The Canara sales Corporation Limited Balance Sheet (Rs in hundreds)

The Canara sales Corporation Limited Profit & Loss Statement (Rs in hundreds)

The Canara sales Corporation Limited Consolidated Cash Flow Statement (Rs in hundreds)

Here is a summary of the Cash Flow Statement for the years 2023 and 2022:

Operating Activities:

Net Profit before Taxes & Extraordinary Items increased from ₹16,326 in 2021-22 to ₹22,032 in 2022-23, indicating improved profitability.

Depreciation increased slightly from ₹821 to ₹863.

Interest expenses increased from -₹412 to -₹681.

Income tax payments increased significantly from -₹4,252 to -₹5,676.

Overall, the Operating Profit before Working Capital Changes increased from ₹12,483 to ₹16,538.The business managed its working capital more efficiently, as seen in the decrease in Inventory (-₹6,510 to -₹1,938), Trade & Other Receivables (71 to -₹6,324), and Loans & Advances (-₹13,757 to -₹11,790). However, there were increases in Trade Payables (₹3,587 to -₹1,935) and Other Current Liabilities (₹322 to -₹921).

Despite the increase in Operating Profit, the Net Cash from Operating Activities decreased from -₹11,505 to -₹267, primarily due to increased tax payments.

Investment Activities:

There was a decrease in the sale of Fixed Assets from -₹83 to -₹749.

Interest Received increased from -₹412 to ₹681.

Overall, the Net Cash (Used in) from Investment Activities decreased from ₹329 to -₹68.

Financing Activities:

There was a decrease in Long Term & Other Borrowings (-₹5,207 to -₹5,847) and an increase in Other Long-Term Liabilities (₹3,404 to -₹377).

The Net Cash (Used in) from Financing Activities increased from -₹1,803 to -₹6,224.

Net Increase in Cash & Cash Equivalents:

The overall Net Increase in Cash & Cash Equivalents decreased from -₹12,979 to -₹6,559.

Cash and Cash Equivalents (Closing Balances) decreased from ₹48,844 to ₹42,285.

Financial Ratios of The Canara sales Corporation Limited

Here is a summary of the financial and operational metrics for the Canara sales Corporation Limited

Current Ratio (CR):

Current Ratio measures a company 's ability to pay short-term obligations with its short-term assets. A CR of 4.53 indicates a strong liquidity position, meaning the company has more than enough current assets to cover its short-term liabilities.

Debt-Equity Ratio (D/E):

Debt-Equity Ratio indicates the proportion of debt and equity a company is using to finance its assets. A ratio of 1.7 suggests that the company relies more on debt financing compared to equity. While this ratio is subjective to the industry norms, it 's crucial to ensure the company can manage its debt obligations effectively.

Return on Equity (ROE) Ratio:

Return on Equity measures the profitability of the company in relation to shareholders ' equity. An ROE of 0.23 means that for every unit of equity, the company generates a profit of 0.23 units. This indicates a decent return on investment for shareholders.

Inventory Turnover Ratio:

Inventory Turnover Ratio shows how efficiently a company manages its inventory. A ratio of 44.98 indicates that the company sells and replaces its inventory nearly 45 times a year, implying efficient inventory management.

Trade Receivables Turnover Ratio:

Trade Receivables Turnover Ratio measures how efficiently a company collects its accounts receivable. A ratio of 57.22 indicates that, on average, the company collects its receivables approximately 57 times a year, which suggests effective credit management.

Trade Payables Turnover Ratio:

Trade Payables Turnover Ratio shows how efficiently a company pays its suppliers. A ratio of 188 suggests that the company pays its suppliers nearly 188 times a year, which could indicate either favorable credit terms or a need for closer scrutiny on payment practices.

Net Capital Turnover Ratio:

Net Capital Turnover Ratio measures how efficiently a company utilizes its capital. A ratio of 58.66 suggests that for every unit of capital employed, the company generates sales of 58.66 units, indicating effective utilization of capital.

Net Profit Ratio:

Net Profit Ratio measures the profitability of the company in relation to its total revenue. A net profit ratio of 0.53% indicates that the company earns a profit of 0.53% on every unit of sales.

Return on Capital Employed (ROCE):

Return on Capital Employed measures the return generated by the company from its capital employed. An ROCE of 31.12% indicates that the company generates a return of 31.12% on its total capital employed, which is a positive sign of efficient utilization of capital.

Return on Investment (ROI):

Return on Investment measures the return generated by the company on its investment. An ROI of 23.10% indicates that the company generates a return of 23.10% on its investment, which is also a positive sign.