LAKSHMI MACHINE 2021-22 Annual Report Analysis

Fri, 1 Jul

LAKSHMI MACHINE 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.

LAKSHMI MACHINE Income Statement Analysis

• Operating income during the year rose 83.6% on a year-on-year (YoY) basis.
• The company's operating profit increased by 411.6% YoY during the fiscal. Operating profit margins witnessed a fall and down at 7.2% in FY22 as against 2.6% in FY21.
• Depreciation charges increased by 7.4% and finance costs increased by 4.9% YoY, respectively.
• Other income declined by 16.8% YoY.
• Net profit for the year grew by 306.0% YoY.
• Net profit margins during the year grew from 2.6% in FY21 to 5.7% in FY22.

LAKSHMI MACHINE Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	17,274	31,710	83.6%
Other income	Rs m	821	683	-16.8%
Total Revenues	Rs m	18,095	32,393	79.0%
Gross profit	Rs m	449	2,298	411.6%
Depreciation	Rs m	556	597	7.4%
Interest	Rs m	1	1	4.9%
Profit before tax	Rs m	713	2,383	234.1%
Tax	Rs m	267	573	114.2%
Profit after tax	Rs m	446	1,811	306.0%
Gross profit margin	%	2.6	7.2
Effective tax rate	%	37.5	24.0
Net profit margin	%	2.6	5.7

Special Anniversary Offer: Vanishing Tomorrow - Your Chance to Save 80%

LAKSHMI MACHINE Balance Sheet Analysis

• The company's current liabilities during FY22 stood at Rs 15 billion as compared to Rs 10 billion in FY21, thereby witnessing an increase of 44.2%.
• Current assets rose 14% and stood at Rs 21 billion, while fixed assets rose 62% and stood at Rs 18 billion in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 39 billion as against Rs 29 billion during FY21, thereby witnessing a growth of 32%.

LAKSHMI MACHINE Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	17,803	19,902	11.8
Current Liabilities	Rs m	10,084	14,545	44.2
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	29,477	38,946	32.1
Current assets	Rs m	18,324	20,891	14.0
Fixed Assets	Rs m	11,153	18,055	61.9
Total Assets	Rs m	29,477	38,946	32.1

LAKSHMI MACHINE Cash Flow Statement Analysis

• LAKSHMI MACHINE's cash flow from operating activities (CFO) during FY22 stood at Rs 5 billion, an improvement of 209.3% on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs -4 billion, an improvement of 210.7% on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs -110 million on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs 260 million from the Rs 18 million net cash flows seen during FY21.

LAKSHMI MACHINE 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	1,567	4,848	209.3%
Cash Flow from Investing Activities	Rs m	-1,441	-4,478	-
Cash Flow from Financing Activities	Rs m	-109	-110	-
Net Cash Flow	Rs m	18	260	1,371.1%

Current Valuations for LAKSHMI MACHINE

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 169.5, an improvement from the EPS of Rs 41.8 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 8,977.4, stands at 53.0 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 4.8 times, while the price to sales ratio stands at 3.0 times.
• The company's price to cash flow (P/CF) ratio stood at 39.1 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	1,617.4	2,969.1
TTM Earnings per share	Rs	41.8	169.5
Diluted earnings per share	Rs	41.7	169.5
Price to Cash Flow	x	72.4	39.1
TTM P/E ratio	x	162.6	53.0
Price / Book Value ratio	x	3.0	4.7
Market Cap	Rs m	54,115	94,245
Dividends per share (Unadj.)	Rs	10.0	40.0

Ratio Analysis for LAKSHMI MACHINE

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.4x during FY22, from 1.8x 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 2,804.8x during FY22, from 881.7x 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 9.1% during FY22, from 2.5% 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 12.0% during FY22, from 4.0% 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 4.7% during FY22, from 1.5% 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	1.8	1.4
Debtors’ Days	Days	376	371
Interest coverage	x	881.7	2,804.8
Debt to equity ratio	x	0.0	0.0
Return on assets	%	1.5	4.7
Return on equity	%	2.5	9.1
Return on capital employed	%	4.0	12.0

To see how LAKSHMI MACHINE has performed over the last 5 years, please visit here.

LAKSHMI MACHINE Share Price Performance

Over the last one year, LAKSHMI MACHINE share price has moved {{varPrevCurrYearUpDown}} from Rs {{varLastYearSameDayValue}} to Rs {{varCurrYearCurrDayValue}}, registering a {{varPrevCurrYearComp}} of Rs {{varPrevCurrYearCompValue}} or around {{varPrevCurrYearCompPerValue}}%.

Meanwhile, the{{varBSEIndexName}} is trading at Rs {{varBSEIndexValue}} ({{varBSEIndexPrevCurrComp}} {{varBSEIndexPrevCurrPerValue}}%). Over the last one year it has moved {{varBSEIndexPrevCurrYearComp}} from {{varBSEIndexPrevYearValue}} to {{varBSEIndexCurrentYearValue}}, a {{varBSEIndexPrevCurrGainLoss}} of {{varBSEIndexPrevCurrSubstraction}} points ({{varBSEIndexPrevCurrYearCompOverYear}} {{varBSEIndexPrevCurrPerValueOverYear}}%).

Overall, the {{varBSESensexName}} is {{varBSESensexCurrStatus}} {{varBSESensexCurrValue}}% over the year.

(To know more, check out historical annual results for LAKSHMI MACHINE and quarterly results for LAKSHMI MACHINE)

Read: Latest Annual Report Analysis of LAKSHMI MACHINE