JAGRAN PRAKASHAN 2022-23 Annual Report Analysis

Thu, 17 Aug

JAGRAN PRAKASHAN 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.

JAGRAN PRAKASHAN Income Statement Analysis

• Operating income during the year rose 14.9% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 20.8% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 15.5% in FY23 as against 22.6% in FY22.
• Depreciation charges decreased by 10.0% and finance costs increased by 22.5% YoY, respectively.
• Other income grew by 61.9% YoY.
• Net profit for the year declined by 9.3% YoY.
• Net profit margins during the year declined from 13.4% in FY22 to 10.6% in FY23.

JAGRAN PRAKASHAN Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	16,160	18,562	14.9%
Other income	Rs m	679	1,100	61.9%
Total Revenues	Rs m	16,839	19,661	16.8%
Gross profit	Rs m	3,644	2,886	-20.8%
Depreciation	Rs m	1,186	1,068	-10.0%
Interest	Rs m	315	386	22.5%
Profit before tax	Rs m	2,822	2,532	-10.3%
Tax	Rs m	653	564	-13.7%
Profit after tax	Rs m	2,169	1,968	-9.3%
Gross profit margin	%	22.6	15.5
Effective tax rate	%	23.2	22.3
Net profit margin	%	13.4	10.6

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

JAGRAN PRAKASHAN Balance Sheet Analysis

• The company's current liabilities during FY23 stood at Rs 8 billion as compared to Rs 4 billion in FY22, thereby witnessing an increase of 95.4%.
• Long-term debt down at Rs 2 billion as compared to Rs 3 billion during FY22, a fall of 34.3%.
• Current assets rose 34% and stood at Rs 12 billion, while fixed assets fell 21% and stood at Rs 18 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 30 billion as against Rs 32 billion during FY22, thereby witnessing a fall of 5%.

JAGRAN PRAKASHAN Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	21,374	17,473	-18.3
Current Liabilities	Rs m	3,859	7,541	95.4
Long-term Debt	Rs m	2,588	1,701	-34.3
Total Liabilities	Rs m	31,541	29,976	-5.0
Current assets	Rs m	9,059	12,104	33.6
Fixed Assets	Rs m	22,464	17,854	-20.5
Total Assets	Rs m	31,541	29,976	-5.0

JAGRAN PRAKASHAN Cash Flow Statement Analysis

• JAGRAN PRAKASHAN's cash flow from operating activities (CFO) during FY23 stood at Rs 3 billion on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs 2 billion on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -5 billion on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs 37 million from the Rs -51 million net cash flows seen during FY22.

JAGRAN PRAKASHAN 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	3,220	2,715	-15.7%
Cash Flow from Investing Activities	Rs m	-2,043	2,491	-
Cash Flow from Financing Activities	Rs m	-1,228	-5,169	-
Net Cash Flow	Rs m	-51	37	-

Current Valuations for JAGRAN PRAKASHAN

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 9.0, an improvement from the EPS of Rs 8.2 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 104.0, stands at 11.3 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.3 times, while the price to sales ratio stands at 1.2 times.
• The company's price to cash flow (P/CF) ratio stood at 4.7 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	61.3	85.3
TTM Earnings per share	Rs	8.2	9.0
Diluted earnings per share	Rs	10.0	9.0
Price to Cash Flow	x	4.2	4.7
TTM P/E ratio	x	6.5	11.3
Price / Book Value ratio	x	0.8	0.8
Market Cap	Rs m	17,421	14,311
Dividends per share (Unadj.)	Rs	0.0	4.0

Ratio Analysis for JAGRAN PRAKASHAN

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.6x during FY23, from 2.3x 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 deteriorated and stood at 7.6x during FY23, from 10.0x 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 11.3% during FY23, from 10.1% 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 15.2% during FY23, from 13.1% 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 declined and down at 7.9% during FY23, from 7.9% 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	2.3	1.6
Debtors’ Days	Days	975	891
Interest coverage	x	10.0	7.6
Debt to equity ratio	x	0.1	0.1
Return on assets	%	7.9	7.9
Return on equity	%	10.1	11.3
Return on capital employed	%	13.1	15.2

To see how JAGRAN PRAKASHAN has performed over the last 5 years, please visit here.

JAGRAN PRAKASHAN Share Price Performance

Over the last one year, JAGRAN PRAKASHAN share price has moved up from Rs 64.8 to Rs 104.0, registering a gain of Rs 39.2 or around 60.4%.

Meanwhile, the S&P BSE TECK Index is trading at Rs 13,986.0 (down 0.4%). Over the last one year it has moved up from 13,975.1 to 13,986.0, a gain of 11 points (up 0.1%).

Overall, the S&P BSE SENSEX is up 8.9% over the year.

(To know more, check out historical annual results for JAGRAN PRAKASHAN and quarterly results for JAGRAN PRAKASHAN)