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SUVEN LIFE SCIENCES 2021-22 Annual Report Analysis
Sat, 20 Aug

SUVEN LIFE SCIENCES 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.

SUVEN LIFE SCIENCES Income Statement Analysis

  • Operating income during the year fell 12.1% on a year-on-year (YoY) basis.
  • The company's operating profit was by NA YoY during the fiscal. Operating profit margins witnessed a growth and stood at 1032.2% in FY22 as against 593.1% in FY21.
  • Depreciation charges increased by 1.1% and finance costs decreased by 28.8% YoY, respectively.
  • Other income declined by 31.4% YoY.
  • Net profit for the year grew by NA YoY.
  • Net profit margins during the year declined from 535.3% in FY21 to 1030.0% in FY22.

SUVEN LIFE SCIENCES Income Statement 2021-22

No. of Mths Year Ending 12 Mar-21* 12 Mar-22* % Change
Net Sales Rs m 135 118 -12.1%
Other income Rs m 78 53 -31.4%
Total Revenues Rs m 212 172 -19.2%
Gross profit Rs m -799 -1,222 NA
Depreciation Rs m 43 44 1.1%
Interest Rs m 9 7 -28.8%
Profit before tax Rs m -775 -1,220 NA
Tax Rs m -53 0 NA
Profit after tax Rs m -722 -1,220 NA
Gross profit margin % -593.1 -1,032.2
Effective tax rate % 6.9 0.0
Net profit margin % -535.3 -1,030.0
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Read Now: We're Bullish on 2 Non-Nifty Stocks

SUVEN LIFE SCIENCES Balance Sheet Analysis

  • The company's current liabilities during FY22 down at Rs 1 billion as compared to Rs 1 billion in FY21, thereby witnessing an decrease of -6.9%.
  • Current assets fell 18% and stood at Rs 2 billion, while fixed assets rose 61% and stood at Rs 414 million in FY22.
  • Overall, the total assets and liabilities for FY22 stood at Rs 2 billion as against Rs 2 billion during FY21, thereby witnessing a fall of 9%.

SUVEN LIFE SCIENCES Balance Sheet as on March 2022

No. of Mths Year Ending 12 Mar-21* 12 Mar-22* % Change
Networth Rs m 711 961 35.3
 
Current Liabilities Rs m 1,098 1,022 -6.9
Long-term Debt Rs m 4 0 -100.0
Total Liabilities Rs m 2,223 2,019 -9.2
 
Current assets Rs m 1,966 1,605 -18.4
Fixed Assets Rs m 257 414 61.0
Total Assets Rs m 2,223 2,019 -9.2
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



SUVEN LIFE SCIENCES Cash Flow Statement Analysis

  • SUVEN LIFE SCIENCES's cash flow from operating activities (CFO) during FY22 stood at Rs -1 billion, an improvement of 32.8% on a YoY basis.
  • Cash flow from investing activities (CFI) during FY22 stood at Rs -222 million on a YoY basis.
  • Cash flow from financial activities (CFF) during FY22 stood at Rs 1 billion, an improvement of 318% on a YoY basis.
  • Overall, net cash flows for the company during FY22 stood at Rs -41 million from the Rs -53 million net cash flows seen during FY21.

SUVEN LIFE SCIENCES 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 -960 -1,275 -
Cash Flow from Investing Activities Rs m 558 -222 -
Cash Flow from Financing Activities Rs m 349 1,457 318.0%
Net Cash Flow Rs m -53 -41 -
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Current Valuations for SUVEN LIFE SCIENCES

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs -8.4, an decline from the EPS of Rs -5.7 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 69.9, stands at -10.2 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 10.6 times, while the price to sales ratio stands at 85.7 times.
  • The company's price to cash flow (P/CF) ratio stood at -12.0 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 1.1 0.8
TTM Earnings per share Rs -5.7 -8.4
Diluted earnings per share Rs -5.0 -8.4
Price to Cash Flow x -15.1 -12.0
TTM P/E ratio x -14.2 -10.2
Price / Book Value ratio x 11.5 14.7
Market Cap Rs m 8,168 14,164
Dividends per share (Unadj.) Rs 0.0 0.0
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Ratio Analysis for SUVEN LIFE SCIENCES

  • Solvency Ratios
  • Current Ratio: The company's current ratio deteriorated and stood at 1.6x during FY22, from 1.8x 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 deteriorated and stood at -181.1x during FY22, from -81.3x 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 declined and down at -126.9% during FY22, from -101.5% 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 declined and down at -126.2% during FY22, from -107.1% 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 declined and down at -60.1% during FY22, from -32.0% 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 1.8 1.6
Debtors’ Days Days 477 400
Interest coverage x -81.3 -181.1
Debt to equity ratio x 0.0 0.0
Return on assets % -32.0 -60.1
Return on equity % -101.5 -126.9
Return on capital employed % -107.1 -126.2
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



To see how SUVEN LIFE SCIENCES has performed over the last 5 years, please visit here.

SUVEN LIFE SCIENCES Share Price Performance

Over the last one year, SUVEN LIFE SCIENCES share price has moved down from Rs 84.2 to Rs 69.9, registering a loss of Rs 14.3 or around 17.0%.

Meanwhile, the S&P BSE HEALTHCARE Index is trading at Rs 22,981.2 (down 1.1%). Over the last one year it has moved down from 25,678.4 to 22,981.2, a loss of 2,697 points (down 10.5%).

Overall, the S&P BSE SENSEX is up 7.2% over the year.

(To know more, check out historical annual results for SUVEN LIFE SCIENCES and quarterly results for SUVEN LIFE SCIENCES)

Annual Report FAQs

What is the current share price of SUVEN LIFE SCIENCES?

SUVEN LIFE SCIENCES currently trades at Rs 99.7 per share. You can check out the latest share price performance of SUVEN LIFE SCIENCES here...

What was the revenue of SUVEN LIFE SCIENCES in FY22? How does it compare to earlier years?

The revenues of SUVEN LIFE SCIENCES stood at Rs 172 m in FY22, which was down -19.2% compared to Rs 212 m reported in FY21.

SUVEN LIFE SCIENCES' revenue has fallen from Rs 6,485 m in FY18 to Rs 172 m in FY22.

Over the past 5 years, the revenue of SUVEN LIFE SCIENCES has grown at a CAGR of -59.7%.

What was the net profit of SUVEN LIFE SCIENCES in FY22? How does it compare to earlier years?

The net loss of SUVEN LIFE SCIENCES stood at Rs -1,220 m in FY22, which was NA compared to Rs -722 m reported in FY21.

This compares to a net loss of Rs -942 m in FY20 and a net loss of Rs -239 m in FY19.

Over the past 5 years, SUVEN LIFE SCIENCES net profit has grown at a CAGR of NaN%.

What does the cash flow statement of SUVEN LIFE SCIENCES reveal?

The cash flow statement is the financial statement that presents the cash inflows and outflows of a company during a given period of time.

This statement is one of the most useful tools for judging a company's liquidity position. The ratios and parameters in this statement helps test a company's financial health.

The cash flow statement of SUVEN LIFE SCIENCES reveals:

  • Cash flow from operations decreased in FY22 and stood at Rs -1,275 m as compared to Rs -960 m in FY21.
  • Cash flow from investments decreased in FY22 and stood at Rs -222 m as compared to Rs 558 m in FY21.
  • Cash flow from financial activity increased in FY22 and stood at Rs 1,457 m as compared to Rs 349 m in FY21.

Here's the cash flow statement of SUVEN LIFE SCIENCES for the past 5 years.

(Rs m)FY18FY19FY20FY21FY22
From Operations699-526-1,346-960-1,275
From Investments-63711,462558-222
From Financial Activity-52145283491,457
Net Cashflow173-177144-53-41

What does the Key Ratio analysis of SUVEN LIFE SCIENCES reveal?

Be it the company's profitability, operations effectiveness or utilization of funds, ratio analysis is an important tool which helps in making investment decisions.

The ratio/financial analysis of SUVEN LIFE SCIENCES reveals:

  • Operating profit margins witnessed a growth and stood at 1032.2% in FY22 as against 593.1% in FY21.
  • Net profit margins declined from 535.3% in FY21 to 1030.0% in FY22.
  • Debt to Equity ratio for FY22 stood at 0.0 as compared to 0.0 in FY21.

Here's the ratio/financial analysis of SUVEN LIFE SCIENCES for the past 5 years.

 FY18FY19FY20FY21FY22
Operating Profit Margin (%)32.3-3.8-802.8-593.1-1,032.2
Net Profit Margin (%)19.8-8.4-653.6-535.3-1,030.0
Debt to Equity Ratio (x)0.00.00.00.00.0

Read: Latest Annual Report Analysis of SUVEN LIFE SCIENCES

 

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