Rajputana Stainless Limited Standalone Balance Sheet (Rs in Lakhs)

Particulars	31-03-2023	31-03-2022
Shareholder’s Funds
Share Capital	3,445.88	3,445.88
Reserves and surplus	5,891.59	3,624.84
Non-Current Liabilities
Long term borrowing	2,481.11	3,389.43
Deferred tax liability (Net)	504.84	747.18
Other long term liabilities	800.00
Long term provisions	180.96	173.77
Current Liabilities
Short term borrowings	5,501.43	5,794.89
Total outstanding dues of creditors other than micro and small enterprises	9,754.23	10,673.84
Other current liabilities	1,245.93	707.57
Short term provisions	952.81	521.94
Total Equity & Liabilities	30,758.78	29,079.34
Non-Current Assets
Property, plant and equipment	5,651.78	5,693.80
Intangible assets	13.74	21.52
Capital WIP	1,548.23	66.79
Long term loans and advances	597.09	106.94
Other non-current assets	629.47	839.30
Current assets
Current investments	108.00	378.30
Inventories	8,804.54	11,266.69
Trade receivables	10,668.73	8,725.62
Cash and cash equivalents	5.05	1.58
Other bank balances	712.47	619.80
Short term loans and advances	2,019.69	1,359.00
Total Assets	30,758.78	29,079.34

Rajputana Stainless Limited Standalone Profit & Loss Statement (Rs in Lakhs)

Particulars	31-03-2023	31-03-2022
Income
Revenue from Operation	95,190.36	77,019.40
Other Income	296.74	151.29
Total Income	95,487.10	77,170.69
Expenses
Cost of materials consumed	74,818.27	63,623.08
Changes in inventories	3,040.95	-298.36
Employee Benefits Expenses	1,810.02	1,459.60
Finance Costs	1,137.18	1,102.95
Depreciation and Amortization Expenses	494.63	482.68
Other Expenses	11,124.75	9,182.79
Total Expenses	92,425.79	75,552.74
Profit before tax	3,061.31	1,617.95
Current tax	827.07	543.20
Income tax relating to prior year	209.82	209.82
Deferred tax	-242.34	33.20
Profit for the year	2,266.75	831.73
Earnings per Equity Share
Basic	6.58	2.41
Diluted	6.58	2.41

Rajputana Stainless Limited Standalone Cash Flow Statement (Rs in Lakhs) 

Particulars	31-03-2023	31-03-2022
Cash Flow From Operating Activities
Net Profit before tax and exceptional items	3,061.31	1,617.95
Adjustments:
Depreciation and amortization expense	494.63	482.68
Finance costs	1,137.18	1,102.95
Interest received	-162.11	-129.54
Other non cash items	209.82	209.82
Operating profit before working capital changes	4,740.83	3,283.87
Adjustments:
Account receivable	-1,943.11	-3,398.15
Inventories	2,462.15	-274.55
Short term loans & advances	-660.69	-197.59
Trade payables	-919.61	964.43
Other current liabilities	969.24	36.61
Other bank balances	-92.67	118.91
Cash generated from operations	4,556.14	533.53
Taxes paid	1,036.90	753.02
Net cash flows from operating activities	3,519.24	-219.50
Cash Flows From Investing Activities
Purchase of fixed assets	-1,926.25	-501.86
Purchase/Sales of investment	270.30	-226.50
Long term advances	-490.14	21.20
Interest received	162.11	129.54
Net cash (used in) investing activities	-1,983.99	-577.62
Cash Flows From Financing Activities
Finance cost	-1,137.18	-1,102.95
Decrease/(Increase) in long term provisions	7.18	-4.34
Decrease/(Increase) in other long term liabilities	800.00	-
Decrease/(Increase) in short term borrowing	-293.47	123.78
Decrease/(Increase) in long term borrowing	-908.32	1,776.38
Net cash generated from financing activities	-1,531.78	792.86
Increase in cash and cash equivalents	3.48	-4.25
Cash and cash equivalents as at the beginning of year	1.58	5.83
Cash and cash equivalents as at end of the year	5.05	1.58

Here is a summary of the Cash Flow Statement for the years 2023 and 2022:

Operating Activities:

The company generated a strong positive cash flow of ₹3,519.24 lakhs from operations in FY 2023, a major improvement from the negative flow in FY 2022. This was driven by higher profits, effective cost adjustments (like depreciation and finance costs), and favorable changes in working capital, particularly from reduced inventory levels.

Investing Activities:

Net cash outflow from investing activities stood at ₹1,983.99 lakhs due to significant capital expenditure on fixed assets. However, this was partly offset by proceeds from sale of investments and interest income. The spending suggests expansion or modernization efforts.

Financing Activities:

Financing activities resulted in a net outflow of ₹1,531.78 lakhs, mainly due to repayment of long-term and short-term borrowings and finance costs. A partial inflow from other long-term liabilities helped cushion the impact, indicating a strategic move towards debt reduction.

Net Cash Position:

At the end of FY 2023, cash and cash equivalents increased marginally by ₹3.48 lakhs, closing at ₹5.05 lakhs, up from ₹1.58 lakhs in the previous year. While the increase is small, it reflects a positive cash position, especially after substantial investment outflows and debt repayments. This modest rise, despite high capital spending, indicates disciplined financial management and improved internal cash generation.

Financial Ratios of Rajputana Stainless Limited

Particulars	2023	2022
Debt-equity ratio	0.85	1.30
Debt service coverage ratio	3.34	2.33
Current ratio	1.33	1.29
Trade receivables turnover ratio	9.82	10.96
Net profit ratio	2.38%	1.08%
Return on equity ratio	27.63%	12.50%
Net capital turnover ratio	17.36	15.13
Return on capital employed	35.52%	26.01%
Return on investment	48.20%	-
Trade payables turnover ratio	7.81	6.59
Inventory turnover ratio	9.49	6.92

Here is a summary of the financial and operational metrics for Rajputana Stainless Limited for the year 2023 and 2022:

Debt-Equity Ratio:

The company has significantly reduced its reliance on borrowed funds, bringing the ratio down from 1.30 to 0.85. This suggests prudent financial management and a shift towards using more internal funds or equity to finance operations, thereby reducing financial risk.

Debt Service Coverage Ratio:

An increase in DSCR indicates that the company’s earnings before interest and taxes (EBIT) are now more than three times its debt obligations, compared to just over twice in the previous year. This improvement signals enhanced debt repayment capacity and financial solvency, which is favorable for lenders and investors.

Current Ratio:

The current ratio, which measures the company 's ability to meet its short-term liabilities with its current assets, has slightly improved. A ratio above 1 indicates a comfortable liquidity position, and while the increase is modest, it still points to better working capital management.

Trade Receivables Turnover Ratio:

The slight decline in this ratio suggests that the company is taking marginally longer to collect payments from customers. However, the overall figure is still high, reflecting that receivables are being collected efficiently and not significantly affecting cash flows.

Net Profit Ratio:

The net profit margin has more than doubled in one year, indicating a considerable improvement in the company 's bottom line. This suggests better control over costs, pricing strategy, and perhaps increased operational efficiency or higher sales volumes with improved margins.

Return on Equity:

A sharp rise in ROE indicates that the company is generating significantly higher returns on shareholders ' equity. This reflects better profitability and effective utilization of equity capital, making it attractive to current and potential investors.

Net Capital Turnover Ratio:

An increase in this ratio means the company is generating more revenue per unit of capital employed in the business. It implies more efficient use of resources to generate sales, which is a positive sign of operational efficiency.

Return on Capital Employed:

ROCE measures the return the company is generating from all sources of capital. The significant rise suggests improved performance and optimal utilization of both debt and equity, reflecting strong overall management effectiveness.

Return on Investment:

ROI for FY 2023 is notably high, indicating substantial returns on the investments made by the company. Since there is no previous year figure available, it suggests either a new measurement this year or a new investment base yielding excellent results.

Trade Payables Turnover Ratio:

An increase in this ratio implies that the company is settling its dues to suppliers more quickly. This could indicate better liquidity, stronger supplier relationships, or possibly missed opportunities to negotiate longer credit terms.

Inventory Turnover Ratio:

A higher inventory turnover shows that inventory is being sold and replaced more frequently, indicating efficient inventory management. This reduces holding costs and the risk of inventory obsolescence, improving profitability.