Jotindra Steel & Tubes Annual Reports & Financial

Jotindra Infrastructure Limited Consolidated Balance Sheet (Rs in Millions)

Jotindra Infrastructure Limited Consolidated Profit & Loss Statement (Rs in Millions)

Jotindra Infrastructure Limited Consolidated Cash Flow Statement (Rs in Millions)

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

Cash Flow from Operating Activities

During FY 2024-25, the company generated a strong positive net cash flow from operations of ₹465.86 million compared to a negative cash flow of ₹126.76 million in FY 2023-24. Although profit before exceptional items and tax declined from ₹508.04 million to ₹421.20 million, operating cash flow improved substantially due to favorable working capital movements.

Major positive contributors included a significant increase in security deposits (₹239.44 million) and other current assets (₹343.35 million). However, trade payables declined sharply (₹335.68 million outflow), and other current liabilities also reduced (₹180.93 million), indicating repayment of obligations.

In the previous year (FY24), operating cash was adversely affected by large non-cash adjustments such as gain on conversion of land into stock-in-trade and write-backs of doubtful advances, which reduced operating profit before working capital changes to ₹14.95 million. Overall, FY25 reflects improved operational cash generation and better liquidity from core activities.

Cash Flow from Investing Activities

The company reported a significant net cash outflow from investing activities of ₹656.02 million in FY25 compared to a net inflow of ₹85.83 million in FY24.

The major reason for this outflow was heavy investment in Property, Plant and Equipment (₹709.68 million), indicating expansion or capital expenditure. In contrast, FY24 saw proceeds from the sale of Property, Plant and Equipment (₹126.20 million), which contributed to positive investing cash flow.

Interest received declined from ₹22.58 million to ₹11.23 million. Redemption of margin money deposits generated ₹15.28 million in FY25, while FY24 recorded an investment outflow under this head.

Overall, FY25 shows aggressive capital investment, suggesting growth-oriented expansion.

Cash Flow from Financing Activities

Financing activities generated a net cash inflow of ₹190.14 million in FY25, significantly higher than ₹41.87 million in FY24.

This increase was primarily due to higher long-term borrowings (₹146.19 million) and proceeds from issue of share capital on a preferential basis (₹32.00 million). Short-term borrowings remained almost stable. Interest payments slightly increased to ₹3.43 million.

The higher financing inflow indicates that the company relied on both debt and equity funding to support its capital expenditure and expansion activities during FY25.

Net Change in Cash & Cash Equivalents

Despite strong operating cash inflows and financing support, heavy capital expenditure resulted in an almost negligible net decrease in cash and cash equivalents (₹0.02 million) in FY25. Cash balance remained stable at ₹2.80 million compared to ₹2.82 million in FY24.

This indicates that the company effectively balanced operating inflows, investment outflows, and financing inflows, maintaining stable liquidity levels.

Financial ratios of Jotindra Infrastructure Limited

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

Current Ratio:
The current ratio improved significantly to 2.48 from 1.48, indicating a stronger liquidity position. The company now has better short-term solvency and sufficient current assets to meet its current liabilities comfortably.

Debt-Equity Ratio:
The debt-equity ratio increased slightly to 0.36 from 0.30, showing a moderate rise in borrowings. However, the ratio remains within a reasonable level, indicating a balanced capital structure with manageable financial risk.

Return on Equity:
ROE declined sharply to 0.56 from 1.54, reflecting a significant fall in profitability for shareholders. This indicates reduced efficiency in generating returns from shareholders’ funds.

Inventory Turnover Ratio:
The inventory turnover ratio decreased substantially to 22.15% from 59.43%, indicating slower movement of inventory. This suggests weaker inventory management and possible overstocking.

Trade Receivables Turnover Ratio:
The ratio declined to 0.57 from 0.86, showing slower collection of receivables. This may negatively impact liquidity and increase the risk of bad debts.

Trade Payables Turnover Ratio:
The ratio improved to 10.41 from 6.63, indicating faster payment to suppliers. While this strengthens supplier relationships, it may reduce the benefit of credit periods.

Net Capital Turnover Ratio:
The ratio dropped significantly to 0.84 from 3.94, indicating lower efficiency in utilizing capital to generate revenue. This reflects reduced operational performance during the year.

Net Profit Ratio:
The net profit ratio declined to 0.31 from 0.68, showing a reduction in overall profitability and weaker cost control.

Return on Capital Employed:
ROCE decreased to 0.30 from 0.46, indicating lower efficiency in generating returns from total capital employed, reflecting overall decline in operational performance.