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VST INDUSTRIES 2017-18 Annual Report Analysis
Sat, 31 Mar

VST INDUSTRIES has announced its results for the year ended March 2018. Let us have a look at the detailed performance review of the company during FY17-18.

VST INDUSTRIES Income Statement Analysis

  • Operating income during the year fell 228.8% on a year-on-year (YoY) basis.
  • The company's operating profit increased by 18.7% YoY during the fiscal. Operating profit margins witnessed a fall and down at 54.8% in FY18 as against 59.5% in FY17.
  • Depreciation charges increased by 6.1% increased by 0.0% YoY, respectively.
  • Other income grew by 22.7% YoY.
  • Net profit for the year grew by 20.0% YoY.
  • Net profit margins during the year grew from 36.4% in FY17 to 33.9% in FY18.

VST INDUSTRIES Income Statement 2017-18

No. of Mths Year Ending 12 Mar-17* 12 Mar-18* % Change
Net Sales Rs m -4,165 5,365 -228.8%
Other income Rs m 201 246 22.7%
Total Revenues Rs m -3,965 5,611 -241.5%
Gross profit Rs m 2,477 2,940 18.7%
Depreciation Rs m 369 392 6.1%
Interest Rs m 0 0 0.0%
Profit before tax Rs m 2,309 2,795 21.0%
Tax Rs m 794 976 22.9%
Profit after tax Rs m 1,515 1,819 20.0%
Gross profit margin % -59.5 54.8
Effective tax rate % 34.4 34.9
Net profit margin % -36.4 33.9
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Read Now: We're Bullish on 2 Non-Nifty Stocks

VST INDUSTRIES Balance Sheet Analysis

  • The company's current liabilities during FY18 stood at Rs 5 billion as compared to Rs 2 billion in FY17, thereby witnessing an increase of 88.8%.
  • Current assets rose 47% and stood at Rs 8 billion, while fixed assets rose 3% and stood at Rs 2 billion in FY18.
  • Overall, the total assets and liabilities for FY18 stood at Rs 10 billion as against Rs 8 billion during FY17, thereby witnessing a growth of 34%.

VST INDUSTRIES Balance Sheet as on March 2018

No. of Mths Year Ending 12 Mar-17* 12 Mar-18* % Change
Networth Rs m 5,390 5,821 8.0
 
Current Liabilities Rs m 2,478 4,679 88.8
Long-term Debt Rs m 0 0 0.0
Total Liabilities Rs m 7,746 10,393 34.2
 
Current assets Rs m 5,479 8,049 46.9
Fixed Assets Rs m 2,268 2,345 3.4
Total Assets Rs m 7,746 10,393 34.2
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



VST INDUSTRIES Cash Flow Statement Analysis

  • VST INDUSTRIES's cash flow from operating activities (CFO) during FY18 stood at Rs 4 billion, an improvement of 188.4% on a YoY basis.
  • Cash flow from investing activities (CFI) during FY18 stood at Rs -3 billion, an improvement of 1,386.9% on a YoY basis.
  • Cash flow from financial activities (CFF) during FY18 stood at Rs -1 billion on a YoY basis.
  • Overall, net cash flows for the company during FY18 stood at Rs 166 million from the Rs -22 million net cash flows seen during FY17.

VST INDUSTRIES Cash Flow Statement 2017-18

Particulars No. of months 12 12 % Change
Year Ending Mar-17 Mar-18
Cash Flow from Operating Activities Rs m 1,457 4,201 188.4%
Cash Flow from Investing Activities Rs m -178 -2,641 -
Cash Flow from Financing Activities Rs m -1,301 -1,394 -
Net Cash Flow Rs m -22 166 -
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Current Valuations for VST INDUSTRIES

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs 117.8, an improvement from the EPS of Rs 98.1 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 2,918.9, stands at 24.8 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 7.7 times, while the price to sales ratio stands at 8.4 times.
  • The company's price to cash flow (P/CF) ratio stood at 22.3 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending 12 Mar-17* 12 Mar-18*
Sales per share (Unadj.) Rs -269.8 347.5
TTM Earnings per share Rs 98.1 117.8
Diluted earnings per share Rs 98.1 117.8
Price to Cash Flow x 23.6 22.3
TTM P/E ratio x 26.6 24.8
Price / Book Value ratio x 6.7 8.5
Market Cap Rs m 36,095 49,291
Dividends per share (Unadj.) Rs 75.0 77.5
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



Ratio Analysis for VST INDUSTRIES

  • Solvency Ratios
  • Current Ratio: The company's current ratio deteriorated and stood at 1.7x during FY18, from 2.2x during FY17. The current ratio measures the company's ability to pay short-term and long-term obligations.

  • Profitability Ratios
  • Return on Equity (ROE): The ROE for the company improved and stood at 31.2% during FY18, from 28.1% during FY18. 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 48.0% during FY18, from 42.8% during FY17. 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 declined and down at 17.5% during FY18, from 19.6% during FY17. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending 12 Mar-17* 12 Mar-18*
Current ratio x 2.2 1.7
Debtors’ Days Days -106 186
Interest coverage x 0.0 0.0
Debt to equity ratio x 0.0 0.0
Return on assets % 19.6 17.5
Return on equity % 28.1 31.2
Return on capital employed % 42.8 48.0
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Accord Fintech, Equitymaster



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

VST INDUSTRIES Share Price Performance

Over the last one year, VST INDUSTRIES share price has moved up from Rs 2,880.0 to Rs 2,918.9, registering a gain of Rs 38.9 or around 1.4%.

Overall, the S&P BSE SENSEX is up 12.1% over the year.

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

Annual Report FAQs

What is the current share price of VST INDUSTRIES?

VST INDUSTRIES currently trades at Rs 3,571.5 per share. You can check out the latest share price performance of VST INDUSTRIES here...

What was the revenue of VST INDUSTRIES in FY18? How does it compare to earlier years?

The revenues of VST INDUSTRIES stood at Rs 5,611 m in FY18, which was down -241.5% compared to Rs -3,965 m reported in FY17.

VST INDUSTRIES' revenue has grown from Rs -2,210 m in FY09 to Rs 5,611 m in FY18.

Over the past 10 years, the revenue of VST INDUSTRIES has grown at a CAGR of NaN%.

What was the net profit of VST INDUSTRIES in FY18? How does it compare to earlier years?

The net profit of VST INDUSTRIES stood at Rs 1,819 m in FY18, which was up 20.0% compared to Rs 1,515 m reported in FY17.

This compares to a net profit of Rs 1,531 m in FY16 and a net profit of Rs 620 m in FY10.

Over the past 10 years, VST INDUSTRIES net profit has grown at a CAGR of 12.7%.

What does the cash flow statement of VST INDUSTRIES reveal?

The cash flow statement is the financial statement that presents the cash inflows and outflows of a company during a given period of time.

This statement is one of the most useful tools for judging a company's liquidity position. The ratios and parameters in this statement helps test a company's financial health.

The cash flow statement of VST INDUSTRIES reveals:

  • Cash flow from operations increased in FY18 and stood at Rs 4,201 m as compared to Rs 1,457 m in FY17.
  • Cash flow from investments decreased in FY18 and stood at Rs -2,641 m as compared to Rs -178 m in FY17.
  • Cash flow from financial activity decreased in FY18 and stood at Rs -1,394 m as compared to Rs -1,301 m in FY17.

Here's the cash flow statement of VST INDUSTRIES for the past 10 years.

(Rs m)FY09FY10FY16FY17FY18
From Operations2165251,3211,4574,201
From Investments242-53-240-178-2,641
From Financial Activity-368-545-1,301-1,301-1,394
Net Cashflow91-73-219-22166

What does the Key Ratio analysis of VST INDUSTRIES reveal?

Be it the company's profitability, operations effectiveness or utilization of funds, ratio analysis is an important tool which helps in making investment decisions.

The ratio/financial analysis of VST INDUSTRIES reveals:

  • Operating profit margins witnessed a fall and down at 54.8% in FY18 as against 59.5% in FY17.
  • Net profit margins grew from 36.4% in FY17 to 33.9% in FY18.
  • Debt to Equity ratio for FY18 stood at 0.0 as compared to 0.0 in FY17.

Here's the ratio/financial analysis of VST INDUSTRIES for the past 10 years.

 FY09FY10FY16FY17FY18
Operating Profit Margin (%)-32.7-38.4-80.0-59.554.8
Net Profit Margin (%)-25.4-34.0-51.6-36.433.9
Debt to Equity Ratio (x)0.00.00.00.00.0

Read: Latest Annual Report Analysis of VST INDUSTRIES

 

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1 Responses to "VST INDUSTRIES 2017-18 Annual Report Analysis"

Gururaj

Jul 9, 2018

Need results as of 09-07-18

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Equitymaster requests your view! Post a comment on "VST INDUSTRIES 2017-18 Annual Report Analysis". Click here!