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ROLTA INDIA 2017-18 Annual Report Analysis
Sat, 31 Mar

ROLTA INDIA has announced its results for the year ended March 2018. Let us have a look at the detailed performance review of the company during FY17-18.

ROLTA INDIA Income Statement Analysis

  • Operating income during the year fell 10.0% on a year-on-year (YoY) basis.
  • The company's operating profit increased by 94.0% YoY during the fiscal. Operating profit margins witnessed a fall and down at 28.9% in FY18 as against 13.4% in FY17.
  • Depreciation charges increased by 1.9% and finance costs increased by 10.4% YoY, respectively.
  • Other income declined by 44.3% YoY.
  • Net profit for the year declined by 163.4% YoY.
  • Net profit margins during the year declined from 5.2% in FY17 to 3.7% in FY18.

ROLTA INDIA Income Statement 2017-18

No. of Mths Year Ending 12 Mar-17* 12 Mar-18* % Change
Net Sales Rs m 31,799 28,608 -10.0%
Other income Rs m 490 273 -44.3%
Total Revenues Rs m 32,289 28,881 -10.6%
Gross profit Rs m 4,259 8,264 94.0%
Depreciation Rs m 2,631 2,682 1.9%
Interest Rs m 5,702 6,294 10.4%
Profit before tax Rs m -3,583 -439 -87.7%
Tax Rs m -5,251 618 -111.8%
Profit after tax Rs m 1,667 -1,057 -163.4%
Gross profit margin % 13.4 28.9
Effective tax rate % 146.5 -140.6
Net profit margin % 5.2 -3.7
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



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ROLTA INDIA Balance Sheet Analysis

  • The company's current liabilities during FY18 stood at Rs 36 billion as compared to Rs 22 billion in FY17, thereby witnessing an increase of 60.8%.
  • Long-term debt down at Rs 46 billion as compared to Rs 50 billion during FY17, a fall of 8.6%.
  • Current assets rose 34% and stood at Rs 44 billion, while fixed assets fell 4% and stood at Rs 62 billion in FY18.
  • Overall, the total assets and liabilities for FY18 stood at Rs 106 billion as against Rs 98 billion during FY17, thereby witnessing a growth of 9%.

ROLTA INDIA Balance Sheet as on March 2018

No. of Mths Year Ending 12 Mar-17* 12 Mar-18* % Change
Networth Rs m 25,575 24,563 -4.0
 
Current Liabilities Rs m 22,183 35,670 60.8
Long-term Debt Rs m 50,179 45,882 -8.6
Total Liabilities Rs m 97,634 106,328 8.9
 
Current assets Rs m 32,979 44,291 34.3
Fixed Assets Rs m 64,654 62,038 -4.0
Total Assets Rs m 97,634 106,328 8.9
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



ROLTA INDIA Cash Flow Statement Analysis

  • ROLTA INDIA's cash flow from operating activities (CFO) during FY18 stood at Rs 824 million on a YoY basis.
  • Cash flow from investing activities (CFI) during FY18 stood at Rs 760 million on a YoY basis.
  • Cash flow from financial activities (CFF) during FY18 stood at Rs -2 billion on a YoY basis.
  • Overall, net cash flows for the company during FY18 stood at Rs -212 million from the Rs -104 million net cash flows seen during FY17.

ROLTA INDIA Cash Flow Statement 2017-18

Particulars No. of months 12 12 % Change
Year Ending Mar-17 Mar-18
Cash Flow from Operating Activities Rs m -464 824 -
Cash Flow from Investing Activities Rs m -865 760 -
Cash Flow from Financing Activities Rs m 1,225 -1,796 -
Net Cash Flow Rs m -104 -212 -
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Current Valuations for ROLTA INDIA

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs -6.4, an decline from the EPS of Rs 10.2 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 57.5, stands at -5.9 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 0.4 times, while the price to sales ratio stands at 0.3 times.
  • The company's price to cash flow (P/CF) ratio stood at 6.7 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending 12 Mar-17* 12 Mar-18*
Sales per share (Unadj.) Rs 193.6 173.1
TTM Earnings per share Rs 10.2 -6.4
Diluted earnings per share Rs 10.1 -6.4
Price to Cash Flow x 2.2 6.7
TTM P/E ratio x 15.5 -5.9
Price / Book Value ratio x 0.4 0.4
Market Cap Rs m 11,228 10,937
Dividends per share (Unadj.) Rs 0.0 0.0
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Ratio Analysis for ROLTA INDIA

  • Solvency Ratios
  • Current Ratio: The company's current ratio deteriorated and stood at 1.2x during FY18, from 1.5x during FY17. 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 0.9x during FY18, from 0.4x during FY17. 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 -4.3% during FY18, from 6.5% during FY18. 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 8.3% during FY18, from 2.8% during FY17. 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 4.9% during FY18, from 7.5% during FY17. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending 12 Mar-17* 12 Mar-18*
Current ratio x 1.5 1.2
Debtors’ Days Days 15 19
Interest coverage x 0.4 0.9
Debt to equity ratio x 2.0 1.9
Return on assets % 7.5 4.9
Return on equity % 6.5 -4.3
Return on capital employed % 2.8 8.3
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



To see how ROLTA INDIA has performed over the last 5 years, please visit here.

ROLTA INDIA Share Price Performance

Over the last one year, ROLTA INDIA share price has moved down from Rs 58.1 to Rs 57.5, registering a loss of Rs 0.7 or around 1.1%.

Meanwhile, the S&P BSE IT Index is trading at Rs 12,100.6 (down 0.3%). Over the last one year it has moved up from 10,365.5 to 12,100.6, a gain of 1,735 points (up 16.7%).

Overall, the S&P BSE SENSEX is up 12.1% over the year.

(To know more, check out historical annual results for ROLTA INDIA and quarterly results for ROLTA INDIA)

Annual Report FAQs

What is the current share price of ROLTA INDIA?

ROLTA INDIA currently trades at Rs 4.7 per share. You can check out the latest share price performance of ROLTA INDIA here...

What was the revenue of ROLTA INDIA in FY18? How does it compare to earlier years?

The revenues of ROLTA INDIA stood at Rs 28,881 m in FY18, which was down -10.6% compared to Rs 32,289 m reported in FY17.

ROLTA INDIA's revenue has fallen from Rs 38,378 m in FY16 to Rs 28,881 m in FY18.

Over the past 3 years, the revenue of ROLTA INDIA has grown at a CAGR of -13.3%.

What was the net profit of ROLTA INDIA in FY18? How does it compare to earlier years?

The net loss of ROLTA INDIA stood at Rs -1,057 m in FY18, which was down -163.4% compared to Rs 1,667 m reported in FY17.

This compares to a net profit of Rs 1,838 m in FY16.

Over the past 3 years, ROLTA INDIA net profit has grown at a CAGR of NaN%.

What does the cash flow statement of ROLTA INDIA reveal?

The cash flow statement is the financial statement that presents the cash inflows and outflows of a company during a given period of time.

This statement is one of the most useful tools for judging a company's liquidity position. The ratios and parameters in this statement helps test a company's financial health.

The cash flow statement of ROLTA INDIA reveals:

  • Cash flow from operations increased in FY18 and stood at Rs 824 m as compared to Rs -464 m in FY17.
  • Cash flow from investments increased in FY18 and stood at Rs 760 m as compared to Rs -865 m in FY17.
  • Cash flow from financial activity decreased in FY18 and stood at Rs -1,796 m as compared to Rs 1,225 m in FY17.

Here's the cash flow statement of ROLTA INDIA for the past 3 years.

(Rs m)FY16FY17FY18
From Operations2,386-464824
From Investments-8,403-865760
From Financial Activity1,9861,225-1,796
Net Cashflow-4,031-104-212

What does the Key Ratio analysis of ROLTA INDIA reveal?

Be it the company's profitability, operations effectiveness or utilization of funds, ratio analysis is an important tool which helps in making investment decisions.

The ratio/financial analysis of ROLTA INDIA reveals:

  • Operating profit margins witnessed a fall and down at 28.9% in FY18 as against 13.4% in FY17.
  • Net profit margins declined from 5.2% in FY17 to 3.7% in FY18.
  • Debt to Equity ratio for FY18 stood at 1.9 as compared to 2.0 in FY17.

Here's the ratio/financial analysis of ROLTA INDIA for the past 3 years.

 FY16FY17FY18
Operating Profit Margin (%)30.213.428.9
Net Profit Margin (%)4.85.2-3.7
Debt to Equity Ratio (x)2.22.01.9

 

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