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

MEMBER'S LOGINX

     
Invalid Username / Password
   
     
   
     
 
Invalid Captcha
   
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  


GUJARAT ALKALIES 2018-19 Annual Report Analysis
Sun, 31 Mar

GUJARAT ALKALIES 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.

GUJARAT ALKALIES Income Statement Analysis

  • Operating income during the year rose 32.0% on a year-on-year (YoY) basis.
  • The company's operating profit increased by 41.8% YoY during the fiscal. Operating profit margins witnessed a fall and down at 35.3% in FY19 as against 32.8% in FY18.
  • Depreciation charges increased by 9.9% and finance costs increased by 40.6% YoY, respectively.
  • Other income declined by 42.5% YoY.
  • Net profit for the year grew by 28.7% YoY.
  • Net profit margins during the year declined from 22.3% in FY18 to 21.8% in FY19.

GUJARAT ALKALIES Income Statement 2018-19

No. of Mths Year Ending 12 Mar-18* 12 Mar-19* % Change
Net Sales Rs m 23,951 31,614 32.0%
Other income Rs m 1,057 608 -42.5%
Total Revenues Rs m 25,009 32,221 28.8%
Gross profit Rs m 7,867 11,152 41.8%
Depreciation Rs m 1,273 1,400 9.9%
Interest Rs m 149 209 40.6%
Profit before tax Rs m 7,502 10,150 35.3%
Tax Rs m 2,149 3,261 51.7%
Profit after tax Rs m 5,353 6,890 28.7%
Gross profit margin % 32.8 35.3
Effective tax rate % 28.6 32.1
Net profit margin % 22.3 21.8
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



New Research: 2 stocks to buy as Nifty50 heads towards 40,000

GUJARAT ALKALIES Balance Sheet Analysis

  • The company's current liabilities during FY19 stood at Rs 5 billion as compared to Rs 5 billion in FY18, thereby witnessing an increase of 6.3%.
  • Long-term debt down at Rs 2 billion as compared to Rs 2 billion during FY18, a fall of 19.7%.
  • Current assets rose 26% and stood at Rs 16 billion, while fixed assets rose 6% and stood at Rs 39 billion in FY19.
  • Overall, the total assets and liabilities for FY19 stood at Rs 55 billion as against Rs 50 billion during FY18, thereby witnessing a growth of 11%.

GUJARAT ALKALIES Balance Sheet as on March 2019

No. of Mths Year Ending 12 Mar-18* 12 Mar-19* % Change
Networth Rs m 38,210 42,956 12.4
 
Current Liabilities Rs m 4,780 5,080 6.3
Long-term Debt Rs m 2,298 1,846 -19.7
Total Liabilities Rs m 49,703 55,310 11.3
 
Current assets Rs m 12,750 16,101 26.3
Fixed Assets Rs m 36,953 39,208 6.1
Total Assets Rs m 49,703 55,310 11.3
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



GUJARAT ALKALIES Cash Flow Statement Analysis

  • GUJARAT ALKALIES's cash flow from operating activities (CFO) during FY19 stood at Rs 8 billion, an improvement of 63.0% on a YoY basis.
  • Cash flow from investing activities (CFI) during FY19 stood at Rs -6 billion, an improvement of 47.7% on a YoY basis.
  • Cash flow from financial activities (CFF) during FY19 stood at Rs -1 billion on a YoY basis.
  • Overall, net cash flows for the company during FY19 stood at Rs 1 billion from the Rs 28 million net cash flows seen during FY18.

GUJARAT ALKALIES 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 5,139 8,378 63.0%
Cash Flow from Investing Activities Rs m -3,947 -5,829 -
Cash Flow from Financing Activities Rs m -1,163 -1,358 -
Net Cash Flow Rs m 28 1,215 4,202.4%
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Current Valuations for GUJARAT ALKALIES

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs 93.8, an improvement from the EPS of Rs 72.9 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 493.7, stands at 5.3 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 0.8 times, while the price to sales ratio stands at 1.1 times.
  • The company's price to cash flow (P/CF) ratio stood at 5.4 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 326.1 430.5
TTM Earnings per share Rs 72.9 93.8
Diluted earnings per share Rs 72.9 93.8
Price to Cash Flow x 7.8 5.4
TTM P/E ratio x 9.6 5.3
Price / Book Value ratio x 1.3 1.0
Market Cap Rs m 48,187 44,453
Dividends per share (Unadj.) Rs 6.5 8.0
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Ratio Analysis for GUJARAT ALKALIES

  • Solvency Ratios
  • Current Ratio: The company's current ratio improved and stood at 3.2x during FY19, from 2.7x 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 deteriorated and stood at 49.5x during FY19, from 51.4x 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 improved and stood at 16.0% during FY19, from 14.0% 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 23.1% during FY19, from 18.9% 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 improved and stood at 12.8% during FY19, from 11.1% 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 2.7 3.2
Debtors’ Days Days 615 562
Interest coverage x 51.4 49.5
Debt to equity ratio x 0.1 0.0
Return on assets % 11.1 12.8
Return on equity % 14.0 16.0
Return on capital employed % 18.9 23.1
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



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

GUJARAT ALKALIES Share Price Performance

Over the last one year, GUJARAT ALKALIES share price has moved down from Rs 699.5 to Rs 493.7, registering a loss of Rs 205.8 or around 29.4%.

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

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

Annual Report FAQs

What is the current share price of GUJARAT ALKALIES?

GUJARAT ALKALIES currently trades at Rs 673.1 per share. You can check out the latest share price performance of GUJARAT ALKALIES here...

What was the revenue of GUJARAT ALKALIES in FY19? How does it compare to earlier years?

The revenues of GUJARAT ALKALIES stood at Rs 32,221 m in FY19, which was up 28.8% compared to Rs 25,009 m reported in FY18.

GUJARAT ALKALIES' revenue has grown from Rs 18,187 m in FY16 to Rs 32,221 m in FY19.

Over the past 4 years, the revenue of GUJARAT ALKALIES has grown at a CAGR of 21.0%.

What was the net profit of GUJARAT ALKALIES in FY19? How does it compare to earlier years?

The net profit of GUJARAT ALKALIES stood at Rs 6,890 m in FY19, which was up 28.7% compared to Rs 5,353 m reported in FY18.

This compares to a net profit of Rs 3,085 m in FY17 and a net profit of Rs 2,199 m in FY16.

Over the past 4 years, GUJARAT ALKALIES net profit has grown at a CAGR of 46.3%.

What does the cash flow statement of GUJARAT ALKALIES reveal?

The cash flow statement is the financial statement that presents the cash inflows and outflows of a company during a given period of time.

This statement is one of the most useful tools for judging a company's liquidity position. The ratios and parameters in this statement helps test a company's financial health.

The cash flow statement of GUJARAT ALKALIES reveals:

  • Cash flow from operations increased in FY19 and stood at Rs 8,378 m as compared to Rs 5,139 m in FY18.
  • Cash flow from investments decreased in FY19 and stood at Rs -5,829 m as compared to Rs -3,947 m in FY18.
  • Cash flow from financial activity decreased in FY19 and stood at Rs -1,358 m as compared to Rs -1,163 m in FY18.

Here's the cash flow statement of GUJARAT ALKALIES for the past 4 years.

(Rs m)FY16FY17FY18FY19
From Operations2,0075,0215,1398,378
From Investments-3,519-4,667-3,947-5,829
From Financial Activity842135-1,163-1,358
Net Cashflow-669488281,215

What does the Key Ratio analysis of GUJARAT ALKALIES reveal?

Be it the company's profitability, operations effectiveness or utilization of funds, ratio analysis is an important tool which helps in making investment decisions.

The ratio/financial analysis of GUJARAT ALKALIES reveals:

  • Operating profit margins witnessed a fall and down at 35.3% in FY19 as against 32.8% in FY18.
  • Net profit margins declined from 22.3% in FY18 to 21.8% in FY19.
  • Debt to Equity ratio for FY19 stood at 0.0 as compared to 0.1 in FY18.

Here's the ratio/financial analysis of GUJARAT ALKALIES for the past 4 years.

 FY16FY17FY18FY19
Operating Profit Margin (%)18.824.332.835.3
Net Profit Margin (%)12.416.822.321.8
Debt to Equity Ratio (x)0.10.10.10.0

Read: Latest Annual Report Analysis of GUJARAT ALKALIES

Equitymaster requests your view! Post a comment on "GUJARAT ALKALIES 2018-19 Annual Report Analysis". Click here!