PRATAAP SNACKS 2022-23 Annual Report Analysis

Mon, 17 Jul

PRATAAP SNACKS 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.

PRATAAP SNACKS Income Statement Analysis

• Operating income during the year rose 18.4% on a year-on-year (YoY) basis.
• The company's operating profit increased by 40.7% YoY during the fiscal. Operating profit margins witnessed a fall and down at 3.8% in FY23 as against 3.2% in FY22.
• Depreciation charges increased by 15.5% and finance costs decreased by 2.6% YoY, respectively.
• Other income declined by 43.5% YoY.
• Net profit for the year grew by 598.2% YoY.
• Net profit margins during the year grew from 0.2% in FY22 to 1.2% in FY23.

PRATAAP SNACKS Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	13,966	16,529	18.4%
Other income	Rs m	137	78	-43.5%
Total Revenues	Rs m	14,103	16,607	17.8%
Gross profit	Rs m	444	624	40.7%
Depreciation	Rs m	538	621	15.5%
Interest	Rs m	67	65	-2.6%
Profit before tax	Rs m	-24	15	NA
Tax	Rs m	-53	-188	NA
Profit after tax	Rs m	29	203	598.2%
Gross profit margin	%	3.2	3.8
Effective tax rate	%	221.8	-1,242.5
Net profit margin	%	0.2	1.2

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PRATAAP SNACKS Balance Sheet Analysis

• The company's current liabilities during FY23 down at Rs 2 billion as compared to Rs 2 billion in FY22, thereby witnessing an decrease of -15.8%.
• Current assets fell 5% and stood at Rs 2 billion, while fixed assets rose 2% and stood at Rs 7 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 10 billion as against Rs 10 billion during FY22, thereby witnessing a growth of 0%.

PRATAAP SNACKS Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	6,192	6,400	3.3
Current Liabilities	Rs m	1,927	1,623	-15.8
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	9,687	9,718	0.3
Current assets	Rs m	2,613	2,471	-5.4
Fixed Assets	Rs m	7,074	7,247	2.4
Total Assets	Rs m	9,687	9,718	0.3

PRATAAP SNACKS Cash Flow Statement Analysis

• PRATAAP SNACKS 's cash flow from operating activities (CFO) during FY23 stood at Rs 798 million, an improvement of 74.4% on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -252 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -517 million on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs 29 million from the Rs 72 million net cash flows seen during FY22.

PRATAAP SNACKS 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	457	798	74.4%
Cash Flow from Investing Activities	Rs m	-362	-252	-
Cash Flow from Financing Activities	Rs m	-23	-517	-
Net Cash Flow	Rs m	72	29	-59.6%

Current Valuations for PRATAAP SNACKS

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 8.7, an improvement from the EPS of Rs 1.2 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 831.1, stands at 97.7 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 3.1 times, while the price to sales ratio stands at 1.2 times.
• The company's price to cash flow (P/CF) ratio stood at 22.4 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	595.6	704.9
TTM Earnings per share	Rs	1.2	8.7
Diluted earnings per share	Rs	1.2	8.5
Price to Cash Flow	x	29.1	22.4
TTM P/E ratio	x	566.3	97.7
Price / Book Value ratio	x	2.7	2.9
Market Cap	Rs m	16,859	18,445
Dividends per share (Unadj.)	Rs	0.5	1.0

Ratio Analysis for PRATAAP SNACKS

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.5x during FY23, from 1.4x 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 1.2x during FY23, from 0.6x 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 3.2% during FY23, from 0.5% 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 1.3% during FY23, from 0.7% 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 2.8% during FY23, from 1.0% 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	1.4	1.5
Debtors’ Days	Days	43	31
Interest coverage	x	0.6	1.2
Debt to equity ratio	x	0.0	0.0
Return on assets	%	1.0	2.8
Return on equity	%	0.5	3.2
Return on capital employed	%	0.7	1.3

To see how PRATAAP SNACKS has performed over the last 5 years, please visit here.

PRATAAP SNACKS Share Price Performance

Over the last one year, PRATAAP SNACKS share price has moved up from Rs 769.8 to Rs 831.1, registering a gain of Rs 61.3 or around 8.0%.

Overall, the S&P BSE SENSEX is up 24.4% over the year.

(To know more, check out historical annual results for PRATAAP SNACKS and quarterly results for PRATAAP SNACKS )