SANDUR MAN 2022-23 Annual Report Analysis

Fri, 31 Mar

SANDUR MAN 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.

SANDUR MAN Income Statement Analysis

• Operating income during the year fell 5.5% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 59.7% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 18.5% in FY23 as against 43.3% in FY22.
• Depreciation charges increased by 15.6% and finance costs decreased by 27.5% YoY, respectively.
• Other income grew by 66.6% YoY.
• Net profit for the year declined by 59.8% YoY.
• Net profit margins during the year declined from 30.0% in FY22 to 12.8% in FY23.

SANDUR MAN Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	22,487	21,258	-5.5%
Other income	Rs m	355	592	66.6%
Total Revenues	Rs m	22,843	21,850	-4.3%
Gross profit	Rs m	9,738	3,924	-59.7%
Depreciation	Rs m	556	643	15.6%
Interest	Rs m	384	278	-27.5%
Profit before tax	Rs m	9,153	3,595	-60.7%
Tax	Rs m	2,402	884	-63.2%
Profit after tax	Rs m	6,751	2,711	-59.8%
Gross profit margin	%	43.3	18.5
Effective tax rate	%	26.2	24.6
Net profit margin	%	30.0	12.8

Emerging Opportunity: Bluechip Bull Run

SANDUR MAN Balance Sheet Analysis

• The company's current liabilities during FY23 down at Rs 5 billion as compared to Rs 10 billion in FY22, thereby witnessing an decrease of -49.8%.
• Long-term debt down at Rs 2 billion as compared to Rs 3 billion during FY22, a fall of 36.3%.
• Current assets fell 22% and stood at Rs 15 billion, while fixed assets rose 23% and stood at Rs 18 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 33 billion as against Rs 34 billion during FY22, thereby witnessing a fall of 2%.

SANDUR MAN Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	16,592	19,337	16.5
Current Liabilities	Rs m	9,796	4,915	-49.8
Long-term Debt	Rs m	2,523	1,607	-36.3
Total Liabilities	Rs m	34,308	33,493	-2.4
Current assets	Rs m	19,411	15,222	-21.6
Fixed Assets	Rs m	14,897	18,271	22.6
Total Assets	Rs m	34,308	33,493	-2.4

SANDUR MAN Cash Flow Statement Analysis

• SANDUR MAN's cash flow from operating activities (CFO) during FY23 stood at Rs 1 billion on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs 68 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -1 billion on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs 21 million from the Rs -256 million net cash flows seen during FY22.

SANDUR MAN 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	8,369	1,424	-83.0%
Cash Flow from Investing Activities	Rs m	-7,566	68	-
Cash Flow from Financing Activities	Rs m	-1,059	-1,471	-
Net Cash Flow	Rs m	-256	21	-

Current Valuations for SANDUR MAN

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 100.4, an decline from the EPS of Rs 750.1 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 1,027.8, stands at 10.2 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.4 times, while the price to sales ratio stands at 1.3 times.
• The company's price to cash flow (P/CF) ratio stood at 9.5 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	2,498.6	787.0
TTM Earnings per share	Rs	750.1	100.4
Diluted earnings per share	Rs	250.0	100.4
Price to Cash Flow	x	4.4	9.5
TTM P/E ratio	x	4.7	10.2
Price / Book Value ratio	x	0.5	1.6
Market Cap	Rs m	7,577	31,833
Dividends per share (Unadj.)	Rs	5.0	5.0

Ratio Analysis for SANDUR MAN

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 3.1x during FY23, from 2.0x 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 13.9x during FY23, from 24.8x 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 declined and down at 14.0% during FY23, from 40.7% 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 declined and down at 18.5% during FY23, from 49.9% 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 declined and down at 8.9% during FY23, from 20.8% 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	2.0	3.1
Debtors’ Days	Days	329	248
Interest coverage	x	24.8	13.9
Debt to equity ratio	x	0.2	0.1
Return on assets	%	20.8	8.9
Return on equity	%	40.7	14.0
Return on capital employed	%	49.9	18.5

To see how SANDUR MAN has performed over the last 5 years, please visit here.

SANDUR MAN Share Price Performance

Over the last one year, SANDUR MAN share price has moved down from Rs 1,183.7 to Rs 1,027.8, registering a loss of Rs 155.9 or around 13.2%.

Overall, the S&P BSE SENSEX is up 1.8% over the year.

(To know more, check out historical annual results for SANDUR MAN and quarterly results for SANDUR MAN)