FLUIDOMAT 2018-19 Annual Report Analysis

Sun, 31 Mar

FLUIDOMAT has announced its results for the year ended March 2019. Let us have a look at the detailed performance review of the company during FY18-19.

FLUIDOMAT Income Statement Analysis

• Operating income during the year rose 43.6% on a year-on-year (YoY) basis.
• The company's operating profit increased by 5.4% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 11.1% in FY19 as against 15.1% in FY18.
• Depreciation charges decreased by 0.1% and finance costs decreased by 18.6% YoY, respectively.
• Other income grew by 2.3% YoY.
• Net profit for the year grew by 2.7% YoY.
• Net profit margins during the year declined from 12.5% in FY18 to 8.9% in FY19.

FLUIDOMAT Income Statement 2018-19

No. of Mths Year Ending		12 Mar-18*	12 Mar-19*	% Change
Net Sales	Rs m	186	268	43.6%
Other income	Rs m	11	11	2.3%
Total Revenues	Rs m	197	279	41.3%
Gross profit	Rs m	28	30	5.4%
Depreciation	Rs m	7	7	-0.1%
Interest	Rs m	1	1	-18.6%
Profit before tax	Rs m	31	33	6.0%
Tax	Rs m	8	9	15.4%
Profit after tax	Rs m	23	24	2.7%
Gross profit margin	%	15.1	11.1
Effective tax rate	%	26.0	28.3
Net profit margin	%	12.5	8.9

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FLUIDOMAT Balance Sheet Analysis

• The company's current liabilities during FY19 stood at Rs 62 million as compared to Rs 58 million in FY18, thereby witnessing an increase of 7.0%.
• Current assets rose 3% and stood at Rs 198 million, while fixed assets rose 6% and stood at Rs 199 million in FY19.
• Overall, the total assets and liabilities for FY19 stood at Rs 397 million as against Rs 379 million during FY18, thereby witnessing a growth of 5%.

FLUIDOMAT Balance Sheet as on March 2019

No. of Mths Year Ending		12 Mar-18*	12 Mar-19*	% Change
Networth	Rs m	310	323	4.3
Current Liabilities	Rs m	58	62	7.0
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	379	397	4.8
Current assets	Rs m	191	198	3.5
Fixed Assets	Rs m	188	199	6.1
Total Assets	Rs m	379	397	4.8

FLUIDOMAT Cash Flow Statement Analysis

• FLUIDOMAT's cash flow from operating activities (CFO) during FY19 stood at Rs 33 million, an improvement of 28.3% on a YoY basis.
• Cash flow from investing activities (CFI) during FY19 stood at Rs -23 million, an improvement of 121.2% on a YoY basis.
• Cash flow from financial activities (CFF) during FY19 stood at Rs -10 million, an improvement of 28% on a YoY basis.
• Overall, net cash flows for the company during FY19 stood at Rs 0 million from the Rs 1 million net cash flows seen during FY18.

FLUIDOMAT Cash Flow Statement 2018-19

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-18	Mar-19
Cash Flow from Operating Activities	Rs m	26	33	28.3%
Cash Flow from Investing Activities	Rs m	-10	-23	-
Cash Flow from Financing Activities	Rs m	-14	-10	-
Net Cash Flow	Rs m	1	0	-

Current Valuations for FLUIDOMAT

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 4.8, an improvement from the EPS of Rs 4.7 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 112.5, stands at 23.3 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.7 times, while the price to sales ratio stands at 2.1 times.
• The company's price to cash flow (P/CF) ratio stood at 25.0 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-18*	12 Mar-19*
Sales per share (Unadj.)	Rs	37.8	54.3
TTM Earnings per share	Rs	4.7	4.8
Diluted earnings per share	Rs	4.7	4.9
Price to Cash Flow	x	27.9	25.0
TTM P/E ratio	x	36.2	23.3
Price / Book Value ratio	x	3.2	2.4
Market Cap	Rs m	986	771
Dividends per share (Unadj.)	Rs	1.8	2.0

Ratio Analysis for FLUIDOMAT

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 3.2x during FY19, from 3.3x during FY18. 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 59.5x during FY19, from 45.9x during FY18. 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 7.4% during FY19, from 7.5% during FY19. 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 10.5% during FY19, from 10.4% during FY18. 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 6.2% during FY19, from 6.3% during FY18. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-18*	12 Mar-19*
Current ratio	x	3.3	3.2
Debtors’ Days	Days	2,043	1,387
Interest coverage	x	45.9	59.5
Debt to equity ratio	x	0.0	0.0
Return on assets	%	6.3	6.2
Return on equity	%	7.5	7.4
Return on capital employed	%	10.4	10.5

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

FLUIDOMAT Share Price Performance

Over the last one year, FLUIDOMAT share price has moved down from Rs 171.1 to Rs 112.5, registering a loss of Rs 58.6 or around 34.2%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 18,472.0 (up 0.5%). Over the last one year it has moved down from 18,476.7 to 18,472.0, a loss of 5 points (down 0.0%).

Overall, the S&P BSE SENSEX is up 16.3% over the year.

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