SKF INDIA 2018-19 Annual Report Analysis

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

SKF INDIA 2018-19 Annual Report Analysis
Mon, 16 Dec

SKF INDIA 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.

SKF INDIA Income Statement Analysis

  • Operating income during the year rose 10.3% on a year-on-year (YoY) basis.
  • The company's operating profit increased by 11.7% YoY during the fiscal. Operating profit margins witnessed a fall and down at 16.0% in FY19 as against 15.8% in FY18.
  • Depreciation charges increased by 1.4% and finance costs increased by 54.1% YoY, respectively.
  • Other income grew by 29.5% YoY.
  • Net profit for the year grew by 13.5% YoY.
  • Net profit margins during the year grew from 10.5% in FY18 to 10.7% in FY19.

SKF INDIA Income Statement 2018-19

No. of Mths Year Ending12 Mar-18*12 Mar-19*% Change
Net SalesRs m27,50430,34510.3%
Other incomeRs m71492429.5%
Total RevenuesRs m28,21831,26910.8%
Gross profitRs m4,3484,85911.7%
DepreciationRs m4574641.4%
InterestRs m507754.1%
Profit before taxRs m4,5555,24215.1%
TaxRs m1,5961,88418.1%
Profit after taxRs m2,9593,35813.5%
Gross profit margin%15.816.0
Effective tax rate%35.035.9
Net profit margin%10.510.7
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



Launched! Equitymaster's Biggest Wealth Creating Project Ever. Full Details Here...

SKF INDIA Balance Sheet Analysis

  • The company's current liabilities during FY19 down at Rs 6 billion as compared to Rs 6 billion in FY18, thereby witnessing an decrease of -1.9%.
  • Current assets fell 10% and stood at Rs 17 billion, while fixed assets rose 5% and stood at Rs 3 billion in FY19.
  • Overall, the total assets and liabilities for FY19 stood at Rs 23 billion as against Rs 24 billion during FY18, thereby witnessing a fall of 6%.

SKF INDIA Balance Sheet as on March 2019

No. of Mths Year Ending12 Mar-18*12 Mar-19*% Change
NetworthRs m18,37316,969-7.6
 
Current LiabilitiesRs m5,7845,674-1.9
Long-term DebtRs m000.0
Total LiabilitiesRs m24,43822,967-6.0
 
Current assetsRs m18,93117,113-9.6
Fixed AssetsRs m 3,3003,4634.9
Total AssetsRs m24,43822,967-6.0
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



SKF INDIA Cash Flow Statement Analysis

  • SKF INDIA's cash flow from operating activities (CFO) during FY19 stood at Rs 2 billion on a YoY basis.
  • Cash flow from investing activities (CFI) during FY19 stood at Rs 3 billion on a YoY basis.
  • Cash flow from financial activities (CFF) during FY19 stood at Rs -5 billion on a YoY basis.
  • Overall, net cash flows for the company during FY19 stood at Rs 109 million from the Rs -1 billion net cash flows seen during FY18.

SKF INDIA Cash Flow Statement 2018-19

ParticularsNo. of months1212% Change
Year EndingMar-18Mar-19
Cash Flow from Operating ActivitiesRs m3,6721,810-50.7%
Cash Flow from Investing ActivitiesRs m-2,6493,064-
Cash Flow from Financing ActivitiesRs m-2,253-4,765-
Net Cash FlowRs m-1,230109-
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



Current Valuations for SKF INDIA

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs 67.9, an improvement from the EPS of Rs 57.7 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 2,128.4, stands at 33.7 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 5.3 times, while the price to sales ratio stands at 3.0 times.
  • The company's price to cash flow (P/CF) ratio stood at 29.4 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending12 Mar-18*12 Mar-19*
Sales per share (Unadj.)Rs536.1613.8
TTM Earnings per shareRs57.767.9
Diluted earnings per shareRs56.163.7
Price to Cash Flow x32.029.4
TTM P/E ratiox32.833.7
Price / Book Value ratiox4.95.3
Market CapRs m109,187112,231
Dividends per share (Unadj.)Rs12.012.0
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



Ratio Analysis for SKF INDIA

  • Solvency Ratios
  • Current Ratio: The company's current ratio deteriorated and stood at 3.0x during FY19, from 3.3x 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 69.4x during FY19, from 92.6x 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 improved and stood at 19.8% during FY19, from 16.1% 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 improved and stood at 31.3% during FY19, from 25.1% 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 improved and stood at 15.0% during FY19, from 12.3% during FY18. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending12 Mar-18*12 Mar-19*
Current ratiox3.33.0
Debtors’ DaysDays6563
Interest coveragex92.669.4
Debt to equity ratiox0.00.0
Return on assets%12.315.0
Return on equity%16.119.8
Return on capital employed%25.131.3
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



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

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

Equitymaster requests your view! Post a comment on "SKF INDIA 2018-19 Annual Report Analysis". Click here!

  

Related Views on News

SKF INDIA Announces Quarterly Results (3QFY20); Net Profit Down 42.1% (Quarterly Result Update)

Feb 7, 2020 | Updated on Feb 7, 2020

For the quarter ended December 2019, SKF INDIA has posted a net profit of Rs 512 m (down 42.1% YoY). Sales on the other hand came in at Rs 7 bn (down 7.9% YoY). Read on for a complete analysis of SKF INDIA's quarterly results.

SKF INDIA Announces Quarterly Results (2QFY20); Net Profit Up 0.4% (Quarterly Result Update)

Nov 6, 2019 | Updated on Nov 6, 2019

For the quarter ended September 2019, SKF INDIA has posted a net profit of Rs 846 m (up 0.4% YoY). Sales on the other hand came in at Rs 7 bn (down 2.5% YoY). Read on for a complete analysis of SKF INDIA's quarterly results.

SKF INDIA 2017-18 Annual Report Analysis (Annual Result Update)

Aug 14, 2018 | Updated on Aug 14, 2018

Here's an analysis of the annual report of SKF INDIA for 2017-18. It includes a full income statement, balance sheet and cash flow analysis of SKF INDIA. Also includes updates on the valuation of SKF INDIA.

Sandhar Technologies IPO: Worth Betting on This Automotive Component Manufacturer? (IPO)

Mar 17, 2018

Should you subscribe to the IPO of Sandhar Technologies Ltd?

More Views on News

Most Popular

Buy this 'Crorepati Stock' and You Could End Up Stinking Rich(Profit Hunter)

Feb 5, 2020

I'm talking about an individual small cap stock that could go up so many times that they make their investors stinking rich in the process. You definitely want to know more...

This Smallcap Stock Could be the Next Titan (Up 1,400% in 10 Years)(Profit Hunter)

Feb 11, 2020

A blueprint to latch on to the next 'Crorepati' stock - and an event I hope you won't miss on any account.

Will Your Trade Go Up or Down Today?(Fast Profits Daily)

Feb 5, 2020

How you can find out which way your trade is likely to move on any given trading day.

Will Algo Traders Take Away All Your Profits?(Fast Profits Daily)

Feb 11, 2020

How to fight back against algo trading systems.

No Change in My Long-Term View on the Rebirth of India Stocks(The 5 Minute Wrapup)

Feb 6, 2020

Why the recent post budget volatility has not affected my bullish view on the Rebirth of India stocks.

More

India's #1 Trader
Reveals His Secrets

Secret To Increasing Your Trading Profits Today
Get our special report, Secret to Increasing Your Trading Profits Today Now!
We will never sell or rent your email id.
Please read our Terms

TRACK SKF INDIA

  • Track your investment in SKF INDIA with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
  • Add To MyStocks

SKF INDIA 8-QTR ANALYSIS

COMPARE SKF INDIA WITH

MARKET STATS