SCHNEIDER ELECTRIC INFRA 2022-23 Annual Report Analysis

Thu, 31 Aug

SCHNEIDER ELECTRIC INFRA 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.

SCHNEIDER ELECTRIC INFRA Income Statement Analysis

• Operating income during the year rose 16.1% on a year-on-year (YoY) basis.
• The company's operating profit increased by 115.6% YoY during the fiscal. Operating profit margins witnessed a fall and down at 10.1% in FY23 as against 5.5% in FY22.
• Depreciation charges increased by 7.3% and finance costs increased by 9.4% YoY, respectively.
• Other income grew by 53.6% YoY.
• Net profit for the year grew by 347.6% YoY.
• Net profit margins during the year grew from 1.8% in FY22 to 7.0% in FY23.

SCHNEIDER ELECTRIC INFRA Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	15,303	17,772	16.1%
Other income	Rs m	99	152	53.6%
Total Revenues	Rs m	15,402	17,924	16.4%
Gross profit	Rs m	835	1,800	115.6%
Depreciation	Rs m	173	185	7.3%
Interest	Rs m	485	530	9.4%
Profit before tax	Rs m	276	1,236	347.6%
Tax	Rs m	0	0	0.0
Profit after tax	Rs m	276	1,236	347.6%
Gross profit margin	%	5.5	10.1
Effective tax rate	%	0.0	0.0
Net profit margin	%	1.8	7.0

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SCHNEIDER ELECTRIC INFRA Balance Sheet Analysis

• The company's current liabilities during FY23 stood at Rs 8 billion as compared to Rs 7 billion in FY22, thereby witnessing an increase of 8.1%.
• Long-term debt stood at Rs 4 billion as compared to Rs 4 billion during FY22, a growth of 0.8%.
• Current assets rose 20% and stood at Rs 9 billion, while fixed assets rose 7% and stood at Rs 4 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 14 billion as against Rs 12 billion during FY22, thereby witnessing a growth of 16%.

SCHNEIDER ELECTRIC INFRA Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	227	1,377	505.6
Current Liabilities	Rs m	7,123	7,701	8.1
Long-term Debt	Rs m	3,938	3,968	0.8
Total Liabilities	Rs m	11,697	13,550	15.8
Current assets	Rs m	7,807	9,391	20.3
Fixed Assets	Rs m	3,890	4,158	6.9
Total Assets	Rs m	11,697	13,550	15.8

SCHNEIDER ELECTRIC INFRA Cash Flow Statement Analysis

• SCHNEIDER ELECTRIC INFRA's cash flow from operating activities (CFO) during FY23 stood at Rs 946 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -376 million, an improvement of 48.6% on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -706 million, an improvement of 14% on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs -166 million from the Rs 132 million net cash flows seen during FY22.

SCHNEIDER ELECTRIC INFRA 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	1,204	946	-21.4%
Cash Flow from Investing Activities	Rs m	-253	-376	-
Cash Flow from Financing Activities	Rs m	-818	-706	-
Net Cash Flow	Rs m	132	-166	-

Current Valuations for SCHNEIDER ELECTRIC INFRA

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 5.2, 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 341.1, stands at 61.8 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 59.2 times, while the price to sales ratio stands at 4.6 times.
• The company's price to cash flow (P/CF) ratio stood at 25.4 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	64.0	74.3
TTM Earnings per share	Rs	1.2	5.2
Diluted earnings per share	Rs	1.2	5.2
Price to Cash Flow	x	63.1	25.4
TTM P/E ratio	x	102.5	61.8
Price / Book Value ratio	x	122.8	26.2
Market Cap	Rs m	27,915	36,093
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for SCHNEIDER ELECTRIC INFRA

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.2x during FY23, from 1.1x 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 improved and stood at 3.3x during FY23, from 1.6x 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 declined and down at 89.8% during FY23, from 121.5% 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 33.1% during FY23, from 18.3% 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 13.0% during FY23, from 6.5% 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	1.1	1.2
Debtors’ Days	Days	108	112
Interest coverage	x	1.6	3.3
Debt to equity ratio	x	17.3	2.9
Return on assets	%	6.5	13.0
Return on equity	%	121.5	89.8
Return on capital employed	%	18.3	33.1

To see how SCHNEIDER ELECTRIC INFRA has performed over the last 5 years, please visit here.

SCHNEIDER ELECTRIC INFRA Share Price Performance

Over the last one year, SCHNEIDER ELECTRIC INFRA share price has moved up from Rs 136.4 to Rs 341.1, registering a gain of Rs 204.7 or around 150.1%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 45,016.4 (up 0.2%). Over the last one year it has moved up from 32,224.8 to 45,016.4, a gain of 12,792 points (up 39.7%).

Overall, the S&P BSE SENSEX is up 12.3% over the year.

(To know more, check out historical annual results for SCHNEIDER ELECTRIC INFRA and quarterly results for SCHNEIDER ELECTRIC INFRA)