EVEREST KANTO CYLINDER 2017-18 Annual Report Analysis

Tue, 18 Dec

EVEREST KANTO CYLINDER has announced its results for the year ended March 2018. Let us have a look at the detailed performance review of the company during FY17-18.

EVEREST KANTO CYLINDER Income Statement Analysis

• Operating income during the year fell 4.4% on a year-on-year (YoY) basis.
• The company's operating profit increased by 10.0% YoY during the fiscal. Operating profit margins witnessed a fall and down at 15.3% in FY18 as against 13.3% in FY17.
• Depreciation charges decreased by 7.7% and finance costs decreased by 21.7% YoY, respectively.
• Other income grew by 147.8% YoY.
• Net profit for the year declined by 72.2% YoY.
• Net profit margins during the year declined from 17.2% in FY17 to 4.9% in FY18.

EVEREST KANTO CYLINDER Income Statement 2017-18

EVEREST KANTO CYLINDER Balance Sheet Analysis

• The company's current liabilities during FY18 down at Rs 3 billion as compared to Rs 5 billion in FY17, thereby witnessing an decrease of -41.4%.
• Long-term debt down at Rs 2 billion as compared to Rs 2 billion during FY17, a fall of 6.2%.
• Current assets fell 31% and stood at Rs 4 billion, while fixed assets fell 20% and stood at Rs 3 billion in FY18.
• Overall, the total assets and liabilities for FY18 stood at Rs 9 billion as against Rs 11 billion during FY17, thereby witnessing a fall of 16%.

EVEREST KANTO CYLINDER Balance Sheet as on March 2018

EVEREST KANTO CYLINDER Cash Flow Statement Analysis

• EVEREST KANTO CYLINDER's cash flow from operating activities (CFO) during FY18 stood at Rs 644 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY18 stood at Rs 1 billion on a YoY basis.
• Cash flow from financial activities (CFF) during FY18 stood at Rs -2 billion on a YoY basis.
• Overall, net cash flows for the company during FY18 stood at Rs 13 million from the Rs -4 million net cash flows seen during FY17.

EVEREST KANTO CYLINDER Cash Flow Statement 2017-18

Current Valuations for EVEREST KANTO CYLINDER

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 2.4, an decline from the EPS of Rs 8.7 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 32.3, stands at 7.0 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.4 times, while the price to sales ratio stands at 1.1 times.
• The company's price to cash flow (P/CF) ratio stood at 5.9 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

Ratio Analysis for EVEREST KANTO CYLINDER

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.5x during FY18, from 1.3x during FY17. 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 1.9x during FY18, from 1.1x during FY17. 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 6.1% during FY18, from 23.2% during FY18. 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 10.6% during FY18, from 23.0% during FY17. 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 6.6% during FY18, from 12.6% during FY17. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

To see how EVEREST KANTO CYLINDER has performed over the last 5 years, please visit here.

EVEREST KANTO CYLINDER Share Price Performance

Over the last one year, EVEREST KANTO CYLINDER share price has moved up from Rs 66.9 to Rs 32.3, registering a loss of Rs 34.6 or around 51.7%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 18,575.4 (up 0.5%). Over the last one year it has moved up from 18,447.1 to 18,575.4, a gain of 128 points (up 0.7%).

Overall, the S&P BSE SENSEX is up 7.4% over the year.

(To know more, check out historical annual results for EVEREST KANTO CYLINDER and quarterly results for EVEREST KANTO CYLINDER)