ULTRAMARINE PIG 2022-23 Annual Report Analysis

Wed, 28 Jun

ULTRAMARINE PIG 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.

ULTRAMARINE PIG Income Statement Analysis

• Operating income during the year rose 13.5% on a year-on-year (YoY) basis.
• The company's operating profit increased by 20.5% YoY during the fiscal. Operating profit margins witnessed a fall and down at 18.2% in FY23 as against 17.1% in FY22.
• Depreciation charges increased by 42.0% and finance costs increased by 39.1% YoY, respectively.
• Other income grew by 27.2% YoY.
• Net profit for the year grew by 18.7% YoY.
• Net profit margins during the year grew from 11.9% in FY22 to 12.4% in FY23.

ULTRAMARINE PIG Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	4,904	5,566	13.5%
Other income	Rs m	91	115	27.2%
Total Revenues	Rs m	4,995	5,682	13.7%
Gross profit	Rs m	841	1,013	20.5%
Depreciation	Rs m	119	169	42.0%
Interest	Rs m	36	51	39.1%
Profit before tax	Rs m	776	909	17.1%
Tax	Rs m	193	217	12.5%
Profit after tax	Rs m	583	692	18.7%
Gross profit margin	%	17.1	18.2
Effective tax rate	%	24.9	23.9
Net profit margin	%	11.9	12.4

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ULTRAMARINE PIG Balance Sheet Analysis

• The company's current liabilities during FY23 stood at Rs 914 million as compared to Rs 811 million in FY22, thereby witnessing an increase of 12.8%.
• Long-term debt stood at Rs 548 million as compared to Rs 415 million during FY22, a growth of 31.9%.
• Current assets rose 13% and stood at Rs 3 billion, while fixed assets fell 17% and stood at Rs 7 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 10 billion as against Rs 11 billion during FY22, thereby witnessing a fall of 11%.

ULTRAMARINE PIG Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	8,595	7,356	-14.4
Current Liabilities	Rs m	811	914	12.8
Long-term Debt	Rs m	415	548	31.9
Total Liabilities	Rs m	10,724	9,594	-10.5
Current assets	Rs m	2,258	2,561	13.4
Fixed Assets	Rs m	8,466	7,034	-16.9
Total Assets	Rs m	10,724	9,594	-10.5

ULTRAMARINE PIG Cash Flow Statement Analysis

• ULTRAMARINE PIG's cash flow from operating activities (CFO) during FY23 stood at Rs 590 million, an improvement of 103.0% on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -546 million on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -23 million, an improvement of 66% on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs 21 million from the Rs -404 million net cash flows seen during FY22.

ULTRAMARINE PIG 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	291	590	103.0%
Cash Flow from Investing Activities	Rs m	-628	-546	-
Cash Flow from Financing Activities	Rs m	-67	-23	-
Net Cash Flow	Rs m	-404	21	-

Current Valuations for ULTRAMARINE PIG

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 23.7, an improvement from the EPS of Rs 20.0 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 333.4, stands at 14.1 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.3 times, while the price to sales ratio stands at 1.7 times.
• The company's price to cash flow (P/CF) ratio stood at 11.9 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	168.0	190.6
TTM Earnings per share	Rs	20.0	23.7
Diluted earnings per share	Rs	20.0	23.7
Price to Cash Flow	x	13.5	11.9
TTM P/E ratio	x	16.3	14.1
Price / Book Value ratio	x	1.4	1.4
Market Cap	Rs m	11,719	10,285
Dividends per share (Unadj.)	Rs	5.0	5.0

Ratio Analysis for ULTRAMARINE PIG

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 2.8x during FY23, from 2.8x 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 19.0x during FY23, from 22.3x 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 9.4% during FY23, from 6.8% 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 12.1% during FY23, from 9.0% 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 7.7% during FY23, from 5.8% 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	2.8	2.8
Debtors’ Days	Days	293	290
Interest coverage	x	22.3	19.0
Debt to equity ratio	x	0.0	0.1
Return on assets	%	5.8	7.7
Return on equity	%	6.8	9.4
Return on capital employed	%	9.0	12.1

To see how ULTRAMARINE PIG has performed over the last 5 years, please visit here.

ULTRAMARINE PIG Share Price Performance

Over the last one year, ULTRAMARINE PIG share price has moved up from Rs 299.9 to Rs 333.4, registering a gain of Rs 33.5 or around 11.2%.

Overall, the S&P BSE SENSEX is up 20.2% over the year.

(To know more, check out historical annual results for ULTRAMARINE PIG and quarterly results for ULTRAMARINE PIG)