Bombay Swadeshi Stores Annual Reports, Balance Sheet and Financials

Bombay Swadeshi Stores Limited Balance Sheet (Rs in Lakhs)

 Bombay Swadeshi Stores Limited Profit & Loss Statement (Rs in Lakhs)

Bombay Swadeshi Stores Limited Cash Flow Statement (Rs in Lakhs)

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

Operating Activities: In 2023-24, the company generated a net profit before tax and exceptional items of ₹1,349.95 lakhs, up from ₹1,137.64 lakhs in the previous year. Adjustments for non-cash items include depreciation and a small loss on the sale of Property, Plant, and Equipment (PPE). Depreciation decreased slightly from ₹74.63 lakhs to ₹71.47 lakhs, and the loss on the sale/write-off of PPE was minimal at ₹1.89 lakhs. Interest received, a cash inflow, was significantly lower at ₹1.43 lakhs compared to ₹5.17 lakhs.

Operating profit before working capital changes rose to ₹1,421.89 lakhs from ₹1,207.10 lakhs. However, changes in working capital had varied impacts. Trade payables decreased by ₹77.04 lakhs, and other current liabilities increased by ₹53.59 lakhs. Long-term and short-term provisions saw increases, whereas inventories and other current assets experienced reductions. Notably, the company faced a substantial outflow due to a decrease in short-term loans and advances and a significant reduction in trade and other receivables. As a result, cash generated from operations decreased to ₹827.79 lakhs from ₹978.43 lakhs. After accounting for direct taxes paid, the net cash from operating activities was ₹708.32 lakhs, down from ₹1,005.34 lakhs.

Investing Activities: For investing activities, there was a significant change. The company spent ₹121.04 lakhs on asset purchases compared to ₹20.83 lakhs in the previous year. There was a notable inflow of ₹295.00 lakhs from the sale of investments. Interest received from investing activities dropped from ₹5.17 lakhs to ₹1.43 lakhs. The net cash from investing activities turned positive to ₹175.08 lakhs from a negative ₹15.66 lakhs in the prior year.

Financing Activities: The company had a substantial cash outflow in financing activities, with net cash used amounting to ₹982.00 lakhs, compared to ₹923.00 lakhs in the previous year. This outflow is likely due to the repayment of borrowings, which exceeded new borrowings or inflows from financing.

Overall Cash Flow: The net result of these activities was a decrease in cash and cash equivalents by ₹98.60 lakhs in 2023-24, following an increase of ₹66.68 lakhs in 2022-23. The closing cash and cash equivalents showed a decline in cash on hand and balance with banks. Specifically, cash on hand increased to ₹12.01 lakhs from ₹2.99 lakhs, but the balance with banks decreased significantly to ₹268.67 lakhs from ₹376.29 lakhs.

Financial Ratios of Bombay Swadeshi Stores Limited

Here is a summary of the financial and operational metrics for Bombay Swadeshi Stores Limited for the year 2024 and 2023:

Current Ratio: The current ratio measures the company 's ability to cover its short-term liabilities with its short-term assets. In 2024, the current ratio improved to 1.69 from 0.8 in 2023. This indicates a stronger liquidity position, suggesting that the company now has more than enough current assets to meet its current liabilities. The increase reflects better management of working capital or an improvement in current assets.

Debt-to-Equity Ratio: The debt-to-equity ratio evaluates the company 's financial leverage by comparing its total liabilities to shareholders ' equity. In 2024, this ratio decreased to 0.66 from 3.11 in 2023. The significant drop indicates a reduction in debt relative to equity, suggesting improved financial stability and lower financial risk.

Return on Equity (ROE): ROE measures the profitability of a company in relation to shareholders ' equity. In 2024, the ROE dropped to 85.12% from an exceptionally high 382.11% in 2023. The decline, though substantial, still reflects strong profitability relative to equity. The very high ROE in 2023 might indicate an extraordinary gain or low equity base that distorted the ratio.

Inventory Turnover Ratio: This ratio assesses how efficiently the company manages its inventory. In 2024, the inventory turnover ratio was 5.76, down from 6.89 in 2023. A lower ratio suggests that inventory turnover has slowed, which might indicate overstocking or slower sales, affecting inventory efficiency.

Trade Receivables Turnover Ratio: This ratio measures how effectively the company collects its receivables. In 2024, the ratio was 269.5, compared to 334.51 in 2023. The decline suggests a slower collection period for receivables, which might affect liquidity if it signifies longer credit terms or collection issues.

Trade Payables Turnover Ratio: This ratio shows how quickly the company pays its trade payables. In 2024, the ratio increased to 25.07 from 23.11 in 2023. An increase indicates a slightly slower payment cycle, which could reflect more extended credit terms or a strategic decision to manage cash flow.

Net Capital Turnover Ratio: This ratio measures how efficiently the company uses its net capital to generate sales. In 2024, the ratio was 7.92, a significant improvement from -14.14 in 2023. The negative ratio in 2023 suggests inefficiencies or negative net capital, while the positive ratio in 2024 indicates effective use of capital to generate sales.

Net Profit Ratio: The net profit ratio evaluates the percentage of revenue that translates into net profit. In 2024, this ratio was 11.94%, slightly down from 12.53% in 2023. The decrease, though minor, indicates a slight reduction in profitability, possibly due to increased costs or lower margins.

Return on Capital Employed (ROCE): ROCE measures the efficiency and profitability of capital investments. In 2024, ROCE increased to 49% from 41% in 2023. This improvement suggests that the company is utilizing its capital more effectively to generate profits, reflecting a stronger operational performance and investment return.