We are currently facing an issue in receiving the NSE feed. Hence the stock prices are not updated. We are working on fixing this at the earliest. We regret the inconvenience caused.

INOX LEISURE 2021-22 Annual Report Analysis

Tue, 6 Sep

INOX LEISURE 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.

INOX LEISURE Income Statement Analysis

• Operating income during the year rose 545.6% on a year-on-year (YoY) basis.
• The company's operating profit was by NA YoY during the fiscal. Operating profit margins witnessed a fall and down at 10.5% in FY22 as against 166.5% in FY21.
• Depreciation charges increased by 3.8% and finance costs increased by 2.7% YoY, respectively.
• Other income declined by 36.9% YoY.
• Net profit for the year declined by NA YoY.
• Net profit margins during the year grew from 318.7% in FY21 to 35.0% in FY22.

INOX LEISURE Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	1,059	6,839	545.6%
Other income	Rs m	2,643	1,668	-36.9%
Total Revenues	Rs m	3,702	8,508	129.8%
Gross profit	Rs m	-1,763	717	NA
Depreciation	Rs m	2,832	2,938	3.8%
Interest	Rs m	2,511	2,580	2.7%
Profit before tax	Rs m	-4,464	-3,133	NA
Tax	Rs m	-1,087	-739	NA
Profit after tax	Rs m	-3,377	-2,394	NA
Gross profit margin	%	-166.5	10.5
Effective tax rate	%	24.4	23.6
Net profit margin	%	-318.7	-35.0

RESPONSE PENDING: Your Meeting with Tanushree Banerjee Tomorrow...

INOX LEISURE Balance Sheet Analysis

• The company's current liabilities during FY22 stood at Rs 4 billion as compared to Rs 4 billion in FY21, thereby witnessing an increase of 7.3%.
• Long-term debt stood at Rs 694 million as compared to Rs 470 million during FY21, a growth of 47.6%.
• Current assets rose 105% and stood at Rs 3 billion, while fixed assets fell 1% and stood at Rs 33 billion in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 36 billion as against Rs 35 billion during FY21, thereby witnessing a growth of 3%.

INOX LEISURE Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	6,322	6,907	9.2
Current Liabilities	Rs m	3,640	3,904	7.3
Long-term Debt	Rs m	470	694	47.6
Total Liabilities	Rs m	35,002	36,222	3.5
Current assets	Rs m	1,420	2,907	104.8
Fixed Assets	Rs m	33,582	33,315	-0.8
Total Assets	Rs m	35,002	36,222	3.5

INOX LEISURE Cash Flow Statement Analysis

• INOX LEISURE's cash flow from operating activities (CFO) during FY22 stood at Rs 769 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs -2 billion, an improvement of 46.3% on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs 1 billion on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs 156 million from the Rs -325 million net cash flows seen during FY21.

INOX LEISURE 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	-1,308	769	-
Cash Flow from Investing Activities	Rs m	-1,216	-1,779	-
Cash Flow from Financing Activities	Rs m	2,199	1,166	-47.0%
Net Cash Flow	Rs m	-325	156	-

Current Valuations for INOX LEISURE

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs -19.6, an improvement from the EPS of Rs -30.0 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 518.9, stands at -105.7 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 9.2 times, while the price to sales ratio stands at 9.3 times.
• The company's price to cash flow (P/CF) ratio stood at 90.4 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	9.4	56.0
TTM Earnings per share	Rs	-30.0	-19.6
Diluted earnings per share	Rs	-27.6	-19.6
Price to Cash Flow	x	-63.9	90.4
TTM P/E ratio	x	-10.3	-105.7
Price / Book Value ratio	x	4.6	7.1
Market Cap	Rs m	29,063	49,213
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for INOX LEISURE

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 0.7x during FY22, from 0.4x 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 -0.2x during FY22, from -0.8x 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 -34.7% during FY22, from -53.4% 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 improved and stood at -7.3% during FY22, from -28.7% 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 0.5% during FY22, from -2.5% 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	0.4	0.7
Debtors’ Days	Days	148	155
Interest coverage	x	-0.8	-0.2
Debt to equity ratio	x	0.1	0.1
Return on assets	%	-2.5	0.5
Return on equity	%	-53.4	-34.7
Return on capital employed	%	-28.7	-7.3

To see how INOX LEISURE has performed over the last 5 years, please visit here.

INOX LEISURE Share Price Performance

Over the last one year, INOX LEISURE share price has moved up from Rs 305.0 to Rs 518.9, registering a gain of Rs 213.9 or around 70.1%.

Meanwhile, the S&P BSE TECK Index is trading at Rs 13,100.2 (up 0.0%). Over the last one year it has moved down from 15,220.8 to 13,100.2, a loss of 2,121 points (down 13.9%).

Overall, the S&P BSE SENSEX is up 2.3% over the year.

(To know more, check out historical annual results for INOX LEISURE and quarterly results for INOX LEISURE)