VOLTAMP TRANSFORMERS 2022-23 Annual Report Analysis

Mon, 17 Jul

VOLTAMP TRANSFORMERS 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.

VOLTAMP TRANSFORMERS Income Statement Analysis

• Operating income during the year rose 22.9% on a year-on-year (YoY) basis.
• The company's operating profit increased by 66.1% YoY during the fiscal. Operating profit margins witnessed a fall and down at 16.7% in FY23 as against 12.3% in FY22.
• Depreciation charges increased by 22.2% and finance costs increased by 11.7% YoY, respectively.
• Other income declined by 6.7% YoY.
• Net profit for the year grew by 50.5% YoY.
• Net profit margins during the year grew from 11.8% in FY22 to 14.4% in FY23.

VOLTAMP TRANSFORMERS Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	11,272	13,851	22.9%
Other income	Rs m	430	401	-6.7%
Total Revenues	Rs m	11,702	14,252	21.8%
Gross profit	Rs m	1,390	2,309	66.1%
Depreciation	Rs m	79	97	22.2%
Interest	Rs m	8	9	11.7%
Profit before tax	Rs m	1,732	2,604	50.3%
Tax	Rs m	404	604	49.7%
Profit after tax	Rs m	1,328	1,999	50.5%
Gross profit margin	%	12.3	16.7
Effective tax rate	%	23.3	23.2
Net profit margin	%	11.8	14.4

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

VOLTAMP TRANSFORMERS Balance Sheet Analysis

• The company's current liabilities during FY23 down at Rs 1 billion as compared to Rs 1 billion in FY22, thereby witnessing an decrease of -3.3%.
• Current assets fell 1% and stood at Rs 5 billion, while fixed assets rose 30% and stood at Rs 7 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 12 billion as against Rs 11 billion during FY22, thereby witnessing a growth of 15%.

VOLTAMP TRANSFORMERS Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	9,421	11,072	17.5
Current Liabilities	Rs m	1,054	1,020	-3.3
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	10,612	12,225	15.2
Current assets	Rs m	5,058	4,998	-1.2
Fixed Assets	Rs m	5,554	7,227	30.1
Total Assets	Rs m	10,612	12,225	15.2

VOLTAMP TRANSFORMERS Cash Flow Statement Analysis

• VOLTAMP TRANSFORMERS's cash flow from operating activities (CFO) during FY23 stood at Rs 2 billion, an improvement of 156.2% on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -1 billion, an improvement of 174.8% on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -363 million on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs 44 million from the Rs -68 million net cash flows seen during FY22.

VOLTAMP TRANSFORMERS 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	656	1,680	156.2%
Cash Flow from Investing Activities	Rs m	-463	-1,273	-
Cash Flow from Financing Activities	Rs m	-261	-363	-
Net Cash Flow	Rs m	-68	44	-

Current Valuations for VOLTAMP TRANSFORMERS

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 197.6, an improvement from the EPS of Rs 131.3 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 4,239.7, stands at 21.5 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 3.9 times, while the price to sales ratio stands at 3.1 times.
• The company's price to cash flow (P/CF) ratio stood at 13.1 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	1,113.8	1,368.7
TTM Earnings per share	Rs	131.3	197.6
Diluted earnings per share	Rs	131.3	197.6
Price to Cash Flow	x	14.1	13.1
TTM P/E ratio	x	14.9	21.5
Price / Book Value ratio	x	1.8	2.5
Market Cap	Rs m	16,582	27,390
Dividends per share (Unadj.)	Rs	35.0	60.0

Ratio Analysis for VOLTAMP TRANSFORMERS

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 4.9x during FY23, from 4.8x 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 improved and stood at 293.5x during FY23, from 218.3x 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 18.1% during FY23, from 14.1% 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 improved and stood at 23.6% during FY23, from 18.5% 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 16.4% during FY23, from 12.6% 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	4.8	4.9
Debtors’ Days	Days	617	597
Interest coverage	x	218.3	293.5
Debt to equity ratio	x	0.0	0.0
Return on assets	%	12.6	16.4
Return on equity	%	14.1	18.1
Return on capital employed	%	18.5	23.6

To see how VOLTAMP TRANSFORMERS has performed over the last 5 years, please visit here.

VOLTAMP TRANSFORMERS Share Price Performance

Over the last one year, VOLTAMP TRANSFORMERS share price has moved up from Rs 3,090.8 to Rs 4,239.7, registering a gain of Rs 1,148.9 or around 37.2%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 41,426.7 (up 0.2%). Over the last one year it has moved up from 27,634.8 to 41,426.7, a gain of 13,792 points (up 49.9%).

Overall, the S&P BSE SENSEX is up 24.4% over the year.

(To know more, check out historical annual results for VOLTAMP TRANSFORMERS and quarterly results for VOLTAMP TRANSFORMERS)