We are currently facing an issue in receiving the NSE feed. Hence the stock prices are not updated. We are working on fixing this at the earliest. We regret the inconvenience caused.

COSMO FERR. 2021-22 Annual Report Analysis

Wed, 8 Jun

COSMO FERR. 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.

COSMO FERR. Income Statement Analysis

• Operating income during the year rose 78.8% on a year-on-year (YoY) basis.
• The company's operating profit increased by 284.3% YoY during the fiscal. Operating profit margins witnessed a fall and down at 22.1% in FY22 as against 10.3% in FY21.
• Depreciation charges decreased by 0.9% and finance costs increased by 18.2% YoY, respectively.
• Other income grew by 30.7% YoY.
• Net profit for the year grew by 687.8% YoY.
• Net profit margins during the year grew from 2.8% in FY21 to 12.5% in FY22.

COSMO FERR. Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	637	1,138	78.8%
Other income	Rs m	13	17	30.7%
Total Revenues	Rs m	650	1,156	77.9%
Gross profit	Rs m	66	252	284.3%
Depreciation	Rs m	40	39	-0.9%
Interest	Rs m	34	41	18.2%
Profit before tax	Rs m	5	190	3,693.4%
Tax	Rs m	-13	47	-462.6%
Profit after tax	Rs m	18	142	687.8%
Gross profit margin	%	10.3	22.1
Effective tax rate	%	-261.4	25.0
Net profit margin	%	2.8	12.5

RESPONSE PENDING: Your Meeting with Tanushree Banerjee Tomorrow...

COSMO FERR. Balance Sheet Analysis

• The company's current liabilities during FY22 stood at Rs 581 million as compared to Rs 549 million in FY21, thereby witnessing an increase of 5.8%.
• Long-term debt stood at Rs 158 million as compared to Rs 79 million during FY21, a growth of 101.0%.
• Current assets rose 99% and stood at Rs 479 million, while fixed assets rose 11% and stood at Rs 607 million in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 1 billion as against Rs 790 million during FY21, thereby witnessing a growth of 37%.

COSMO FERR. Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	156	299	91.6
Current Liabilities	Rs m	549	581	5.8
Long-term Debt	Rs m	79	158	101.0
Total Liabilities	Rs m	790	1,086	37.5
Current assets	Rs m	241	479	98.9
Fixed Assets	Rs m	549	607	10.6
Total Assets	Rs m	790	1,086	37.5

COSMO FERR. Cash Flow Statement Analysis

• COSMO FERR.'s cash flow from operating activities (CFO) during FY22 stood at Rs 153 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs -151 million, an improvement of 1,047.3% on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs 5 million on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs 7 million from the Rs -1 million net cash flows seen during FY21.

COSMO FERR. 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	-43	153	-
Cash Flow from Investing Activities	Rs m	-13	-151	-
Cash Flow from Financing Activities	Rs m	55	5	-90.4%
Net Cash Flow	Rs m	-1	7	-

Current Valuations for COSMO FERR.

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 11.8, an improvement from the EPS of Rs 1.5 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 585.0, stands at 49.5 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 23.6 times, while the price to sales ratio stands at 6.2 times.
• The company's price to cash flow (P/CF) ratio stood at 21.6 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	52.9	94.6
TTM Earnings per share	Rs	1.5	11.8
Diluted earnings per share	Rs	1.5	11.8
Price to Cash Flow	x	3.7	21.6
TTM P/E ratio	x	11.7	49.5
Price / Book Value ratio	x	1.1	13.1
Market Cap	Rs m	167	3,920
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for COSMO FERR.

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 0.8x during FY22, from 0.4x 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 5.7x during FY22, from 1.1x 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 47.6% during FY22, from 11.6% 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 50.4% during FY22, from 16.8% 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 16.8% during FY22, from 6.6% 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	0.4	0.8
Debtors’ Days	Days	513	541
Interest coverage	x	1.1	5.7
Debt to equity ratio	x	0.5	0.5
Return on assets	%	6.6	16.8
Return on equity	%	11.6	47.6
Return on capital employed	%	16.8	50.4

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

COSMO FERR. Share Price Performance

Over the last one year, COSMO FERR. share price has moved up from Rs 26.0 to Rs 585.0, registering a gain of Rs 559.0 or around 2150.0%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 26,763.0 (up 0.7%). Over the last one year it has moved up from 23,366.4 to 26,763.0, a gain of 3,397 points (up 14.5%).

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

(To know more, check out historical annual results for COSMO FERR. and quarterly results for COSMO FERR.)