DREDGING CORP 2019-20 Annual Report Analysis

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

DREDGING CORP 2019-20 Annual Report Analysis
Fri, 29 Oct

DREDGING CORP has announced its results for the year ended March 2020. Let us have a look at the detailed performance review of the company during FY19-20.

DREDGING CORP Income Statement Analysis

  • Operating income during the year rose 8.4% on a year-on-year (YoY) basis.
  • The company's operating profit decreased by 16.9% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 18.5% in FY20 as against 24.1% in FY19.
  • Depreciation charges increased by 3.7% and finance costs decreased by 6.9% YoY, respectively.
  • Other income grew by 15.4% YoY.
  • Net profit for the year declined by 85.5% YoY.
  • Net profit margins during the year declined from 5.4% in FY19 to 0.7% in FY20.

DREDGING CORP Income Statement 2019-20

No. of Mths Year Ending 12 Mar-19* 12 Mar-20* % Change
Net Sales Rs m 6,917 7,497 8.4%
Other income Rs m 77 89 15.4%
Total Revenues Rs m 6,994 7,586 8.5%
Gross profit Rs m 1,671 1,389 -16.9%
Depreciation Rs m 1,129 1,171 3.7%
Interest Rs m 185 172 -6.9%
Profit before tax Rs m 434 134 -69.1%
Tax Rs m 53 79 47.8%
Profit after tax Rs m 380 55 -85.5%
Gross profit margin % 24.1 18.5
Effective tax rate % 12.3 58.9
Net profit margin % 5.4 0.7
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



LAST CHANCE: See How Richa Picks Potentially Crorepati-Making Stocks... for FREE!

DREDGING CORP Balance Sheet Analysis

  • The company's current liabilities during FY20 stood at Rs 5 billion as compared to Rs 4 billion in FY19, thereby witnessing an increase of 33.8%.
  • Long-term debt down at Rs 4 billion as compared to Rs 5 billion during FY19, a fall of 20.9%.
  • Current assets rose 10% and stood at Rs 8 billion, while fixed assets fell 4% and stood at Rs 17 billion in FY20.
  • Overall, the total assets and liabilities for FY20 stood at Rs 25 billion as against Rs 25 billion during FY19, thereby witnessing a growth of 0%.

DREDGING CORP Balance Sheet as on March 2020

No. of Mths Year Ending 12 Mar-19* 12 Mar-20* % Change
Networth Rs m 15,749 15,702 -0.3
 
Current Liabilities Rs m 3,502 4,686 33.8
Long-term Debt Rs m 5,203 4,117 -20.9
Total Liabilities Rs m 24,599 24,680 0.3
 
Current assets Rs m 7,294 8,050 10.4
Fixed Assets Rs m 17,304 16,630 -3.9
Total Assets Rs m 24,599 24,680 0.3
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



DREDGING CORP Cash Flow Statement Analysis

  • DREDGING CORP's cash flow from operating activities (CFO) during FY20 stood at Rs 1 billion on a YoY basis.
  • Cash flow from investing activities (CFI) during FY20 stood at Rs 59 million, an improvement of 69.6% on a YoY basis.
  • Cash flow from financial activities (CFF) during FY20 stood at Rs -1 billion, an improvement of 2% on a YoY basis.
  • Overall, net cash flows for the company during FY20 stood at Rs -186 million from the Rs 67 million net cash flows seen during FY19.

DREDGING CORP Cash Flow Statement 2019-20

Particulars No. of months 12 12 % Change
Year Ending Mar-19 Mar-20
Cash Flow from Operating Activities Rs m 1,481 1,173 -20.8%
Cash Flow from Investing Activities Rs m 35 59 69.6%
Cash Flow from Financing Activities Rs m -1,449 -1,418 -
Net Cash Flow Rs m 67 -186 -
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Current Valuations for DREDGING CORP

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs 2.0, an decline from the EPS of Rs 13.6 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 334.1, stands at -4.5 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 0.5 times, while the price to sales ratio stands at 1.1 times.
  • The company's price to cash flow (P/CF) ratio stood at 7.6 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending 12 Mar-19* 12 Mar-20*
Sales per share (Unadj.) Rs 247.0 267.7
TTM Earnings per share Rs 13.6 2.0
Diluted earnings per share Rs 13.6 2.0
Price to Cash Flow x 6.2 7.6
TTM P/E ratio x -4.5 -4.5
Price / Book Value ratio x 0.9 0.5
Market Cap Rs m 9,355 9,355
Dividends per share (Unadj.) Rs 3.0 0.0
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Ratio Analysis for DREDGING CORP

  • Solvency Ratios
  • Current Ratio: The company's current ratio deteriorated and stood at 1.7x during FY20, from 2.1x during FY19. 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 1.8x during FY20, from 3.4x during FY19. 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 0.4% during FY20, from 2.4% during FY20. 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 1.5% during FY20, from 3.0% during FY19. 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 0.9% during FY20, from 2.3% during FY19. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending 12 Mar-19* 12 Mar-20*
Current ratio x 2.1 1.7
Debtors’ Days Days 135 122
Interest coverage x 3.4 1.8
Debt to equity ratio x 0.3 0.3
Return on assets % 2.3 0.9
Return on equity % 2.4 0.4
Return on capital employed % 3.0 1.5
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



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

DREDGING CORP Share Price Performance

Over the last one year, DREDGING CORP share price has moved up from Rs 238.8 to Rs 334.1, registering a gain of Rs 95.4 or around 39.9%.

Overall, the S&P BSE SENSEX is up 48.6% over the year.

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

Equitymaster requests your view! Post a comment on "DREDGING CORP 2019-20 Annual Report Analysis". Click here!

  

Related Views on News

Sorry! There are no related views on news for this company/sector.

Most Popular

10 Indian Companies with the Fastest Growth in Dividend Payouts...(Views On News)

Jan 10, 2022

These companies have been consistently paying higher dividends for several years.

Tata Steel vs SAIL: Which Stock is Better?(Views On News)

Jan 13, 2022

With government initiatives set to boost the steel sector, find out who has a better chance of coming out on top.

Watch Out for these 4 Indian Companies Betting Big on EV Supply Chain(Views On News)

Jan 11, 2022

The upside in supply chain players could be huge but a delay in the transition to EVs, or any policy related hiccups could end the momentum.

Tech Mahindra's CTC Acquisition: Too Expensive?(Views On News)

Jan 18, 2022

Tech Mahindra's acquisition of European IT-company fails to excite investors.

Time to Buy Energy Stocks(Fast Profits Daily)

Jan 14, 2022

Energy is a sector that looks set to take off. It's time to get in.

More

Become A Smarter Investor
In Just 5 Minutes

Multibagger Stock Guide 2022
Get our special report Multibagger Stocks Guide (2022 Edition) Now!
We will never sell or rent your email id.
Please read our Terms

TRACK DREDGING CORP

  • Track your investment in DREDGING CORP with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
  • Add To MyStocks

DREDGING CORP - VARUN SHIPPING COMPARISON

COMPARE DREDGING CORP WITH

MARKET STATS