TANEJA AERO. 2022-23 Annual Report Analysis

Mon, 26 Feb

TANEJA AERO. 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.

TANEJA AERO. Income Statement Analysis

• Operating income during the year rose 2.1% on a year-on-year (YoY) basis.
• The company's operating profit increased by 59.2% YoY during the fiscal. Operating profit margins witnessed a fall and down at 57.1% in FY23 as against 36.6% in FY22.
• Depreciation charges decreased by 8.2% and finance costs decreased by 29.7% YoY, respectively.
• Other income grew by 76.3% YoY.
• Net profit for the year grew by 101.0% YoY.
• Net profit margins during the year grew from 17.5% in FY22 to 34.5% in FY23.

TANEJA AERO. Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	312	319	2.1%
Other income	Rs m	8	14	76.3%
Total Revenues	Rs m	320	332	3.9%
Gross profit	Rs m	114	182	59.2%
Depreciation	Rs m	32	30	-8.2%
Interest	Rs m	9	7	-29.7%
Profit before tax	Rs m	81	160	98.3%
Tax	Rs m	26	50	92.5%
Profit after tax	Rs m	55	110	101.0%
Gross profit margin	%	36.6	57.1
Effective tax rate	%	32.1	31.2
Net profit margin	%	17.5	34.5

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TANEJA AERO. Balance Sheet Analysis

• The company's current liabilities during FY23 down at Rs 103 million as compared to Rs 107 million in FY22, thereby witnessing an decrease of -3.8%.
• Current assets rose 70% and stood at Rs 223 million, while fixed assets rose 1% and stood at Rs 1 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 1 billion as against Rs 1 billion during FY22, thereby witnessing a growth of 2%.

TANEJA AERO. Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	1,086	1,096	0.9
Current Liabilities	Rs m	107	103	-3.8
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	1,266	1,297	2.4
Current assets	Rs m	131	223	70.0
Fixed Assets	Rs m	1,066	1,074	0.8
Total Assets	Rs m	1,266	1,297	2.4

TANEJA AERO. Cash Flow Statement Analysis

• TANEJA AERO.'s cash flow from operating activities (CFO) during FY23 stood at Rs 159 million, an improvement of 63.4% on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs 27 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -130 million on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs 56 million from the Rs -16 million net cash flows seen during FY22.

TANEJA AERO. 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	97	159	63.4%
Cash Flow from Investing Activities	Rs m	-42	27	-
Cash Flow from Financing Activities	Rs m	-71	-130	-
Net Cash Flow	Rs m	-16	56	-

Current Valuations for TANEJA AERO.

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 4.4, an improvement from the EPS of Rs 2.2 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 130.5, stands at 29.6 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 3.0 times, while the price to sales ratio stands at 10.2 times.
• The company's price to cash flow (P/CF) ratio stood at 23.3 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	12.5	12.8
TTM Earnings per share	Rs	2.2	4.4
Diluted earnings per share	Rs	2.2	4.4
Price to Cash Flow	x	31.6	23.3
TTM P/E ratio	x	50.2	29.6
Price / Book Value ratio	x	2.2	3.0
Market Cap	Rs m	2,443	3,243
Dividends per share (Unadj.)	Rs	2.5	4.0

Ratio Analysis for TANEJA AERO.

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 2.2x during FY23, from 1.2x 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 25.1x during FY23, from 9.5x 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 10.0% during FY23, from 5.0% 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 15.2% during FY23, from 8.3% 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 improved and stood at 9.0% during FY23, from 5.1% 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	1.2	2.2
Debtors’ Days	Days	834	665
Interest coverage	x	9.5	25.1
Debt to equity ratio	x	0.0	0.0
Return on assets	%	5.1	9.0
Return on equity	%	5.0	10.0
Return on capital employed	%	8.3	15.2

To see how TANEJA AERO. has performed over the last 5 years, please visit here.

TANEJA AERO. Share Price Performance

Over the last one year, TANEJA AERO. share price has moved up from Rs 110.2 to Rs 130.5, registering a gain of Rs 20.4 or around 18.5%.

Overall, the S&P BSE SENSEX is up 1.8% over the year.

(To know more, check out historical annual results for TANEJA AERO. and quarterly results for TANEJA AERO.)