AKME Fintrade India Annual Reports, Balance Sheet and Financials

Akme Fintrade India Limited Balance Sheet (Rs in Lakhs)

Akme Fintrade India Limited Profit & Loss Statement (Rs in Lakhs)

 Akme Fintrade India Limited Consolidated Cash Flow Statement (Rs in Lakhs)

Here is a summary of the Cash Flow Statement for the years 2024 and 2023:

Cash Flow from Operating Activities:

The company generated a profit before tax of ₹2,375.63 lakhs in 2024, higher than ₹1,876.92 lakhs in 2023. Adjustments included:

Depreciation and amortization expenses of ₹50.79 lakhs.

Provision for Expected Credit Losses (ECL) of ₹425.45 lakhs.

Bad debts written-off amounted to ₹144.59 lakhs.

These adjustments brought the operating cash flow before working capital changes to ₹2,995.68 lakhs. Changes in working capital, such as a significant increase in loans and other financial assets, reduced cash flow, resulting in a net cash outflow from operations of ₹(3,901.77) lakhs.

After paying direct taxes of ₹648.00 lakhs, the company’s net cash used in operating activities was ₹(4,549.77) lakhs, compared to a net inflow of ₹2,345.74 lakhs in 2023. The decline was largely due to significant working capital adjustments.

Cash Flow from Investing Activities:

Investing activities resulted in a net cash inflow of ₹200.51 lakhs in 2024, compared to an outflow of ₹(1,501.80) lakhs in 2023. This was primarily driven by:

Proceeds from the sale of fixed assets amounting to ₹106.34 lakhs.

Interest income on investments of ₹0.78 lakhs. There was a smaller purchase of fixed assets at ₹23.21 lakhs, which helped reduce the overall cash outflow.

Cash Flow from Financing Activities:

Financing activities saw a net inflow of ₹4,482.51 lakhs in 2024, compared to a net outflow of ₹(180.62) lakhs in 2023. The positive cash flow in 2024 was largely due to:

Net repayment of borrowings amounting to ₹4,482.59 lakhs, indicating significant financing changes.

Net Change in Cash and Cash Equivalents:

The company experienced a net increase in cash and cash equivalents of ₹133.26 lakhs, compared to an increase of ₹663.32 lakhs in 2023. The closing cash balance stood at ₹870.65 lakhs, compared to ₹737.39 lakhs at the beginning of the year.

Financial Ratios of Akme Fintrade India Limited 

 Here is a summary of the financial and operational metrics for Akme Fintrade India Limited   for the year 2024 and 2023:

CRAR (Capital to Risk-weighted Assets Ratio)

The CRAR measures a financial institution's capital adequacy, ensuring it has enough capital to absorb potential losses. In 2024, the CRAR was 49.86%, slightly lower than 51.19% in 2023. This indicates a high level of capital adequacy, well above regulatory requirements, which signifies the institution is highly stable and capable of managing its risks effectively.

CRAR - Tier I Capital

The Tier I capital ratio represents the core capital of the institution, which includes equity and disclosed reserves. It remained strong at 48.44% in 2024, down slightly from 49.27% in 2023. This signifies the institution's reliance on high-quality capital, ensuring it can withstand financial stress.

CRAR - Tier II Capital

The Tier II capital ratio, which includes supplementary capital like subordinated debt, decreased from 1.92% in 2023 to 1.41% in 2024. This indicates a slight reduction in the institution’s supplementary capital, but it still maintains a robust overall capital position.

Debt-Equity Ratio

The debt-equity ratio increased slightly from 0.88 in 2023 to 0.92 in 2024. This shows a marginal rise in the institution’s leverage, though it remains at a manageable level, indicating a healthy balance between debt and equity.

Return on Average Equity (ROE)

The ROE measures how efficiently the institution is using its equity to generate profits. It improved from 8.48% in 2023 to 8.66% in 2024, reflecting better profitability and effective utilization of shareholders' equity.

Net Profit Ratio

The net profit ratio increased from 20.87% in 2023 to 25.21% in 2024. This indicates that the company is converting a larger percentage of its revenue into profit, reflecting improved operational efficiency and profitability.