Cheelizza Pizza India Annual Reports, Balance Sheet and Financials

Cheelizza Pizza India Limited Standalone Balance Sheet (Amount in Rs.)

Particulars	31-03-2024	31-03-2023
Shareholder 's Funds
Share Capital	1,31,915	1,31,270
Reserves and Surplus	-1,70,43,801	3,38,68,076
Non-Current Liabilities
Long term Borrowings	2,85,70,577	2,12,79,943
Other long term borrowings	5,25,55,122	13,89,466
Current Liabilities
Short term borrowings	4,41,60,264	1,69,48,624
Trade Payables	55,62,857	80,18,787
Other Financial Liabilities	56,59,004	27,58,885
Other Current Liabilities	27,85,359	21,04,241
Short term provisions	2,20,562	1,35,980
Total Equity and Liabilities	12,26,01,859	8,66,35,272
Non-Current Assets
Property, Plant and Equipment	5,57,11,504	4,78,35,349
Intangible assets	36,31,019	37,45,012
Deferred Tax assets	2,62,61,670	90,09,852
Current Assets
Inventories	46,51,923	47,87,488
Trade Receivables	39,07,306	23,85,299
Cash & Cash Equivalents	1,13,50,780	76,84,683
Short term loans and advances	11,375	1,08,942
Other Current assets	1,70,76,282	1,10,78,648
Total Assets	12,26,01,859	8,66,35,273

Cheelizza Pizza India Limited Standalone Profit & Loss Statement (Amount in Rs.)

Particulars	31-03-2024	31-03-2023
Revenue from Operations	18,12,63,186	13,36,02,316
Other Income	11,64,902	42,38,608
Total Revenue	18,24,28,088	13,78,40,924
Expenses
Cost of material consumed	7,39,24,737	5,60,84,631
Employee benefit expenses	4,47,42,892	2,91,52,151
Finance costs	86,83,649	42,66,707
Depreciation and Amortization expenses	1,64,43,853	85,81,653
Other Expenses	10,67,96,653	6,86,69,988
Total Expenses	25,05,91,784	16,67,55,130
Profit/(Loss) Before Tax	-6,81,63,695	-2,89,14,206
Deferred Tax	-1,72,51,818	-80,36,832
Profit/(Loss) After Tax	-5,09,11,878	-2,08,77,375
Earnings per share
Basic	-4,327.40	-1,774.53
Diluted	-4,327.40	-1,774.53

Cheelizza Pizza India Limited Standalone Cash Flow Statement (Amount in Rs.)

Particulars	31-03-2024	31-03-2023
Cash from Operating Activities
Net Profit before tax & Ordinary item	-6,81,63,695	-2,89,14,206
Add: Non Cash Expenses
Depreciation	1,64,43,853	85,81,653
Less: Tax of Previous year
Interest from Investing activity	79,500	23,170
Operating Profit before WC changes	-5,17,99,343	-2,03,55,724
(Increase)/Decrease in Current Assets
Inventories	1,35,565	-11,64,699
Trade Receivables	-15,22,007	-9,08,150
Other Current Assets	-59,97,634	-67,10,250
Short-term loans and advances	97,567	4,58,539
Increase/(Decrease) in Current Liabilities
Short term borrowings	2,72,11,640	1,18,51,523
Trade Payabels	-24,55,286	2,24,399
Other Current liabilities	6,81,118	-16,40,280
Other Provisions	29,84,701	7,87,557
Net Cash Flow from Operating Activities	-3,06,63,678	-1,74,57,085
Cash from Investing Activities
Increase/(Decrease) in Fixed Assets	-2,42,06,015	-4,25,44,532
Interest Received	79,500	23,170
Net Cash Flow from Investing Activities	-2,41,26,515	-4,25,21,362
Cash from Financing Activities
Increase/(Decrease) in Share Capital	-	5,68,46,656
Increase/(Decrease) in Long term Borrowings	5,84,56,290	99,66,913
Net Cash Flow from Financing Activities	5,84,56,290	6,68,13,569
Net Increase/(Decrease) in Cash & Cash Equivalents	36,66,097	68,35,123
Opening Cash and cash equivalents	76,84,683	8,49,560
Closing Cash and cash equivalents	1,13,50,780	76,84,683
Net Increase/(Decrease) in Cash	36,66,097	68,35,123

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

Cash Flow from Operating Activities (CFO)

The company reported negative operating cash flows in both years (₹ -3.06 crore in 2024 and ₹ -1.74 crore in 2023). This indicates that the core business operations are not generating sufficient cash and are instead consuming resources.

The net profit before tax was deeply negative in both years, primarily driving poor operating cash flow.

Non-cash expenses like depreciation helped offset losses somewhat (₹ 1.64 crore in 2024 vs. ₹ 0.85 crore in 2023).

Working capital changes had mixed effects: in 2024, borrowings and provisions increased, but trade receivables and other current assets rose, draining cash.
Overall, despite higher borrowings supporting working capital, operations remain cash-negative, signaling ongoing business inefficiency or unprofitable operations.

Cash Flow from Investing Activities (CFI)

Investing cash flows were negative in both years (₹ -2.41 crore in 2024 and ₹ -4.25 crore in 2023), mainly due to high capital expenditure on fixed assets. This suggests the company is investing heavily in infrastructure or capacity building.

While such investments can be positive for future growth, the lack of positive cash inflows from operations raises concerns about how these investments will be funded and sustained.

Interest received was negligible in both years and did little to offset outflows.

Cash Flow from Financing Activities (CFF)

Financing activities were the main source of positive cash flow, with ₹ 5.84 crore in 2024 and a much higher ₹ 6.68 crore in 2023.

In 2023, the inflows came from both fresh equity infusion (₹ 5.68 crore) and long-term borrowings (₹ 1.0 crore).

In 2024, there was no new equity raised, but a significant increase in long-term borrowings (₹ 5.85 crore) provided funding.
This dependence on external financing highlights that the company is surviving on borrowed funds, not its own operational strength.

Net Change in Cash & Closing Balance

Despite weak operations and heavy investments, the company reported a net increase in cash in both years: ₹ 0.37 crore in 2024 and ₹ 0.68 crore in 2023. This was only possible due to high external financing.

Closing cash balance improved to ₹ 1.13 crore in 2024 from ₹ 0.76 crore in 2023.

However, this increase in cash is not a sign of healthy operations but rather reflects a reliance on borrowings.

Financial Ratios of Cheelizza Pizza India Limited

Particulars	31-03-2024	31-03-2023
Current Ratio	0.63	0.87
Debt-Equity Ratio	-4.30	1.12
Debt Service Coverage Ratio	-4.96	-3.77
Return on Equity Ratio	3.01	-0.61
Inventory Turnover Ratio	15.66	11.71
Trade Receivables Turnover Ratio	57.61	56.01
Trade Payables Turnover Ratio	10.89	6.99
Net Capital Turnover Ratio	-8.47	-34.07
Net Profit Ratio	-0.28	-0.16
Return on Capital Employed	-1.07	-0.34

Summary of the financial ratios for Cheelizza Pizza India Limited for the year 2024 and 2023:

Current Ratio

The current ratio measures a company’s ability to meet short-term obligations with its current assets. A ratio above 1 generally indicates sound liquidity. In 2023, the ratio was 0.87, already below the ideal threshold, and it further dropped to 0.63 in 2024. This suggests the company’s liquidity position has weakened, implying it may struggle to pay off short-term liabilities when they fall due.

Debt-Equity Ratio

This ratio shows the proportion of debt financing relative to shareholders’ equity. A negative figure (like -4.30 in 2024) usually indicates negative net worth (liabilities exceeding assets). In 2023, the ratio was 1.12, a relatively normal level, but the shift to a negative ratio signals a significant deterioration in financial health, possibly due to losses eroding equity.

Debt Service Coverage Ratio (DSCR)

The DSCR evaluates the firm’s ability to cover debt obligations (interest and principal) with operating income. A healthy ratio is above 1, but both years show negative DSCR (-3.77 in 2023, -4.96 in 2024), meaning operating earnings were insufficient to service debt. The situation worsened in 2024, indicating higher financial stress.

Return on Equity (ROE)

ROE reflects how effectively the company generates profit from shareholders’ equity. In 2023, it was negative (-0.61), showing losses. However, in 2024 it improved to 3.01, suggesting a turnaround and some profitability relative to equity, although the equity base may be small (or negative) given the debt-equity issue.

Inventory Turnover Ratio

This ratio measures how efficiently the company manages and sells its inventory. A higher value indicates faster turnover. The ratio improved from 11.71 in 2023 to 15.66 in 2024, meaning inventory is being sold and replenished more frequently, which is generally positive for working capital efficiency.

Trade Receivables Turnover Ratio

This shows how quickly receivables are collected. In both years, the ratio is very high (56.01 in 2023 and 57.61 in 2024), which indicates the company is highly efficient in collecting receivables, possibly due to strict credit policies or high cash sales.

Trade Payables Turnover Ratio

This measures how quickly the company pays its suppliers. It increased from 6.99 in 2023 to 10.89 in 2024, suggesting the company is paying suppliers more quickly. While prompt payment is good for supplier relations, it might strain liquidity, especially since the current ratio is already weak.

Net Capital Turnover Ratio

This ratio reflects the company’s ability to generate sales from working capital. Both years show negative values (-34.07 in 2023 and -8.47 in 2024), meaning the business may have negative working capital (current liabilities exceeding current assets). The ratio is still unfavorable, but the improvement in 2024 indicates some reduction in inefficiency.

Net Profit Ratio

This ratio shows net profit as a percentage of sales. Both years are negative (-0.16 in 2023 and -0.28 in 2024), indicating the company is incurring losses. Losses deepened in 2024, suggesting cost management and revenue generation challenges.

Return on Capital Employed (ROCE)

ROCE assesses profitability relative to total capital employed. Both years are negative (-0.34 in 2023 and -1.07 in 2024), indicating poor returns and value erosion. The worsening figure in 2024 shows that despite improved turnover ratios, the company’s overall capital is still not being used profitably.