SML ISUZU 2021-22 Annual Report Analysis

Mon, 12 Sep

SML ISUZU 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.

SML ISUZU Income Statement Analysis

• Operating income during the year rose 56.4% 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 down at 4.5% in FY22 as against 11.6% in FY21.
• Depreciation charges decreased by 5.7% and finance costs decreased by 7.8% YoY, respectively.
• Other income grew by 21.0% YoY.
• Net profit for the year declined by NA YoY.
• Net profit margins during the year grew from 22.6% in FY21 to 10.8% in FY22.

SML ISUZU Income Statement 2021-22

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Net Sales	Rs m	5,910	9,242	56.4%
Other income	Rs m	49	60	21.0%
Total Revenues	Rs m	5,960	9,301	56.1%
Gross profit	Rs m	-688	-412	NA
Depreciation	Rs m	462	435	-5.7%
Interest	Rs m	233	215	-7.8%
Profit before tax	Rs m	-1,334	-1,003	NA
Tax	Rs m	1	-5	NA
Profit after tax	Rs m	-1,335	-998	NA
Gross profit margin	%	-11.6	-4.5
Effective tax rate	%	-0.1	0.5
Net profit margin	%	-22.6	-10.8

Act Before 11:59pm: Last Day to SAVE 80% on Our Midcap Stocks Research

SML ISUZU Balance Sheet Analysis

• The company's current liabilities during FY22 stood at Rs 6 billion as compared to Rs 4 billion in FY21, thereby witnessing an increase of 34.4%.
• Long-term debt down at Rs 90 million as compared to Rs 469 million during FY21, a fall of 80.7%.
• Current assets rose 16% and stood at Rs 4 billion, while fixed assets fell 9% and stood at Rs 4 billion in FY22.
• Overall, the total assets and liabilities for FY22 stood at Rs 8 billion as against Rs 8 billion during FY21, thereby witnessing a growth of 3%.

SML ISUZU Balance Sheet as on March 2022

No. of Mths Year Ending		12 Mar-21*	12 Mar-22*	% Change
Networth	Rs m	2,556	1,615	-36.8
Current Liabilities	Rs m	4,416	5,934	34.4
Long-term Debt	Rs m	469	90	-80.7
Total Liabilities	Rs m	7,812	8,008	2.5
Current assets	Rs m	3,637	4,205	15.6
Fixed Assets	Rs m	4,175	3,803	-8.9
Total Assets	Rs m	7,812	8,008	2.5

SML ISUZU Cash Flow Statement Analysis

• SML ISUZU's cash flow from operating activities (CFO) during FY22 stood at Rs -186 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY22 stood at Rs -69 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY22 stood at Rs 174 million on a YoY basis.
• Overall, net cash flows for the company during FY22 stood at Rs -81 million from the Rs -146 million net cash flows seen during FY21.

SML ISUZU 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	-467	-186	-
Cash Flow from Investing Activities	Rs m	-282	-69	-
Cash Flow from Financing Activities	Rs m	603	174	-71.1%
Net Cash Flow	Rs m	-146	-81	-

Current Valuations for SML ISUZU

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs -68.9, an improvement from the EPS of Rs -92.3 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 792.4, stands at -17.9 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 7.1 times, while the price to sales ratio stands at 1.2 times.
• The company's price to cash flow (P/CF) ratio stood at -16.4 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	408.5	638.7
TTM Earnings per share	Rs	-92.3	-68.9
Diluted earnings per share	Rs	-92.2	-68.9
Price to Cash Flow	x	-7.5	-16.4
TTM P/E ratio	x	-4.9	-17.9
Price / Book Value ratio	x	2.4	5.7
Market Cap	Rs m	6,125	9,210
Dividends per share (Unadj.)	Rs	0.0	0.0

Ratio Analysis for SML ISUZU

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 0.7x during FY22, from 0.8x 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 improved and stood at -3.7x during FY22, from -4.7x 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 -61.8% during FY22, from -52.2% 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 -46.2% during FY22, from -36.4% 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 -9.8% during FY22, from -14.1% 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	0.8	0.7
Debtors’ Days	Days	242	312
Interest coverage	x	-4.7	-3.7
Debt to equity ratio	x	0.2	0.1
Return on assets	%	-14.1	-9.8
Return on equity	%	-52.2	-61.8
Return on capital employed	%	-36.4	-46.2

To see how SML ISUZU has performed over the last 5 years, please visit here.

SML ISUZU Share Price Performance

Over the last one year, SML ISUZU share price has moved up from Rs 565.0 to Rs 792.4, registering a gain of Rs 227.4 or around 40.3%.

Meanwhile, the S&P BSE AUTO Index is trading at Rs 30,382.4 (up 0.3%). Over the last one year it has moved up from 22,692.8 to 30,382.4, a gain of 7,690 points (up 33.9%).

Overall, the S&P BSE SENSEX is up 3.2% over the year.

(To know more, check out historical annual results for SML ISUZU and quarterly results for SML ISUZU)

Read: Latest Annual Report Analysis of SML ISUZU