SHIVALIK RASAYAN 2022-23 Annual Report Analysis

Wed, 28 Feb

SHIVALIK RASAYAN 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.

SHIVALIK RASAYAN Income Statement Analysis

• Operating income during the year rose 9.2% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 8.2% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 18.5% in FY23 as against 22.0% in FY22.
• Depreciation charges increased by 5.4% and finance costs increased by 58.2% YoY, respectively.
• Other income grew by 25.7% YoY.
• Net profit for the year declined by 12.9% YoY.
• Net profit margins during the year declined from 16.0% in FY22 to 12.7% in FY23.

SHIVALIK RASAYAN Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	2,147	2,344	9.2%
Other income	Rs m	37	47	25.7%
Total Revenues	Rs m	2,185	2,391	9.5%
Gross profit	Rs m	473	434	-8.2%
Depreciation	Rs m	110	116	5.4%
Interest	Rs m	31	48	58.2%
Profit before tax	Rs m	370	317	-14.3%
Tax	Rs m	27	18	-32.4%
Profit after tax	Rs m	343	298	-12.9%
Gross profit margin	%	22.0	18.5
Effective tax rate	%	7.3	5.8
Net profit margin	%	16.0	12.7

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

SHIVALIK RASAYAN Balance Sheet Analysis

• The company's current liabilities during FY23 stood at Rs 1 billion as compared to Rs 1 billion in FY22, thereby witnessing an increase of 26.9%.
• Long-term debt stood at Rs 130 million as compared to Rs 84 million during FY22, a growth of 55.3%.
• Current assets rose 9% and stood at Rs 3 billion, while fixed assets rose 22% and stood at Rs 3 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 6 billion as against Rs 5 billion during FY22, thereby witnessing a growth of 18%.

SHIVALIK RASAYAN Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	2,775	3,449	24.3
Current Liabilities	Rs m	1,132	1,436	26.9
Long-term Debt	Rs m	84	130	55.3
Total Liabilities	Rs m	4,870	5,751	18.1
Current assets	Rs m	2,399	2,616	9.0
Fixed Assets	Rs m	2,317	2,830	22.2
Total Assets	Rs m	4,870	5,751	18.1

SHIVALIK RASAYAN Cash Flow Statement Analysis

• SHIVALIK RASAYAN's cash flow from operating activities (CFO) during FY23 stood at Rs -189 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -708 million, an improvement of 203.0% on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs 496 million on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs -401 million from the Rs 660 million net cash flows seen during FY22.

SHIVALIK RASAYAN 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	111	-189	-
Cash Flow from Investing Activities	Rs m	-234	-708	-
Cash Flow from Financing Activities	Rs m	782	496	-36.5%
Net Cash Flow	Rs m	660	-401	-

Current Valuations for SHIVALIK RASAYAN

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 20.6, an decline from the EPS of Rs 23.6 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 672.4, stands at 35.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 3.0 times, while the price to sales ratio stands at 4.2 times.
• The company's price to cash flow (P/CF) ratio stood at 30.1 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	148.2	161.8
TTM Earnings per share	Rs	23.6	20.6
Diluted earnings per share	Rs	22.0	19.2
Price to Cash Flow	x	32.1	30.1
TTM P/E ratio	x	42.4	35.1
Price / Book Value ratio	x	4.8	3.6
Market Cap	Rs m	13,389	12,467
Dividends per share (Unadj.)	Rs	0.5	0.5

Ratio Analysis for SHIVALIK RASAYAN

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.8x 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 7.5x during FY23, from 13.1x 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 8.6% during FY23, from 12.3% 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 declined and down at 10.2% during FY23, from 14.0% 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 6.0% during FY23, from 7.7% 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	1.8
Debtors’ Days	Days	1,190	1,320
Interest coverage	x	13.1	7.5
Debt to equity ratio	x	0.0	0.0
Return on assets	%	7.7	6.0
Return on equity	%	12.3	8.6
Return on capital employed	%	14.0	10.2

To see how SHIVALIK RASAYAN has performed over the last 5 years, please visit here.

SHIVALIK RASAYAN Share Price Performance

Over the last one year, SHIVALIK RASAYAN share price has moved down from Rs 932.9 to Rs 672.4, registering a loss of Rs 260.5 or around 27.9%.

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

(To know more, check out historical annual results for SHIVALIK RASAYAN and quarterly results for SHIVALIK RASAYAN)