Kabirdas Investment Limited Annual Report and Financials

Kabirdas Investments Limited Consolidated Balance Sheet (Rs in Thousands)

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

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

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

Operating Activity

Kabirdas Investments Limited reported a net loss before tax of ₹9,373.57 thousand in FY 2024, higher than the previous year’s loss. After adjustments like depreciation, dividend income, and fair value changes, the operating loss before working capital changes stood at ₹11,923.66 thousand. Working capital adjustments, especially a reduction in loans and advances, partially offset the deficit. Despite this, net cash used in operations was ₹14,327.71 thousand, reflecting continued negative operating performance.

 Investing Activity

The investing activities showed a net inflow of ₹22,492.96 thousand in FY 2024, up substantially from ₹2,035.06 thousand in FY 2023. The key contributor was the proceeds from the sale/purchase of investments (net) amounting to ₹21,126.16 thousand, showing the company relied heavily on liquidation of investments. Additionally, dividend income of ₹2,576.38 thousand and sale of fixed assets (₹480.52 thousand) added to the inflow. This inflow from investments cushioned the heavy cash burn from operations.

Financing Activity

There were no financing activities reported for either FY 2024 or FY 2023. This suggests the company did not raise or repay any capital or debt during the year, possibly relying solely on internal accruals and investment income.

Net Movement in Cash and Cash Equivalents

As a result of the activities above, net cash increased by ₹8,165.26 thousand in FY 2024, compared to an increase of ₹1,163.87 thousand in FY 2023. The opening balance of ₹1,495.88 thousand increased to a closing balance of ₹9,661.14 thousand, driven entirely by proceeds from investing activities, which masked the heavy operational losses.

Financial Ratios of Kabirdas Investments Limited

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

Current Ratio

The current ratio has increased significantly from 9.23 to 45.68, indicating a very high level of liquidity. This suggests that the company holds an excessive amount of current assets compared to its current liabilities.

Return on Equity (ROE)

ROE has improved sharply to 56.10% from a negative value, signaling strong profitability in relation to shareholder equity. This drastic turnaround indicates effective use of equity capital and a significant rise in net profits.

Net Capital Turnover Ratio

This ratio has slightly declined from 0.46 to 0.38, suggesting reduced efficiency in generating revenue from capital employed.

Net Profit Ratio

The net profit ratio shows an extraordinary shift from -131.91% to 14,724.46%, likely driven by non-operating income (such as dividend or investment income) rather than operating profits.

Return on Capital Employed (ROCE) (2024: 57.03% | 2023: 0.86%)

The ROCE has increased significantly, indicating that the company is now generating much higher returns from its total capital base, signaling enhanced efficiency in capital utilization.

Return on Investment (ROI) (2024: 1.34% | 2023: 1.16%)

The ROI has improved slightly, reflecting better returns on the company’s investments. However, the improvement is marginal, indicating that while investment returns are positive, they have not surged in line with the company 's reported profitability.