G R INFRAPROJECTS 2021-22 Annual Report Analysis

Tue, 11 Oct

G R INFRAPROJECTS has announced its results for the year ended March 2022. Let us have a look at the detailed performance review of the company during FY21-22.

G R INFRAPROJECTS Income Statement Analysis

• Operating income during the year rose 7.8% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 6.3% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 20.5% in FY22 as against 23.6% in FY21.
• Depreciation charges increased by 24.0% and finance costs increased by 17.0% YoY, respectively.
• Other income declined by 0.9% YoY.
• Net profit for the year declined by 12.9% YoY.
• Net profit margins during the year declined from 12.2% in FY21 to 9.8% in FY22.

G R INFRAPROJECTS Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	78,441	84,583	7.8%
Other income	Rs m	702	695	-0.9%
Total Revenues	Rs m	79,143	85,279	7.8%
Gross profit	Rs m	18,497	17,341	-6.3%
Depreciation	Rs m	2,271	2,816	24.0%
Interest	Rs m	3,617	4,232	17.0%
Profit before tax	Rs m	13,311	10,988	-17.4%
Tax	Rs m	3,763	2,669	-29.1%
Profit after tax	Rs m	9,548	8,319	-12.9%
Gross profit margin	%	23.6	20.5
Effective tax rate	%	28.3	24.3
Net profit margin	%	12.2	9.8

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G R INFRAPROJECTS Balance Sheet Analysis

• The company's current liabilities during FY22 down at Rs 22 billion as compared to Rs 23 billion in FY21, thereby witnessing an decrease of -6.4%.
• Long-term debt stood at Rs 45 billion as compared to Rs 36 billion during FY21, a growth of 25.1%.
• Current assets rose 20% and stood at Rs 52 billion, while fixed assets rose 12% and stood at Rs 65 billion in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 117 billion as against Rs 101 billion during FY21, thereby witnessing a growth of 16%.

G R INFRAPROJECTS Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	39,807	48,109	20.9
Current Liabilities	Rs m	23,062	21,580	-6.4
Long-term Debt	Rs m	35,825	44,820	25.1
Total Liabilities	Rs m	100,910	116,673	15.6
Current assets	Rs m	43,109	51,658	19.8
Fixed Assets	Rs m	57,801	65,015	12.5
Total Assets	Rs m	100,910	116,673	15.6

G R INFRAPROJECTS Cash Flow Statement Analysis

• G R INFRAPROJECTS's cash flow from operating activities (CFO) during FY22 stood at Rs 1 billion on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs -3 billion on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs 3 billion on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs 2 billion from the Rs -2 billion net cash flows seen during FY21.

G R INFRAPROJECTS Cash Flow Statement 2021-22

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-21	Mar-22
Cash Flow from Operating Activities	Rs m	-4,568	1,480	-
Cash Flow from Investing Activities	Rs m	-7,353	-2,571	-
Cash Flow from Financing Activities	Rs m	9,719	3,293	-66.1%
Net Cash Flow	Rs m	-2,202	2,201	-

Current Valuations for G R INFRAPROJECTS

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 86.0, an decline from the EPS of Rs 98.8 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 1,233.7, stands at 11.7 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 2.5 times, while the price to sales ratio stands at 1.4 times.
• The company's price to cash flow (P/CF) ratio stood at 15.3 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*
Sales per share (Unadj.)	Rs	811.3	874.8
TTM Earnings per share	Rs	98.8	86.0
Diluted earnings per share	Rs	98.8	86.0
Price to Cash Flow	x	0.0	15.3
TTM P/E ratio	x	0.0	11.7
Price / Book Value ratio	x	0.0	3.5
Market Cap	Rs m	0	170,497
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for G R INFRAPROJECTS

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 2.4x during FY22, from 1.9x during FY21. 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 3.6x during FY22, from 4.7x during FY21. 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 17.3% during FY22, from 24.0% during FY22. 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 16.4% during FY22, from 22.4% during FY21. 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 10.8% during FY22, from 13.0% during FY21. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*
Current ratio	x	1.9	2.4
Debtors’ Days	Days	229	286
Interest coverage	x	4.7	3.6
Debt to equity ratio	x	0.9	0.9
Return on assets	%	13.0	10.8
Return on equity	%	24.0	17.3
Return on capital employed	%	22.4	16.4

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

G R INFRAPROJECTS Share Price Performance

Over the last one year, G R INFRAPROJECTS share price has moved down from Rs 1,882.9 to Rs 1,233.7, registering a loss of Rs 649.2 or around 34.5%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 31,998.7 (down 0.1%). Over the last one year it has moved up from 26,432.6 to 31,998.7, a gain of 5,566 points (up 21.1%).

Overall, the S&P BSE SENSEX is down 3.2% over the year.

(To know more, check out historical annual results for G R INFRAPROJECTS and quarterly results for G R INFRAPROJECTS)