Delhi Stock Annual Reports, Balance Sheet and Financials

DSE Estates Limited Balance Sheet (Rs in thousands)

DSE Estates Limited Profit & Loss Statement (Rs in thousands)

DSE Estates Limited Consolidated Cash Flow Statement (Rs in thousands)

Here is a summary of the Cash Flow Statement for the years 2023 and 2022:

Cash Flow from Operating Activities

Net Profit/(Loss) before tax and Extraordinary Items: There is a significant decrease from ₹62,063 in 2022 to ₹19,079 in 2023, indicating a decrease in profitability before considering tax and extraordinary items.

Finance Costs: Increased slightly from ₹135 to ₹477, reflecting potentially higher borrowing costs or financial obligations.

Depreciation: Almost consistent at ₹3,351 in 2023 compared to ₹3,397 in 2022, indicating stable non-cash expenses related to depreciation.

Provisions: There were no provisions for doubtful debts in 2023 compared to ₹1,006 in 2022, and a provision for diminution in the value of current investments was reversed (₹0 in 2023 versus a write-back of -₹16 in 2022).

Interest, Dividend, and Rental Income: Interest income decreased slightly from -₹36,102 to -₹40,444, while dividend income also decreased from -₹503 to -₹862. Rental income decreased from -₹85 to -₹57.

Profit on Investments and Assets: There was a profit on redemption of current investments of -₹470 in 2023 (compared to -₹1,056 in 2022) and no profit on redemption of non-current investments in 2023 (compared to -₹31,300 in 2022). There was no profit on sale of property, plant, and equipment in 2023 (compared to -₹22,659 in 2022).

Operating Profit/Loss before Working Capital Changes: Improved from -₹25,003 in 2022 to -₹18,924 in 2023, indicating better operational performance before considering changes in working capital.

Working Capital Changes: Trade and other receivables, loans and advances, and other current and non-current assets decreased by -₹7,347 in 2023 (compared to an increase of ₹11,801 in 2022). Other bank balances decreased significantly by -₹132,506 in 2023 (compared to no change in 2022). Current and non-current liabilities decreased slightly by -₹8,589 in 2023 (compared to an increase of ₹8,130 in 2022).

Cash Generated from Operations: Despite improvements in operating profit, cash generated from operations remained negative at -₹1,67,366 in 2023 (compared to -₹5,072 in 2022), indicating ongoing challenges in converting operational activities into positive cash flow.

Income Tax Paid: Increased to ₹8,235 in 2023 from ₹4,611 in 2022, reflecting higher tax obligations despite lower profits.

Cash Flow from Investing Activities

Interest, Dividend, and Rental Income: Increased in 2023 compared to 2022.

Purchase and Sale of Assets and Investments: Significant activities included purchases of property, plant, and equipment (-₹852 in 2023 versus -₹5,054 in 2022), and purchases of investments (-₹73,029 in 2023 versus -₹1,86,720 in 2022). There was also a sale/redemption of investments resulting in ₹36,578 in 2023 (compared to ₹2,32,594 in 2022), indicating strategic asset management.

Net Cash used in Investing Activities: Improved significantly to ₹4,060 in 2023 from ₹1,04,313 in 2022, reflecting better cash management and reduced capital expenditures.

Cash Flow from Financing Activities

Finance Costs: Increased slightly from -₹135 in 2022 to -₹477 in 2023, indicating higher financing activities costs.

Financial Ratios of DSE Estates Limited

Current Ratio:

31-03-2023: 59.74

31-03-2022: 32.19

Analysis:

The current ratio measures the company 's ability to pay its short-term liabilities with its short-term assets.

A current ratio of 59.74 for 31-03-2023 indicates a substantial increase from 32.19 in 31-03-2022.

This significant increase suggests a much higher proportion of current assets relative to current liabilities in 2023, indicating improved liquidity and potentially a stronger financial position to meet short-term obligations.

However, extremely high current ratios might also suggest inefficient use of resources or excessive liquidity, warranting further investigation into the composition of current assets and liabilities.

Return on Equity (ROE) Ratio:

31-03-2023: 1.32%

31-03-2022: 4.08%

Analysis:

ROE measures how effectively the company is generating profits from shareholders ' equity.

A decrease in ROE from 4.08% in 31-03-2022 to 1.32% in 31-03-2023 indicates a significant reduction in profitability relative to shareholder equity.

The decrease suggests that the company 's ability to generate profit from the shareholders ' investments has declined, reflecting lower net income relative to shareholders ' equity.

Factors contributing to this decrease could include lower profitability, increased equity base, or both.

Return on Capital Employed (ROCE) Ratio:

31-03-2023: 1.79%

31-03-2022: 4.97%

Analysis:

ROCE measures the efficiency of capital utilization by comparing earnings before interest and tax (EBIT) to capital employed (net assets).

Similarly, a decrease in ROCE from 4.97% in 31-03-2022 to 1.79% in 31-03-2023 indicates a decline in profitability relative to the capital employed.

This decline suggests less efficient utilization of capital to generate earnings, possibly due to lower profitability or an increase in capital employed without a corresponding increase in earnings.

It 's essential to investigate the reasons behind this decline, such as changes in operational efficiency, profitability margins, or capital structure.

Return on Investment (ROI) Ratio:

31-03-2023: 5.25%

31-03-2022: 4.61%

Analysis:

ROI measures the return on investment relative to the cost of that investment.

An increase in ROI from 4.61% in 31-03-2022 to 5.25% in 31-03-2023 indicates improved profitability relative to the investments made.

This improvement suggests that the company 's investments are generating higher returns compared to the previous year.

Factors contributing to this increase could include better investment decisions, higher investment returns, or improved operational efficiencies.