Reliance Broadcast Network Limited Annual Report

Reliance Broadcast Limited Balance Sheet (Rs in Lakhs)

Reliance Broadcast Limited Profit & Loss Statement (Rs in Lakhs)

Reliance Broadcast Limited Consolidated Cash Flow Statement (Rs in Lakhs)

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

Cash Flow from Operating Activities

Loss before tax as per Statement of Profit and Loss: The company incurred a loss before tax of Rs. 9,429.70 lakhs for the year ended 31st March 2024, compared to Rs. 12,120.78 lakhs in the previous year.

Adjustments:

Interest Income: Interest income of Rs. 408.14 lakhs (2024) and Rs. 200.86 lakhs (2023) is deducted since it 's not part of core operations.

Interest on IT refund: In the previous year (2023), the company received Rs. 9.59 lakhs as interest on income tax refunds, which is also deducted.

Gain/Loss on Termination/Remeasurement: In 2023, Rs. 110.43 lakhs was deducted for gains from the remeasurement of financial liabilities.

Foreign Exchange Gain (net): A minimal deduction of Rs. 0.04 lakhs in the prior year for foreign exchange gains.

Liabilities/provisions no longer required written back: A deduction of Rs. 145.72 lakhs (2024) due to liabilities written back compared to an addition of Rs. 1.42 lakhs (2023).

Interest Expense: The company incurred significant interest expenses of Rs. 11,178.41 lakhs in 2024 and Rs. 12,822.28 lakhs in 2023.

Depreciation, Amortization, and Impairment Expense: Non-cash expenses related to depreciation and amortization amounting to Rs. 3,310.47 lakhs (2024) and Rs. 2,940.11 lakhs (2023).

Provision for Doubtful Debts: Rs. 768.04 lakhs (2024) was set aside for doubtful debts, compared to Rs. 350 lakhs in 2023.

Provision for Doubtful Advances: In 2024, Rs. 45.44 lakhs was provided, compared to a reversal of Rs. 15.62 lakhs in 2023.

Provision for Doubtful Deposits: Rs. 131.25 lakhs (2024) was set aside, whereas Rs. 20 lakhs was reversed in 2023.

Provision for Doubtful Loans: Rs. 56.42 lakhs was provided in 2024.

Provision for Gratuity and Leave Encashment: Rs. 198 lakhs in 2024 (Rs. 149.01 lakhs in 2023) was provisioned for employee benefits.

Operating Profit before Working Capital Changes: After adjustments, the operating profit stood at Rs. 5,704.46 lakhs (2024), compared to Rs. 3,785.49 lakhs in 2023.

Working Capital Changes:

Increase in Debtors: Debtors increased by Rs. 3,263.17 lakhs in 2024, compared to Rs. 788.60 lakhs in 2023, indicating more sales on credit.

Change in Loans, Financial Assets, and Other Assets: The net change was a positive Rs. 46.94 lakhs in 2024, compared to a decrease of Rs. 17.79 lakhs in 2023.

Increase in Current Liabilities and Provisions: An increase of Rs. 1,866.36 lakhs in 2024 compared to a decrease of Rs. 643.68 lakhs in 2023.

Net Working Capital Changes: The net change was Rs. 4,354.59 lakhs in 2024, higher than Rs. 2,335.42 lakhs in 2023.

Payment/Refund of Taxes: Rs. 370.54 lakhs in taxes was paid in 2024, compared to a refund of Rs. 160.35 lakhs in 2023.

Net Cash Generated from Operating Activities: The net cash inflow from operations was Rs. 3,984.05 lakhs in 2024, compared to Rs. 2,495.76 lakhs in 2023.

Cash Flows from Investing Activities

Purchase of Property, Plant, and Equipment: A small investment of Rs. 15.06 lakhs was made in 2024, compared to Rs. 199.01 lakhs in 2023 for the purchase of fixed assets.

Redemption of / Investment in Fixed Deposits: The company invested Rs. 3,982.45 lakhs in fixed deposits in 2024, compared to Rs. 1,887.44 lakhs in 2023.

Interest Received: Rs. 410.26 lakhs was received as interest in 2024, compared to Rs. 182.27 lakhs in 2023.

Net Cash (Used in) / Generated from Investing Activities: The company had a net cash outflow of Rs. 3,587.25 lakhs from investing activities in 2024, compared to Rs. 1,904.18 lakhs in 2023.

Cash Flow from Financing Activities

Principal Payment of Lease Liabilities: There were no lease liability payments in 2024, while Rs. 152.70 lakhs were paid in 2023.

Interest Paid on Lease Liabilities: No interest on lease liabilities was paid in 2024, compared to Rs. 39.76 lakhs in 2023.

Other Interest Paid: No other interest was paid in 2024, compared to Rs. 20.80 lakhs in 2023.

Net Cash Used by Financing Activities: No cash was used for financing activities in 2024, while Rs. 213.26 lakhs was used in 2023.

Net Increase/(Decrease) in Cash and Cash Equivalents

The company’s net increase in cash and cash equivalents was Rs. 396.80 lakhs in 2024, compared to Rs. 378.32 lakhs in 2023.

Cash and Cash Equivalents

At the Beginning of the Year: Cash and cash equivalents stood at Rs. 1,678.60 lakhs at the beginning of 2024, compared to Rs. 1,300.28 lakhs in 2023.

At the End of the Year: Cash and cash equivalents increased to Rs. 2,075.40 lakhs by the end of 2024.

Financial Ratios of Reliance Broadcast Limited

Here is a summary of the financial and operational metrics for Reliance Broadcast Limited for the years 2024 and 2023:

Current Ratio (0.19 in 2024 vs. 0.14 in 2023):

Interpretation: The current ratio has slightly improved from 0.14 to 0.19. A low current ratio indicates that the company 's current liabilities exceed its current assets, which could present liquidity concerns. Despite the improvement, the ratio is still well below the standard benchmark of 1, meaning the company may struggle to meet short-term obligations.

Debt-Equity Ratio (-0.9 in 2024 vs. -1.03 in 2023):

Interpretation: The debt-equity ratio, though negative due to negative equity, has improved from -1.03 to -0.9. This indicates a reduction in the proportion of debt relative to equity (or improved equity balance). Negative equity suggests that the company is under significant financial stress, but the slight improvement indicates marginally better financial health compared to last year.

Debt Service Coverage Ratio (0.43 in 2024 vs. 0.3 in 2023):

Interpretation: An increase in the debt service coverage ratio (DSCR) from 0.3 to 0.43 reflects a better ability to service debt obligations. However, a ratio below 1 still indicates that the company does not generate enough earnings to cover its debt payments, signaling continued financial risk.

Return on Equity Ratio (-12.48% in 2024 vs. -18.45% in 2023):

Interpretation: The negative return on equity (ROE) has improved from -18.45% to -12.48%. This improvement suggests that the company is narrowing its losses, but it is still not generating positive returns for shareholders. The negative ROE indicates that shareholders are continuing to lose value on their investments.

Trade Receivables Turnover Ratio (2.49 in 2024 vs. 2.36 in 2023):

Interpretation: The slight increase in the trade receivables turnover ratio indicates improved efficiency in collecting receivables. A higher ratio means the company is collecting payments from customers more frequently, which is a positive sign for liquidity management.

Trade Payables Turnover Ratio (1.4 in 2024 vs. 1.17 in 2023):

Interpretation: An increase in the trade payables turnover ratio shows that the company is paying off its suppliers more quickly. This could be a sign of better cash management or favorable credit terms, but it could also strain cash flow if the company is under pressure to settle liabilities faster.

Net Capital Turnover Ratio (-0.22 in 2024 vs. -0.19 in 2023):

Interpretation: The negative net capital turnover ratio suggests that the company 's revenues are still not sufficient to cover its total capital employed. The slight decline from -0.19 to -0.22 indicates a worsening situation, with the company generating even less revenue per unit of capital employed in 2024 compared to 2023.

Return on Capital Employed (ROCE) (27.77% in 2024 vs. 39.13% in 2023):

Interpretation: The return on capital employed has decreased from 39.13% to 27.77%, signaling a drop in profitability relative to the capital the company uses in its operations. Despite the decline, the ROCE remains positive, showing that the company is still generating returns on the capital it employs, albeit at a lower rate.

Dividend History

Reliance Broadcast Limited Recent Financial Performance

Dividend per Share: The specific dividend per share figure for 2024 and 2023 is not provided. Dividend per share represents the portion of a company 's earnings that is distributed to shareholders in the form of dividends. A higher dividend per share may indicate that the company is sharing more of its profits with shareholders.

Retained Earnings: Retained earnings for 2024 amounted to Rs -1,80,153.36Lakhs, while in 2023, they were Rs. -1,70,758.16 Lakhs. Retained earnings represent the portion of a company 's profits that is reinvested in the business rather than distributed as dividends. An increase in retained earnings suggests that the company has retained more of its profits for reinvestment or future growth.

To provide a more comprehensive analysis, it would be necessary to consider additional financial metrics such as revenue, net profit, assets, liabilities, and cash flows. Additionally, an analysis of trends over multiple years and a comparison to industry benchmarks and competitors would help in assessing the company 's financial health and performance