PIL ITALICA LIFESTYLE 2021-22 Annual Report Analysis

Tue, 14 Jun

PIL ITALICA LIFESTYLE 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.

PIL ITALICA LIFESTYLE Income Statement Analysis

• Operating income during the year rose 23.5% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 20.3% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 6.7% in FY22 as against 10.4% in FY21.
• Depreciation charges increased by 17.0% and finance costs increased by 106.9% YoY, respectively.
• Other income grew by 51.6% YoY.
• Net profit for the year declined by 32.1% YoY.
• Net profit margins during the year declined from 6.8% in FY21 to 3.7% in FY22.

PIL ITALICA LIFESTYLE Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	547	676	23.5%
Other income	Rs m	1	2	51.6%
Total Revenues	Rs m	548	678	23.5%
Gross profit	Rs m	57	45	-20.3%
Depreciation	Rs m	5	6	17.0%
Interest	Rs m	4	8	106.9%
Profit before tax	Rs m	50	34	-32.2%
Tax	Rs m	12	8	-32.1%
Profit after tax	Rs m	37	25	-32.1%
Gross profit margin	%	10.4	6.7
Effective tax rate	%	25.2	25.2
Net profit margin	%	6.8	3.7

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PIL ITALICA LIFESTYLE Balance Sheet Analysis

• The company's current liabilities during FY22 stood at Rs 168 million as compared to Rs 107 million in FY21, thereby witnessing an increase of 58.1%.
• Long-term debt stood at Rs 10 million as compared to Rs 2 million during FY21, a growth of 482.0%.
• Current assets rose 4% and stood at Rs 675 million, while fixed assets rose 96% and stood at Rs 163 million in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 838 million as against Rs 734 million during FY21, thereby witnessing a growth of 14%.

PIL ITALICA LIFESTYLE Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	640	665	3.9
Current Liabilities	Rs m	107	168	58.1
Long-term Debt	Rs m	2	10	482.0
Total Liabilities	Rs m	734	838	14.1
Current assets	Rs m	651	675	3.6
Fixed Assets	Rs m	83	163	96.3
Total Assets	Rs m	734	838	14.1

PIL ITALICA LIFESTYLE Cash Flow Statement Analysis

• PIL ITALICA LIFESTYLE 's cash flow from operating activities (CFO) during FY22 stood at Rs -25 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs -84 million, an improvement of 406.6% on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs 109 million, an improvement of 150% on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs 0 million from the Rs -1 million net cash flows seen during FY21.

PIL ITALICA LIFESTYLE 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	-28	-25	-
Cash Flow from Investing Activities	Rs m	-16	-84	-
Cash Flow from Financing Activities	Rs m	44	109	149.9%
Net Cash Flow	Rs m	-1	0	-

Current Valuations for PIL ITALICA LIFESTYLE

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 0.1, an decline from the EPS of Rs 0.2 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 8.2, stands at 76.6 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 2.9 times, while the price to sales ratio stands at 2.8 times.
• The company's price to cash flow (P/CF) ratio stood at 94.3 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	2.3	2.9
TTM Earnings per share	Rs	0.2	0.1
Diluted earnings per share	Rs	0.2	0.1
Price to Cash Flow	x	97.7	94.3
TTM P/E ratio	x	110.5	76.6
Price / Book Value ratio	x	4.0	4.4
Market Cap	Rs m	2,536	2,903
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for PIL ITALICA LIFESTYLE

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 4.0x during FY22, from 6.1x 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 5.2x during FY22, from 13.7x 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 declined and down at 3.8% during FY22, from 5.8% 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 6.2% during FY22, from 8.3% 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 4.0% during FY22, from 5.6% 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	6.1	4.0
Debtors’ Days	Days	319	242
Interest coverage	x	13.7	5.2
Debt to equity ratio	x	0.0	0.0
Return on assets	%	5.6	4.0
Return on equity	%	5.8	3.8
Return on capital employed	%	8.3	6.2

To see how PIL ITALICA LIFESTYLE has performed over the last 5 years, please visit here.

PIL ITALICA LIFESTYLE Share Price Performance

Over the last one year, PIL ITALICA LIFESTYLE share price has moved down from Rs 10.1 to Rs 8.2, registering a loss of Rs 1.9 or around 18.6%.

Overall, the S&P BSE SENSEX is up 0.6% over the year.

(To know more, check out historical annual results for PIL ITALICA LIFESTYLE and quarterly results for PIL ITALICA LIFESTYLE )

Read: Latest Annual Report Analysis of PIL ITALICA LIFESTYLE