Stanes Amalgamated Annual Reports, Balance Sheet and Financials

Stanes Amalgamated Estates Limited  Standalone Balance Sheet (Rs in Lakhs)

Stanes Amalgamated Estates Limited  Standalone Profit & Loss Statement (Rs in Lakhs)

Stanes Amalgamated Estates Limited  Standalone Cash Flow Statement (Rs in Lakhs)

Here is a summary of the Cash Flow Statement for the years 2025 and 2024:

Cash Flow from Operating Activities
In FY 2024–25, the company generated a net cash inflow of ₹384.25 lakhs from its core operations, which is significantly lower than the ₹1,006.12 lakhs generated in the previous year. The profit before tax declined to ₹31.18 lakhs from ₹38.74 lakhs last year. After adjusting for non-cash items such as depreciation (₹79.46 lakhs) and finance costs (₹2.45 lakhs), along with deductions for interest income, rental income, and dividends, the operating result before working capital changes was slightly negative at ₹-1.99 lakhs. Working capital adjustments, however, contributed positively—particularly the substantial increase in other current liabilities (₹413.38 lakhs) and reduction in inventories (₹131.88 lakhs), partially offset by higher trade payables outflow (₹-110.40 lakhs) and increased other current financial assets. After accounting for tax refunds of ₹7.91 lakhs, the overall operating cash flow remained positive but much lower than last year, reflecting reduced profitability and less favorable working capital dynamics compared to FY 2023–24.

Cash Flow from Investing Activities
The company had a net cash outflow of ₹387.70 lakhs in FY 2024–25 from investing activities, compared to a smaller outflow of ₹560.99 lakhs in the prior year. The largest component was capital expenditure on property, plant, and equipment amounting to ₹368.47 lakhs, lower than the previous year’s significant spend of ₹731.40 lakhs. There was also a notable outflow of ₹129.99 lakhs from the sale of investments. On the inflow side, the company received ₹105.50 lakhs from rental income, along with smaller amounts from interest received (₹1.32 lakhs) and dividends (₹2.79 lakhs). The lower capital expenditure compared to FY 2023–24 helped reduce the total cash drain from investing activities.

Cash Flow from Financing Activities
In FY 2024–25, there were no financing inflows or outflows, resulting in a net zero cash movement from financing activities. This contrasts sharply with FY 2023–24, where the company had a net cash outflow of ₹436.39 lakhs, primarily due to repayment of borrowings (₹406.62 lakhs) and interest payments (₹29.77 lakhs). The absence of financing activity this year indicates the company neither raised new debt nor repaid existing borrowings during the period.

Overall Cash Movement:
The combined effect of operating, investing, and financing activities resulted in a marginal net decrease in cash and cash equivalents of ₹3.45 lakhs in FY 2024–25, compared to an increase of ₹8.74 lakhs in FY 2023–24. The company started the year with ₹21.51 lakhs in cash and ended with ₹18.06 lakhs.

Financial Ratios of Stanes Amalgamated Estates Limited

Here is a summary of the financial ratios for Stanes Amalgamated Estates Limited for the year 2025 and 2024:

The current ratio measures the company’s ability to meet short-term liabilities with short-term assets. It declined slightly from 0.48 in 2024 to 0.43 in 2025, meaning that for every ₹1 of current liabilities, the company has only ₹0.43 in current assets. This level is well below the generally accepted healthy benchmark of 1.0, indicating tight short-term liquidity and a potential reliance on external funding or rapid asset turnover to meet obligations.

Debt Service Coverage Ratio (DSCR):
The DSCR surged sharply from 3.39 in 2024 to 46.21 in 2025. This ratio reflects the company’s ability to service its debt from operating earnings. The unusually high DSCR in 2025 suggests that the company generated operating profits vastly exceeding its debt repayment obligations—likely due to very low finance costs during the year, possibly because no new borrowings were taken and existing debt was reduced in prior years.

Return on Equity (ROE):
ROE fell from 7.92% in 2024 to 4.57% in 2025. This ratio measures how effectively the company generates profits from shareholders’ equity. The decline indicates reduced profitability relative to the equity base, which could be due to lower net profits in 2025 despite maintaining a similar capital structure.

Inventory Turnover Ratio:
Inventory turnover improved from 5.03 times in 2024 to 5.74 times in 2025. This means the company sold and replaced its inventory more frequently during the year. Higher turnover suggests better inventory management and stronger sales efficiency, which is positive for cash flow and reduces holding costs.

Trade Receivables Turnover Ratio:
This ratio increased slightly from 6.84 times in 2024 to 7.17 times in 2025, indicating that the company collected its receivables faster. A higher turnover is generally positive as it improves cash flow and reduces the risk of bad debts, showing more efficient credit and collection practices.

Trade Payables Turnover Ratio:
The ratio remained almost unchanged, moving from 4.15 in 2024 to 4.16 in 2025. This suggests the company maintained a similar pace in paying its suppliers year over year, indicating consistent vendor credit terms and payment practices.

Net Capital Turnover Ratio
The net capital turnover ratio improved slightly from -1.80 in 2024 to -1.54 in 2025, but it remains negative. A negative ratio occurs when current liabilities exceed current assets, indicating negative working capital. While the less negative figure suggests some improvement, it still signals heavy dependence on short-term liabilities to finance operations.

Net Profit Ratio:
The net profit ratio dropped from 2.67% in 2024 to 1.46% in 2025. This means that for every ₹100 of revenue, the company earned ₹1.46 in profit after expenses. The fall reflects pressure on margins, possibly from higher costs, reduced revenue growth, or both.

Return on Capital Employed (ROCE):
ROCE declined significantly from 14.17% in 2024 to 6.41% in 2025. This ratio measures profitability relative to total capital employed (both debt and equity). The drop suggests that capital was used less efficiently in generating profits, which could be linked to lower operating income in 2025.

Return on Investment (ROI):
ROI swung dramatically from a strong positive of 71.14% in 2024 to a negative -5.96% in 2025. This indicates that investments made during 2025 resulted in a loss rather than a gain, possibly due to unfavorable market movements, asset disposals at a loss, or underperforming investments.