SNOWMAN LOGISTICS 2021-22 Annual Report Analysis

Wed, 7 Sep

SNOWMAN LOGISTICS has announced its results for the year ended March 2022. Let us have a look at the detailed performance review of the company during FY21-22.

SNOWMAN LOGISTICS Income Statement Analysis

• Operating income during the year rose 20.7% on a year-on-year (YoY) basis.
• The company's operating profit increased by 15.8% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 23.9% in FY22 as against 24.9% in FY21.
• Depreciation charges increased by 4.8% and finance costs increased by 8.1% YoY, respectively.
• Other income declined by 43.1% YoY.
• Net profit for the year grew by 2693.3% YoY.
• Net profit margins during the year grew from 0.0% in FY21 to 0.6% in FY22.

SNOWMAN LOGISTICS Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	2,371	2,862	20.7%
Other income	Rs m	94	53	-43.1%
Total Revenues	Rs m	2,465	2,915	18.3%
Gross profit	Rs m	591	685	15.8%
Depreciation	Rs m	490	513	4.8%
Interest	Rs m	171	184	8.1%
Profit before tax	Rs m	24	40	64.6%
Tax	Rs m	24	23	-2.0%
Profit after tax	Rs m	1	17	2,693.3%
Gross profit margin	%	24.9	23.9
Effective tax rate	%	97.5	58.1
Net profit margin	%	0.0	0.6

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SNOWMAN LOGISTICS Balance Sheet Analysis

• The company's current liabilities during FY22 stood at Rs 601 million as compared to Rs 422 million in FY21, thereby witnessing an increase of 42.6%.
• Long-term debt stood at Rs 1 billion as compared to Rs 704 million during FY21, a growth of 52.7%.
• Current assets rose 5% and stood at Rs 1 billion, while fixed assets rose 11% and stood at Rs 6 billion in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 7 billion as against Rs 6 billion during FY21, thereby witnessing a growth of 10%.

SNOWMAN LOGISTICS Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	4,198	4,218	0.5
Current Liabilities	Rs m	422	601	42.6
Long-term Debt	Rs m	704	1,075	52.7
Total Liabilities	Rs m	6,244	6,867	10.0
Current assets	Rs m	1,067	1,124	5.4
Fixed Assets	Rs m	5,178	5,743	10.9
Total Assets	Rs m	6,244	6,867	10.0

SNOWMAN LOGISTICS Cash Flow Statement Analysis

• SNOWMAN LOGISTICS's cash flow from operating activities (CFO) during FY22 stood at Rs 689 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs -994 million, an improvement of 141.1% on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs 167 million, an improvement of 14,031% on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs -139 million from the Rs 296 million net cash flows seen during FY21.

SNOWMAN LOGISTICS Cash Flow Statement 2021-22

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-21	Mar-22
Cash Flow from Operating Activities	Rs m	707	689	-2.6%
Cash Flow from Investing Activities	Rs m	-412	-994	-
Cash Flow from Financing Activities	Rs m	1	167	14,030.5%
Net Cash Flow	Rs m	296	-139	-

Current Valuations for SNOWMAN LOGISTICS

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 0.1, an improvement from the EPS of Rs 0.0 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 38.2, stands at 215.2 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.5 times, while the price to sales ratio stands at 2.2 times.
• The company's price to cash flow (P/CF) ratio stood at 14.2 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*
Sales per share (Unadj.)	Rs	14.2	17.1
TTM Earnings per share	Rs	0.0	0.1
Diluted earnings per share	Rs	0.0	0.1
Price to Cash Flow	x	15.0	14.2
TTM P/E ratio	x	13,351.9	215.2
Price / Book Value ratio	x	1.9	1.8
Market Cap	Rs m	8,016	7,523
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for SNOWMAN LOGISTICS

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 1.9x during FY22, from 2.5x during FY21. 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 1.2x during FY22, from 1.1x during FY21. 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 0.4% during FY22, from 0.0% during FY22. 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 4.2% during FY22, from 4.0% during FY21. 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 2.9% during FY22, from 2.7% during FY21. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*
Current ratio	x	2.5	1.9
Debtors’ Days	Days	808	859
Interest coverage	x	1.1	1.2
Debt to equity ratio	x	0.2	0.3
Return on assets	%	2.7	2.9
Return on equity	%	0.0	0.4
Return on capital employed	%	4.0	4.2

To see how SNOWMAN LOGISTICS has performed over the last 5 years, please visit here.

SNOWMAN LOGISTICS Share Price Performance

Over the last one year, SNOWMAN LOGISTICS share price has moved down from Rs 43.9 to Rs 38.2, registering a loss of Rs 5.8 or around 13.1%.

Overall, the S&P BSE SENSEX is up 1.3% over the year.

(To know more, check out historical annual results for SNOWMAN LOGISTICS and quarterly results for SNOWMAN LOGISTICS)

Read: Latest Annual Report Analysis of SNOWMAN LOGISTICS