Fancy Fittings Annual Reports, Balance Sheet and Financials

Fancy Fittings Limited Standalone Balance Sheet (Rs in Lakhs)

Particulars	31-03-2025	31-03-2024
Non-Current Assets
Property, Plant and Equipment	2,204.03	2,401.62
Other Intangible Assets	2.96	2.96
Financial Assets
Other Investments	40.26	29.81
Loans and Deposits	16.94	33.14
Other Non-current Assets	66.90	66.92
Deferred Tax Asset	239.58	204.65
Current Assets
Inventories	317.94	296.15
Financial Assets
Trade Receivables	138.50	461.63
Cash and Cash Equivalents	4.20	4.37
Other Balances with Banks	9.56	9.56
Other Financial Asset	82.60	196.25
Current Tax Assets	59.68	55.99
Other Current Assets	50.88	55.76
Total Asset	3,234.03	3,818.80
Equity
Equity Share Capital	325.80	325.80
Other Equity	329.70	-506.44
Non-current liabilities
Borrowings	850.75	1,737.79
Provisions	99.89	95.00
Current Liabilities
Financial Liabilities
Borrowings	872.77	1,121.15
Trade Payables
Dues of Small enterprises and Micro enterprises	15.27	63.81
Dues of creditors other than above	361.21	480.12
Other Financial Liabilities	132.99	154.25
Other Current Liabilities	243.66	347.32
Total Equity & Liability	3,234.03	3,818.80

Fancy Fittings Limited Standalone Profit & Loss Statement (Rs in Lakhs)

Particulars	31-03-2025	31-03-2024
Income
Revenue from Operations	1,140.07	2,144.49
Other Income	965.15	140.46
Total Income	2,105.22	2,284.95
Expenses
Cost of material consumed	445.45	1,091.80
Purchases of Stock in Trade
Changes in inventories of finished goods, Stock-in -Trade and work-in-progress	-2.47	175.21
Employee Benefit Expenses	309.83	530.64
Finance Costs	137.15	387.05
Depreciation & amortization expense	227.56	242.13
Other Expenses	185.59	439.73
Total Expenses	1,303.12	2,866.56
Profit Before Tax	802.10	-581.61
Deferred Tax	-34.93	65.07
Profit/loss from discontinued operations	-	212.08
Profit/(Loss) for the period	837.03	-646.68
Other Comprehensive Income:
Items that will not be reclassified to profit or loss
Re-measurements of defined benefit liability / (asset)	1.33	3.25
Income Tax effect on above	-	0.25
Total Comprehensive Income for the period	838.36	-431.60
Earnings per share for continued & discontinued operations
Basic	25.69	-13.34
Diluted	25.69	-13.34

Fancy Fittings Limited Standalone Cash Flow Statement (Rs in Lakhs)

Particulars	31-03-2025	31-03-2024
Cash Flow from Operating Activities
Net Profit/(Loss) After tax and extra ordinary items	837.03	-434.59
Add: Non-Operating expenses / non cash flow items
Depreciation	227.56	242.13
Keyman Insurance Policy Surrender	-316.41	-
Profit/(Loss) on sale of Fixed Asset/invest	-628.52	-346.84
Dividend Receipts	-0.25	-0.38
Deferred Tax	-34.93	65.07
Interest Income	-5.85	-8.27
Exchange Rate difference	-2.05	-2.52
Operating cash flow before working capital changes	76.59	-485.41
Adjustments for working capital changes
Trade Payables	-167.45	-272.24
Increase in current provisions	4.88	1.42
Increase in other current liabilities	-371.31	-735.50
Inventories	-21.79	449.60
Increase in Bank Balance Other Than Cash equivalents	-	50.68
Increase in current Tax Asset	-3.69	-6.51
Trade & other receivable	323.14	-82.23
Other Current assets	118.53	-7.79
Reserves	-0.88	-3.10
Cash Flow from operating activities	-41.99	-1,091.07
Cash Flow from Investing activities
Purchase of Fixed Asset (net)	-29.98	538.06
Decrease in Non-Current Financial Assets	5.74	-9.35
Increase in other Non-Current Assets	0.02	-0.02
sale of fixed assets/ Investments	628.52	346.84
Keyman Insurance Policy Surrender	316.41	-
Exchange Rate difference	2.05	2.52
Dividend Income	0.25	0.38
Interest Income	5.85	8.27
Cash flow from investing activities	928.86	886.71
Cash flow from financing activities
Increase in Borrowing	-887.04	205.09
Cash flow from financial activities	-887.04	205.09
Net increase/decrease in cash & cash equivalent	-0.17	0.73
Cash & Cash equivalent - Opening	4.37	3.64
Cash & Cash equivalent–Closing	4.20	4.37

Summary of the Cash Flow Statement for the years 2025 and 2024:

Cash Flow from Operating Activities

During FY 2024–25, the company achieved a strong turnaround, reporting a net profit of ₹837.03 lakhs compared to a loss of ₹434.59 lakhs in FY 2023–24. However, after adjusting for non-cash and non-operating items, operating cash flow before working capital changes was modest at ₹76.59 lakhs, though significantly better than the previous year’s negative ₹485.41 lakhs.

Major adjustments included depreciation of ₹227.56 lakhs and substantial non-operating gains from sale of fixed assets (₹628.52 lakhs) and surrender of Keyman Insurance Policy (₹316.41 lakhs), along with deferred tax and minor income adjustments.

Despite improved profitability, working capital movements affected cash flow. Payments to suppliers and reduction in other current liabilities reduced cash, while better recovery from receivables provided some support. As a result, net cash flow from operating activities remained slightly negative at ₹41.99 lakhs, though it improved considerably from ₹1,091.07 lakhs outflow in the previous year. This indicates better operational stability but weak cash conversion from profits.

 

Cash Flow from Investing Activities

Investing activities resulted in a strong cash inflow of ₹928.86 lakhs in FY 2024–25, slightly higher than ₹886.71 lakhs in the previous year. The inflow was mainly due to sale of fixed assets (₹628.52 lakhs) and surrender of Keyman Insurance Policy (₹316.41 lakhs), along with interest and dividend income.

Capital expenditure was minimal at ₹29.98 lakhs, indicating limited expansion. Overall, the positive investing cash flow was primarily driven by asset monetization rather than regular business operations, which may not be sustainable in the long term.

 

Cash Flow from Financing Activities

Financing activities resulted in a significant cash outflow of ₹887.04 lakhs, compared to an inflow of ₹205.09 lakhs in FY 2023–24.

This outflow was primarily due to repayment or reduction of borrowings. The company appears to have used funds generated from investing activities to reduce debt. This indicates a deleveraging strategy and strengthening of the balance sheet.

Reduction in borrowings improves financial stability and lowers future interest burden.

 

Net Cash Position

Despite substantial inflows from investing activities and repayment of borrowings during FY 2024–25, the overall net change in cash was marginally negative at ₹0.17 lakhs, compared to a small increase of ₹0.73 lakhs in the previous year. Cash and cash equivalents decreased slightly from ₹4.37 lakhs at the beginning of the year to ₹4.20 lakhs at the end of the year. The low closing cash balance indicates tight liquidity, even though the company reported strong accounting profits.

 

Financial ratios of Fancy Fittings Limited

Particulars	31-03-2025	31-03-2024
Current ratio	0.41	0.50
Debt equity ratio	2.63	-15.83
Debt service coverage ratio	1.06	0.26
Return on equity ratio	3.53	-11.34
Inventory turnover ratio	1.44	2.43
Trade receivables turnover ratio	3.80	5.10
Trade payables turnover ratio	1.04	1.36
Net capital turnover ratio	-1.11	-1.80
Net profit ratio	0.73	-0.20
Return on capital employed	-0.39	-0.01

Summary of the financial ratios for the years 2025 and 2024:

Current Ratio

The current ratio declined from 0.50 in FY 2023–24 to 0.41 in FY 2024–25. Since it is well below the ideal benchmark of 1.5–2:1, it indicates weak short-term liquidity. The company may face difficulty in meeting its current liabilities from current assets, reflecting tight working capital management.

 

Debt–Equity Ratio

The debt–equity ratio improved significantly from –15.83 to 2.63. The negative ratio in the previous year was due to negative net worth arising from accumulated losses. In FY 2024–25, the ratio turned positive due to improved profitability and possible debt adjustments. However, a ratio of 2.63 still indicates high financial leverage and dependence on borrowed funds.

 

Debt Service Coverage Ratio

The DSCR improved from 0.26 to 1.06. A ratio above 1 indicates that the company is just able to meet its debt servicing obligations. While this shows improvement in repayment capacity, the margin of safety remains low.

 

Return on Equity

ROE improved sharply from –11.34% to 3.53%, reflecting the turnaround from losses to profits. This indicates that shareholders earned a positive return in FY 2024–25. However, the return level is still modest.

 

Inventory Turnover Ratio

The inventory turnover ratio declined from 2.43 to 1.44, indicating slower movement of inventory. This suggests possible overstocking or slower sales, which may increase holding costs and impact liquidity.

 

Trade Receivables Turnover Ratio

The receivables turnover ratio decreased from 5.10 to 3.80, indicating slower collection from customers. This means funds are blocked in debtors for a longer period, negatively affecting cash flow.

 

Trade Payables Turnover Ratio

The payables turnover ratio declined from 1.36 to 1.04, suggesting that the company is taking slightly longer to pay suppliers. This may be a strategy to manage liquidity, but prolonged delays could affect supplier relationships.

 

Net Capital Turnover Ratio

The net capital turnover ratio improved from –1.80 to –1.11, but it remains negative. A negative ratio indicates negative working capital, meaning current liabilities exceed current assets. Though slightly better than last year, the company still faces structural working capital challenges.

 

Net Profit Ratio

The net profit ratio improved significantly from –0.20 to 0.73, reflecting the shift from losses to profitability. This shows improved cost control and operational performance.

 

Return on Capital Employed

ROCE declined from –0.01 to –0.39 (negative in both years), indicating that the company is not generating adequate returns on total capital employed. Despite profit improvement, capital efficiency remains weak.