Maharaja Shree Umaid Annual Reports, Balance Sheet and Financials

Maharaja Shree Umaid Mills Limited Balance Sheet (Rs in Lakhs)

 Maharaja Shree Umaid Mills Limited Profit & Loss Statement (Rs in Lakhs)

Maharaja Shree Umaid Mills Limited Cash Flow Statement (Rs in Lakhs)

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

Operating Activities: In 2024, the company reported a net loss before tax of ₹1,366.33 lakhs, a significant decline from a profit of ₹131.75 lakhs in 2023. Despite this negative profit, adjustments for non-cash items and financing costs still generated positive cash flow. Depreciation and amortization remained high at ₹2,111.92 lakhs, slightly up from ₹2,094.26 lakhs in 2023. The impairment of non-current assets, finance costs, and other adjustments like the net gain on the fair value of investments also contributed to the operating cash flow. Notably, the operating profit before working capital changes was ₹2,365.66 lakhs, though it decreased from ₹3,681.96 lakhs in 2023. Working capital movements were varied: increases in trade receivables and inventories, along with decreases in trade payables, led to a significant drop in cash generated from operations, from ₹7,688.65 lakhs in 2023 to ₹2,294.37 lakhs in 2024. After accounting for income tax payments, the net cash flow from operating activities was ₹2,260.86 lakhs, down from ₹7,648.99 lakhs the previous year.

Investing Activities: The company’s investing activities in 2024 involved substantial cash outflows, totaling ₹10,368.77 lakhs, compared to an inflow of ₹861.20 lakhs in 2023. Major expenditures included the purchase of property, plant, and equipment for ₹1,565.78 lakhs and significant investments in unlisted equity shares amounting to ₹9,256.40 lakhs. There were also some cash inflows from the sale of investment properties and the redemption of debentures, but these were insufficient to offset the large investments. The significant net cash used in investing activities indicates a strategic expansion or heavy investment in assets and subsidiaries.

Financing Activities: In 2024, the company had a net cash inflow from financing activities of ₹9,001.36 lakhs, reversing the net outflow of ₹8,527.26 lakhs in 2023. This substantial inflow was driven by new non-current borrowings of ₹42,219.00 lakhs, partially offset by repayments of existing borrowings and finance costs. There was also a notable equity infusion in the previous year which did not recur in 2024. The financing activities suggest a strong reliance on borrowed funds to support investment and operational needs.

Overall Cash Flow: The net increase in cash and cash equivalents in 2024 was ₹893.45 lakhs, a recovery from a decrease of ₹17.07 lakhs in 2023. This increase reflects the positive impact of financing activities and the acquisition of cash equivalents from newly acquired subsidiaries. Consequently, the closing balance of cash and cash equivalents rose to ₹966.28 lakhs from ₹71.23 lakhs at the beginning of the year.

Financial Ratios of Maharaja Shree Umaid Mills Limited

Here is a summary of the financial and operational metrics for Maharaja Shree Umaid Mills Limited for the year 2024 and 2023:

Current Ratio: The current ratio measures the company 's ability to cover short-term liabilities with short-term assets. In 2024, the current ratio decreased to 1.25 from 1.36 in 2023. A current ratio above 1 is generally considered acceptable, but the drop signals a need for closer monitoring of working capital management.

Debt-to-Equity Ratio: The debt-to-equity ratio assesses the company 's financial leverage by comparing its total debt to shareholders ' equity. The ratio increased to 0.65 in 2024 from 0.43 in 2023.

Debt Service Coverage Ratio (DSCR): The debt service coverage ratio measures the company’s ability to meet its debt obligations from its operating income. In 2024, the DSCR fell to 0.11 from 0.32 in 2023.

Return on Equity (ROE): ROE reflects the profitability relative to shareholders ' equity. In 2024, the ROE turned negative at -1.93%, down from a positive 0.20% in 2023.

Inventory Turnover Ratio: This ratio measures how efficiently inventory is managed and sold. In 2024, the inventory turnover ratio improved to 4.53 from 3.99 in 2023. A higher ratio suggests better inventory management and faster turnover of stock, which can be beneficial for maintaining liquidity and reducing holding costs.

Trade Receivables Turnover Ratio: This ratio assesses how effectively the company collects its receivables. The ratio increased to 10.25 in 2024 from 8.16 in 2023, indicating improved efficiency in collecting payments from customers. Faster collection of receivables can enhance cash flow and reduce credit risk.

Trade Payables Turnover Ratio: This ratio measures how quickly the company pays its suppliers. In 2024, the ratio increased to 14.46 from 12.70 in 2023, suggesting a slower payment cycle. While a higher ratio indicates that the company is taking longer to settle its payables, this could be a strategic decision to manage cash flow more effectively.

Net Capital Turnover Ratio: This ratio assesses how efficiently the company uses its net capital to generate sales. In 2024, the ratio decreased slightly to 8.09 from 8.43 in 2023.

Net Profit Ratio: The net profit ratio indicates the percentage of revenue that remains as profit after all expenses. In 2024, the ratio dropped to -2.24% from a marginally positive 0.02% in 2023.

Return on Capital Employed (ROCE): ROCE measures the efficiency and profitability of capital investments. In 2024, ROCE fell to 0.89% from 4.60% in 2023. Return on Investment (ROI): ROI evaluates the return generated on investments relative to their cost. The ratio decreased to 5.06% in 2024 from 11.13% in 2023