PAGE INDUSTRIES 2020-21 Annual Report Analysis

Wed, 31 Mar

PAGE INDUSTRIES has announced its results for the year ended March 2021. Let us have a look at the detailed performance review of the company during FY20-21.

PAGE INDUSTRIES Income Statement Analysis

• Operating income during the year fell 3.8% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 1.1% YoY during the fiscal. Operating profit margins witnessed a fall and down at 18.6% in FY21 as against 18.1% in FY20.
• Depreciation charges increased by 2.5% and finance costs decreased by 11.8% YoY, respectively.
• Other income declined by 21.7% YoY.
• Net profit for the year declined by 0.8% YoY.
• Net profit margins during the year grew from 11.7% in FY20 to 12.0% in FY21.

PAGE INDUSTRIES Income Statement 2020-21

No. of Mths Year Ending		12 Mar-20*	12 Mar-21*	% Change
Net Sales	Rs m	29,455	28,330	-3.8%
Other income	Rs m	249	195	-21.7%
Total Revenues	Rs m	29,704	28,524	-4.0%
Gross profit	Rs m	5,329	5,272	-1.1%
Depreciation	Rs m	614	629	2.5%
Interest	Rs m	344	303	-11.8%
Profit before tax	Rs m	4,620	4,534	-1.9%
Tax	Rs m	1,188	1,128	-5.0%
Profit after tax	Rs m	3,432	3,406	-0.8%
Gross profit margin	%	18.1	18.6
Effective tax rate	%	25.7	24.9
Net profit margin	%	11.7	12.0

Don't Miss: Best Chance to Access Midcap Stocks Research at 80% OFF

PAGE INDUSTRIES Balance Sheet Analysis

• The company's current liabilities during FY21 stood at Rs 7 billion as compared to Rs 6 billion in FY20, thereby witnessing an increase of 28.0%.
• Current assets rose 21% and stood at Rs 12 billion, while fixed assets fell 5% and stood at Rs 5 billion in FY21.
• Overall, the total assets and liabilities for FY21 stood at Rs 17 billion as against Rs 15 billion during FY20, thereby witnessing a growth of 12%.

PAGE INDUSTRIES Balance Sheet as on March 2021

No. of Mths Year Ending		12 Mar-20*	12 Mar-21*	% Change
Networth	Rs m	8,199	8,849	7.9
Current Liabilities	Rs m	5,566	7,123	28.0
Long-term Debt	Rs m	201	0	-100.0
Total Liabilities	Rs m	15,129	16,976	12.2
Current assets	Rs m	10,145	12,251	20.8
Fixed Assets	Rs m	4,984	4,726	-5.2
Total Assets	Rs m	15,129	16,976	12.2

PAGE INDUSTRIES Cash Flow Statement Analysis

• PAGE INDUSTRIES's cash flow from operating activities (CFO) during FY21 stood at Rs 7 billion, an improvement of 34.7% on a YoY basis.
• Cash flow from investing activities (CFI) during FY21 stood at Rs -4 billion, an improvement of 1,407.8% on a YoY basis.
• Cash flow from financial activities (CFF) during FY21 stood at Rs -4 billion, an improvement of 3% on a YoY basis.
• Overall, net cash flows for the company during FY21 stood at Rs -711 million from the Rs 1 billion net cash flows seen during FY20.

PAGE INDUSTRIES Cash Flow Statement 2020-21

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-20	Mar-21
Cash Flow from Operating Activities	Rs m	5,167	6,959	34.7%
Cash Flow from Investing Activities	Rs m	-266	-4,011	-
Cash Flow from Financing Activities	Rs m	-3,775	-3,659	-
Net Cash Flow	Rs m	1,126	-711	-

Current Valuations for PAGE INDUSTRIES

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 305.5, an decline from the EPS of Rs 307.8 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 30,336.2, stands at 99.3 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 38.2 times, while the price to sales ratio stands at 11.9 times.
• The company's price to cash flow (P/CF) ratio stood at 67.3 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-20*	12 Mar-21*
Sales per share (Unadj.)	Rs	2,641.7	2,540.8
TTM Earnings per share	Rs	307.8	305.5
Diluted earnings per share	Rs	307.7	305.3
Price to Cash Flow	x	46.7	67.3
TTM P/E ratio	x	55.0	99.3
Price / Book Value ratio	x	29.3	30.7
Market Cap	Rs m	240,244	271,444
Dividends per share (Unadj.)	Rs	161.0	250.0

Ratio Analysis for PAGE INDUSTRIES

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.7x during FY21, from 1.8x during FY20. 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 16.0x during FY21, from 14.4x during FY20. 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 38.5% during FY21, from 41.9% during FY21. 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 54.7% during FY21, from 59.1% during FY20. 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 21.8% during FY21, from 25.0% during FY20. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-20*	12 Mar-21*
Current ratio	x	1.8	1.7
Debtors’ Days	Days	9	18
Interest coverage	x	14.4	16.0
Debt to equity ratio	x	0.0	0.0
Return on assets	%	25.0	21.8
Return on equity	%	41.9	38.5
Return on capital employed	%	59.1	54.7

To see how PAGE INDUSTRIES has performed over the last 5 years, please visit here.

PAGE INDUSTRIES Share Price Performance

Over the last one year, PAGE INDUSTRIES share price has moved up from Rs 16,927.8 to Rs 30,336.2, registering a gain of Rs 13,408.4 or around 79.2%.

Overall, the S&P BSE SENSEX is up 74.1% over the year.

(To know more, check out historical annual results for PAGE INDUSTRIES and quarterly results for PAGE INDUSTRIES)

Read: Latest Annual Report Analysis of PAGE INDUSTRIES