Balmer Lawrie Annual Reports, Balance Sheet and Financials

Balmer Lawrie-Van Leer Limited Balance Sheet (Rs in Lakhs)

 Balmer Lawrie-Van Leer Limited Profit & Loss Statement (Rs in Lakhs)

 Balmer Lawrie-Van Leer Limited Consolidated Cash Flow Statement (Rs in Lakhs)

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

Operating Activities:

The company generated a net profit before tax of ₹3,693 lakhs for the year, which is slightly lower compared to ₹3,750 lakhs in the previous year. Adjustments for non-cash items, including depreciation and amortization expenses, finance costs, and unrealized foreign exchange losses, increased the operating profit before working capital changes to ₹6,609 lakhs.

Significant changes in working capital had a major impact on cash flow. The decrease in trade receivables and the increase in inventories negatively impacted cash flow, while an increase in trade payables and other liabilities partially offset these effects. As a result, the operating profit after working capital changes was ₹7,496 lakhs, compared to ₹8,094 lakhs in the previous year. After accounting for direct taxes paid, the net cash generated from operating activities was ₹6,832 lakhs, a decrease from ₹7,128 lakhs the previous year.

Investing Activities:

In investing activities, the company spent ₹1,422 lakhs on purchasing property, plant, and equipment, a significant reduction from ₹2,886 lakhs the previous year. The proceeds from the sale of property, plant, and equipment were minimal at ₹3 lakhs, compared to ₹49 lakhs previously. Interest received amounted to ₹68 lakhs, up from ₹23 lakhs. The net cash used in investing activities was ₹1,351 lakhs, an improvement from the net cash used of ₹2,814 lakhs in the previous year.

Financing Activities:

Cash flow from financing activities showed a net outflow of ₹6,072 lakhs, a substantial increase from ₹3,808 lakhs in the previous year. This outflow primarily stemmed from a higher dividend payment of ₹725 lakhs, compared to ₹1,069 lakhs the prior year, increased repayment of non-current borrowings, and a significant outflow from current borrowings. Finance costs paid also decreased to ₹1,097 lakhs from ₹1,246 lakhs. Overall, these activities reflect a significant cash outflow due to higher repayments and dividends.

Overall Cash Position:

The overall cash flow position saw a net decrease in cash and cash equivalents of ₹591 lakhs, compared to a net increase of ₹506 lakhs the previous year. The closing balance of cash and cash equivalents was ₹14 lakhs, a sharp decline from ₹605 lakhs at the end of the previous year. This decrease is primarily due to the substantial cash outflows in financing activities and reduced cash inflows from operating and investing activities.

 Financial Ratios of Balmer Lawrie-Van Leer Limited

Here is a summary of the financial and operational metrics for Balmer Lawrie-Van Leer Limited for the year 2024 and 2023:

The Current Ratio improved slightly from 1.14 in 2023 to 1.20 in 2024, indicating a modest enhancement in the company's short-term liquidity position. This means the company is somewhat better positioned to meet its short-term obligations with its short-term assets.

The Debt-Equity Ratio decreased from 0.67 in 2023 to 0.47 in 2024, reflecting a stronger solvency position. A lower debt-equity ratio suggests that the company has reduced its reliance on debt financing relative to equity, which is favorable for financial stability and reduces financial risk.

The Debt Service Coverage Ratio improved from 2.59 in 2023 to 2.76 in 2024. This indicates that the company is in a better position to meet its debt obligations, as it generates more cash relative to its debt service requirements.

The Return on Equity (ROE) decreased from 14% in 2023 to 11% in 2024, suggesting a decline in the profitability generated for each unit of shareholders' equity. Despite this, the company is still generating a reasonable return on equity.

The Net Profit Margin slightly decreased from 4.90% in 2023 to 4.80% in 2024, indicating a minor decline in profitability per unit of sales.

The Return on Capital Employed (ROCE) also showed a decrease from 26% in 2023 to 25% in 2024. This reduction suggests a slight decline in the efficiency of generating profits from capital employed.

Efficiency:

The Inventory Turnover Ratio improved from 4.32 in 2023 to 4.43 in 2024, signifying better inventory management and a faster rate of inventory turnover.

The Debtors Turnover Ratio decreased from 5.89 in 2023 to 5.59 in 2024, indicating a slower collection period for receivables, which could affect cash flow.

The Creditors Turnover Ratio declined from 5.63 in 2023 to 4.95 in 2024, suggesting that the company is taking slightly longer to pay its creditors, which could impact supplier relationships or indicate more favorable credit terms.

The Net Capital Turnover Ratio decreased from 2.76 in 2023 to 2.40 in 2024, reflecting a decline in the efficiency of using capital to generate sales.

Dividend History 2023-2024:

Balmer Lawrie Van Leer Limited Recent Financial Performance:

Dividend per Share: The specific dividend per share figure for March 2024 is Rs. 2.00 and for March 2023 is Rs. 4.00, Dividend per share represents the portion of a company 's earnings that is distributed to shareholders in the form of dividends. A higher dividend per share may indicate that the company is sharing more of its profits with shareholders.

Retained Earnings:  Retained earnings for 2024 amounted to Rs. 17,358 Lakhs, while in 2023, they were Rs. 15,447 Lakhs. Retained earnings represent the portion of a company 's profits that is reinvested in the business rather than distributed as dividends. An increase in retained earnings suggests that the company has retained more of its profits for reinvestment or future growth.