Regency Hospital Limited (Regency Hospital) Return Comparision with Primex 40 Index

Periods	1 Week	1 Month	3 Months	6 Months	1 Year	3 Years	All Time
Primex-40
Regency Hospital Limited

Regency Hospital Limited Consolidated Balance Sheet (Rs. in Millions)

Particulars	31-03-2024	31-03-2023
Non-current assets
Property, plant and equipment	2,794.34	2,928.02
Right of use asset	505.59	402.34
Capital work-in-progress	1,141.31	469.21
Other Intangible assets	7.18	12.78
Intangible Assets under development	53.74	6.32
Investments	37.98	28.15
Other Financial Assets (net)	203.10	115.18
Income tax assets (net)	68.34	39.24
Other non-current assets	95.99	53.75
Current assets
Inventories	156.64	150.33
Investments	1,390.69	3.21
Trade Receivables	793.60	689.26
Cash and Cash equivalents	95.53	358.70
Other Bank Balances	110.75	44.96
Other Current Assets	71.56	51.17
Total Assets	7,526.34	5,352.62
Equity
Equity Share capital	140.43	140.43
Instruments entirely equity in nature	22.77	-
Other equity	3,641.45	1,943.00
Non-Current liabilities
Borrowings	1,632.75	1,375.12
Lease Liabilities	442.57	352.74
Other Financial Liabilities	27.25	28.99
Deferred tax liabilities (net)	127.33	143.06
Current liabilities
Borrowings	533.27	484.07
Lease Liabilities	78.33	69.88
Trade Payables
Total outstanding dues to Micro and Small Enterprises	6.29	19.95
Total outstanding dues of creditors other than Micro and Small Enterprises	353.74	333.07
Other Financial Liabilities	205.07	241.69
Income tax liabilities (net)	-	0.91
Other Current liabilities	293.90	231.39
Provisions	21.19	6.32
Total Equity and Liabilities	7,526.34	5,352.62

Regency Hospital Limited Consolidated Profit and Loss Account (Rs. in Millions)

Particulars	31-03-2024	31-03-2023
Revenue from Operation	4,783.02	4,289.52
Other Income	73.74	32.74
Total Income	4,856.76	4,322.26
Expenses
Cost of Materials Consumed	1,231.07	989.57
Employee Benefit Expense	748.20	693.63
Finance Cost	192.64	188.96
Depreciation and Amortisation Expense	292.85	283.67
Other Expenses	1,907.43	1,723.61
Total Expense	4,372.19	3,879.45
Profit/Loss before tax and share of profit of associate accounted for using the equity method	484.57	442.82
Share of profit of associate accounted for using the equity method	8.82	7.29
Profit before tax attributable to the shareholders of the Parent Company	493.39	450.11
Current Tax	120.30	110.44
Current Tax relating to earlier years	8.66	(5.94)
Deferred tax charge/(credit)	(13.83)	31.68
Profit for the year attributable to the shareholders of the Parent Company	378.26	313.92
Other comprehensive income
Items that will not be reclassified to profit or loss:
Remeasurement of post-employment benefit obligation	(7.72)	5.10
Income tax relating to above items	1.94	(1.28)
Other comprehensive Income/(Loss) for the year attributable to the shareholders of the Parent Company	(5.78)	3.82
Total comprehensive Income/(Loss) for the year attributable to the shareholders of the Parent Company	372.48	317.74
Earnings per Equity Share (in Rs.)
Basic	26.94	22.36
Diluted	25.31	22.36

Regency Hospital Limited Consolidated Cash Flow Statement (Rs. in Millions)

Particulars	31-03-2024	31-03-2023
Cash Flow from Operating Activities
Net Profit before Tax	487.57	442.82
Adjustments for:
Other Comprehensive Income	(7.72)	5.10
Depreciation and Amortisation expenses	292.85	283.67
Loss on sale of property, plant and equipment (net)	3.81	0.82
Finance cost other than lease liability	142.23	143.30
Interest income	(10.10)	(21.16)
Profit on sale of Mutual Funds	(43.77)	(1.06)
Bad debts and provision for doubtful debts	143.82	96.04
Gain on termination of ROU	(0.34)	-
Interest on lease liability	50.41	45.66
Operating Profit before Working Capital Charges	1,055.76	995.19
Adjustments for
Changes in Inventories	(6.60)	(17.36)
Changes in Trade Receivables	(253.10)	(482.28)
Changes in financial and other assets	(112.70)	266.38
Changes in Trade payables	8.88	115.73
Changes in financial and other liabilities	25.74	76.14
Changes in provisions	15.30	(15.30)
Cash Generated from Operations	733.28	938.50
Income tax paid, net of refund	(158.21)	(65.18)
Net Cash Generated from Operating Activates	575.07	873.32
Cash Flow from Investing Activities
Purchase of property, plant, equipment and intangible assets	(890.64)	(616.81)
Proceeds from sale of property, plant and equipment	12.44	3.78
Purchase of current investments	(2,479.89)	(325.08)
Proceeds from sale of current investments	1,136.18	594.19
Investments in bank deposits (net)	(71.86)	(39.86)
Interest received	10.09	20.68
Net Cash Used in Investing Activities	(2,283.68)	(363.10)
Cash flow from financing activities
Repayment of principal component of lease obligation	(85.22)	(74.05)
Proceeds from issue of preference shares including securities premium	1,500.00	-
Payment of interest on lease obligation	(50.42)	(45.66)
(Repayment)/ proceeds from of short-term borrowings (net)	10.91	(26.62)
Proceeds from long term borrowings	588.28	107.74
Repayment of principal component of long-term borrowings	(246.36)	(891.21)
Interest paid	(139.13)	(146.58)
Share issue expenses	(129.33)	-
Net cash flow generated/ (used in) from financing activities	1,448.73	(1,076.38)
Net Increase /(Decrease) In Cash and Cash Equivalents	(259.88)	(566.17)
Cash & Cash Equivalents at the Beginning of the Year	358.70	924.86
Adjustment on account of deconsolidation of a Subsidiary	(3.29)	-
Cash & Cash Equivalents at the End of the Year	95.53	358.70

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

Cash Flow from Operating Activities

For the year ending 31st March 2024, the company generated a positive cash flow of ₹575.07 million from its operating activities. This is slightly lower than the previous year’s ₹873.32 million. The drop was mainly due to a higher build-up in trade receivables and financial assets, even though the company had a higher profit before tax (₹487.57 million) and strong non-cash adjustments such as depreciation, finance costs, and provisions for doubtful debts

Cash Flow from Investing Activities

The company experienced a large cash outflow of ₹2,283.68 million in 2024, significantly higher than the ₹363.10 million outflow in 2023. This was primarily due to higher purchases of property, equipment, and mutual funds, while inflows from asset sales and redemptions were not enough to offset the investment outflows.

Cash Flow from Financing Activities

Financing activities generated a strong positive cash flow of ₹1,448.73 million in 2024, reversing the large outflow of ₹1,076.38 million in 2023. This turnaround was mainly due to issuance of preference shares (₹1,500 million) and new borrowings, which outweighed repayments and interest expenses.

Net Changes in Cash and cash equivalents

Despite strong financing inflows, the company had a net decrease in cash of ₹259.88 million in 2024 due to heavy investment outflows. The closing cash balance dropped to ₹95.53 million from ₹358.70 million the previous year. This indicates pressure on cash reserves, mainly driven by capital investments.

Regency Hospital Limited Financial Ratios

Particulars	2024	2023
Current Ratio	1.76	0.94
Debt-Equity Ratio	0.57	088
Debt Service Coverage Ratio	1.93	0.68
Return on Equity	0.13	0.16
Inventory Turnover Ratio	8.02	6.99
Trade Receivables Turnover Ratio	3.59	4.74
Trade Payables Turnover Ratio	3.99	3.39
Net Capital Turnover Ratio	4.24	(47.85)
Net Profit Ratio	15%	13%
Return on Capital Employed	0.11	0.16
Return on Investment	6.00%	0.70%

Here is a summary of the Financial Ratios for the years 2024 and 2023:

Current Ratio

The current ratio improved from 0.94 in 2023 to 1.76 in 2024. This means the company now has enough current assets to cover its short-term liabilities, reflecting a stronger liquidity position.

Debt-Equity Ratio

The debt-equity ratio decreased from 0.88 to 0.57. This shows that the company is relying less on debt and has improved its financial stability by depending more on equity.

Debt Service Coverage Ratio

This ratio increased from 0.68 in 2023 to 1.93 in 2024. It shows the company is now in a better position to repay its debt and interest from its profits, which is a very positive sign.

Return on Equity

The return on equity slightly decreased from 0.16 to 0.13. It means the profit earned on shareholders’ funds has slightly dropped, but the return is still fair.

Inventory Turnover Ratio

The inventory turnover rose from 6.99 to 8.02, indicating that the company is selling its inventory faster, which is a good sign of efficient inventory management.

Trade Receivables Turnover Ratio

This ratio declined from 4.74 to 3.59. It suggests that the company is taking a bit longer to collect money from customers, which could impact cash flow.

Trade Payables Turnover Ratio

The ratio increased from 3.39 to 3.99. This means the company is paying its suppliers more quickly than before, which may strengthen supplier relationships.

Net Capital Turnover Ratio

This ratio turned around from a negative (–47.85) in 2023 to a positive 4.24 in 2024. This is a major improvement, showing the company has started using its capital effectively to generate revenue.

Net Profit Ratio

The net profit ratio improved from 13% to 15%, meaning the company earned more profit from its total sales in 2024. This is a healthy increase in profitability.

Return on Capital Employed (ROCE)

ROCE slightly decreased from 0.16 to 0.11, indicating a small drop in the efficiency of using capital to generate profits.

Return on Investment (ROI)

ROI improved significantly from 0.70% in 2023 to 6.00% in 2024. This means the company is now getting better returns from its investments, which is a strong positive sign.