NAVIN FLUORINE 2022-23 Annual Report Analysis

Wed, 12 Jul

NAVIN FLUORINE 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.

NAVIN FLUORINE Income Statement Analysis

• Operating income during the year rose 42.9% on a year-on-year (YoY) basis.
• The company's operating profit increased by 55.1% YoY during the fiscal. Operating profit margins witnessed a fall and down at 26.5% in FY23 as against 24.4% in FY22.
• Depreciation charges increased by 30.8% and finance costs increased by 1348.4% YoY, respectively.
• Other income declined by 8.9% YoY.
• Net profit for the year grew by 42.6% YoY.
• Net profit margins during the year declined from 18.1% in FY22 to 18.1% in FY23.

NAVIN FLUORINE Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	14,534	20,774	42.9%
Other income	Rs m	392	357	-8.9%
Total Revenues	Rs m	14,926	21,131	41.6%
Gross profit	Rs m	3,548	5,503	55.1%
Depreciation	Rs m	479	626	30.8%
Interest	Rs m	19	275	1,348.4%
Profit before tax	Rs m	3,442	4,959	44.1%
Tax	Rs m	812	1,207	48.7%
Profit after tax	Rs m	2,631	3,752	42.6%
Gross profit margin	%	24.4	26.5
Effective tax rate	%	23.6	24.3
Net profit margin	%	18.1	18.1

Download Now: 7 Unstoppable Growth Engines of India's $10 Trillion Bull Run...

NAVIN FLUORINE Balance Sheet Analysis

• The company's current liabilities during FY23 stood at Rs 7 billion as compared to Rs 6 billion in FY22, thereby witnessing an increase of 27.1%.
• Long-term debt stood at Rs 8 billion as compared to Rs 1,000 million during FY22, a growth of 653.1%.
• Current assets rose 38% and stood at Rs 16 billion, while fixed assets rose 47% and stood at Rs 25 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 41 billion as against Rs 29 billion during FY22, thereby witnessing a growth of 44%.

NAVIN FLUORINE Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	18,429	21,673	17.6
Current Liabilities	Rs m	5,544	7,043	27.1
Long-term Debt	Rs m	1,000	7,531	653.1
Total Liabilities	Rs m	28,536	41,029	43.8
Current assets	Rs m	11,897	16,473	38.5
Fixed Assets	Rs m	16,639	24,539	47.5
Total Assets	Rs m	28,536	41,029	43.8

NAVIN FLUORINE Cash Flow Statement Analysis

• NAVIN FLUORINE's cash flow from operating activities (CFO) during FY23 stood at Rs -636 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -7 billion, an improvement of 280.4% on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs 7 billion, an improvement of 1,485% on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs -613 million from the Rs -561 million net cash flows seen during FY22.

NAVIN FLUORINE 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	748	-636	-
Cash Flow from Investing Activities	Rs m	-1,724	-6,556	-
Cash Flow from Financing Activities	Rs m	415	6,579	1,485.4%
Net Cash Flow	Rs m	-561	-613	-

Current Valuations for NAVIN FLUORINE

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 75.7, an improvement from the EPS of Rs 53.1 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 4,271.9, stands at 56.4 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 9.8 times, while the price to sales ratio stands at 10.2 times.
• The company's price to cash flow (P/CF) ratio stood at 46.9 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	293.3	419.3
TTM Earnings per share	Rs	53.1	75.7
Diluted earnings per share	Rs	53.1	75.7
Price to Cash Flow	x	65.1	46.9
TTM P/E ratio	x	76.9	56.4
Price / Book Value ratio	x	9.5	9.5
Market Cap	Rs m	174,474	205,299
Dividends per share (Unadj.)	Rs	11.0	12.0

Ratio Analysis for NAVIN FLUORINE

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 2.3x during FY23, from 2.1x 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 deteriorated and stood at 19.0x during FY23, from 182.2x 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 improved and stood at 17.3% during FY23, from 14.3% 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 improved and stood at 17.9% during FY23, from 17.8% 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 improved and stood at 9.8% during FY23, from 9.3% 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	2.1	2.3
Debtors’ Days	Days	9	10
Interest coverage	x	182.2	19.0
Debt to equity ratio	x	0.1	0.3
Return on assets	%	9.3	9.8
Return on equity	%	14.3	17.3
Return on capital employed	%	17.8	17.9

To see how NAVIN FLUORINE has performed over the last 5 years, please visit here.

NAVIN FLUORINE Share Price Performance

Over the last one year, NAVIN FLUORINE share price has moved up from Rs 3,729.7 to Rs 4,271.9, registering a gain of Rs 542.2 or around 14.5%.

Overall, the S&P BSE SENSEX is up 20.7% over the year.

(To know more, check out historical annual results for NAVIN FLUORINE and quarterly results for NAVIN FLUORINE)