COCHIN MIN. 2021-22 Annual Report Analysis

Fri, 7 Oct

COCHIN MIN. 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.

COCHIN MIN. Income Statement Analysis

• Operating income during the year rose 21.2% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 55.7% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 3.1% in FY22 as against 8.5% in FY21.
• Depreciation charges decreased by 11.5% and finance costs decreased by 51.3% YoY, respectively.
• Other income grew by 96.8% YoY.
• Net profit for the year declined by 23.4% YoY.
• Net profit margins during the year declined from 3.4% in FY21 to 2.1% in FY22.

COCHIN MIN. Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	2,392	2,898	21.2%
Other income	Rs m	2	4	96.8%
Total Revenues	Rs m	2,394	2,902	21.2%
Gross profit	Rs m	204	90	-55.7%
Depreciation	Rs m	12	10	-11.5%
Interest	Rs m	18	9	-51.3%
Profit before tax	Rs m	176	76	-57.2%
Tax	Rs m	95	13	-85.9%
Profit after tax	Rs m	81	62	-23.4%
Gross profit margin	%	8.5	3.1
Effective tax rate	%	54.0	17.7
Net profit margin	%	3.4	2.1

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COCHIN MIN. Balance Sheet Analysis

• The company's current liabilities during FY22 stood at Rs 844 million as compared to Rs 282 million in FY21, thereby witnessing an increase of 199.0%.
• Current assets rose 86% and stood at Rs 1 billion, while fixed assets fell 1% and stood at Rs 415 million in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 2 billion as against Rs 1 billion during FY21, thereby witnessing a growth of 54%.

COCHIN MIN. Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	854	916	7.2
Current Liabilities	Rs m	282	844	199.0
Long-term Debt	Rs m	2	0	-100.0
Total Liabilities	Rs m	1,156	1,784	54.3
Current assets	Rs m	735	1,369	86.2
Fixed Assets	Rs m	421	415	-1.4
Total Assets	Rs m	1,156	1,784	54.3

COCHIN MIN. Cash Flow Statement Analysis

• COCHIN MIN.'s cash flow from operating activities (CFO) during FY22 stood at Rs 79 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs 0 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs -88 million on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs -9 million from the Rs -23 million net cash flows seen during FY21.

COCHIN MIN. 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	-91	79	-
Cash Flow from Investing Activities	Rs m	-6	0	-
Cash Flow from Financing Activities	Rs m	74	-88	-
Net Cash Flow	Rs m	-23	-9	-

Current Valuations for COCHIN MIN.

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 7.9, an decline from the EPS of Rs 10.4 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 220.0, stands at 11.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.9 times, while the price to sales ratio stands at 0.6 times.
• The company's price to cash flow (P/CF) ratio stood at 15.5 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	305.4	370.1
TTM Earnings per share	Rs	10.4	7.9
Diluted earnings per share	Rs	10.4	7.9
Price to Cash Flow	x	9.7	15.5
TTM P/E ratio	x	11.1	11.1
Price / Book Value ratio	x	1.2	1.2
Market Cap	Rs m	1,026	1,122
Dividends per share (Unadj.)	Rs	0.0	1.5

Ratio Analysis for COCHIN MIN.

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.6x during FY22, from 2.6x 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 deteriorated and stood at 9.5x during FY22, from 10.7x 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 declined and down at 6.8% during FY22, from 9.5% 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 declined and down at 9.2% during FY22, from 22.7% 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 declined and down at 4.0% during FY22, from 8.6% 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	2.6	1.6
Debtors’ Days	Days	395	375
Interest coverage	x	10.7	9.5
Debt to equity ratio	x	0.0	0.0
Return on assets	%	8.6	4.0
Return on equity	%	9.5	6.8
Return on capital employed	%	22.7	9.2

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

COCHIN MIN. Share Price Performance

Over the last one year, COCHIN MIN. share price has moved up from Rs 128.3 to Rs 220.0, registering a gain of Rs 91.7 or around 71.5%.

Overall, the S&P BSE SENSEX is down 1.9% over the year.

(To know more, check out historical annual results for COCHIN MIN. and quarterly results for COCHIN MIN.)