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GULSHAN POLYOLS 2020-21 Annual Report Analysis
Wed, 31 Mar

GULSHAN POLYOLS has announced its results for the year ended March 2021. Let us have a look at the detailed performance review of the company during FY20-21.

GULSHAN POLYOLS Income Statement Analysis

  • Operating income during the year rose 23.4% on a year-on-year (YoY) basis.
  • The company's operating profit increased by 89.8% YoY during the fiscal. Operating profit margins witnessed a fall and down at 17.1% in FY21 as against 11.1% in FY20.
  • Depreciation charges increased by 4.9% and finance costs decreased by 42.5% YoY, respectively.
  • Other income grew by 97.9% YoY.
  • Net profit for the year grew by 203.4% YoY.
  • Net profit margins during the year grew from 3.3% in FY20 to 8.2% in FY21.

GULSHAN POLYOLS Income Statement 2020-21

No. of Mths Year Ending 12 Mar-20* 12 Mar-21* % Change
Net Sales Rs m 6,208 7,660 23.4%
Other income Rs m 9 19 97.9%
Total Revenues Rs m 6,217 7,679 23.5%
Gross profit Rs m 689 1,307 89.8%
Depreciation Rs m 310 326 4.9%
Interest Rs m 114 65 -42.5%
Profit before tax Rs m 274 935 241.0%
Tax Rs m 68 310 354.0%
Profit after tax Rs m 206 625 203.4%
Gross profit margin % 11.1 17.1
Effective tax rate % 24.9 33.2
Net profit margin % 3.3 8.2
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



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

GULSHAN POLYOLS Balance Sheet Analysis

  • The company's current liabilities during FY21 down at Rs 1 billion as compared to Rs 1 billion in FY20, thereby witnessing an decrease of -19.7%.
  • Long-term debt down at Rs 105 million as compared to Rs 211 million during FY20, a fall of 50.1%.
  • Current assets rose 30% and stood at Rs 2 billion, while fixed assets fell 6% and stood at Rs 3 billion in FY21.
  • Overall, the total assets and liabilities for FY21 stood at Rs 5 billion as against Rs 5 billion during FY20, thereby witnessing a growth of 9%.

GULSHAN POLYOLS Balance Sheet as on March 2021

No. of Mths Year Ending 12 Mar-20* 12 Mar-21* % Change
Networth Rs m 3,053 3,656 19.7
 
Current Liabilities Rs m 1,300 1,043 -19.7
Long-term Debt Rs m 211 105 -50.1
Total Liabilities Rs m 4,570 4,965 8.6
 
Current assets Rs m 1,865 2,433 30.4
Fixed Assets Rs m 2,705 2,532 -6.4
Total Assets Rs m 4,570 4,965 8.6
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



GULSHAN POLYOLS Cash Flow Statement Analysis

  • GULSHAN POLYOLS's cash flow from operating activities (CFO) during FY21 stood at Rs 1 billion, an improvement of 139.9% on a YoY basis.
  • Cash flow from investing activities (CFI) during FY21 stood at Rs -118 million on a YoY basis.
  • Cash flow from financial activities (CFF) during FY21 stood at Rs -786 million on a YoY basis.
  • Overall, net cash flows for the company during FY21 stood at Rs 155 million from the Rs -227 million net cash flows seen during FY20.

GULSHAN POLYOLS Cash Flow Statement 2020-21

Particulars No. of months 12 12 % Change
Year Ending Mar-20 Mar-21
Cash Flow from Operating Activities Rs m 441 1,058 139.9%
Cash Flow from Investing Activities Rs m -155 -118 -
Cash Flow from Financing Activities Rs m -513 -786 -
Net Cash Flow Rs m -227 155 -
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Current Valuations for GULSHAN POLYOLS

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs 13.3, an improvement from the EPS of Rs 4.4 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 92.2, stands at 11.7 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 2.0 times, while the price to sales ratio stands at 0.6 times.
  • The company's price to cash flow (P/CF) ratio stood at 3.2 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending 12 Mar-20* 12 Mar-21*
Sales per share (Unadj.) Rs 132.3 163.3
TTM Earnings per share Rs 4.4 13.3
Diluted earnings per share Rs 2.6 7.9
Price to Cash Flow x 3.1 3.2
TTM P/E ratio x 7.7 11.7
Price / Book Value ratio x 0.6 0.8
Market Cap Rs m 1,783 3,037
Dividends per share (Unadj.) Rs 0.7 1.0
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Ratio Analysis for GULSHAN POLYOLS

  • Solvency Ratios
  • Current Ratio: The company's current ratio improved and stood at 2.3x during FY21, from 1.4x during FY20. 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 15.3x during FY21, from 3.4x during FY20. 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 17.1% during FY21, from 6.7% during FY21. 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 26.6% during FY21, from 11.9% during FY20. 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 13.9% during FY21, from 7.0% during FY20. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending 12 Mar-20* 12 Mar-21*
Current ratio x 1.4 2.3
Debtors’ Days Days 484 469
Interest coverage x 3.4 15.3
Debt to equity ratio x 0.1 0.0
Return on assets % 7.0 13.9
Return on equity % 6.7 17.1
Return on capital employed % 11.9 26.6
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



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

GULSHAN POLYOLS Share Price Performance

Over the last one year, GULSHAN POLYOLS share price has moved up from Rs 20.1 to Rs 92.2, registering a gain of Rs 72.2 or around 359.9%.

Overall, the S&P BSE SENSEX is up 74.1% over the year.

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

Annual Report FAQs

What is the current share price of GULSHAN POLYOLS?

GULSHAN POLYOLS currently trades at Rs 162.3 per share. You can check out the latest share price performance of GULSHAN POLYOLS here...

What was the revenue of GULSHAN POLYOLS in FY21? How does it compare to earlier years?

The revenues of GULSHAN POLYOLS stood at Rs 7,679 m in FY21, which was up 23.5% compared to Rs 6,217 m reported in FY20.

GULSHAN POLYOLS' revenue has grown from Rs 4,635 m in FY17 to Rs 7,679 m in FY21.

Over the past 5 years, the revenue of GULSHAN POLYOLS has grown at a CAGR of 13.5%.

What was the net profit of GULSHAN POLYOLS in FY21? How does it compare to earlier years?

The net profit of GULSHAN POLYOLS stood at Rs 625 m in FY21, which was up 203.4% compared to Rs 206 m reported in FY20.

This compares to a net profit of Rs 214 m in FY19 and a net profit of Rs 182 m in FY18.

Over the past 5 years, GULSHAN POLYOLS net profit has grown at a CAGR of 22.9%.

What does the cash flow statement of GULSHAN POLYOLS 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 GULSHAN POLYOLS reveals:

  • Cash flow from operations increased in FY21 and stood at Rs 1,058 m as compared to Rs 441 m in FY20.
  • Cash flow from investments increased in FY21 and stood at Rs -118 m as compared to Rs -155 m in FY20.
  • Cash flow from financial activity decreased in FY21 and stood at Rs -786 m as compared to Rs -513 m in FY20.

Here's the cash flow statement of GULSHAN POLYOLS for the past 5 years.

(Rs m)FY17FY18FY19FY20FY21
From Operations8104218714411,058
From Investments-812-366-167-155-118
From Financial Activity-14-37-481-513-786
Net Cashflow-1519223-227155

What does the Key Ratio analysis of GULSHAN POLYOLS 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 GULSHAN POLYOLS reveals:

  • Operating profit margins witnessed a fall and down at 17.1% in FY21 as against 11.1% in FY20.
  • Net profit margins grew from 3.3% in FY20 to 8.2% in FY21.
  • Debt to Equity ratio for FY21 stood at 0.0 as compared to 0.1 in FY20.

Here's the ratio/financial analysis of GULSHAN POLYOLS for the past 5 years.

 FY17FY18FY19FY20FY21
Operating Profit Margin (%)13.211.112.411.117.1
Net Profit Margin (%)6.02.93.23.38.2
Debt to Equity Ratio (x)0.30.30.10.10.0

Read: Latest Annual Report Analysis of GULSHAN POLYOLS

 

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