XPRO INDIA 2022-23 Annual Report Analysis

Tue, 18 Jul

XPRO INDIA 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.

XPRO INDIA Income Statement Analysis

• Operating income during the year rose 8.3% on a year-on-year (YoY) basis.
• The company's operating profit increased by 16.6% YoY during the fiscal. Operating profit margins witnessed a fall and down at 14.6% in FY23 as against 13.5% in FY22.
• Depreciation charges decreased by 4.5% and finance costs decreased by 42.1% YoY, respectively.
• Other income grew by 109.7% YoY.
• Net profit for the year grew by 1.0% YoY.
• Net profit margins during the year declined from 9.5% in FY22 to 8.9% in FY23.

XPRO INDIA Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	4,717	5,110	8.3%
Other income	Rs m	18	39	109.7%
Total Revenues	Rs m	4,736	5,148	8.7%
Gross profit	Rs m	638	744	16.6%
Depreciation	Rs m	121	115	-4.5%
Interest	Rs m	130	75	-42.1%
Profit before tax	Rs m	406	592	45.9%
Tax	Rs m	-43	139	NA
Profit after tax	Rs m	449	454	1.0%
Gross profit margin	%	13.5	14.6
Effective tax rate	%	-10.7	23.4
Net profit margin	%	9.5	8.9

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XPRO INDIA Balance Sheet Analysis

• The company's current liabilities during FY23 down at Rs 850 million as compared to Rs 949 million in FY22, thereby witnessing an decrease of -10.4%.
• Long-term debt down at Rs 96 million as compared to Rs 637 million during FY22, a fall of 85.0%.
• Current assets fell 6% and stood at Rs 1 billion, while fixed assets rose 12% and stood at Rs 2 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 3 billion as against Rs 3 billion during FY22, thereby witnessing a growth of 3%.

XPRO INDIA Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	1,345	2,023	50.4
Current Liabilities	Rs m	949	850	-10.4
Long-term Debt	Rs m	637	96	-85.0
Total Liabilities	Rs m	3,303	3,401	3.0
Current assets	Rs m	1,400	1,320	-5.7
Fixed Assets	Rs m	1,851	2,081	12.4
Total Assets	Rs m	3,303	3,401	3.0

XPRO INDIA Cash Flow Statement Analysis

• XPRO INDIA's cash flow from operating activities (CFO) during FY23 stood at Rs 829 million, an improvement of 70.4% on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs -583 million, an improvement of 457.2% on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -431 million on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs -186 million from the Rs 170 million net cash flows seen during FY22.

XPRO INDIA 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	486	829	70.4%
Cash Flow from Investing Activities	Rs m	-105	-583	-
Cash Flow from Financing Activities	Rs m	-212	-431	-
Net Cash Flow	Rs m	170	-186	-

Current Valuations for XPRO INDIA

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 24.9, an decline from the EPS of Rs 38.0 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 934.0, stands at 40.9 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 9.2 times, while the price to sales ratio stands at 3.3 times.
• The company's price to cash flow (P/CF) ratio stood at 24.8 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	399.4	280.6
TTM Earnings per share	Rs	38.0	24.9
Diluted earnings per share	Rs	22.6	22.9
Price to Cash Flow	x	33.8	24.8
TTM P/E ratio	x	42.9	40.9
Price / Book Value ratio	x	7.7	7.0
Market Cap	Rs m	10,302	14,090
Dividends per share (Unadj.)	Rs	2.0	2.0

Ratio Analysis for XPRO INDIA

• Solvency Ratios

Current Ratio: The company's current ratio improved and stood at 1.6x during FY23, from 1.5x 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 8.9x during FY23, from 4.1x 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 declined and down at 22.4% during FY23, from 33.4% 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 31.5% during FY23, from 27.0% 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 declined and down at 15.6% during FY23, from 17.5% 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	1.5	1.6
Debtors’ Days	Days	513	364
Interest coverage	x	4.1	8.9
Debt to equity ratio	x	0.5	0.0
Return on assets	%	17.5	15.6
Return on equity	%	33.4	22.4
Return on capital employed	%	27.0	31.5

To see how XPRO INDIA has performed over the last 5 years, please visit here.

XPRO INDIA Share Price Performance

Over the last one year, XPRO INDIA share price has moved up from Rs 792.7 to Rs 934.0, registering a gain of Rs 141.4 or around 17.8%.

Overall, the S&P BSE SENSEX is up 25.0% over the year.

(To know more, check out historical annual results for XPRO INDIA and quarterly results for XPRO INDIA)