Sri Chakra Cement Annual Reports, Balance Sheet and Financials

SRI CHAKRA CEMENT Limited Balance Sheet (Rs in LAKHS)

SRI CHAKRA CEMENT LIMITED Profit& Loss Statement (Rs In LAKHS)

SRI CHAKRA CEMENT Limited Consolidated Cash Flow Statement (Rs In LAKHS)

 Let 's break down the Cash Flow Statement for the years 2021 and 2022 into detailed explanations for each activity:

A. Cash Flow from Operating Activities:

1. Profit before tax:

    In 2022, the profit before tax was 851.13 rupees, a decrease from 962.31 rupees in 2021.

2. Adjustments for:

   Depreciation and Amortization Expense:

     In 2022, depreciation and amortization expenses amounted to 1,011.31 rupees, compared to 966.46 rupees in 2021.

   Finance Cost:

      Finance costs decreased from 121.20 rupees in 2021 to 80.41 rupees in 2022.

   Profit on Investments:

   In 2022, there was a profit on investments of (11.21) rupees, whereas there was no such profit in 2021.

3. Change in operating assets and liabilities:

   Various changes in trade receivables, inventories, and other assets and liabilities occurred, impacting cash flow.

4. Cash generated from operations:

    Cash generated from operations was 153.30 rupees in 2022, a decrease from 495.03 rupees in 202

5. Remeasurement of employee benefit plan:

   A Remeasurement of the employee benefit plan resulted in a negative impact on cash flow, amounting to (4.66) rupees in 2022 and (4.05) rupees in 2021.

6. Net Cash inflow/(outflow) from operating activities:

   The net cash inflow from operating activities was 148.64 rupees in 2022, lower than the 490.98 rupees in 2021.

B. Cash Flow from Investing Activities:

1. Payments for property, plant and equipment

    Payments for property, plant, and equipment increased to (569.49) rupees in 2022 from (79.27) rupees in 2021.

2. Profit on sale of Investments (Equity):

    There was a profit on the sale of investments (equity) of 11.21 rupees in 2022, with no comparable activity in 2021.

3. Net Cash inflow/(outflow) from investing activities:

   - The net cash outflow from investing activities increased to (558.28) rupees in 2022 from (79.27) rupees in 2021.

C. Cash Flow from Financing Activities:

1. Interest paid:

  Interest paid decreased from 121.20 rupees in 2021 to 80.41 rupees in 2022.

2. (Repayment)/proceeds from borrowings:

   There was a net inflow of 1,001.44 rupees from borrowings in 2022, compared to 859.05 rupees in 2021.

3. Repayment of other financial Liabilities:

   Repayment of other financial liabilities amounted to (137.23) rupees in 2022 and 35.82 rupees in 2021.

4. Government grants:

    Government grants received were (520.88) rupees in 2022 and (441.79) rupees in 2021.

5. Long term provisions:

   Long-term provisions resulted in an outflow of (66.84) rupees in 2022 and an inflow of 31.39 rupees in 2021.

6. Net Cash inflow/(outflow) from financing activities:

    The net cash inflow from financing activities was 196.07 rupees in 2022, higher than the 363.27 rupees in 2021.

Net Increase/(decrease) in cash/cash equivalents

  There was a net decrease in cash/cash equivalents of (213.57) rupees in 2022, while there was a net increase of 774.99 rupees in 2021.

Cash and cash equivalents at the beginning and end of the financial year:

    Cash and cash equivalents at the beginning of the financial year were 911.76 rupees in 2022 and 136.77 rupees in 2021. At the end of the financial year, they were 698.18 rupees in 2022 and 911.76 rupees in 2021.

Below are the Financial Ratios of SRI CHAKRA CEMENT Limited

Let 's break down the ratios for the year 2022 and provide a detailed explanation point-wise:

1. EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization):

   Percentage: The EBITDA margin is -1.40%, indicating that the company 's operational profitability is negative. This could suggest challenges in generating earnings from core business operations.

2. Net worth:

   Percentage: Net worth represents 15.13% of the company 's total equity. This percentage indicates the proportion of assets financed by equity. A higher net worth percentage generally signifies a healthier financial position.

3. Debt/Equity Ratio:

   Ratio: The Debt/Equity ratio is 1.08, indicating that the company has more debt than equity. This suggests a higher level of financial leverage, which could increase financial risk. It 's important to assess the company 's ability to service its debt obligations.

4. Return on Equity (ROE):

   Percentage: The Return on Equity is 13.21%, signifying that the company generates a return of 13.21% on shareholders ' equity. A positive ROE is generally favorable, indicating efficient use of equity capital to generate profits.

5. Total Assets:

   Percentage: Total assets have grown by 1.31%, reflecting a modest increase in the company 's overall asset base. The growth in total assets is a positive sign, but further analysis is needed to understand the composition and utilization of these assets.

6. Fixed Assets:

   Percentage: Fixed assets show a decline of -5.28%, suggesting a reduction in long-term assets. This could be due to factors such as asset sales, depreciation, or changes in the company 's capital expenditure strategy.

7. Current Assets:

   Percentage Current assets have decreased by -14.40%, indicating a reduction in short-term assets. This might impact the company 's liquidity and ability to meet its short-term obligations

8. Current Liabilities:

   Percentage: Current liabilities have decreased by -18.17%, suggesting a potential improvement in the company 's ability to meet its short-term obligations. A thorough analysis of the components of current liabilities is essential for a comprehensive understanding.

9. Trade Receivables:

   Percentage: Trade receivables have increased significantly by 34.71%, suggesting a higher amount of outstanding receivables. It 's crucial to manage and monitor receivables to ensure timely cash collection.

10. Trade Payables:

    Percentage: Trade payables have decreased substantially by -75.78%, potentially impacting the company 's relationships with suppliers. Managing payables is crucial for maintaining good vendor relationships and managing working capital effectively.

11. Current Ratio:

    Ratio: The current ratio is 1.16, indicating that the company has slightly more short-term assets than short-term liabilities. While a ratio above 1 suggests a capacity to cover immediate obligations, a more in-depth analysis is needed to assess liquidity.