OSWAL GREENTECH 2022-23 Annual Report Analysis

Tue, 10 Oct

OSWAL GREENTECH has announced its results for the year ended March 2023. Let us have a look at the detailed performance review of the company during FY22-23.

OSWAL GREENTECH Income Statement Analysis

• Operating income during the year fell 14.6% on a year-on-year (YoY) basis.
• The company's operating profit was by NA YoY during the fiscal. Operating profit margins witnessed a growth and stood at 73.1% in FY23 as against 65.7% in FY22.
• Depreciation charges increased by 13.9% and finance costs decreased by 8.3% YoY, respectively.
• Other income declined by 4.1% YoY.
• Net profit for the year declined by 17.8% YoY.
• Net profit margins during the year declined from 191.8% in FY22 to 184.8% in FY23.

OSWAL GREENTECH Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	240	205	-14.6%
Other income	Rs m	817	784	-4.1%
Total Revenues	Rs m	1,057	989	-6.5%
Gross profit	Rs m	-158	-150	NA
Depreciation	Rs m	36	41	13.9%
Interest	Rs m	12	11	-8.3%
Profit before tax	Rs m	612	583	-4.8%
Tax	Rs m	151	204	34.6%
Profit after tax	Rs m	461	379	-17.8%
Gross profit margin	%	-65.7	-73.1
Effective tax rate	%	24.7	35.0
Net profit margin	%	191.8	184.8

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OSWAL GREENTECH Balance Sheet Analysis

• The company's current liabilities during FY23 stood at Rs 477 million as compared to Rs 377 million in FY22, thereby witnessing an increase of 26.5%.
• Current assets rose 91% and stood at Rs 11 billion, while fixed assets fell 25% and stood at Rs 15 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 25 billion as against Rs 25 billion during FY22, thereby witnessing a growth of 0%.

OSWAL GREENTECH Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	24,835	24,828	0.0
Current Liabilities	Rs m	377	477	26.5
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	25,101	25,191	0.4
Current assets	Rs m	5,592	10,654	90.5
Fixed Assets	Rs m	19,509	14,538	-25.5
Total Assets	Rs m	25,101	25,191	0.4

OSWAL GREENTECH Cash Flow Statement Analysis

• OSWAL GREENTECH's cash flow from operating activities (CFO) during FY23 stood at Rs -1 billion, an improvement of 153.3% on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs 2 billion, an improvement of 243.8% on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -416 million on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs -3 million from the Rs -21 million net cash flows seen during FY22.

OSWAL GREENTECH Cash Flow Statement 2022-23

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-22	Mar-23
Cash Flow from Operating Activities	Rs m	-573	-1,451	-
Cash Flow from Investing Activities	Rs m	542	1,865	243.8%
Cash Flow from Financing Activities	Rs m	10	-416	-
Net Cash Flow	Rs m	-21	-3	-

Current Valuations for OSWAL GREENTECH

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 1.5, an decline from the EPS of Rs 1.8 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 27.1, stands at 19.5 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 0.3 times, while the price to sales ratio stands at 33.9 times.
• The company's price to cash flow (P/CF) ratio stood at 15.4 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*
Sales per share (Unadj.)	Rs	0.9	0.8
TTM Earnings per share	Rs	1.8	1.5
Diluted earnings per share	Rs	1.8	1.5
Price to Cash Flow	x	11.9	15.4
TTM P/E ratio	x	12.8	19.5
Price / Book Value ratio	x	0.3	0.3
Market Cap	Rs m	6,677	6,454
Dividends per share (Unadj.)	Rs	1.5	1.5

Ratio Analysis for OSWAL GREENTECH

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 22.3x during FY23, from 14.8x during FY22. 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 55.7x during FY23, from 53.7x during FY22. 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 1.5% during FY23, from 1.9% during FY23. 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 2.4% during FY23, from 2.5% during FY22. 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 1.5% during FY23, from 1.9% during FY22. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*
Current ratio	x	14.8	22.3
Debtors’ Days	Days	0	0
Interest coverage	x	53.7	55.7
Debt to equity ratio	x	0.0	0.0
Return on assets	%	1.9	1.5
Return on equity	%	1.9	1.5
Return on capital employed	%	2.5	2.4

To see how OSWAL GREENTECH has performed over the last 5 years, please visit here.

OSWAL GREENTECH Share Price Performance

Over the last one year, OSWAL GREENTECH share price has moved up from Rs 26.8 to Rs 27.1, registering a gain of Rs 0.3 or around 1.0%.

Overall, the S&P BSE SENSEX is up 13.5% over the year.

(To know more, check out historical annual results for OSWAL GREENTECH and quarterly results for OSWAL GREENTECH)