THOMAS COOK INDIA 2022-23 Annual Report Analysis

Mon, 7 Aug

THOMAS COOK INDIA 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.

THOMAS COOK INDIA Income Statement Analysis

• Operating income during the year rose 167.3% on a year-on-year (YoY) basis.
• The company's operating profit was by NA YoY during the fiscal. Operating profit margins witnessed a fall and down at 3.5% in FY23 as against 10.1% in FY22.
• Depreciation charges decreased by 3.6% and finance costs increased by 44.8% YoY, respectively.
• Other income grew by 7.0% YoY.
• Net profit for the year declined by NA YoY.
• Net profit margins during the year grew from 13.4% in FY22 to 0.2% in FY23.

THOMAS COOK INDIA Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	18,882	50,477	167.3%
Other income	Rs m	594	636	7.0%
Total Revenues	Rs m	19,477	51,113	162.4%
Gross profit	Rs m	-1,914	1,764	NA
Depreciation	Rs m	1,287	1,240	-3.6%
Interest	Rs m	616	891	44.8%
Profit before tax	Rs m	-3,222	268	NA
Tax	Rs m	-683	165	NA
Profit after tax	Rs m	-2,539	104	NA
Gross profit margin	%	-10.1	3.5
Effective tax rate	%	21.2	61.4
Net profit margin	%	-13.4	0.2

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THOMAS COOK INDIA Balance Sheet Analysis

• The company's current liabilities during FY23 stood at Rs 30 billion as compared to Rs 20 billion in FY22, thereby witnessing an increase of 51.3%.
• Long-term debt stood at Rs 1 billion as compared to Rs 1 billion during FY22, a growth of 11.9%.
• Current assets rose 78% and stood at Rs 24 billion, while fixed assets fell 0% and stood at Rs 30 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 54 billion as against Rs 43 billion during FY22, thereby witnessing a growth of 24%.

THOMAS COOK INDIA Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	16,667	16,865	1.2
Current Liabilities	Rs m	19,783	29,941	51.3
Long-term Debt	Rs m	1,280	1,432	11.9
Total Liabilities	Rs m	43,219	53,715	24.3
Current assets	Rs m	13,451	23,957	78.1
Fixed Assets	Rs m	29,768	29,758	0.0
Total Assets	Rs m	43,219	53,715	24.3

THOMAS COOK INDIA Cash Flow Statement Analysis

• THOMAS COOK INDIA's cash flow from operating activities (CFO) during FY23 stood at Rs 6 billion on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -2 billion, an improvement of 48.7% on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -2 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.

THOMAS COOK INDIA 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	-1,389	6,487	-
Cash Flow from Investing Activities	Rs m	-1,254	-1,864	-
Cash Flow from Financing Activities	Rs m	-848	-2,303	-
Net Cash Flow	Rs m	-3,472	2,390	-

Current Valuations for THOMAS COOK INDIA

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 0.2, an improvement from the EPS of Rs -5.7 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 95.8, stands at 461.6 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 2.7 times, while the price to sales ratio stands at 0.9 times.
• The company's price to cash flow (P/CF) ratio stood at 25.2 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	42.7	107.3
TTM Earnings per share	Rs	-5.7	0.2
Diluted earnings per share	Rs	-5.4	0.2
Price to Cash Flow	x	-25.7	25.2
TTM P/E ratio	x	-12.6	461.6
Price / Book Value ratio	x	1.7	2.0
Market Cap	Rs m	28,096	33,820
Dividends per share (Unadj.)	Rs	0.0	0.4

Ratio Analysis for THOMAS COOK INDIA

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 0.8x during FY23, from 0.7x 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 improved and stood at 1.3x during FY23, from -4.2x 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 improved and stood at 0.6% during FY23, from -15.2% 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 improved and stood at 6.3% during FY23, from -14.5% 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 improved and stood at 1.9% during FY23, from -4.5% 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	0.7	0.8
Debtors’ Days	Days	455	410
Interest coverage	x	-4.2	1.3
Debt to equity ratio	x	0.1	0.1
Return on assets	%	-4.5	1.9
Return on equity	%	-15.2	0.6
Return on capital employed	%	-14.5	6.3

To see how THOMAS COOK INDIA has performed over the last 5 years, please visit here.

THOMAS COOK INDIA Share Price Performance

Over the last one year, THOMAS COOK INDIA share price has moved up from Rs 71.0 to Rs 95.8, registering a gain of Rs 24.8 or around 34.9%.

Overall, the S&P BSE SENSEX is up 13.1% over the year.

(To know more, check out historical annual results for THOMAS COOK INDIA and quarterly results for THOMAS COOK INDIA)