ITD CEMENTATION INDIA 2021-22 Annual Report Analysis

Mon, 5 Sep

ITD CEMENTATION INDIA 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.

ITD CEMENTATION INDIA Income Statement Analysis

• Operating income during the year rose 39.6% on a year-on-year (YoY) basis.
• The company's operating profit increased by 37.7% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 7.7% in FY22 as against 7.8% in FY21.
• Depreciation charges increased by 2.4% and finance costs increased by 2.5% YoY, respectively.
• Other income declined by 4.6% YoY.
• Net profit for the year declined by NA YoY.
• Net profit margins during the year grew from 0.6% in FY21 to 1.0% in FY22.

ITD CEMENTATION INDIA Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	27,277	38,090	39.6%
Other income	Rs m	124	119	-4.6%
Total Revenues	Rs m	27,402	38,209	39.4%
Gross profit	Rs m	2,129	2,931	37.7%
Depreciation	Rs m	1,002	1,025	2.4%
Interest	Rs m	1,382	1,416	2.5%
Profit before tax	Rs m	-130	608	NA
Tax	Rs m	41	244	502.7%
Profit after tax	Rs m	-171	364	NA
Gross profit margin	%	7.8	7.7
Effective tax rate	%	-31.1	40.2
Net profit margin	%	-0.6	1.0

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ITD CEMENTATION INDIA Balance Sheet Analysis

• The company's current liabilities during FY22 stood at Rs 23 billion as compared to Rs 20 billion in FY21, thereby witnessing an increase of 18.2%.
• Long-term debt stood at Rs 874 million as compared to Rs 870 million during FY21, a growth of 0.5%.
• Current assets rose 20% and stood at Rs 26 billion, while fixed assets fell 1% and stood at Rs 10 billion in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 36 billion as against Rs 32 billion during FY21, thereby witnessing a growth of 13%.

ITD CEMENTATION INDIA Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	10,657	11,312	6.1
Current Liabilities	Rs m	19,673	23,255	18.2
Long-term Debt	Rs m	870	874	0.5
Total Liabilities	Rs m	31,872	36,104	13.3
Current assets	Rs m	21,899	26,202	19.7
Fixed Assets	Rs m	9,973	9,902	-0.7
Total Assets	Rs m	31,872	36,104	13.3

ITD CEMENTATION INDIA Cash Flow Statement Analysis

• ITD CEMENTATION INDIA's cash flow from operating activities (CFO) during FY22 stood at Rs 3 billion, an improvement of 77.1% on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs -247 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs -557 million, an improvement of 78% on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs 3 billion from the Rs -1 billion net cash flows seen during FY21.

ITD CEMENTATION INDIA 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	1,913	3,387	77.1%
Cash Flow from Investing Activities	Rs m	-511	-247	-
Cash Flow from Financing Activities	Rs m	-2,497	-557	-
Net Cash Flow	Rs m	-1,096	2,583	-

Current Valuations for ITD CEMENTATION INDIA

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 2.1, an improvement from the EPS of Rs -1.0 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 114.1, stands at 39.5 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.7 times, while the price to sales ratio stands at 0.5 times.
• The company's price to cash flow (P/CF) ratio stood at 9.7 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	158.8	221.7
TTM Earnings per share	Rs	-1.0	2.1
Diluted earnings per share	Rs	-1.0	2.1
Price to Cash Flow	x	16.0	9.7
TTM P/E ratio	x	-78.0	39.5
Price / Book Value ratio	x	1.0	1.2
Market Cap	Rs m	10,604	13,503
Dividends per share (Unadj.)	Rs	0.1	0.5

Ratio Analysis for ITD CEMENTATION INDIA

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.1x during FY22, from 1.1x 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 1.4x during FY22, from 0.9x 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 3.2% during FY22, from -1.6% 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 16.6% during FY22, from 10.9% 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 4.9% during FY22, from 3.8% 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	1.1	1.1
Debtors’ Days	Days	710	596
Interest coverage	x	0.9	1.4
Debt to equity ratio	x	0.1	0.1
Return on assets	%	3.8	4.9
Return on equity	%	-1.6	3.2
Return on capital employed	%	10.9	16.6

To see how ITD CEMENTATION INDIA has performed over the last 5 years, please visit here.

ITD CEMENTATION INDIA Share Price Performance

Over the last one year, ITD CEMENTATION INDIA share price has moved up from Rs 77.0 to Rs 114.1, registering a gain of Rs 37.2 or around 48.3%.

Meanwhile, the S&P BSE REALTY Index is trading at Rs 3,737.5 (up 0.4%). Over the last one year it has moved up from 3,324.5 to 3,737.5, a gain of 413 points (up 12.4%).

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

(To know more, check out historical annual results for ITD CEMENTATION INDIA and quarterly results for ITD CEMENTATION INDIA)

Read: Latest Annual Report Analysis of ITD CEMENTATION INDIA