BVG India Annual Report

BVG India Limited (BVG India) Return Comparision with Primex 40 Index

Periods	1 Week	1 Month	3 Months	6 Months	1 Year	3 Years	All Time
Primex-40
BVG India Limited

BVG India Limited Balance Sheet (Rs in Millions)

Particulars	31-03-2024	31-03-2023
Assets
Non-current assets
Property, plant and equipment	1,659.54	1,699.95
Capital work-in-progress	705.77	1.57
Right-of-use asset	43.83	44.98
Investment property	69.45	70.29
Other intangible assets	15.03	9.65
Investments	1.6	1.7
Other financial assets	470.16	419.41
Other tax assets (net)	830.56	776.41
Deferred Tax assets (net)	1,028.69	870.34
Other non-current assets	111.41	123.71
Current assets
Inventories	314.21	102.86
Investments	40.36	32.51
Trade receivables	9,381.68	9,653.48
Cash and cash equivalents	615.44	555.12
Other bank balances	681.45	652.27
Loans	10.01	5.34
Other financial assets	3,532.64	2,762.64
Other current assets	1,311.72	1,421.61
TOTAL ASSETS	20,823.55	19,203.84
Equity and Liabilities
Equity
Equity share capital	257.1	257.1
Instruments entirely equity in nature	148.35	148.35
Other equity	11,366.04	9,831.06
Total equity attributable to equity shareholders of the Group	11,771.49	10,236.51
Non-Controlling Interest	4.7	6.35
Total Equity	11,776.19	10,242.86
Liabilities
Non-current liabilities
Borrowings	1,043.63	985.15
Lease liability	41.17	34.91
Provisions	719.53	650.28
Current liabilities
Borrowings	3,556.84	3,818.31
Lease liability	15.12	24.71
Trade payables
Dues of micro and small enterprises	253.59	133.82
Dues of other than micro and small enterprises	986.69	1,080.94
Other financial liabilities	1,887.15	1,662.87
Other current liabilities	483.87	470.34
Provisions	59.17	55.86
Current tax liabilities (net)	0.6	43.79
TOTAL EQUITY AND LIABILITIES	20,823.55	19,203.84

BVG India Limited Profit & Loss Statement (Rs in Millions)

Particulars	31-03-2024	31-03-2023
Income
Revenue from contracts with customers	28,393.83	23,148.78
Other income	54.63	38.05
Total income	28,448.46	23,186.83
Expenses
Cost of materials consumed	3,337.77	2,211.73
Employee benefits expense	17,193.72	14,147.81
Finance costs	1,005.92	866.69
Depreciation and amortization expense	249.86	234.97
Other expenses	4,391.91	3,823.70
Total expenses	26,179.18	21,284.90
Profit before tax from continuing operations	2,269.28	1,901.93
Current tax	-436.89	-489.72
Tax relating to earlier periods	-35.86	95.35
Deferred tax	59.7	91.85
Profit from continuing operations	1,856.23	1,599.41
Discontinued operations
Loss from discontinued operations before tax	-260.64	-355.73
Tax benefit of discontinued operations	66.77	33.2
Profit/(loss) from discontinued operations	-193.87	-322.53
Profit for the year	1,662.36	1,276.88
Other Comprehensive Income
Re-measurement of defined benefit plan	-91.22	-20.1
Income tax effect relating to above item	31.88	7.02
Other comprehensive income for the year (net of tax)	-59.34	-13.08
Total comprehensive income for the year	1,602.91	1,264.37
Earnings per equity share
Basic - profit from continuing operations	14.41	12.42
Diluted - profit from continuing operations	14.33	12.36
Basic - profit from discontinued operations	-1.51	-2.5
Diluted - profit from discontinued operations	-1.51	-2.5
Basic - profit from continuing and discontinued operations	12.9	9.92
Diluted - profit from continuing and discontinued operations	12.82	9.86

BVG India Limited Consolidated Cash Flow Statement (Rs in Millions)

Particulars	31-03-2024	31-03-2023
Cash flows from operating activities
Net profit before tax
Continuing operations	2,269.28	1,901.93
Discontinued operations	-260.64	-355.73
Profit before tax including discontinued operations	2,008.64	1,546.20
Adjustments :
Depreciation and amortization	249.86	234.97
(Gain) / Loss on sale of fixed assets	-0.5	-
Provision for doubtful debts (ECL)	259.18	406.18
Interest income	-40.48	-27.96
Finance cost	1,005.92	866.69
Operating Profit before working capital changes	3,482.62	3,026.08
Movements in working capital :
(Increase) / decrease in inventories	-211.35	1,578.21
(Increase) / decrease in trade receivables	-105.86	-1,066.61
(Increase) / decrease in loans	1.53	5.64
(Increase) / decrease in other financial assets	-644.95	97.48
(Increase) / decrease in other assets	-182.3	-57.58
(Increase) / decrease in margin money deposits	-91.63	-12.57
Increase / (decrease) in trade payables	25.52	594.52
Increase / (decrease) in other financial liabilities	38.57	3.61
Increase / (decrease) in other current liabilities	13.59	-75.13
Increase / (decrease) in contract liabilities	-	-1,546.31
Increase / (decrease) in provisions	-18.66	44.64
Working capital changes	-1,175.54	-434.1
Cash generated from operations	2,307.08	2,591.98
Direct taxes paid (net of tax deducted at source and MAT credit utilization), net of refunds	-570.1	-978.66
Net cash flows from operating activities	1,736.98	1,613.32
Cash flows from investing activities
Purchase of fixed assets (tangible and intangible fixed assets, capital work-in-progress, intangible assets under development)	-570.73	-821.64
Proceeds from sale of fixed assets	2.2	-
Purchase of non-current investments	-7.75	-3.17
(Investment in) / maturity of bank deposits (net)	5.13	-112.02
Share of profit in joint venture	-0.11	0.57
Interest received	34.28	22.37
Payments for acquisition of Non-controlling Interest in subsidiary	-5.36	-
Net cash used in investing activities	-542.34	-913.89
Cash flows from financing activities
Proceeds from long term borrowings (Net)	470.93	861.81
Repayment of Long term borrowings	-245	-241.83
Proceeds from short term borrowings (net)	-261.47	-320.66
Proceeds on account of leases	-30.34	-27.58
Dividends paid / returns	-64.28	-64.28
Interest paid	-1,004.16	-848.9
Net cash used in financing activities	-1,134.32	-641.44
Net Increase / (decrease) in cash and cash equivalents	60.32	57.99
Cash and cash equivalents at beginning of the year	555.12	497.13
Cash and cash equivalents at the end of the year	615.44	555.12

Here is the analysis of cash flow for year March 2024 and 2023:

Operating Activities:

Net Profit before Tax (Continuing and Discontinued Operations):

For the year ending 31 March 2024, the net profit before tax from continuing operations was INR 2,269.28 million, up from INR 1,901.93 million in 31 March 2023.

Discontinued operations resulted in a loss of INR 260.64 million in 31 March 2024, an improvement from a loss of INR 355.73 million in 31 March 2023.

Combined, profit before tax including discontinued operations was INR 2,008.64 million in 31 March 2024, compared to INR 1,546.20 million in 31 March 2023.

Adjustments to Profit before Tax:

Depreciation and amortization expenses amounted to INR 249.86 million in 31 March 2024, up from INR 234.97 million in 31 March 2023.

A provision for doubtful debts (ECL) was INR 259.18 million in 31 March 2024, down from INR 406.18 million in 31 March 2023.

Interest income was a loss of INR 40.48 million in 31 March 2024, an increase from a loss of INR 27.96 million in 31 March 2023.

Finance costs increased to INR 1,005.92 million in 31 March 2024 from INR 866.69 million in 31 March 2023.

Operating Profit before Working Capital Changes:

This increased to INR 3,482.62 million in 31 March 2024 from INR 3,026.08 million in 31 March 2023.

Movements in Working Capital:

There was a decrease in inventories by INR 211.35 million in 31 March 2024, compared to an increase of INR 1,578.21 million in 31 March 2023.

Trade receivables decreased by INR 105.86 million in 31 March 2024, an improvement from a decrease of INR 1,066.61 million in 31 March 2023.

Other financial assets decreased by INR 644.95 million in 31 March 2024, contrasting with an increase of INR 97.48 million in 31 March 2023.

Trade payables increased by INR 25.52 million in 31 March 2024, compared to an increase of INR 594.52 million in 31 March 2023.

Cash Generated from Operations:

This totaled INR 2,307.08 million in 31 March 2024, down from INR 2,591.98 million in 31 March 2023.

Direct taxes paid amounted to INR 570.10 million in 31 March 2024, improving from INR 978.66 million in 31 March 2023.

Therefore, net cash flows from operating activities were INR 1,736.98 million in 31 March 2024, up from INR 1,613.32 million in 31 March 2023.

Investing Activities:

Net Cash Flow:

There was a net outflow of INR 542.34 million in 31 March 2024, improving from an outflow of INR 913.89 million in 31 March 2023.

Key Transactions:

Purchase of fixed assets totaled INR 570.73 million in 31 March 2024, down from INR 821.64 million in 31 March 2023.

Proceeds from the sale of fixed assets were INR 2.20 million in 31 March 2024, compared to nil in 31 March 2023.

Investment in non-current investments was a net outflow of INR 7.75 million in 31 March 2024, down from an outflow of INR 3.17 million in 31 March 2023.

Maturity of bank deposits (net) contributed INR 5.13 million in 31 March 2024, improving from a decrease of INR 112.02 million in 31 March 2023.

Financing Activities:

Net Cash Flow:

There was a net outflow of INR 1,134.32 million in 31 March 2024, compared to an outflow of INR 641.44 million in 31 March 2023.

Key Transactions:

Proceeds from long-term borrowings (net) were INR 470.93 million in 31 March 2024, up from INR 861.81 million in 31 March 2023.

Repayment of long-term borrowings was INR 245.00 million in 31 March 2024, compared to INR 241.83 million in 31 March 2023.

Short-term borrowings (net) resulted in an outflow of INR 261.47 million in 31 March 2024, compared to an outflow of INR 320.66 million in 31 March 2023.

Proceeds on account of leases resulted in an outflow of INR 30.34 million in 31 March 2024, down from an outflow of INR 27.58 million in 31 March 2023.

Interest paid was INR 1,004.16 million in 31 March 2024, up from INR 848.90 million in 31 March 2023.

Dividends paid/returns were INR 64.28 million in 31 March 2024, consistent with INR 64.28 million in 31 March 2023.

Financial Ratios of BVG India Limited

Ratio	2024	2023
Current Ratio	2.2	2.08
Debt-Equity Ratio	0.39	0.47
Debt Service Coverage Ratio	2.9	2.73
Return on Equity Ratio	14.12%	12.37%
Inventory turnover ratio	21.26	43.1
Trade Receivables turnover ratio	2.98	2.49
Trade payables turnover ratio	2.72	1.82
Net capital turnover ratio	2.41	2.26
Net profit ratio	5.86%	5.48%
Return on Capital employed	16.29%	14.18%
Return on Investment	14.12%	12.37%

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

Current Ratio:

2024: 2.20

2023: 2.08

Change: Increased by 5.78%

Analysis: The current ratio measures the company 's ability to cover short-term liabilities with its current assets. An increase from 2.08 to 2.20 indicates improved liquidity and a stronger ability to meet short-term obligations in 2024 compared to 2023.

Debt-Equity Ratio:

2024: 0.39

2023: 0.47

Change: Decreased by 16.74%

Analysis: The debt-equity ratio reflects the proportion of debt financing relative to equity financing used by the company. A decrease from 0.47 to 0.39 indicates a lower dependency on debt financing in 2024, which could signify improved financial stability and reduced financial risk.

Debt Service Coverage Ratio:

2024: 2.90

2023: 2.73

Change: Increased by 6.18%

Analysis: The debt service coverage ratio measures the company 's ability to cover its debt obligations with its operating income. An increase from 2.73 to 2.90 suggests an improved ability to service debt in 2024 compared to 2023, which is a positive indicator of financial health.

Return on Equity Ratio:

2024: 14.12%

2023: 12.37%

Change: Increased by 14.11%

Analysis: The return on equity ratio indicates how effectively the company is generating profit from shareholders ' equity. An increase from 12.37% to 14.12% signifies improved profitability and efficiency in utilizing equity to generate returns for shareholders in 2024.

Inventory Turnover Ratio:

2024: 21.26

2023: 43.10

Change: Decreased by 50.67%

Analysis: The inventory turnover ratio measures how efficiently inventory is managed and converted into sales. A decrease from 43.10 to 21.26 indicates inventory is turning over at a slower rate in 2024 compared to 2023, which could imply either slower sales or better inventory management.

Trade Receivables Turnover Ratio:

2024: 2.98

2023: 2.49

Change: Increased by 19.41%

Analysis: The trade receivables turnover ratio indicates how quickly the company collects cash from credit sales. An increase from 2.49 to 2.98 suggests improved efficiency in collecting receivables in 2024 compared to 2023, which is favorable for cash flow management.

Trade Payables Turnover Ratio:

2024: 2.72

2023: 1.82

Change: Increased by 49.54%

Analysis: The trade payables turnover ratio measures how quickly the company pays its suppliers. An increase from 1.82 to 2.72 indicates the company is paying its suppliers more frequently in 2024 compared to 2023, which could indicate improved supplier relationships or tighter working capital management.

Net Capital Turnover Ratio:

2024: 2.41

2023: 2.26

Change: Increased by 6.62%

Analysis: The net capital turnover ratio measures how efficiently the company utilizes its total capital to generate sales revenue. An increase from 2.26 to 2.41 indicates improved efficiency in utilizing capital to generate revenue in 2024 compared to 2023.

Net Profit Ratio:

2024: 5.86%

2023: 5.48%

Change: Increased by 7.02%

Analysis: The net profit ratio measures the company 's net profit as a percentage of its total revenue. An increase from 5.48% to 5.86% indicates improved profitability in 2024 compared to 2023, reflecting better cost management or increased revenue.

Return on Capital Employed:

2024: 16.29%

2023: 14.18%

Change: Increased by 14.88%

Analysis: The return on capital employed ratio indicates the efficiency of capital utilization to generate profits. An increase from 14.18% to 16.29% indicates improved profitability relative to the capital employed in 2024 compared to 2023.

Return on Investment:

2024: 14.12%

2023: 12.37%

Change: Increased by 14.12%

Analysis: The return-on-investment ratio measures the return generated on investments made in the company. An increase from 12.37% to 14.12% indicates improved returns on investments in 2024 compared to 2023, which is favorable for investors.

Dividend History

Particulars	2024	2023
Dividend Per Share (Rs)	0.60	-
Retained Earnings (In Millions)	9,844.54	8,247.72

BVG India Limited Recent Financial Performance:

Dividend per Share: The specific dividend per share figure for March 2024 is Rs. 0.60 and 2023 is not provided; 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. 9,844.54 Millions, while in 2023, they were Rs. 8,247.72 millions. 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.

To provide a more comprehensive analysis, it would be necessary to consider additional financial metrics such as revenue, net profit, assets, liabilities, and cash flows. Additionally, an analysis of trends over multiple years and a comparison to industry benchmarks and competitors would help in assessing the company 's financial health and performance.