Kabirdas Investment Limited Annual Report and Financials

Kabirdas Investments Limited Consolidated Balance Sheet (Rs in Thousands)

Kabirdas Investments Limited Consolidated Profit & Loss Statement (Rs in Thousands)

Kabirdas Investments Limited Consolidated Cash Flow Statement (Rs in Thousands)

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

Cash Flow from Operating Activities

Kabirdas Investments Limited reported a net cash outflow from operating activities of Rs. 32,401.61 thousand during FY 2024-25 as compared to an outflow of Rs. 14,327.69 thousand in FY 2023-24. The increase in cash outflow was mainly due to higher losses before tax and significant deployment of funds in working capital, particularly in loans and advances. Increased tax payments during the year also contributed to the negative operating cash flows. The continued negative operating cash flow indicates that the company’s core operations were not sufficient to generate positive liquidity during the year.

Cash Flow from Investing Activities

The company generated positive cash inflows of Rs. 29,334.55 thousand from investing activities during FY 2024-25 as against Rs. 22,492.96 thousand in FY 2023-24. The inflows were primarily driven by proceeds from sale or redemption of investments along with dividend income received from investments. The company also incurred a comparatively lower outflow towards purchase of fixed assets during the year. This reflects efficient management of the investment portfolio and indicates that investing activities remained the major source of cash generation.

Cash Flow from Financing Activities

There were no cash flows from financing activities during FY 2024-25 as well as FY 2023-24. This indicates that the company did not undertake any borrowing, repayment, equity infusion, or dividend payout transactions during the year. The absence of financing activities suggests that the company relied primarily on internal accruals and investment-related inflows for managing its liquidity requirements.

Net Increase/(Decrease) in Cash and Cash Equivalents

Overall, the company recorded a net decrease in cash and cash equivalents of Rs. 3,067.05 thousand during FY 2024-25, compared to a net increase of Rs. 8,165.27 thousand in FY 2023-24. Consequently, the closing cash and cash equivalents balance declined to Rs. 6,594.09 thousand as at 31 March 2025 from Rs. 9,661.14 thousand as at 31 March 2024. The reduction in cash balance was mainly due to substantial cash outflows from operating activities, partially offset by positive cash inflows from investing activities.

Financial ratios of Kabirdas Investments Limited:

Summary of the Ratios for the years 2025 and 2024:

Current Ratio

The current ratio of Kabirdas Investments Limited decreased significantly from 45.68 as on 31 March 2024 to 15.48 as on 31 March 2025. Although the ratio has declined, it still remains substantially above the standard benchmark, indicating that the company continues to maintain a strong liquidity position and possesses adequate current assets to meet its short-term obligations. The decrease may be attributable to better utilization of current assets or an increase in current liabilities during the year.

Return on Equity Ratio

The Return on Equity ratio declined from 56.10% in FY 2023-24 to 35.15% in FY 2024-25. This indicates a reduction in the company’s profitability in relation to shareholders’ funds compared to the previous year. Despite the decline, the ratio continues to reflect a healthy return for equity shareholders, demonstrating the company’s ability to generate profits from its net worth.

Net Capital Turnover Ratio

The Net Capital Turnover ratio improved from 0.38 times in FY 2023-24 to 0.49 times in FY 2024-25. The increase indicates comparatively better utilization of capital employed in generating revenue during the year. This reflects improved operational efficiency and enhanced deployment of working capital resources.

Net Profit Ratio

The Net Profit Ratio decreased from 14,724.46% in FY 2023-24 to 7,118.21% in FY 2024-25. Although the ratio remains exceptionally high, the decline suggests comparatively lower profitability margins during the current year. Such fluctuations may arise due to changes in income from investments, fair valuation gains, or other non-operating income components that significantly impact profitability.

Return on Capital Employed

The Return on Capital Employed ratio declined from 57.03% in FY 2023-24 to 37.20% in FY 2024-25. This indicates that the company generated relatively lower earnings from its capital base during the current financial year. However, the ratio still reflects efficient utilization of long-term funds and capital employed in the business.

Return on Investments

The Return on Investments ratio reduced from 1.34% in FY 2023-24 to 0.86% in FY 2024-25. The decline indicates lower income earned on investment portfolios during the year as compared to the previous year. This may be due to market fluctuations, lower dividend income, or reduced returns from financial assets held by the company.