SOLARA ACTIVE PHARMA SCIENCES 2020-21 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?  

SOLARA ACTIVE PHARMA SCIENCES 2020-21 Annual Report Analysis
Fri, 22 Oct

SOLARA ACTIVE PHARMA SCIENCES has announced its results for the year ended March 2021. Let us have a look at the detailed performance review of the company during FY20-21.

SOLARA ACTIVE PHARMA SCIENCES Income Statement Analysis

  • Operating income during the year rose 22.3% on a year-on-year (YoY) basis.
  • The company's operating profit increased by 48.7% YoY during the fiscal. Operating profit margins witnessed a fall and down at 23.9% in FY21 as against 19.6% in FY20.
  • Depreciation charges increased by 15.4% and finance costs increased by 8.5% YoY, respectively.
  • Other income grew by 4.5% YoY.
  • Net profit for the year grew by 93.3% YoY.
  • Net profit margins during the year grew from 8.5% in FY20 to 13.5% in FY21.

SOLARA ACTIVE PHARMA SCIENCES Income Statement 2020-21

No. of Mths Year Ending 12 Mar-20* 12 Mar-21* % Change
Net Sales Rs m 13,218 16,169 22.3%
Other income Rs m 275 288 4.5%
Total Revenues Rs m 13,493 16,457 22.0%
Gross profit Rs m 2,594 3,859 48.7%
Depreciation Rs m 942 1,087 15.4%
Interest Rs m 779 845 8.5%
Profit before tax Rs m 1,149 2,215 92.8%
Tax Rs m 4 2 -61.5%
Profit after tax Rs m 1,145 2,214 93.3%
Gross profit margin % 19.6 23.9
Effective tax rate % 0.3 0.1
Net profit margin % 8.5 13.5
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Lazy Millionaire: The Master Key to Potentially Double Money EVERY 4 Years

SOLARA ACTIVE PHARMA SCIENCES Balance Sheet Analysis

  • The company's current liabilities during FY21 stood at Rs 8 billion as compared to Rs 7 billion in FY20, thereby witnessing an increase of 8.1%.
  • Long-term debt down at Rs 2 billion as compared to Rs 2 billion during FY20, a fall of 33.5%.
  • Current assets rose 57% and stood at Rs 11 billion, while fixed assets rose 3% and stood at Rs 15 billion in FY21.
  • Overall, the total assets and liabilities for FY21 stood at Rs 26 billion as against Rs 22 billion during FY20, thereby witnessing a growth of 20%.

SOLARA ACTIVE PHARMA SCIENCES Balance Sheet as on March 2021

No. of Mths Year Ending 12 Mar-20* 12 Mar-21* % Change
Networth Rs m 9,852 15,847 60.9
 
Current Liabilities Rs m 7,299 7,888 8.1
Long-term Debt Rs m 2,327 1,548 -33.5
Total Liabilities Rs m 21,534 25,880 20.2
 
Current assets Rs m 6,720 10,576 57.4
Fixed Assets Rs m 14,814 15,303 3.3
Total Assets Rs m 21,534 25,880 20.2
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



SOLARA ACTIVE PHARMA SCIENCES Cash Flow Statement Analysis

  • SOLARA ACTIVE PHARMA SCIENCES's cash flow from operating activities (CFO) during FY21 stood at Rs 2 billion on a YoY basis.
  • Cash flow from investing activities (CFI) during FY21 stood at Rs -1 billion on a YoY basis.
  • Cash flow from financial activities (CFF) during FY21 stood at Rs 925 million on a YoY basis.
  • Overall, net cash flows for the company during FY21 stood at Rs 1 billion from the Rs -197 million net cash flows seen during FY20.

SOLARA ACTIVE PHARMA SCIENCES Cash Flow Statement 2020-21

Particulars No. of months 12 12 % Change
Year Ending Mar-20 Mar-21
Cash Flow from Operating Activities Rs m 2,422 1,555 -35.8%
Cash Flow from Investing Activities Rs m -3,588 -1,063 -
Cash Flow from Financing Activities Rs m 970 925 -4.6%
Net Cash Flow Rs m -197 1,417 -
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Current Valuations for SOLARA ACTIVE PHARMA SCIENCES

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs 61.6, an improvement from the EPS of Rs 42.6 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 1,335.2, stands at 20.9 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 2.3 times, while the price to sales ratio stands at 2.3 times.
  • The company's price to cash flow (P/CF) ratio stood at 14.5 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending 12 Mar-20* 12 Mar-21*
Sales per share (Unadj.) Rs 492.1 450.0
TTM Earnings per share Rs 42.6 61.6
Diluted earnings per share Rs 31.9 61.6
Price to Cash Flow x 17.2 14.5
TTM P/E ratio x 15.6 20.9
Price / Book Value ratio x 1.4 2.3
Market Cap Rs m 35,856 47,972
Dividends per share (Unadj.) Rs 2.0 7.0
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Ratio Analysis for SOLARA ACTIVE PHARMA SCIENCES

  • Solvency Ratios
  • Current Ratio: The company's current ratio improved and stood at 1.3x during FY21, from 0.9x during FY20. 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 3.6x during FY21, from 2.5x during FY20. 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 14.0% during FY21, from 11.6% during FY21. 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 17.6% during FY21, from 15.8% during FY20. 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 11.8% during FY21, from 8.9% during FY20. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending 12 Mar-20* 12 Mar-21*
Current ratio x 0.9 1.3
Debtors’ Days Days 6 11
Interest coverage x 2.5 3.6
Debt to equity ratio x 0.2 0.1
Return on assets % 8.9 11.8
Return on equity % 11.6 14.0
Return on capital employed % 15.8 17.6
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



To see how SOLARA ACTIVE PHARMA SCIENCES has performed over the last 5 years, please visit here.

SOLARA ACTIVE PHARMA SCIENCES Share Price Performance

Over the last one year, SOLARA ACTIVE PHARMA SCIENCES share price has moved up from Rs 1,137.2 to Rs 1,335.2, registering a gain of Rs 198.0 or around 17.4%.

Meanwhile, the S&P BSE HEALTHCARE Index is trading at Rs 25,072.5 (down 1.6%). Over the last one year it has moved up from 19,670.6 to 25,072.5, a gain of 5,402 points (up 27.5%).

Overall, the S&P BSE SENSEX is up 50.0% over the year.

(To know more, check out historical annual results for SOLARA ACTIVE PHARMA SCIENCES and quarterly results for SOLARA ACTIVE PHARMA SCIENCES)

Equitymaster requests your view! Post a comment on "SOLARA ACTIVE PHARMA SCIENCES 2020-21 Annual Report Analysis". Click here!

  

Related Views on News

SOLARA ACTIVE PHARMA SCIENCES Announces Quarterly Results (1QFY22); Net Profit Up 18.5% (Quarterly Result Update)

Aug 5, 2021 | Updated on Aug 5, 2021

For the quarter ended June 2021, SOLARA ACTIVE PHARMA SCIENCES has posted a net profit of Rs 501 m (up 18.5% YoY). Sales on the other hand came in at Rs 4 bn (up 16.4% YoY). Read on for a complete analysis of SOLARA ACTIVE PHARMA SCIENCES's quarterly results.

More Views on News

Most Popular

India's Best Semiconductor Stocks(Views On News)

Jan 7, 2022

Modern wars are fought with semiconductors. India's best semiconductor stocks have big tailwinds from defence and manufacturing.

10 Indian Companies with the Fastest Growth in Dividend Payouts...(Views On News)

Jan 10, 2022

These companies have been consistently paying higher dividends for several years.

Tata Steel vs SAIL: Which Stock is Better?(Views On News)

Jan 13, 2022

With government initiatives set to boost the steel sector, find out who has a better chance of coming out on top.

Looking for Consistent Compounding Stocks? Here's a Watchlist for You(Views On News)

Jan 6, 2022

These companies have generated mind boggling returns for investors over the years.

Watch Out for these 4 Indian Companies Betting Big on EV Supply Chain(Views On News)

Jan 11, 2022

The upside in supply chain players could be huge but a delay in the transition to EVs, or any policy related hiccups could end the momentum.

More

Become A Smarter Investor
In Just 5 Minutes

Multibagger Stock Guide 2022
Get our special report Multibagger Stocks Guide (2022 Edition) Now!
We will never sell or rent your email id.
Please read our Terms

TRACK SOLARA ACTIVE PHARMA SCIENCES

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

MORE ON SOLARA ACTIVE PHARMA SCIENCES

SOLARA ACTIVE PHARMA SCIENCES 8-QTR ANALYSIS

COMPARE SOLARA ACTIVE PHARMA SCIENCES WITH

MARKET STATS