Devrup Trading Limited Annual Report, Balance Sheet and Financials

Devrup Trading Limited  Consolidated Balance Sheet ( in Hundreds)

Devrup Trading Limited Consolidated Profit & Loss Statement ( in Hundreds)

Devrup Trading Limited Consolidated Cash Flow Statement ( in Hundreds) 

Summary of cash flow statement for the year 2025 and 2024:

Cash Flow from Operating Activities

The company reported profit before tax of 11,001.65 (in hundreds) in FY 2025, lower than 19,251.61 in FY 2024, showing reduced profitability. After adjustments, operating profit stood at 10,535.54, also declining year-on-year. Working capital changes had a negative impact, mainly due to an increase in sundry debtors (-7,149.80) and other current assets (-200.03), indicating funds locked in operations. Unlike last year, there was no major inflow from loans and advances. Consequently, cash generated from operations fell sharply to 3,934.36 from 38,601.41. After tax payments of 3,011.08, net operating cash flow reduced drastically to 923.28, reflecting weak operational liquidity.

Cash Flow from Investing Activities

There were no investing cash flows in FY 2025, indicating no new investments or capital expenditure. In contrast, FY 2024 had heavy outflows of -11,32,581.21, mainly due to purchase of fixed assets and investments. This shows that the company shifted from an expansion phase in FY 2024 to a no-investment or consolidation phase in FY 2025.

Cash Flow from Financing Activities

The company generated 4,895.34 (in hundreds) from financing activities in FY 2025, mainly through long-term borrowings (4,900.00). Interest paid was minimal. In FY 2024, financing inflow was significantly higher at 11,01,598.12, driven by issue of shares. This indicates a shift from equity financing in FY 2024 to debt financing in FY 2025.

Net Increase in Cash & Cash Equivalents

The net increase in cash was 5,817.88 in FY 2025, slightly higher than 5,044.82 in FY 2024. However, this rise is mainly due to financing inflows rather than operating performance, which may not be sustainable.

Financial Ratios of Devrup Trading Limited

Summary of ratios for the year 2025 and 2024:

Current Ratio

The current ratio declined slightly from 21.21 in FY 2024 to 20.41 in FY 2025, but it still remains extremely high. This indicates that the company has a very strong liquidity position and is easily able to meet its short-term obligations. However, such a high ratio may also suggest inefficient use of current assets, with excess funds lying idle.

Return on Equity

The return on equity decreased from 1.37% to 0.61%, showing a significant decline in returns to shareholders. This indicates that the company is not efficiently utilizing shareholders’ funds to generate profits, reflecting weaker overall profitability during the year.

Trade Receivables Turnover Ratio

The ratio improved substantially from 0.18 to 0.83, indicating better collection efficiency. The company has improved in converting receivables into cash, although the ratio is still relatively low, suggesting that credit recovery remains slow.

Net Capital Turnover Ratio

This ratio decreased from 0.47 to 0.30, indicating that the company is generating less revenue from its capital base. It reflects lower efficiency in utilizing working capital to drive sales.

Net Profit Ratio

The net profit ratio declined sharply from 67% to 38.10%, showing a significant reduction in profitability. This suggests that either costs have increased or revenue quality has declined, leading to lower profit margins.

Return on Capital Employed

The ROCE remained constant at 1% in both years, indicating no improvement in the efficiency of capital utilization. It reflects that the company is generating very low returns on its total capital employed, which is not favorable for long-term growth.