UDAIPUR CEMENT 2021-22 Annual Report Analysis

Fri, 2 Sep

UDAIPUR CEMENT 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.

UDAIPUR CEMENT Income Statement Analysis

• Operating income during the year rose 19.2% on a year-on-year (YoY) basis.
• The company's operating profit increased by 2.3% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 16.6% in FY22 as against 19.3% in FY21.
• Depreciation charges increased by 5.1% and finance costs decreased by 6.5% YoY, respectively.
• Other income grew by 100.0% YoY.
• Net profit for the year declined by 11.5% YoY.
• Net profit margins during the year declined from 7.5% in FY21 to 5.6% in FY22.

UDAIPUR CEMENT Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	7,351	8,760	19.2%
Other income	Rs m	26	51	100.0%
Total Revenues	Rs m	7,377	8,811	19.4%
Gross profit	Rs m	1,418	1,451	2.3%
Depreciation	Rs m	334	352	5.1%
Interest	Rs m	538	503	-6.5%
Profit before tax	Rs m	571	648	13.4%
Tax	Rs m	21	162	654.7%
Profit after tax	Rs m	550	487	-11.5%
Gross profit margin	%	19.3	16.6
Effective tax rate	%	3.7	24.9
Net profit margin	%	7.5	5.6

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UDAIPUR CEMENT Balance Sheet Analysis

• The company's current liabilities during FY22 stood at Rs 6 billion as compared to Rs 2 billion in FY21, thereby witnessing an increase of 212.0%.
• Long-term debt stood at Rs 5 billion as compared to Rs 5 billion during FY21, a growth of 2.3%.
• Current assets rose 139% and stood at Rs 4 billion, while fixed assets rose 29% and stood at Rs 10 billion in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 14 billion as against Rs 9 billion during FY21, thereby witnessing a growth of 51%.

UDAIPUR CEMENT Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	2,468	2,946	19.4
Current Liabilities	Rs m	1,828	5,705	212.0
Long-term Debt	Rs m	5,230	5,348	2.3
Total Liabilities	Rs m	9,175	13,874	51.2
Current assets	Rs m	1,816	4,346	139.4
Fixed Assets	Rs m	7,359	9,528	29.5
Total Assets	Rs m	9,175	13,874	51.2

UDAIPUR CEMENT Cash Flow Statement Analysis

• UDAIPUR CEMENT'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 -2 billion, an improvement of 113.7% on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs 3 billion, an improvement of 624% on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs 2 billion from the Rs 115 million net cash flows seen during FY21.

UDAIPUR CEMENT 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	1,871	1,429	-23.6%
Cash Flow from Investing Activities	Rs m	-1,141	-2,439	-
Cash Flow from Financing Activities	Rs m	-615	3,224	-
Net Cash Flow	Rs m	115	2,214	1,833.4%

Current Valuations for UDAIPUR CEMENT

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 1.6, an decline from the EPS of Rs 1.8 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 30.8, stands at 21.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 3.3 times, while the price to sales ratio stands at 1.1 times.
• The company's price to cash flow (P/CF) ratio stood at 13.3 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	23.6	28.1
TTM Earnings per share	Rs	1.8	1.6
Diluted earnings per share	Rs	1.8	1.6
Price to Cash Flow	x	7.1	13.3
TTM P/E ratio	x	11.5	21.1
Price / Book Value ratio	x	2.3	3.8
Market Cap	Rs m	5,669	11,180
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for UDAIPUR CEMENT

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 0.8x during FY22, from 1.0x 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 2.3x during FY22, from 2.1x 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 16.5% during FY22, from 22.3% 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 13.9% during FY22, from 14.4% 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 7.1% during FY22, from 11.9% 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	1.0	0.8
Debtors’ Days	Days	0	0
Interest coverage	x	2.1	2.3
Debt to equity ratio	x	2.1	1.8
Return on assets	%	11.9	7.1
Return on equity	%	22.3	16.5
Return on capital employed	%	14.4	13.9

To see how UDAIPUR CEMENT has performed over the last 5 years, please visit here.

UDAIPUR CEMENT Share Price Performance

Over the last one year, UDAIPUR CEMENT share price has moved down from Rs 42.1 to Rs 30.8, registering a loss of Rs 11.3 or around 26.9%.

Overall, the S&P BSE SENSEX is up 3.3% over the year.

(To know more, check out historical annual results for UDAIPUR CEMENT and quarterly results for UDAIPUR CEMENT)

Read: Latest Annual Report Analysis of UDAIPUR CEMENT