MAAN ALUMINIUN 2021-22 Annual Report Analysis

Tue, 12 Jul

MAAN ALUMINIUN 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.

MAAN ALUMINIUN Income Statement Analysis

• Operating income during the year rose 42.1% on a year-on-year (YoY) basis.
• The company's operating profit increased by 34.1% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 5.7% in FY22 as against 6.1% in FY21.
• Depreciation charges increased by 8.3% and finance costs increased by 25.8% YoY, respectively.
• Other income grew by 114.2% YoY.
• Net profit for the year grew by 48.5% YoY.
• Net profit margins during the year grew from 3.7% in FY21 to 3.8% in FY22.

MAAN ALUMINIUN Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	4,029	5,723	42.1%
Other income	Rs m	25	53	114.2%
Total Revenues	Rs m	4,053	5,775	42.5%
Gross profit	Rs m	245	329	34.1%
Depreciation	Rs m	32	35	8.3%
Interest	Rs m	39	49	25.8%
Profit before tax	Rs m	199	298	49.7%
Tax	Rs m	51	78	53.0%
Profit after tax	Rs m	148	220	48.5%
Gross profit margin	%	6.1	5.7
Effective tax rate	%	25.6	26.1
Net profit margin	%	3.7	3.8

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MAAN ALUMINIUN Balance Sheet Analysis

• The company's current liabilities during FY22 down at Rs 802 million as compared to Rs 894 million in FY21, thereby witnessing an decrease of -10.3%.
• Long-term debt stood at Rs 32 million as compared to Rs 31 million during FY21, a growth of 3.1%.
• Current assets rose 3% and stood at Rs 1 billion, while fixed assets rose 20% and stood at Rs 470 million in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 2 billion as against Rs 2 billion during FY21, thereby witnessing a growth of 7%.

MAAN ALUMINIUN Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	641	844	31.7
Current Liabilities	Rs m	894	802	-10.3
Long-term Debt	Rs m	31	32	3.1
Total Liabilities	Rs m	1,602	1,714	7.0
Current assets	Rs m	1,213	1,245	2.7
Fixed Assets	Rs m	390	470	20.5
Total Assets	Rs m	1,602	1,714	7.0

MAAN ALUMINIUN Cash Flow Statement Analysis

• MAAN ALUMINIUN's cash flow from operating activities (CFO) during FY22 stood at Rs 151 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs -73 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs -138 million on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs -60 million from the Rs 61 million net cash flows seen during FY21.

MAAN ALUMINIUN 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	-195	151	-
Cash Flow from Investing Activities	Rs m	-124	-73	-
Cash Flow from Financing Activities	Rs m	379	-138	-
Net Cash Flow	Rs m	61	-60	-

Current Valuations for MAAN ALUMINIUN

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 16.3, an decline from the EPS of Rs 21.9 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 116.8, stands at 7.2 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.9 times, while the price to sales ratio stands at 0.3 times.
• The company's price to cash flow (P/CF) ratio stood at 13.6 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	596.0	423.3
TTM Earnings per share	Rs	21.9	16.3
Diluted earnings per share	Rs	10.9	16.3
Price to Cash Flow	x	11.6	13.6
TTM P/E ratio	x	14.1	7.2
Price / Book Value ratio	x	1.1	4.1
Market Cap	Rs m	676	3,455
Dividends per share (Unadj.)	Rs	1.0	1.0

Ratio Analysis for MAAN ALUMINIUN

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.6x during FY22, from 1.4x 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 7.1x during FY22, from 6.1x 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 improved and stood at 26.0% during FY22, from 23.1% 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 39.5% during FY22, from 35.4% 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 improved and stood at 15.7% during FY22, from 11.7% 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	1.4	1.6
Debtors’ Days	Days	566	463
Interest coverage	x	6.1	7.1
Debt to equity ratio	x	0.0	0.0
Return on assets	%	11.7	15.7
Return on equity	%	23.1	26.0
Return on capital employed	%	35.4	39.5

To see how MAAN ALUMINIUN has performed over the last 5 years, please visit here.

MAAN ALUMINIUN Share Price Performance

Over the last one year, MAAN ALUMINIUN share price has moved down from Rs 366.9 to Rs 116.8, registering a loss of Rs 250.1 or around 68.2%.

Meanwhile, the S&P BSE METAL Index is trading at Rs 16,029.2 (down 1.2%). Over the last one year it has moved down from 18,950.6 to 16,029.2, a loss of 2,921 points (down 15.4%).

Overall, the S&P BSE SENSEX is up 2.5% over the year.

(To know more, check out historical annual results for MAAN ALUMINIUN and quarterly results for MAAN ALUMINIUN)

Read: Latest Annual Report Analysis of MAAN ALUMINIUN