Skyweb Infotech Annual Reports, and Financials

SKYWEB INFOTECH LIMITED Balance Sheet (In Lakhs)

 SKYWEB INFOTECH LIMITED Profit & Loss Statement (In Lakhs)

SKYWEB INFOTECH LIMITED Consolidated Cash Flow Statement (In Lakhs)

Summary of Cash Flow Activities for the Years 2023 and 2022:

Operating Activities:

- The company experienced a shift in its Profit before tax, with 2023 reflecting a loss of (17.18) lakhs compared to the loss of (217.42) lakhs in 2022.

- Finance costs increased to 210.27 lakhs in 2023, contributing to the adjustments made to reconcile profit before tax to net cash flows.

Working Capital Adjustments:

- The Trade Receivable saw a significant increase of 547.01 lakhs in 2023, while other financial assets decreased slightly from (0.07) lakhs to (0.99) lakhs.

- Other Current Assets also showed a decrease from (0.62) lakhs to (0.88) lakhs.

- Trade and other payables decreased by (20.41) lakhs in 2023, compared to a substantial decrease of (519.14) lakhs in 2022.

- Provisions increased by (39.46) lakhs in 2023, contrasting with a decrease of (20.03) lakhs in 2022.

- No information is provided regarding Income tax paid.

Net Cash Flow from Operating Activities:

- The net cash flow from operating activities was (39.46) lakhs in 2023, indicating a cash outflow. In contrast, it was (20.03) lakhs in 2022.

Investing Activities:

- The company provided loans amounting to 59.00 lakhs during 2023, reflecting a cash inflow from investing activities.

Financing Activities:

- Long-term borrowings resulted in a net cash inflow of 19.50 lakhs in 2023, a decrease from the 126.74 lakhs recorded in 2022.

- Interest paid on loans amounted to (210.27) lakhs in 2023.

- The net cash flows from financing activities were 19.50 lakhs in 2023, while it was (83.53) lakhs in 2022.

Net Increase in Cash and Cash Equivalents:

- The company experienced a net decrease in cash and cash equivalents of (19.96) lakhs in 2023, compared to a decrease of (4.50) lakhs in 2022.

Cash and Cash Equivalents at the Beginning and End of the Year:

- The company started 2023 with 21.91 lakhs in cash and cash equivalents, slightly less than the 26.41 lakhs at the beginning of 2022. However, it ended 2023 with 1.95 lakhs in cash and cash equivalents, significantly lower than the 21.91 lakhs at the close of 2022.

Components of Cash and Cash Equivalents:

- The cash and cash equivalents in 2023 included 1.65 lakhs in balances with banks in current accounts and 0.30 lakhs in cash on hand.

In summary, the company faced challenges in its operating activities, resulting in a negative net cash flow. However, positive cash inflows from investing and financing activities partially offset the overall decrease in cash and cash equivalents during the year.

Bellow, are the Financial Ratios

Summary of Financial Ratios and Key Metrics:

EBITDA Margin:

- The EBITDA margin is -589.34%, indicating that the company 's Earnings Before Interest, Taxes, Depreciation, and Amortization is in a negative proportion to its revenue. This raises concerns about the profitability and operational efficiency of the business.

Networth as a Percentage:

- The net worth of the company represents a mere 2.14% of its total assets, suggesting a relatively low equity base in relation to the overall value of assets. This may indicate a potential vulnerability in the financial structure.

Debt/Equity Ratio

- The Debt/Equity Ratio stands at 9.31, indicating a relatively high level of debt compared to equity. This could signify a higher financial risk and potential challenges in meeting debt obligations.

Return on Equity (ROE):

- The Return on Equity is 2.09%, which is a relatively low percentage. This suggests that the company is generating a modest return on the shareholders ' equity, reflecting potential inefficiencies in capital utilization.

Total Assets Composition:

- The composition of Total Assets reveals that 31.35% consists of Fixed Assets, while the Current Assets contribute 31.80%. This implies a significant reliance on current assets for the company 's operations.

Fixed Assets Percentage:

- Surprisingly, the percentage of Fixed Assets is reported as 0.00%, indicating either an omission or an unusual composition of the balance sheet. This requires further clarification for a comprehensive understanding of the company 's asset structure.

Current Assets and Liabilities:

- The Current Assets constitute 31.80% of the total assets, and Current Liabilities represent 53.14% of the same. This suggests a potential liquidity challenge, as current liabilities outweigh current assets.

Trade Receivables and Payables:

- Trade Receivables are reported at 0.00%, and Trade Payables at -100.00%. This unusual scenario may require investigation, as having no trade receivables and negative trade payables is atypical in standard financial reporting.

Current Ratio:

- The Current Ratio is 1.13, indicating that the company 's short-term liquidity position is slightly above the industry standard of 1. A current ratio below 1 would typically raise concerns about the ability to cover short-term obligations.