V GUARD INDUSTRIES 2018-19 Annual Report Analysis

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

V GUARD INDUSTRIES 2018-19 Annual Report Analysis
Mon, 23 Sep

V GUARD INDUSTRIES has announced its results for the year ended March 2019. Let us have a look at the detailed performance review of the company during FY18-19.

V GUARD INDUSTRIES Income Statement Analysis

  • Operating income during the year rose 11.5% on a year-on-year (YoY) basis.
  • The company's operating profit increased by 17.8% YoY during the fiscal. Operating profit margins witnessed a fall and down at 8.6% in FY19 as against 8.2% in FY18.
  • Depreciation charges increased by 16.9% and finance costs decreased by 13.7% YoY, respectively.
  • Other income grew by 81.6% YoY.
  • Net profit for the year grew by 24.4% YoY.
  • Net profit margins during the year grew from 5.8% in FY18 to 6.4% in FY19.

V GUARD INDUSTRIES Income Statement 2018-19

No. of Mths Year Ending 12 Mar-18* 12 Mar-19* % Change
Net Sales Rs m 23,257 25,940 11.5%
Other income Rs m 110 201 81.6%
Total Revenues Rs m 23,368 26,141 11.9%
Gross profit Rs m 1,904 2,243 17.8%
Depreciation Rs m 197 230 16.9%
Interest Rs m 20 18 -13.7%
Profit before tax Rs m 1,797 2,196 22.2%
Tax Rs m 446 516 15.5%
Profit after tax Rs m 1,351 1,680 24.4%
Gross profit margin % 8.2 8.6
Effective tax rate % 24.8 23.5
Net profit margin % 5.8 6.4
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



V GUARD INDUSTRIES Balance Sheet Analysis

  • The company's current liabilities during FY19 stood at Rs 5 billion as compared to Rs 4 billion in FY18, thereby witnessing an increase of 12.4%.
  • Current assets rose 19% and stood at Rs 11 billion, while fixed assets rose 6% and stood at Rs 2 billion in FY19.
  • Overall, the total assets and liabilities for FY19 stood at Rs 14 billion as against Rs 12 billion during FY18, thereby witnessing a growth of 17%.

V GUARD INDUSTRIES Balance Sheet as on March 2019

No. of Mths Year Ending 12 Mar-18* 12 Mar-19* % Change
Networth Rs m 7,496 8,994 20.0
 
Current Liabilities Rs m 4,050 4,550 12.4
Long-term Debt Rs m 0 0 0.0
Total Liabilities Rs m 11,708 13,747 17.4
 
Current assets Rs m 9,163 10,892 18.9
Fixed Assets Rs m 2,252 2,385 5.9
Total Assets Rs m 11,708 13,747 17.4
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



V GUARD INDUSTRIES Cash Flow Statement Analysis

  • V GUARD INDUSTRIES's cash flow from operating activities (CFO) during FY19 stood at Rs 2 billion, an improvement of 199.1% on a YoY basis.
  • Cash flow from investing activities (CFI) during FY19 stood at Rs -508 million, an improvement of 106.2% on a YoY basis.
  • Cash flow from financial activities (CFF) during FY19 stood at Rs -252 million, an improvement of 32% on a YoY basis.
  • Overall, net cash flows for the company during FY19 stood at Rs 803 million from the Rs -96 million net cash flows seen during FY18.

V GUARD INDUSTRIES Cash Flow Statement 2018-19

Particulars No. of months 12 12 % Change
Year Ending Mar-18 Mar-19
Cash Flow from Operating Activities Rs m 523 1,563 199.1%
Cash Flow from Investing Activities Rs m -246 -508 -
Cash Flow from Financing Activities Rs m -373 -252 -
Net Cash Flow Rs m -96 803 -
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



Current Valuations for V GUARD INDUSTRIES

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs 3.9, an improvement from the EPS of Rs 3.2 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 223.4, stands at 51.5 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 10.4 times, while the price to sales ratio stands at 3.6 times.
  • The company's price to cash flow (P/CF) ratio stood at 49.5 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending 12 Mar-18* 12 Mar-19*
Sales per share (Unadj.) Rs 54.6 60.8
TTM Earnings per share Rs 3.2 3.9
Diluted earnings per share Rs 3.2 4.0
Price to Cash Flow x 61.5 49.5
TTM P/E ratio x 51.8 51.5
Price / Book Value ratio x 11.8 10.4
Market Cap Rs m 95,097 94,518
Dividends per share (Unadj.) Rs 0.7 0.8
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



Ratio Analysis for V GUARD INDUSTRIES

  • Solvency Ratios
  • Current Ratio: The company's current ratio improved and stood at 2.4x during FY19, from 2.3x during FY18. 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 125.8x during FY19, from 89.1x during FY18. 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 18.7% during FY19, from 18.0% during FY19. 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 24.6% during FY19, from 24.2% during FY18. 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 12.4% during FY19, from 11.7% during FY18. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending 12 Mar-18* 12 Mar-19*
Current ratio x 2.3 2.4
Debtors’ Days Days 71 66
Interest coverage x 89.1 125.8
Debt to equity ratio x 0.0 0.0
Return on assets % 11.7 12.4
Return on equity % 18.0 18.7
Return on capital employed % 24.2 24.6
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



To see how V GUARD INDUSTRIES has performed over the last 5 years, please visit here.

V GUARD INDUSTRIES Share Price Performance

Over the last one year, V GUARD INDUSTRIES share price has moved up from Rs 188.7 to Rs 223.4, registering a gain of Rs 34.8 or around 18.4%.

Meanwhile, the S&P BSE CAPITAL GOODS Index is trading at Rs 19,035.1 (up 5.3%). Over the last one year it has moved up from 18,058.2 to 19,035.1, a gain of 977 points (up 5.4%).

Overall, the S&P BSE SENSEX is up 5.3% over the year.

(To know more, check out historical annual results for V GUARD INDUSTRIES and quarterly results for V GUARD INDUSTRIES)

Equitymaster requests your view! Post a comment on "V GUARD INDUSTRIES 2018-19 Annual Report Analysis". Click here!

  

Related Views on News

V GUARD INDUSTRIES Announces Quarterly Results (2QFY20); Net Profit Up 50.1% (Quarterly Result Update)

Nov 7, 2019 | Updated on Nov 7, 2019

For the quarter ended September 2019, V GUARD INDUSTRIES has posted a net profit of Rs 573 m (up 50.1% YoY). Sales on the other hand came in at Rs 6 bn (up 3.6% YoY). Read on for a complete analysis of V GUARD INDUSTRIES's quarterly results.

V GUARD INDUSTRIES Announces Quarterly Results (1QFY20); Net Profit Up 52.5% (Quarterly Result Update)

Jul 29, 2019 | Updated on Jul 29, 2019

For the quarter ended June 2019, V GUARD INDUSTRIES has posted a net profit of Rs 525 m (up 52.5% YoY). Sales on the other hand came in at Rs 7 bn (up 9.9% YoY). Read on for a complete analysis of V GUARD INDUSTRIES's quarterly results.

Garden Reach Shipbuilders and Engineers Ltd: Is This PSU Shipbuilder Worth Betting On? (IPO)

Sep 24, 2018

Should you apply for the IPO of Garden Reach Shipbuilders and Engineers Ltd?

H.G Infra Engineering Ltd. (IPO)

Feb 24, 2018

Should you subscribe to the IPO of H.G Infra Engineering Ltd.?

Amber Enterprises India Ltd. (IPO)

Jan 16, 2018

Should you subscribe to the IPO of Amber Enterprises India Ltd?

More Views on News

Most Popular

Crash Alert! Is There a Big Bubble in Nestle, HUL and Asian Paints?(Profit Hunter)

Nov 7, 2019

Is this the beginning of the end of multibagger gains in quality stocks like Nestle, HUL, and Asian Paints?

Why Moody's Rating Downgrade is a Strong Sign to Buy Stocks(The 5 Minute Wrapup)

Nov 8, 2019

Investors who took cues from Moody's rating downgrade in 1992 and 2002 created some of the biggest wealth of their lifetime.

These 10 Days Are Crucial for Getting Rich in the Smallcap Rebound(Profit Hunter)

Nov 5, 2019

How to avoid the most common investing mistake and make the most of the smallcap rebound.

The Top Stocks for 2020 Pass This Most Critical Metric(The 5 Minute Wrapup)

Nov 5, 2019

Charlie Munger's favorite fictional character, Mr Glotz, picks stocks using this metric.

A Trade that Could Generate Profits for Decades

Nov 14, 2019

India's #1 trader is back on the Investor Hour. Vijay Bhambwani talks to us about his super-profitable trading system and shares with us his #1 long term trade. Listen in...

More

Get the Indian Stock Market's
Most Profitable Ideas

How To Beat Sensex Guide 2020
Get our special report, How to Beat Sensex Nearly 3X Now!
We will never sell or rent your email id.
Please read our Terms

TRACK V GUARD INDUSTRIES

  • Track your investment in V GUARD INDUSTRIES with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
  • Add To MyStocks

MORE ON V GUARD INDUSTRIES

V GUARD INDUSTRIES 5-YR ANALYSIS

COMPARE V GUARD INDUSTRIES WITH

MARKET STATS