5
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



CAMS Balance Sheet Analysis

  • The company's current liabilities during FY22 stood at Rs 8 billion as compared to Rs 7 billion in FY21, thereby witnessing an increase of 12.3%.
  • Current assets rose 18% and stood at Rs 12 billion, while fixed assets rose 10% and stood at Rs 3 billion in FY22.
  • Overall, the total assets and liabilities for FY22 stood at Rs 15 billion as against Rs 13 billion during FY21, thereby witnessing a growth of 16%.

CAMS Balance Sheet as on March 2022

No. of Mths Year Ending 12 Mar-21* 12 Mar-22* % Change
Networth Rs m 5,046 6,166 22.2
 
Current Liabilities Rs m 6,921 7,769 12.3
Long-term Debt Rs m 0 0 0.0
Total Liabilities Rs m 13,372 15,496 15.9
 
Current assets Rs m 10,387 12,213 17.6
Fixed Assets Rs m 2,985 3,283 10.0
Total Assets Rs m 13,372 15,496 15.9
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



CAMS Cash Flow Statement Analysis

  • CAMS's cash flow from operating activities (CFO) during FY22 stood at Rs 3 billion, an improvement of 21.8% on a YoY basis.
  • Cash flow from investing activities (CFI) during FY22 stood at Rs -1 billion on a YoY basis.
  • Cash flow from financial activities (CFF) during FY22 stood at Rs -2 billion, an improvement of 25% on a YoY basis.
  • Overall, net cash flows for the company during FY22 stood at Rs -129 million from the Rs -58 million net cash flows seen during FY21.

CAMS 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 2,640 3,215 21.8%
Cash Flow from Investing Activities Rs m 22 -1,309 -
Cash Flow from Financing Activities Rs m -2,720 -2,035 -
Net Cash Flow Rs m -58 -129 -
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Current Valuations for CAMS

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs 58.7, an improvement from the EPS of Rs 42.1 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 2,440.9, stands at 41.6 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 19.4 times, while the price to sales ratio stands at 13.1 times.
  • The company's price to cash flow (P/CF) ratio stood at 42.2 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 144.6 186.0
TTM Earnings per share Rs 42.1 58.7
Diluted earnings per share Rs 42.0 58.6
Price to Cash Flow x 36.5 42.2
TTM P/E ratio x 44.2 41.6
Price / Book Value ratio x 16.0 23.1
Market Cap Rs m 80,504 142,718
Dividends per share (Unadj.) Rs 62.9 38.8
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Ratio Analysis for CAMS

  • Solvency Ratios
  • Current Ratio: The company's current ratio improved and stood at 1.6x during FY22, from 1.5x 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 54.6x during FY22, from 35.7x 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 46.5% during FY22, from 40.7% 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 63.2% during FY22, from 56.0% 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 19.0% during FY22, from 15.9% 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 1.5 1.6
Debtors’ Days Days 150 103
Interest coverage x 35.7 54.6
Debt to equity ratio x 0.0 0.0
Return on assets % 15.9 19.0
Return on equity % 40.7 46.5
Return on capital employed % 56.0 63.2
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



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

CAMS Share Price Performance

Over the last one year, CAMS share price has moved down from Rs 2,692.3 to Rs 2,440.9, registering a loss of Rs 251.5 or around 9.3%.

Overall, the S&P BSE SENSEX is up 5.6% over the year.

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

Annual Report FAQs

What is the current share price of CAMS?

CAMS currently trades at Rs 2,474.9 per share. You can check out the latest share price performance of CAMS here...

What was the revenue of CAMS in FY22? How does it compare to earlier years?

The revenues of CAMS stood at Rs 9,346 m in FY22, which was up 23.6% compared to Rs 7,564 m reported in FY21.

CAMS' revenue has grown from Rs 6,637 m in FY18 to Rs 9,346 m in FY22.

Over the past 5 years, the revenue of CAMS has grown at a CAGR of 8.9%.

What was the net profit of CAMS in FY22? How does it compare to earlier years?

The net profit of CAMS stood at Rs 2,869 m in FY22, which was up 39.8% compared to Rs 2,053 m reported in FY21.

This compares to a net profit of Rs 1,719 m in FY20 and a net profit of Rs 1,352 m in FY19.

Over the past 5 years, CAMS net profit has grown at a CAGR of 17.7%.

What does the cash flow statement of CAMS reveal?

The cash flow statement is the financial statement that presents the cash inflows and outflows of a company during a given period of time.

This statement is one of the most useful tools for judging a company's liquidity position. The ratios and parameters in this statement helps test a company's financial health.

The cash flow statement of CAMS reveals:

  • Cash flow from operations increased in FY22 and stood at Rs 3,215 m as compared to Rs 2,640 m in FY21.
  • Cash flow from investments decreased in FY22 and stood at Rs -1,309 m as compared to Rs 22 m in FY21.
  • Cash flow from financial activity increased in FY22 and stood at Rs -2,035 m as compared to Rs -2,720 m in FY21.

Here's the cash flow statement of CAMS for the past 5 years.

(Rs m)FY18FY19FY20FY21FY22
From Operations1,5101,6201,9892,6403,215
From Investments-296-325-83822-1,309
From Financial Activity-1,167-1,321-967-2,720-2,035
Net Cashflow46-25184-58-129

What does the Key Ratio analysis of CAMS reveal?

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 CAMS reveals:

  • Operating profit margins witnessed a fall and down at 45.8% in FY22 as against 39.0% in FY21.
  • Net profit margins grew from 29.1% in FY21 to 31.5% in FY22.
  • Debt to Equity ratio for FY22 stood at 0.0 as compared to 0.0 in FY21.

Here's the ratio/financial analysis of CAMS for the past 5 years.

 FY18FY19FY20FY21FY22
Operating Profit Margin (%)36.331.440.939.045.8
Net Profit Margin (%)23.319.524.629.131.5
Debt to Equity Ratio (x)0.00.00.00.00.0

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