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

MEMBER'S LOGINX

     
Invalid Username / Password
   
     
   
     
 
Invalid Captcha
   
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  


MANGALAM CEMENT 2021-22 Annual Report Analysis
Wed, 24 Aug

MANGALAM 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.

MANGALAM CEMENT Income Statement Analysis

  • Operating income during the year rose 20.0% on a year-on-year (YoY) basis.
  • The company's operating profit decreased by 10.9% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 13.9% in FY22 as against 18.8% in FY21.
  • Depreciation charges decreased by 1.0% and finance costs decreased by 6.5% YoY, respectively.
  • Other income grew by 11.3% YoY.
  • Net profit for the year declined by 16.9% YoY.
  • Net profit margins during the year declined from 7.2% in FY21 to 5.0% in FY22.

MANGALAM CEMENT Income Statement 2021-22

No. of Mths Year Ending 12 Mar-21* 12 Mar-22* % Change
Net Sales Rs m 13,049 15,661 20.0%
Other income Rs m 246 274 11.3%
Total Revenues Rs m 13,295 15,934 19.9%
Gross profit Rs m 2,451 2,185 -10.9%
Depreciation Rs m 629 623 -1.0%
Interest Rs m 689 644 -6.5%
Profit before tax Rs m 1,379 1,191 -13.7%
Tax Rs m 445 414 -6.9%
Profit after tax Rs m 935 777 -16.9%
Gross profit margin % 18.8 13.9
Effective tax rate % 32.2 34.8
Net profit margin % 7.2 5.0
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Read Now: We're Bullish on 2 Non-Nifty Stocks

MANGALAM CEMENT Balance Sheet Analysis

  • The company's current liabilities during FY22 stood at Rs 7 billion as compared to Rs 7 billion in FY21, thereby witnessing an increase of 2.3%.
  • Long-term debt down at Rs 4 billion as compared to Rs 4 billion during FY21, a fall of 12.0%.
  • Current assets rose 1% and stood at Rs 7 billion, while fixed assets rose 5% and stood at Rs 12 billion in FY22.
  • Overall, the total assets and liabilities for FY22 stood at Rs 19 billion as against Rs 19 billion during FY21, thereby witnessing a growth of 4%.

MANGALAM CEMENT Balance Sheet as on March 2022

No. of Mths Year Ending 12 Mar-21* 12 Mar-22* % Change
Networth Rs m 6,670 7,422 11.3
 
Current Liabilities Rs m 6,551 6,702 2.3
Long-term Debt Rs m 4,126 3,630 -12.0
Total Liabilities Rs m 18,577 19,285 3.8
 
Current assets Rs m 6,864 6,959 1.4
Fixed Assets Rs m 11,713 12,326 5.2
Total Assets Rs m 18,577 19,285 3.8
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



MANGALAM CEMENT Cash Flow Statement Analysis

  • MANGALAM CEMENT's cash flow from operating activities (CFO) during FY22 stood at Rs 2 billion on a YoY basis.
  • Cash flow from investing activities (CFI) during FY22 stood at Rs -1 billion on a YoY basis.
  • Cash flow from financial activities (CFF) during FY22 stood at Rs -731 million on a YoY basis.
  • Overall, net cash flows for the company during FY22 stood at Rs -182 million from the Rs 200 million net cash flows seen during FY21.

MANGALAM 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 2,338 1,885 -19.3%
Cash Flow from Investing Activities Rs m -1,724 -1,337 -
Cash Flow from Financing Activities Rs m -413 -731 -
Net Cash Flow Rs m 200 -182 -
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Current Valuations for MANGALAM CEMENT

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs 28.3, an decline from the EPS of Rs 35.0 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 325.5, stands at 12.7 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 1.2 times, while the price to sales ratio stands at 0.6 times.
  • The company's price to cash flow (P/CF) ratio stood at 7.9 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 488.9 569.5
TTM Earnings per share Rs 35.0 28.3
Diluted earnings per share Rs 34.0 28.3
Price to Cash Flow x 5.0 7.9
TTM P/E ratio x 7.9 12.7
Price / Book Value ratio x 0.9 1.5
Market Cap Rs m 5,953 11,040
Dividends per share (Unadj.) Rs 1.5 1.5
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Ratio Analysis for MANGALAM CEMENT

  • Solvency Ratios
  • Current Ratio: The company's current ratio deteriorated and stood at 1.0x 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 deteriorated and stood at 2.8x during FY22, from 3.0x 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 10.5% during FY22, from 14.0% 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 16.6% during FY22, from 19.2% 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 7.4% during FY22, from 8.7% 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 1.0 1.0
Debtors’ Days Days 109 85
Interest coverage x 3.0 2.8
Debt to equity ratio x 0.6 0.5
Return on assets % 8.7 7.4
Return on equity % 14.0 10.5
Return on capital employed % 19.2 16.6
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



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

MANGALAM CEMENT Share Price Performance

Over the last one year, MANGALAM CEMENT share price has moved down from Rs 464.0 to Rs 325.5, registering a loss of Rs 138.6 or around 29.9%.

Overall, the S&P BSE SENSEX is up 6.4% over the year.

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

Annual Report FAQs

What is the current share price of MANGALAM CEMENT?

MANGALAM CEMENT currently trades at Rs 731.1 per share. You can check out the latest share price performance of MANGALAM CEMENT here...

What was the revenue of MANGALAM CEMENT in FY22? How does it compare to earlier years?

The revenues of MANGALAM CEMENT stood at Rs 15,934 m in FY22, which was up 19.9% compared to Rs 13,295 m reported in FY21.

MANGALAM CEMENT's revenue has grown from Rs 10,685 m in FY18 to Rs 15,934 m in FY22.

Over the past 5 years, the revenue of MANGALAM CEMENT has grown at a CAGR of 10.5%.

What was the net profit of MANGALAM CEMENT in FY22? How does it compare to earlier years?

The net profit of MANGALAM CEMENT stood at Rs 777 m in FY22, which was down -16.9% compared to Rs 935 m reported in FY21.

This compares to a net profit of Rs 759 m in FY20 and a net loss of Rs -97 m in FY19.

Over the past 5 years, MANGALAM CEMENT net profit has grown at a CAGR of 61.6%.

What does the cash flow statement of MANGALAM CEMENT reveal?

The cash flow statement is the financial statement that presents the cash inflows and outflows of a company during a given period of time.

This statement is one of the most useful tools for judging a company's liquidity position. The ratios and parameters in this statement helps test a company's financial health.

The cash flow statement of MANGALAM CEMENT reveals:

  • Cash flow from operations decreased in FY22 and stood at Rs 1,885 m as compared to Rs 2,338 m in FY21.
  • Cash flow from investments increased in FY22 and stood at Rs -1,337 m as compared to Rs -1,724 m in FY21.
  • Cash flow from financial activity decreased in FY22 and stood at Rs -731 m as compared to Rs -413 m in FY21.

Here's the cash flow statement of MANGALAM CEMENT for the past 5 years.

(Rs m)FY18FY19FY20FY21FY22
From Operations8598442,1582,3381,885
From Investments-172-1,764-1,561-1,724-1,337
From Financial Activity-66682829-413-731
Net Cashflow20-93627200-182

What does the Key Ratio analysis of MANGALAM CEMENT reveal?

Be it the company's profitability, operations effectiveness or utilization of funds, ratio analysis is an important tool which helps in making investment decisions.

The ratio/financial analysis of MANGALAM CEMENT reveals:

  • Operating profit margins witnessed a fall and stood at 13.9% in FY22 as against 18.8% in FY21.
  • Net profit margins declined from 7.2% in FY21 to 5.0% in FY22.
  • Debt to Equity ratio for FY22 stood at 0.5 as compared to 0.6 in FY21.

Here's the ratio/financial analysis of MANGALAM CEMENT for the past 5 years.

 FY18FY19FY20FY21FY22
Operating Profit Margin (%)7.94.816.218.813.9
Net Profit Margin (%)1.1-0.86.27.25.0
Debt to Equity Ratio (x)0.40.60.60.60.5

Read: Latest Annual Report Analysis of MANGALAM CEMENT

 

Equitymaster requests your view! Post a comment on "MANGALAM CEMENT 2021-22 Annual Report Analysis". Click here!