Bombay Gas Company Annual Reports, Balance Sheet and Financials

Bombay Gas Company Limited Balance Sheet (Rs in Lakhs)

Bombay Gas Company Limited Profit & Loss Statement (Rs in Lakhs)

Bombay Gas Company 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

Net Profit / (Loss) before Tax

2024: ₹33,554.07

2023: -₹2,424.13

Explanation: The company had a significant net profit before tax in 2024 compared to a loss in 2023, indicating a strong improvement in operational performance.

Adjustments

Profit on Sale of Investment in Subsidiary

2024: -₹24,614.43

2023: ₹0

Explanation: The substantial gain from selling investments in a subsidiary was removed from the profit to reflect the actual cash impact.

Depreciation and Amortization Charge

2024: ₹256.88

2023: ₹3,853.72

Explanation: Depreciation decreased substantially, suggesting either a reduction in fixed assets or a change in depreciation policies.

Profit on Sale of Property, Plant, and Equipment

2024: -₹4.06

2023: ₹0

Explanation: The small profit from selling property, plant, and equipment was adjusted out of the net profit.

Reversal of Provision for Standard Assets

2024: -₹408.87

2023: ₹0

Explanation: A reversal of provisions previously set aside was adjusted out of the operating profit.

Contingent Provision for Standard Assets

2024: -₹7.44

2023: ₹0

Explanation: Provision adjustments for assets were made, impacting the cash flow.

Interest on Fixed Deposit

2024: -₹1.40

2023: ₹30.77

Explanation: The interest earned on fixed deposits was adjusted from the profit.

Interest on Income Tax Refund

2024: -₹1.33

2023: ₹0

Explanation: This reflects the adjustment for interest on tax refunds received.

Interest Paid

2024: ₹131.38

2023: ₹1,231.41

Explanation: A significant reduction in interest paid, possibly due to reduced borrowings or lower interest rates.

Operating Cash Profit before Working Capital Changes

2024: ₹8,901.44

2023: ₹2,691.96

Explanation: Cash profit before changes in working capital increased substantially, indicating improved cash generation from core operations.

Adjustment for Working Capital Changes

(Increase) / Decrease in Inventories

2024: ₹10.33

2023: ₹18.54

Explanation: Inventory levels changed slightly, affecting the cash flow marginally.

(Increase) / Decrease in Trade Receivables

2024: ₹16.16

2023: ₹18.54

Explanation: A slight increase in trade receivables, which could imply that more cash is tied up in receivables.

(Increase) / Decrease in Trade Payables

2024: ₹8.13

2023: ₹448.34

Explanation: A significant decrease in trade payables, indicating that the company has settled more payables or paid off existing liabilities.

(Increase) / Decrease in Other Current Assets

2024: -₹489.37

2023: ₹628.70

Explanation: A large decrease in other current assets, which could mean that the company has used or written off assets, impacting cash flow.

Increase / (Decrease) in Current Liabilities

2024: ₹7.14

2023: ₹1,346.43

Explanation: A smaller increase in current liabilities in 2024 compared to 2023, indicating a lower need for short-term financing.

Cash Generated from Operations

2024: ₹26,719.60

2023: ₹4,812.89

Explanation: Significant increase in cash generated from operations, reflecting improved operational efficiency and cash management.

Taxes Paid / Refund

2024: -₹5,439.77

2023: -₹617.59

Explanation: A large increase in taxes paid, likely due to the increase in profitability.

Net Cash / (Used) from Operating Activities

2024: ₹21,279.87

2023: ₹4,195.09

Explanation: The substantial increase in net cash from operating activities reflects better operational performance and efficient cash management.

Exceptional Items Income / (Expenses)

2024: ₹0

2023: ₹36.32

Explanation: No exceptional items in 2024, compared to a small amount in 2023.

Cash Flow from Investing Activities

Increase in Payable Towards Capital Expenditure

2024: ₹0

2023: -₹302.84

Explanation: There were no new capital expenditure payables in 2024, whereas there was an increase in 2023.

Purchase of Property, Plant, and Equipment

2024: -₹0.33

2023: -₹8,622.19

Explanation: A significant reduction in capital expenditure in 2024, indicating either completion of prior investments or reduced need for new assets.

Sale of Property, Plant, and Equipment

2024: ₹4.06

2023: ₹0

Explanation: Small proceeds from the sale of property, plant, and equipment were recorded.

Purchase of Shares from Minority Shareholders

2024: ₹0

2023: -₹608.95

Explanation: No purchases of shares from minority shareholders in 2024, which was a cash outflow in 2023.

Purchase of Investment

2024: -₹48,474.42

2023: ₹0

Explanation: Significant cash outflow due to purchasing investments in 2024, indicating a major strategic investment or acquisition.

Proceeds from Sale of Investment

2024: ₹29,295.83

2023: ₹119.65

Explanation: Substantial cash inflow from selling investments in 2024, which helped offset some of the cash used for purchasing investments.

Net Cash (Used) from Investing Activities

2024: -₹19,174.85

2023: -₹8,206.65

Explanation: Higher net cash outflow from investing activities in 2024 due to significant investments and capital expenditures.

Cash Flow from Financing Activities

Loan from Ultimate Holding Company

2024: ₹0

2023: ₹5,327.24

Explanation: No new loans from the ultimate holding company in 2024, compared to a significant inflow in 2023.

Loan Repaid to Ultimate Holding Company

2024: ₹0

2023: -₹1,900.20

Explanation: No repayment of loans to the ultimate holding company in 2024, whereas there was a repayment in 2023.

Interest Paid

2024: -₹131.38

2023: -₹1,135.50

Explanation: Significant reduction in interest payments in 2024, reflecting either reduced borrowings or lower interest rates.

Interest Received on FD

2024: ₹1.40

2023: ₹65.11

Explanation: Decrease in interest received on fixed deposits, indicating a lower balance or lower interest rates.

Net Cash (Used) from Financing Activities

2024: -₹529.99

2023: ₹2,462.65

Explanation: Net outflow in financing activities in 2024 compared to an inflow in 2023, primarily due to lower loan activity and interest payments.

Net Increase / (Decrease) in Cash & Cash Equivalents

2024: ₹1,575.04

2023: -₹1,517.59

Explanation: The company experienced a net increase in cash and cash equivalents in 2024, indicating improved cash flow management and operational performance.

Opening and Closing Cash and Cash Equivalents

Opening Cash and Cash Equivalents

2024: ₹1,061.23

2023: ₹2,578.82

Explanation: The cash balance at the beginning of 2024 was lower compared to the beginning of 2023.

Closing Cash and Cash Equivalents

2024: ₹2,636.27

2023: ₹1,061.23

Explanation: Significant increase in closing cash balance in 2024, reflecting the positive cash flow performance over the year

Financial Ratios of Bombay Gas Company Limited

Here is a summary of the financial and operational metrics for BOMBAY GAS COMPANY Limited for the years 2024 and 2023:

Current Ratio: 5.08 (2024) vs. 0.22 (2023)

Insight: The significant increase in the current ratio indicates a much stronger liquidity position in 2024. The company has ample current assets relative to its current liabilities, suggesting a strong ability to meet short-term obligations.

Debt-Equity Ratio: 0.02 (2024) vs. 0.17 (2023)

Insight: The reduction in the debt-equity ratio reflects a significant decrease in the company 's reliance on debt financing. A lower ratio indicates a lower level of debt relative to equity, suggesting improved financial stability and lower financial risk.

Debt Service Coverage Ratio: 48.82 (2024) vs. 0.17 (2023)

Insight: The drastic increase in the debt service coverage ratio indicates that the company has significantly improved its ability to cover debt obligations from its operating cash flow. This high ratio suggests robust financial health and strong cash flow management.

Return on Equity Ratio: 132.44 (2024) vs. 2.69 (2023)

Insight: The substantial increase in return on equity (ROE) indicates that the company is generating exceptionally high returns on shareholders ' equity. This dramatic improvement reflects strong profitability and effective use of equity capital.

Inventory Turnover Ratio: 0.05 (2024) vs. 0.19 (2023)

Insight: The decline in the inventory turnover ratio suggests that the company’s inventory is turning over more slowly. This could indicate either a build-up of inventory or slower sales, which might need further investigation to ensure efficient inventory management.

Trade Receivables Turnover Ratio: 13.14 (2024) vs. 18.43 (2023)

Insight: The decrease in the trade receivables turnover ratio indicates that the company is taking longer to collect payments from customers. This could imply a need to improve credit control measures or address issues with customer payment delays.

Trade Payables Turnover Ratio: 196.78 (2024) vs. 14.54 (2023)

Insight: The dramatic increase in the trade payables turnover ratio suggests that the company is paying off its trade payables much more quickly. This could be a sign of improved supplier relationships or changes in payment policies.

Net Capital Turnover Ratio: 0.04 (2024) vs. -0.23 (2023)

Insight: The significant improvement in the net capital turnover ratio indicates a positive shift in how effectively the company is using its net capital to generate sales. The negative ratio in 2023 suggests that the company had negative net capital or inefficiencies in capital use.

Net Profit Ratio: 68.84% (2024) vs. 26.06% (2023)

Insight: The substantial increase in the net profit ratio reflects a significant improvement in profitability. The company is converting a larger proportion of its sales into net profit, highlighting effective cost management and increased operational efficiency.

Return on Capital Employed: 102.18% (2024) vs. 1.92% (2023)

Insight: The dramatic rise in the return on capital employed (ROCE) indicates a significant improvement in the company’s efficiency in generating profits from its capital. This strong performance reflects better utilization of capital and enhanced profitability.

Return on Investment: 15.9% (2024)

Insight: A positive return on investment (ROI) in 2024 shows that the company is generating a solid return on its investments. This ratio is especially notable given that no ROI figure was available for 2023, indicating a positive outcome from recent investments or strategic decisions.