TANLA PLATFORMS 2022-23 Annual Report Analysis

Thu, 17 Aug

TANLA PLATFORMS has announced its results for the year ended March 2023. Let us have a look at the detailed performance review of the company during FY22-23.

TANLA PLATFORMS Income Statement Analysis

• Operating income during the year rose 4.6% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 15.9% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 17.6% in FY23 as against 21.9% in FY22.
• Depreciation charges increased by 13.0% and finance costs increased by 14.4% YoY, respectively.
• Other income grew by 62.5% YoY.
• Net profit for the year declined by 17.0% YoY.
• Net profit margins during the year declined from 16.8% in FY22 to 13.3% in FY23.

TANLA PLATFORMS Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	32,060	33,546	4.6%
Other income	Rs m	161	262	62.5%
Total Revenues	Rs m	32,221	33,808	4.9%
Gross profit	Rs m	7,019	5,901	-15.9%
Depreciation	Rs m	409	462	13.0%
Interest	Rs m	31	35	14.4%
Profit before tax	Rs m	6,741	5,666	-15.9%
Tax	Rs m	1,348	1,190	-11.8%
Profit after tax	Rs m	5,393	4,476	-17.0%
Gross profit margin	%	21.9	17.6
Effective tax rate	%	20.0	21.0
Net profit margin	%	16.8	13.3

Download Now: 7 Unstoppable Growth Engines of India's $10 Trillion Bull Run...

TANLA PLATFORMS Balance Sheet Analysis

• The company's current liabilities during FY23 down at Rs 8 billion as compared to Rs 10 billion in FY22, thereby witnessing an decrease of -16.0%.
• Current assets fell 8% and stood at Rs 17 billion, while fixed assets rose 39% and stood at Rs 6 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 24 billion as against Rs 23 billion during FY22, thereby witnessing a growth of 1%.

TANLA PLATFORMS Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	13,450	14,915	10.9
Current Liabilities	Rs m	9,750	8,187	-16.0
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	23,421	23,763	1.5
Current assets	Rs m	18,817	17,348	-7.8
Fixed Assets	Rs m	4,604	6,415	39.3
Total Assets	Rs m	23,421	23,763	1.5

TANLA PLATFORMS Cash Flow Statement Analysis

• TANLA PLATFORMS's cash flow from operating activities (CFO) during FY23 stood at Rs 2 billion on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -696 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -3 billion on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs -2 billion from the Rs 3 billion net cash flows seen during FY22.

TANLA PLATFORMS Cash Flow Statement 2022-23

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-22	Mar-23
Cash Flow from Operating Activities	Rs m	4,864	2,467	-49.3%
Cash Flow from Investing Activities	Rs m	-1,109	-696	-
Cash Flow from Financing Activities	Rs m	-974	-3,278	-
Net Cash Flow	Rs m	2,781	-1,507	-

Current Valuations for TANLA PLATFORMS

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 33.3, an decline from the EPS of Rs 39.7 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 1,100.1, stands at 30.6 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 9.9 times, while the price to sales ratio stands at 4.4 times.
• The company's price to cash flow (P/CF) ratio stood at 29.2 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*
Sales per share (Unadj.)	Rs	236.2	249.6
TTM Earnings per share	Rs	39.7	33.3
Diluted earnings per share	Rs	40.1	33.3
Price to Cash Flow	x	35.4	29.2
TTM P/E ratio	x	38.1	30.6
Price / Book Value ratio	x	14.3	9.7
Market Cap	Rs m	192,039	144,097
Dividends per share (Unadj.)	Rs	2.0	10.0

Ratio Analysis for TANLA PLATFORMS

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 2.1x during FY23, from 1.9x during FY22. 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 162.0x during FY23, from 220.2x during FY22. 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 30.0% during FY23, from 40.1% during FY23. 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 38.2% during FY23, from 50.3% during FY22. 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 19.0% during FY23, from 23.2% during FY22. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*
Current ratio	x	1.9	2.1
Debtors’ Days	Days	638	620
Interest coverage	x	220.2	162.0
Debt to equity ratio	x	0.0	0.0
Return on assets	%	23.2	19.0
Return on equity	%	40.1	30.0
Return on capital employed	%	50.3	38.2

To see how TANLA PLATFORMS has performed over the last 5 years, please visit here.

TANLA PLATFORMS Share Price Performance

Over the last one year, TANLA PLATFORMS share price has moved up from Rs 751.9 to Rs 1,100.1, registering a gain of Rs 348.2 or around 46.3%.

Meanwhile, the S&P BSE IT Index is trading at Rs 31,366.6 (down 0.3%). Over the last one year it has moved up from 30,745.5 to 31,366.6, a gain of 621 points (up 2.0%).

Overall, the S&P BSE SENSEX is up 8.9% over the year.

(To know more, check out historical annual results for TANLA PLATFORMS and quarterly results for TANLA PLATFORMS)