Hicks Thermometers India Limited | Balance Sheet and Financials

Hicks Thermometers India Limited Standalone Balance Sheet (in Rs)

Hicks Thermometers India Limited Standalone Profit and Loss Statement (in Rs)

Hicks Thermometers India Limited Standalone Cash Flow Statement (in Rs)

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

Operating Activities

In FY 2024, operating cash flow stood at ₹2.94 crore, slightly down from ₹3.59 crore in FY 2023. Higher profit before tax and reduced inventory supported inflows, while increased receivables and reduced payables limited them. Overall, the company maintained strong operational efficiency.

Investing Activities

Investing outflows dropped significantly to ₹6.34 lakh in FY 2024 from ₹87.42 lakh in FY 2023, due to lower asset purchases and higher interest income. The decline indicates controlled capital spending.

Financing Activities

Financing activities led to a cash outflow of ₹1.84 crore in FY 2024, significantly higher than the ₹1.13 crore outflow in FY 2023. This was primarily due to repayment of long-term borrowings (₹0.46 crore) and other outflows of cash (₹0.96 crore), along with finance costs of ₹0.42 crore. The increased outflow indicates deleveraging and perhaps some reduction in financial risk, though it also implies reduced external funding

Net Cash Position

The company reported a net increase in cash and cash equivalents of ₹1.04 crore in FY 2024, lower than the ₹1.58 crore increase in FY 2023. Nevertheless, it reflects a positive cash position. With strong opening cash of ₹17.59 crore, the year ended with a healthy balance of ₹18.63 crore. This demonstrates robust liquidity and prudent cash management, giving the company a solid cushion for future investments or contingencies.

Financial Ratios of Hicks Thermometers (India)  Limited

Here is a summary of the financial and operational metrics for the year 2024 and 2023:

Current Ratio – 2024: 13.98 | 2023: 9.78

The current ratio measures a company's ability to meet short-term liabilities using its short-term assets. A jump from 9.78 in 2023 to 13.98 in 2024 indicates a very strong liquidity position.

Return on Equity Ratio – 2024: 10% | 2023: 7%

Return on Equity (ROE) assesses how effectively the company generates profits from shareholders' investments. The increase from 7% in 2023 to 10% in 2024 indicates improved profitability and better utilization of equity capital.

Trade Receivables Turnover Ratio – 2024: 8.00 | 2023: 6.47

This ratio reflects how efficiently the company collects payments from its customers. The rise from 6.47 to 8.00 indicates that receivables were converted to cash more quickly in 2024 than in 2023.

Trade Payables Turnover Ratio – 2024: 16.44 | 2023: 4.86

Trade payables turnover ratio indicates how quickly the company pays its suppliers. A sharp increase from 4.86 in 2023 to 16.44 in 2024 suggests the company significantly sped up its payments to vendors.

Net Capital Turnover Ratio – 2024: 1.85 | 2023: 1.47

The net capital turnover ratio measures how efficiently the company is using its working capital to generate revenue. A rise from 1.47 to 1.85 in 2024 implies enhanced operational efficiency, as the company managed to generate more sales from each unit of capital employed in day-to-day operations.

Net Profit Ratio – 2024: 6% | 2023: 5%

This ratio reflects the portion of revenue that remains as profit after all expenses. The slight increase from 5% to 6% indicates modest improvement in the company’s profitability.

Return on Capital Employed (ROCE) – 2024: 10% | 2023: 9%

ROCE evaluates the efficiency with which the company is using all available capital (both debt and equity) to generate profits. The increase from 9% to 10% shows the company is making better use of its invested capital.