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Last Updated on: 19 June, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: 590062 | NSE: ANDHRSUGAR

Fundamental Analysis of Andhra Sugars Ltd

Basic Stock Data

Last Updated: June 14, 2024, 9:37 am

Market Cap 1,701 Cr.
Current Price 126
High / Low129/92.0
Stock P/E21.5
Book Value 117
Dividend Yield1.59 %
ROCE5.73 %
ROE5.06 %
Face Value 2.00
PEG Ratio-1.30

Competitors of Andhra Sugars Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
SRF Ltd 71,395 Cr. 2,4092,697/2,04053.6 3870.30 %12.7 %12.2 % 10.0
Hindcon Chemicals Ltd 272 Cr. 53.069.7/17.443.9 9.760.17 %17.9 %13.4 % 2.00
Jubilant Industries Ltd 2,375 Cr. 1,5761,579/49444.7 1550.00 %23.8 %24.3 % 10.0
S H Kelkar & Company Ltd (SHK) 2,808 Cr. 203232/11122.9 87.60.99 %12.4 %10.8 % 10.0
Navin Fluorine International Ltd 18,177 Cr. 3,6664,725/2,87679.6 4810.33 %10.5 %10.0 % 2.00
Industry Average10,726.17 Cr928.8632.79159.150.46%15.79%10.64%8.22

Quarterly Result

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales403414471509568660610559539492518451433
Expenses347356420445479557539493486452490436403
Operating Profit575851648910371665340281530
OPM %14%14%11%13%16%16%12%12%10%8%5%3%7%
Other Income2125362331133588161219
Interest7533311110010
Depreciation16151616171617171718191920
Profit before tax55626869101985754442925729
Tax %8%17%15%19%21%22%29%25%23%26%21%-19%10%
Net Profit5152585680764040342220926
EPS in Rs3.623.764.164.085.875.552.882.902.381.551.380.741.87

Last Updated: June 10, 2024, 7:14 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: May 27, 2024, 4:34 am

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales1,1431,2321,0991,1071,2581,2791,3081,3761,4771,5091,9622,3682,000
Expenses9301,0139461,0421,1001,0601,0961,0731,1991,2931,7002,0601,864
Operating Profit21422015365159218212303279216262308136
OPM %19%18%14%6%13%17%16%22%19%14%13%13%7%
Other Income24-36132026446244431162544
Interest242422242927333129271342
Depreciation48515442565155556261647673
Profit before tax165142831293167168278231170300253105
Tax %31%36%32%92%39%25%29%31%9%17%18%25%
Net Profit115905715612511919221114124619184
EPS in Rs8.066.173.81-0.363.558.968.6014.0614.999.9617.8713.726.05
Dividend Payout %20%23%26%-167%28%22%23%14%27%20%22%15%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)-21.74%-36.67%-98.25%5500.00%123.21%-4.80%61.34%9.90%-33.18%74.47%-22.36%
Change in YoY Net Profit Growth (%)0.00%-14.93%-61.58%5598.25%-5376.79%-128.01%66.14%-51.45%-43.07%107.64%-96.83%

Growth

Compounded Sales Growth
10 Years:6%
5 Years:7%
3 Years:8%
TTM:-20%
Compounded Profit Growth
10 Years:4%
5 Years:-16%
3 Years:-17%
TTM:-59%
Stock Price CAGR
10 Years:16%
5 Years:14%
3 Years:13%
1 Year:13%
Return on Equity
10 Years:12%
5 Years:12%
3 Years:11%
Last Year:5%

Last Updated: June 14, 2024, 7:12 pm

Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital27272727272727272727272727
Reserves5476096426227569069601,1041,1261,2701,4911,5141,522
Borrowings338279293336274369255301261159552417
Other Liabilities453484520465358415390427393422465470453
Total Liabilities1,3651,3981,4821,4491,4151,7161,6321,8591,8081,8792,0392,0352,019
Fixed Assets568577541527511658650700711716712806784
CWIP89262161309858325271125179
Investments109113129114208358261356267366409307343
Other Assets680700786787635671623745798745847797712
Total Assets1,3651,3981,4821,4491,4151,7161,6321,8591,8081,8792,0392,0352,019

Reserves and Borrowings Chart

Andhra Sugars Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 881648929178245202114181253175286
Cash from Investing Activity -54-49-56-44-71-259-17-133-15-141-26-204
Cash from Financing Activity -38-107-3516-11324-17523-167-132-149-91
Net Cash Flow-37-22-610114-1-210-10

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-124.00-59.00-140.00-271.00-115.00-151.00-43.002.0018.0057.00207.00284.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days444548445349495353453636
Inventory Days212307258200194173282250208171125161
Days Payable122419184627282934332436
Cash Conversion Cycle244328287227201195304274226182137161
Working Capital Days106132146110929512011910510677115
ROCE %19%10%3%11%15%14%21%16%13%19%16%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Promoters46.92%46.92%46.92%46.92%46.94%46.94%46.96%47.08%47.08%47.08%47.08%47.08%
FIIs0.00%0.00%0.00%0.00%0.00%0.00%3.42%3.56%3.52%3.55%3.38%3.28%
DIIs0.74%1.41%1.75%2.62%2.84%3.24%0.00%0.00%0.00%0.00%0.05%0.00%
Public52.33%51.67%51.33%50.46%50.22%49.82%49.61%49.36%49.40%49.37%49.50%49.64%
No. of Shareholders22,02925,12224,93127,72042,95845,00744,92146,08145,91245,09047,14247,853

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue2.002.0010.0010.0010.00
Basic EPS (Rs.)13.7217.8749.7974.9270.27
Diluted EPS (Rs.)13.7217.8749.7974.9270.27
Cash EPS (Rs.)18.4917.1165.0598.9682.44
Book Value[Excl.RevalReserv]/Share (Rs.)120.83118.98512.09456.32446.13
Book Value[Incl.RevalReserv]/Share (Rs.)120.83118.98512.09456.32446.13
Revenue From Operations / Share (Rs.)174.66144.72556.66544.99507.70
PBDIT / Share (Rs.)24.1722.0789.11117.00125.56
PBIT / Share (Rs.)19.2217.3566.5393.98105.11
PBT / Share (Rs.)18.1316.3953.1383.4793.86
Net Profit / Share (Rs.)13.5412.3942.4675.9461.98
NP After MI And SOA / Share (Rs.)13.7217.8749.7874.9170.26
PBDIT Margin (%)13.8315.2416.0021.4624.73
PBIT Margin (%)11.0011.9811.9517.2420.70
PBT Margin (%)10.3811.329.5415.3118.48
Net Profit Margin (%)7.758.567.6213.9312.20
NP After MI And SOA Margin (%)7.8512.348.9413.7413.83
Return on Networth / Equity (%)12.0515.9410.4017.6016.84
Return on Capital Employeed (%)14.2112.9811.1916.5417.92
Return On Assets (%)9.1311.887.1811.2310.24
Long Term Debt / Equity (X)0.000.010.030.110.15
Total Debt / Equity (X)0.010.030.050.150.21
Asset Turnover Ratio (%)1.160.690.560.610.60
Current Ratio (X)4.324.033.283.263.07
Quick Ratio (X)2.271.971.701.601.48
Inventory Turnover Ratio (X)2.710.920.730.801.23
Dividend Payout Ratio (NP) (%)0.0014.790.0040.0414.23
Dividend Payout Ratio (CP) (%)0.0011.700.0030.6211.02
Earning Retention Ratio (%)0.0085.210.0059.9685.77
Cash Earning Retention Ratio (%)0.0088.300.0069.3888.98
Interest Coverage Ratio (X)88.4523.089.0311.1311.16
Interest Coverage Ratio (Post Tax) (X)53.5413.965.668.236.51
Enterprise Value (Cr.)1526.342187.67924.92688.141209.50
EV / Net Operating Revenue (X)0.641.120.610.460.87
EV / EBITDA (X)4.667.313.832.173.55
MarketCap / Net Operating Revenue (X)0.611.060.520.320.68
Retention Ratios (%)0.0085.200.0059.9585.76
Price / BV (X)0.951.370.600.410.83
Price / Net Operating Revenue (X)0.611.060.520.320.68
EarningsYield0.120.110.170.410.20

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value: 129.31

Calculation basis:

  • Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.

Undervalued: 2.63% compared to the current price 126

Intrinsic Value: 107.85

Calculation basis:

  • Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100) * (1 + EPS CAGR for Last 5 Years)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
  • EPS CAGR (Compound Annual Growth Rate): Represents the geometric mean growth rate of earnings per share over the last 5 years. It provides insight into the historical growth trajectory of the company's earnings.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators along with EPS growth.

Overvalued: 14.41% compared to the current price ₹126

Last 5 Year EPS CAGR: -16.60%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has higher reserves (1,046.33 cr) compared to borrowings (219.75 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (1.15 cr) and profit (166.69 cr) over the years.
  1. The stock has a low average ROCE of 13.08%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 110.25, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 230.50, which may not be favorable.

Stock Analysis

  • Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in Andhra Sugars Ltd:
    1. Net Profit Margin: 7.75%
      • Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
    2. ROCE: 14.21% (Industry Average ROCE: 11.63%)
      • ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
    3. ROE%: 12.05% (Industry Average ROE: 10.16%)
      • ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
    4. Interest Coverage Ratio (Post Tax): 53.54
      • Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
    5. Quick Ratio: 2.27
      • Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
    6. Stock P/E: 21.5 (Industry average Stock P/E: 37.1)
      • Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
    7. Total Debt / Equity: 0.01
      • Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
    The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions.
    Stock Rating:

About the Company

The Andhra Sugars Ltd. is a Public Limited Listed company incorporated on 11/08/1947 and has its registered office in the State of Andhra Pradesh, India. Company’s Corporate Identification Number(CIN) is L15420AP1947PLC000326 and registration number is 000326. Currently company belongs to the Industry of Chemicals - Inorganic - Caustic Soda/Soda Ash. Company’s Total Operating Revenue is Rs. 1217.29 Cr. and Equity Capital is Rs. 27.11 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Chemicals - OthersVenkatarayapuram, West Godavari District Tanuku Andhra Pradesh 534215investors@theandhrasugars.com
http://www.theandhrasugars.com
Management
NamePosition Held
Mr. P Narendranath ChowdaryChairman & Managing Director
Mr. Mullapudi NarendranathJoint Managing Director
Mr. Mullapudi ThimmarajaJoint Managing Director
Mr. P Achuta RamayyaJoint Managing Director
Mr. P S R V K Ranga RaoExecutive Director
Dr. P KotaiahIndependent Director
Mr. V S RajuIndependent Director
Mr. P A ChowdaryIndependent Director
Dr.(Mrs.) D ManjulataIndependent Director
Mr. P Venkateswara RaoIndependent Director

FAQ

What is the latest fair value of Andhra Sugars Ltd?

The latest fair value of Andhra Sugars Ltd is ₹129.31.

What is the Market Cap of Andhra Sugars Ltd?

The Market Cap of Andhra Sugars Ltd is 1,701 Cr..

What is the current Stock Price of Andhra Sugars Ltd as on 19 June 2024?

The current stock price of Andhra Sugars Ltd as on 19 June 2024 is ₹126.

What is the High / Low of Andhra Sugars Ltd stocks in FY 2024?

In FY 2024, the High / Low of Andhra Sugars Ltd stocks is 129/92.0.

What is the Stock P/E of Andhra Sugars Ltd?

The Stock P/E of Andhra Sugars Ltd is 21.5.

What is the Book Value of Andhra Sugars Ltd?

The Book Value of Andhra Sugars Ltd is 117.

What is the Dividend Yield of Andhra Sugars Ltd?

The Dividend Yield of Andhra Sugars Ltd is 1.59 %.

What is the ROCE of Andhra Sugars Ltd?

The ROCE of Andhra Sugars Ltd is 5.73 %.

What is the ROE of Andhra Sugars Ltd?

The ROE of Andhra Sugars Ltd is 5.06 %.

What is the Face Value of Andhra Sugars Ltd?

The Face Value of Andhra Sugars Ltd is 2.00.

About the Author

Author Avatar
Getaka

Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in Andhra Sugars Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE