G.E.SHIPPING 2022-23 Annual Report Analysis

Sun, 9 Jul

G.E.SHIPPING has announced its results for the year ended March 2023. Let us have a look at the detailed performance review of the company during FY22-23.

G.E.SHIPPING Income Statement Analysis

• Operating income during the year rose 37.8% on a year-on-year (YoY) basis.
• The company's operating profit increased by 94.0% YoY during the fiscal. Operating profit margins witnessed a fall and down at 55.4% in FY23 as against 39.4% in FY22.
• Depreciation charges decreased by 35.5% and finance costs decreased by 30.0% YoY, respectively.
• Other income grew by 36.3% YoY.
• Net profit for the year grew by 273.5% YoY.
• Net profit margins during the year grew from 17.9% in FY22 to 48.6% in FY23.

G.E.SHIPPING Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	35,089	48,348	37.8%
Other income	Rs m	3,061	4,172	36.3%
Total Revenues	Rs m	38,151	52,521	37.7%
Gross profit	Rs m	13,816	26,807	94.0%
Depreciation	Rs m	6,979	4,501	-35.5%
Interest	Rs m	3,701	2,592	-30.0%
Profit before tax	Rs m	6,197	23,886	285.5%
Tax	Rs m	-100	366	NA
Profit after tax	Rs m	6,297	23,520	273.5%
Gross profit margin	%	39.4	55.4
Effective tax rate	%	-1.6	1.5
Net profit margin	%	17.9	48.6

Download Now: 7 Unstoppable Growth Engines of India's $10 Trillion Bull Run...

G.E.SHIPPING Balance Sheet Analysis

• The company's current liabilities during FY23 down at Rs 10 billion as compared to Rs 14 billion in FY22, thereby witnessing an decrease of -31.9%.
• Long-term debt down at Rs 22 billion as compared to Rs 40 billion during FY22, a fall of 44.1%.
• Current assets rose 2% and stood at Rs 50 billion, while fixed assets fell 23% and stood at Rs 70 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 120 billion as against Rs 140 billion during FY22, thereby witnessing a fall of 14%.

G.E.SHIPPING Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	80,513	85,203	5.8
Current Liabilities	Rs m	14,433	9,828	-31.9
Long-term Debt	Rs m	39,775	22,223	-44.1
Total Liabilities	Rs m	139,686	120,263	-13.9
Current assets	Rs m	49,046	50,088	2.1
Fixed Assets	Rs m	90,640	70,175	-22.6
Total Assets	Rs m	139,686	120,263	-13.9

G.E.SHIPPING Cash Flow Statement Analysis

• G.E.SHIPPING's cash flow from operating activities (CFO) during FY23 stood at Rs 27 billion, an improvement of 104.1% on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs 812 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -16 billion on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs 12 billion from the Rs -2 billion net cash flows seen during FY22.

G.E.SHIPPING Cash Flow Statement 2022-23

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-22	Mar-23
Cash Flow from Operating Activities	Rs m	13,226	26,990	104.1%
Cash Flow from Investing Activities	Rs m	-3,748	812	-
Cash Flow from Financing Activities	Rs m	-11,886	-16,228	-
Net Cash Flow	Rs m	-2,032	12,013	-

Current Valuations for G.E.SHIPPING

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 164.7, an improvement from the EPS of Rs 44.1 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 741.5, stands at 4.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.2 times, while the price to sales ratio stands at 2.2 times.
• The company's price to cash flow (P/CF) ratio stood at 2.8 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*
Sales per share (Unadj.)	Rs	245.8	338.6
TTM Earnings per share	Rs	44.1	164.7
Diluted earnings per share	Rs	44.1	164.7
Price to Cash Flow	x	3.7	2.8
TTM P/E ratio	x	7.8	4.1
Price / Book Value ratio	x	0.7	0.9
Market Cap	Rs m	52,970	78,079
Dividends per share (Unadj.)	Rs	9.9	28.8

Ratio Analysis for G.E.SHIPPING

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 5.1x during FY23, from 3.4x during FY22. 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 10.2x during FY23, from 2.7x during FY22. 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 27.6% during FY23, from 7.8% during FY23. 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 24.6% during FY23, from 8.2% during FY22. 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 21.7% during FY23, from 7.2% during FY22. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*
Current ratio	x	3.4	5.1
Debtors’ Days	Days	3	3
Interest coverage	x	2.7	10.2
Debt to equity ratio	x	0.5	0.3
Return on assets	%	7.2	21.7
Return on equity	%	7.8	27.6
Return on capital employed	%	8.2	24.6

To see how G.E.SHIPPING has performed over the last 5 years, please visit here.

G.E.SHIPPING Share Price Performance

Over the last one year, G.E.SHIPPING share price has moved up from Rs 405.4 to Rs 741.5, registering a gain of Rs 336.1 or around 82.9%.

Overall, the S&P BSE SENSEX is up 22.9% over the year.

(To know more, check out historical annual results for G.E.SHIPPING and quarterly results for G.E.SHIPPING)