X

Sign up for Equitymaster's free daily newsletter, The 5 Minute WrapUp and get access to our latest Multibagger guide (2019 Edition) on picking money-making stocks.

This is an entirely free service. No payments are to be made.


Download Now Subscribe to our free daily e-letter, The 5 Minute WrapUp and get this complimentary report.
We hate spam as much as you do. Check out our Privacy Policy and Terms Of Use.
KIRLOSKAR BROS. 2017-18 Annual Report Analysis

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

  • MyStocks

MEMBER'S LOGINX

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

KIRLOSKAR BROS. 2017-18 Annual Report Analysis
Tue, 18 Dec

KIRLOSKAR BROS. has announced its results for the year ended March 2018. Let us have a look at the detailed performance review of the company during FY17-18.

KIRLOSKAR BROS. Income Statement Analysis

  • Operating income during the year rose 7.2% on a year-on-year (YoY) basis.
  • The company's operating profit increased by 57.3% YoY during the fiscal. Operating profit margins witnessed a fall and down at 5.4% in FY18 as against 3.7% in FY17.
  • Depreciation charges decreased by 9.8% and finance costs decreased by 10.4% YoY, respectively.
  • Other income declined by 28.4% YoY.
  • Net profit for the year declined by 2742.0% YoY.
  • Net profit margins during the year grew from 0.1% in FY17 to 1.7% in FY18.

KIRLOSKAR BROS. Income Statement 2017-18

No. of Mths Year Ending 12 Mar-17* 12 Mar-18* % Change
Net Sales Rs m 25,692 27,534 7.2%
Other income Rs m 306 219 -28.4%
Total Revenues Rs m 25,998 27,753 6.7%
Gross profit Rs m 953 1,499 57.3%
Depreciation Rs m 649 586 -9.8%
Interest Rs m 445 399 -10.4%
Profit before tax Rs m 164 733 346.6%
Tax Rs m 182 268 47.4%
Profit after tax Rs m -18 465 -2,742.0%
Gross profit margin % 3.7 5.4
Effective tax rate % 110.7 36.6
Net profit margin % -0.1 1.7
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



KIRLOSKAR BROS. Balance Sheet Analysis

  • The company's current liabilities during FY18 stood at Rs 15 billion as compared to Rs 14 billion in FY17, thereby witnessing an increase of 5.3%.
  • Long-term debt stood at Rs 821 million as compared to Rs 502 million during FY17, a growth of 63.5%.
  • Current assets rose 14% and stood at Rs 18 billion, while fixed assets fell 1% and stood at Rs 5 billion in FY18.
  • Overall, the total assets and liabilities for FY18 stood at Rs 26 billion as against Rs 25 billion during FY17, thereby witnessing a growth of 4%.

KIRLOSKAR BROS. Balance Sheet as on March 2018

No. of Mths Year Ending 12 Mar-17* 12 Mar-18* % Change
Networth Rs m 8,981 9,425 4.9
 
Current Liabilities Rs m 13,800 14,526 5.3
Long-term Debt Rs m 502 821 63.5
Total Liabilities Rs m 24,509 25,546 4.2
 
Current assets Rs m 16,000 18,176 13.6
Fixed Assets Rs m 5,299 5,234 -1.2
Total Assets Rs m 24,509 25,546 4.2
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



KIRLOSKAR BROS. Cash Flow Statement Analysis

  • KIRLOSKAR BROS.'s cash flow from operating activities (CFO) during FY18 stood at Rs 1 billion, an improvement of 9.2% on a YoY basis.
  • Cash flow from investing activities (CFI) during FY18 stood at Rs -452 million, an improvement of 36.3% on a YoY basis.
  • Cash flow from financial activities (CFF) during FY18 stood at Rs -521 million, an improvement of 10% on a YoY basis.
  • Overall, net cash flows for the company during FY18 stood at Rs 136 million from the Rs 78 million net cash flows seen during FY17.

KIRLOSKAR BROS. Cash Flow Statement 2017-18

Particulars No. of months 12 12 % Change
Year Ending Mar-17 Mar-18
Cash Flow from Operating Activities Rs m 1,004 1,096 9.2%
Cash Flow from Investing Activities Rs m -332 -452 -
Cash Flow from Financing Activities Rs m -579 -521 -
Net Cash Flow Rs m 78 136 74.7%
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



Current Valuations for KIRLOSKAR BROS.

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs 5.9, an improvement from the EPS of Rs -0.2 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 150.8, stands at 15.0 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 1.6 times, while the price to sales ratio stands at 0.5 times.
  • The company's price to cash flow (P/CF) ratio stood at 11.4 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending 12 Mar-17* 12 Mar-18*
Sales per share (Unadj.) Rs 323.5 346.7
TTM Earnings per share Rs -0.2 5.9
Diluted earnings per share Rs -0.2 5.9
Price to Cash Flow x 18.9 11.4
TTM P/E ratio x 15.0 15.0
Price / Book Value ratio x 1.7 1.6
Market Cap Rs m 11,971 11,967
Dividends per share (Unadj.) Rs 1.0 2.5
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



Ratio Analysis for KIRLOSKAR BROS.

  • Solvency Ratios
  • Current Ratio: The company's current ratio improved and stood at 1.3x during FY18, from 1.2x during FY17. 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 2.8x during FY18, from 1.4x during FY17. 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 4.9% during FY18, from -0.2% during FY18. 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 11.0% during FY18, from 6.4% during FY17. 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 3.4% during FY18, from 1.7% during FY17. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending 12 Mar-17* 12 Mar-18*
Current ratio x 1.2 1.3
Debtors’ Days Days 76 72
Interest coverage x 1.4 2.8
Debt to equity ratio x 0.1 0.1
Return on assets % 1.7 3.4
Return on equity % -0.2 4.9
Return on capital employed % 6.4 11.0
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



To see how KIRLOSKAR BROS. has performed over the last 5 years, please visit here.

KIRLOSKAR BROS. Share Price Performance

Over the last one year, KIRLOSKAR BROS. share price has moved up from Rs 275.4 to Rs 150.8, registering a loss of Rs 124.7 or around 45.3%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 18,601.7 (up 0.7%). Over the last one year it has moved up from 18,447.1 to 18,601.7, a gain of 155 points (up 0.8%).

Overall, the S&P BSE SENSEX is up 7.4% over the year.

(To know more, check out historical annual results for KIRLOSKAR BROS. and quarterly results for KIRLOSKAR BROS.)

Equitymaster requests your view! Post a comment on "KIRLOSKAR BROS. 2017-18 Annual Report Analysis". Click here!

  

Related Views on News

KIRLOSKAR BROS. Announces Quarterly Results (3QFY19); Net Profit Up 41.8% (Quarterly Result Update)

Jan 28, 2019 | Updated on Jan 28, 2019

For the quarter ended December 2018, KIRLOSKAR BROS. has posted a net profit of Rs 129 m (up 41.8% YoY). Sales on the other hand came in at Rs 5 bn (up 17.2% YoY). Read on for a complete analysis of KIRLOSKAR BROS.'s quarterly results.

KIRLOSKAR BROS. Announces Quarterly Results (2QFY19); Net Profit Up 8.1% (Quarterly Result Update)

Nov 9, 2018 | Updated on Nov 9, 2018

For the quarter ended September 2018, KIRLOSKAR BROS. has posted a net profit of Rs 200 m (up 8.1% YoY). Sales on the other hand came in at Rs 5 bn (up 12.5% YoY). Read on for a complete analysis of KIRLOSKAR BROS.'s quarterly results.

Garden Reach Shipbuilders and Engineers Ltd: Is This PSU Shipbuilder Worth Betting On? (IPO)

Sep 24, 2018

Should you apply for the IPO of Garden Reach Shipbuilders and Engineers Ltd?

H.G Infra Engineering Ltd. (IPO)

Feb 24, 2018

Should you subscribe to the IPO of H.G Infra Engineering Ltd.?

Amber Enterprises India Ltd. (IPO)

Jan 16, 2018

Should you subscribe to the IPO of Amber Enterprises India Ltd?

More Views on News

Most Popular

My Top 3 Defence Stocks to Buy Now(The 5 Minute Wrapup)

Mar 19, 2019

The urgency to privatise India's defence sector to make India self-reliant was never as strong as it is today.

5 Fundamentally Strong Stocks to Pick for Trading Today(Profit Hunter)

Mar 15, 2019

5 fundamentally strong stocks one could buy to trade in this market right now. Make sure you grab the chance this strongly rallying market offers.

This Small Cap Stock Could Offer Triple Digit Gains from its Current Price(Profit Hunter)

Mar 19, 2019

If you are still waiting for signals, remember, there is no correct timing, only right time to Buy stocks. For select small caps, that time is now.

Elections Don't Matter!(The Honest Truth)

Mar 13, 2019

Ajit Dayal shows us why from the point of view of the Indian economy, elections don't matter.

Two Growth Stocks that Doubled in a Little Over 12 Months!(The 5 Minute Wrapup)

Mar 13, 2019

The elements that fueled profit growth for these two companies led to a surge in their stock prices.

More

Get the Indian Stock Market's
Most Profitable Ideas

How To Beat Sensex Guide 2019
Get our special report, How to Beat Sensex Nearly 3X Now!
We will never sell or rent your email id.
Please read our Terms

TRACK KIRLOSKAR BROS.

  • Track your investment in KIRLOSKAR BROS. with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
  • Add To MyStocks

MORE ON KIRLOSKAR BROS.

KIRLOSKAR BROS. 8-QTR ANALYSIS

COMPARE KIRLOSKAR BROS. WITH

MARKET STATS