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

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

Today at 5pm
India's Top 3 Smallcap Stocks Revealed




**Important: We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
**By submitting your email address, you also sign up for Profit Hunter, a Free-for-life newsletter from Equitymaster,
which offers the most profitable investing ideas in India.


AD

HINDUSTAN AERO. 2021-22 Annual Report Analysis
Wed, 3 Aug

HINDUSTAN AERO. 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.

HINDUSTAN AERO. Income Statement Analysis

  • Operating income during the year rose 8.2% on a year-on-year (YoY) basis.
  • The company's operating profit increased by 1.1% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 22.0% in FY22 as against 23.6% in FY21.
  • Depreciation charges decreased by 5.8% and finance costs decreased by 75.6% YoY, respectively.
  • Other income grew by 175.3% YoY.
  • Net profit for the year grew by 57.3% YoY.
  • Net profit margins during the year grew from 14.2% in FY21 to 20.7% in FY22.

HINDUSTAN AERO. Income Statement 2021-22

No. of Mths Year Ending 12 Mar-21* 12 Mar-22* % Change
Net Sales Rs m 227,545 246,202 8.2%
Other income Rs m 3,582 9,863 175.3%
Total Revenues Rs m 231,128 256,066 10.8%
Gross profit Rs m 53,591 54,198 1.1%
Depreciation Rs m 11,783 11,099 -5.8%
Interest Rs m 2,669 651 -75.6%
Profit before tax Rs m 42,722 52,312 22.4%
Tax Rs m 10,379 1,447 -86.1%
Profit after tax Rs m 32,343 50,865 57.3%
Gross profit margin % 23.6 22.0
Effective tax rate % 24.3 2.8
Net profit margin % 14.2 20.7
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Today at 5 PM: India's Top 3 Smallcap Stocks Revealed

HINDUSTAN AERO. Balance Sheet Analysis

  • The company's current liabilities during FY22 down at Rs 250 billion as compared to Rs 255 billion in FY21, thereby witnessing an decrease of -1.9%.
  • Current assets rose 12% and stood at Rs 450 billion, while fixed assets rose 9% and stood at Rs 127 billion in FY22.
  • Overall, the total assets and liabilities for FY22 stood at Rs 578 billion as against Rs 519 billion during FY21, thereby witnessing a growth of 11%.

HINDUSTAN AERO. Balance Sheet as on March 2022

No. of Mths Year Ending 12 Mar-21* 12 Mar-22* % Change
Networth Rs m 154,123 192,640 25.0
 
Current Liabilities Rs m 255,107 250,199 -1.9
Long-term Debt Rs m 0 0 0.0
Total Liabilities Rs m 518,936 577,554 11.3
 
Current assets Rs m 401,714 450,071 12.0
Fixed Assets Rs m 117,222 127,483 8.8
Total Assets Rs m 518,936 577,554 11.3
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



HINDUSTAN AERO. Cash Flow Statement Analysis

  • HINDUSTAN AERO.'s cash flow from operating activities (CFO) during FY22 stood at Rs 100 billion on a YoY basis.
  • Cash flow from investing activities (CFI) during FY22 stood at Rs -128 billion, an improvement of 904.2% on a YoY basis.
  • Cash flow from financial activities (CFF) during FY22 stood at Rs -13 billion, an improvement of 81% on a YoY basis.
  • Overall, net cash flows for the company during FY22 stood at Rs -41 billion from the Rs 69 billion net cash flows seen during FY21.

HINDUSTAN AERO. 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 152,627 100,401 -34.2%
Cash Flow from Investing Activities Rs m -12,710 -127,634 -
Cash Flow from Financing Activities Rs m -71,249 -13,491 -
Net Cash Flow Rs m 68,668 -40,723 -
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Current Valuations for HINDUSTAN AERO.

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs 152.1, an improvement from the EPS of Rs 96.7 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 2,016.1, stands at 13.3 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 3.5 times, while the price to sales ratio stands at 2.7 times.
  • The company's price to cash flow (P/CF) ratio stood at 6.7 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 680.5 736.3
TTM Earnings per share Rs 96.7 152.1
Diluted earnings per share Rs 96.7 152.1
Price to Cash Flow x 7.5 6.7
TTM P/E ratio x 10.3 13.3
Price / Book Value ratio x 2.1 2.2
Market Cap Rs m 319,934 416,889
Dividends per share (Unadj.) Rs 30.0 50.0
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Ratio Analysis for HINDUSTAN AERO.

  • Solvency Ratios
  • Current Ratio: The company's current ratio improved and stood at 1.8x during FY22, from 1.6x 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 improved and stood at 81.3x during FY22, from 17.0x 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 improved and stood at 26.4% during FY22, from 21.0% 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 27.5% during FY22, from 29.5% 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 improved and stood at 8.9% during FY22, from 6.7% 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 1.6 1.8
Debtors’ Days Days 904 688
Interest coverage x 17.0 81.3
Debt to equity ratio x 0.0 0.0
Return on assets % 6.7 8.9
Return on equity % 21.0 26.4
Return on capital employed % 29.5 27.5
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



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

HINDUSTAN AERO. Share Price Performance

Over the last one year, HINDUSTAN AERO. share price has moved up from Rs 1,100.6 to Rs 2,016.1, registering a gain of Rs 915.5 or around 83.2%.

Overall, the S&P BSE SENSEX is up 9.8% over the year.

(To know more, check out historical annual results for HINDUSTAN AERO. and quarterly results for HINDUSTAN AERO.)

Annual Report FAQs

What is the current share price of HINDUSTAN AERO.?

HINDUSTAN AERO. currently trades at Rs 0.0 per share. You can check out the latest share price performance of HINDUSTAN AERO. here...

What was the revenue of HINDUSTAN AERO. in FY22? How does it compare to earlier years?

The revenues of HINDUSTAN AERO. stood at Rs 256,066 m in FY22, which was up 10.8% compared to Rs 231,128 m reported in FY21.

HINDUSTAN AERO.'s revenue has grown from Rs 191,770 m in FY18 to Rs 256,066 m in FY22.

Over the past 5 years, the revenue of HINDUSTAN AERO. has grown at a CAGR of 7.5%.

What was the net profit of HINDUSTAN AERO. in FY22? How does it compare to earlier years?

The net profit of HINDUSTAN AERO. stood at Rs 50,865 m in FY22, which was up 57.3% compared to Rs 32,343 m reported in FY21.

This compares to a net profit of Rs 28,756 m in FY20 and a net profit of Rs 23,276 m in FY19.

Over the past 5 years, HINDUSTAN AERO. net profit has grown at a CAGR of 26.7%.

What does the cash flow statement of HINDUSTAN AERO. 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 HINDUSTAN AERO. reveals:

  • Cash flow from operations decreased in FY22 and stood at Rs 100,401 m as compared to Rs 152,627 m in FY21.
  • Cash flow from investments decreased in FY22 and stood at Rs -127,634 m as compared to Rs -12,710 m in FY21.
  • Cash flow from financial activity increased in FY22 and stood at Rs -13,491 m as compared to Rs -71,249 m in FY21.

Here's the cash flow statement of HINDUSTAN AERO. for the past 5 years.

(Rs m)FY18FY19FY20FY21FY22
From Operations-7,476-77,00315,274152,627100,401
From Investments5,97052,941-13,389-12,710-127,634
From Financial Activity-25,40423,261639-71,249-13,491
Net Cashflow-26,908-8002,52568,668-40,723

What does the Key Ratio analysis of HINDUSTAN AERO. 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 HINDUSTAN AERO. reveals:

  • Operating profit margins witnessed a fall and stood at 22.0% in FY22 as against 23.6% in FY21.
  • Net profit margins grew from 14.2% in FY21 to 20.7% in FY22.
  • Debt to Equity ratio for FY22 stood at 0.0 as compared to 0.0 in FY21.

Here's the ratio/financial analysis of HINDUSTAN AERO. for the past 5 years.

 FY18FY19FY20FY21FY22
Operating Profit Margin (%)18.722.723.523.622.0
Net Profit Margin (%)10.711.613.414.220.7
Debt to Equity Ratio (x)0.00.00.00.00.0

Equitymaster requests your view! Post a comment on "HINDUSTAN AERO. 2021-22 Annual Report Analysis". Click here!