LML Limited Latest Annual Report, Balance Sheet and Financials

  LML Limited Balance Sheet (Rs in Lakhs)

  LML Limited Profit & Loss Statement (Rs in Lakhs)

  LML Limited Consolidated Cash Flow Statement (Rs in Lakhs)

Here is a summary of the Cash Flow Statement for the years 2016 and 2015:

1.    Cash Profit from Operating Activities:

Profit/(Loss) before Tax: In 2016, the company reported a loss before tax of -₹7,835.77, while in 2015, it reported a loss of -₹8,109.42.

Adjustments: Adjustments include depreciation, amortization, impairment, interest/dividend income, interest charged (net), and provisions no longer required written back. These adjustments totaled to -₹2,256.21 in 2016 and -₹2,421.67 in 2015.

Operating Profit/(Loss) before Working Capital Changes: After adjustments, the operating profit before changes in working capital was -₹2,256.21 in 2016 and -₹2,421.67 in 2015.

Changes in Working Capital: Fluctuations in trade receivables, inventories, and trade payables & other liabilities resulted in cash generated from operations of -₹688.94 in 2016 and ₹777.65 in 2015.

Taxes Paid: The company paid taxes of -₹10.75 in 2016 and -₹9.10 in 2015.

Net Cash from Operating Activities: Consequently, the net cash from operating activities was -₹678.19 in 2016 and ₹786.75 in 2015.

2.    Cash Flow from Investing Activities:

The company engaged in various investing activities, including the purchase of fixed assets, changes in capital advances, and interest/dividend received. These activities resulted in a net cash outflow of -₹0.64 in 2016 and -₹93.12 in 2015.

3.    Cash Flow from Financing Activities:

Financing activities involved proceeds from other borrowings and payment of interest. These activities resulted in a net cash outflow of -₹64.53 in 2016 and -₹60.81 in 2015.

4.    Net (Decrease)/Increase in Cash & Cash Equivalents:

The company experienced a decrease in cash and cash equivalents of -₹743.36 in 2016 and an increase of ₹632.82 in 2015.

5.    Opening and Closing Balances of Cash and Cash Equivalents:

The opening balance of cash and cash equivalents was ₹1,816.04 in 2016 and ₹1,183.22 in 2015. By the end of the year, the closing balance decreased to ₹1,072.68 in 2016 and increased to ₹1,816.04 in 2015, reflecting changes in the company's liquidity position.

Financial Ratios of LML Limited

Here is a summary of the financial and operational metrics for LML Limited for the year 2016 & 2015:

1.    Current Ratio: The current ratio decreased from 0.18 in 2015 to 0.15 in 2016. This indicates a decline in the company's ability to cover its short-term liabilities with its current assets. A current ratio below 1.0 suggests potential liquidity issues and difficulty in meeting short-term obligations.

2.    Quick Ratio: The quick ratio also decreased from 0.06 in 2015 to 0.05 in 2016. This further confirms the decline in liquidity. The quick ratio provides a more stringent measure of liquidity by excluding inventory from current assets. A decrease in this ratio indicates a more severe liquidity situation.

3.    Inventory Turnover Ratio: The inventory turnover ratio decreased from 2.15 in 2015 to 1.75 in 2016. This suggests that the company's inventory turnover slowed down in 2016 compared to the previous year. A lower turnover ratio may indicate issues such as overstocking, slow sales, or inefficient inventory management.

4.    Debt to Equity Ratio: Both years report a debt to equity ratio of 0.00. This could indicate that the company has no debt or a negligible amount relative to its equity. However, it's important to verify if this is accurate or if there are specific reasons behind the reported ratio.

5.    Return on Assets (ROA): The return on assets improved from -39.77% in 2015 to -43.14% in 2016. A negative ROA indicates that the company incurred a net loss relative to its total assets during both years. The decrease in ROA suggests a worsening performance in utilizing its assets to generate profits.

6.    Return on Capital Employed (ROCE): The return on capital employed decreased from 6.66% in 2015 to 4.75% in 2016. This indicates a decline in the company's ability to generate returns from its capital investments. A decreasing ROCE suggests inefficiencies in capital utilization or declining profitability.

7.    Net Profit Margin: The net profit margin decreased from -39.79% in 2015 to -50.29% in 2016. A negative net profit margin indicates that the company's expenses exceed its revenues, resulting in a net loss. The widening negative margin suggests deteriorating profitability and financial performance.