SANGHVI MOVERS 2018-19 Annual Report Analysis

Thu, 19 Sep

SANGHVI MOVERS has announced its results for the year ended March 2019. Let us have a look at the detailed performance review of the company during FY18-19.

SANGHVI MOVERS Income Statement Analysis

• Operating income during the year rose 23.6% on a year-on-year (YoY) basis.
• The company's operating profit increased by 6.9% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 31.6% in FY19 as against 36.6% in FY18.
• Depreciation charges increased by 3.0% and finance costs decreased by 13.1% YoY, respectively.
• Other income declined by 35.9% YoY.
• Net profit for the year grew by 1.0% YoY.
• Net profit margins during the year grew from 23.1% in FY18 to 19.7% in FY19.

SANGHVI MOVERS Income Statement 2018-19

SANGHVI MOVERS Balance Sheet Analysis

• The company's current liabilities during FY19 stood at Rs 2 billion as compared to Rs 1 billion in FY18, thereby witnessing an increase of 10.4%.
• Long-term debt down at Rs 3 billion as compared to Rs 5 billion during FY18, a fall of 28.6%.
• Current assets fell 32% and stood at Rs 1 billion, while fixed assets fell 12% and stood at Rs 11 billion in FY19.
• Overall, the total assets and liabilities for FY19 stood at Rs 12 billion as against Rs 14 billion during FY18, thereby witnessing a fall of 14%.

SANGHVI MOVERS Balance Sheet as on March 2019

SANGHVI MOVERS Cash Flow Statement Analysis

• SANGHVI MOVERS's cash flow from operating activities (CFO) during FY19 stood at Rs 1 billion, an improvement of 1.1% on a YoY basis.
• Cash flow from investing activities (CFI) during FY19 stood at Rs 191 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY19 stood at Rs -1 billion on a YoY basis.
• Overall, net cash flows for the company during FY19 stood at Rs 18 million from the Rs 1 million net cash flows seen during FY18.

SANGHVI MOVERS Cash Flow Statement 2018-19

Current Valuations for SANGHVI MOVERS

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs -13.4, an decline from the EPS of Rs -13.3 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 89.7, stands at -7.7 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 0.9 times, while the price to sales ratio stands at 2.3 times.
• The company's price to cash flow (P/CF) ratio stood at 4.7 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

Ratio Analysis for SANGHVI MOVERS

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 0.8x during FY19, from 1.3x during FY18. 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 -0.8x during FY19, from -0.6x during FY18. 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 -7.9% during FY19, from -7.3% during FY19. 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 -3.6% during FY19, from -2.7% during FY18. 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 -0.8% during FY19, from -0.2% during FY18. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

To see how SANGHVI MOVERS has performed over the last 5 years, please visit here.

SANGHVI MOVERS Share Price Performance

Over the last one year, SANGHVI MOVERS share price has moved down from Rs 132.9 to Rs 89.7, registering a loss of Rs 43.2 or around 32.5%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 16,779.3 (down 1.1%). Over the last one year it has moved down from 18,168.6 to 16,779.3, a loss of 1,389 points (down 7.6%).

Overall, the S&P BSE SENSEX is down 2.8% over the year.

(To know more, check out historical annual results for SANGHVI MOVERS and quarterly results for SANGHVI MOVERS)