Company Name: Kansai Nerolac Paints

Ratio analysis Summary

Particulars Mar '13 Mar '14 Mar '15

Revenue growth

Profitability ratios
Gross margin 29.8% 29.7% 31.0%
EBITDA margin/ Operating profit margin 11.8% 11.5% 12.5%
Pre tax marging 10.1% 9.4% 10.6% 14.7% 9.7% 11.2%
EBIT margin 10.1% 9.4% 10.6%
Net profit marging 10.2% 6.5% 7.7%

Return on investment
Operating ROA 14.0% 13.2% 16.1%
Return on asset - RoA 14.2% 9.2% 11.6%
Return on capital employed - RoCE 21.5% 20.1% 23.0%
Return on equity - RoE 22.7% 14.5% 17.0%
Return on common equity

Liquidity ratios
Current ratio (x)
Quick ratio (x)
Cash ratio (x)
Cash conversion cycle (Refer working capital days)

Activity Turnover ratios

Working capital days
- Receivables days
- Inventory days
- Payables days
Working capital days

Turnover
Receivables turnover
Inventory turnover
Payables turnover
Asset turnover
Fixed asset turnover

Solvency ratios
Debt to asset ratio
Debt to capital ratio
Debt to equity ratio (x)
Financial leverage ratio
Interest coverage ratios
Fixed charge coverage ratios No leases

Valuation ratios
Price earnings ratio
Price to cash flow ratio
Price to sales ratio
Price to book value ratio
Basic EPS
Cash flow per share
EBITDA per share
Dividends per share
Dividend payout ratio
Retention rate (%)
Sustainable growth rate

Du Pont Analysis
Net profit margin
Asset turnover
Financial leverage (Total asset / Total equity)

Performance and coverage ratios

Cash flow (operating) to revenue
Cash return on assets
Cash return on equity
Cash to income
Cash flow per share
Debt coverage
Interest coverage
Reinvestment
Debt payment
Dividend payment
Investing and financing
Financial Analysis

Particulars Mar '12 Mar '13 Mar '14 Mar '15

Revenues 2,600.6 2,857 3,154 3,549

Direct costs
Material consumption 1,803.9 2,018 2,232 2,320
69.4% 70.6% 70.7% 65.4%

Power & fuel 34.8 45 67 65

1.3% 1.6% 2.1% 1.8%

Stock adjustements (48.2) (58) (81) 62

-1.9% -2.0% -2.6% 1.7%

Other mfg exp - - - -

0.0% 0.0% 0.0% 0.0%

Total costs 1,790.4 2,005 2,218 2,447

68.8% 70.2% 70.3% 69.0%

Gross profit 810.2 852 937 1,102

31.2% 29.8% 29.7% 31.0%

Indirect costs
Employee costs 106.9 118 136 143
4.1% 4.1% 4.3% 4.0%

SGA - - - -
0.0% 0.0% 0.0% 0.0%

Misc. exp 365.9 397 439 514

14.1% 13.9% 13.9% 14.5%

Less: pre-op exp - - - -

0.0% 0.0% 0.0% 0.0%

Total indirect 472.8 515 575 657

18.2% 18.0% 18.2% 18.5%

Total costs 2,263.3 2,521 2,792 3,104

87.0% 88.2% 88.5% 87.5%

EBITDA 337.3 336 362 445

13.0% 11.8% 11.5% 12.5%

Depreciation 56.4 47 65 68
2.2% 1.6% 2.1% 1.9%

EBIT 281.0 289 297 377

10.8% 10.1% 9.4% 10.6%

Interest costs 0.1 0 0 0

0.0% 0.0% 0.0% 0.0%

EBT (pre-other income) 280.9 289.0 296.7 377.1

10.8% 10.1% 9.4% 10.6%
Other income (positive) 24.3 131 10 22

24.3 131 10 22
0.9% 4.6% 0.3% 0.6%

EBT (post-other income) 305.2 420.2 307.0 398.9

11.7% 14.7% 9.7% 11.2%
Taxes
- Income tax 89.2 128 100 127
- FBT - - - -
- Deferred Tax - - - -
Total taxes 89.2 128 100 127
effective tax rate 29.2% 30.5% 32.7% 31.9%

PAT 215.9 292.2 206.6 271.7

8.3% 10.2% 6.5% 7.7%

Dividend 68.9 69 69 91
Preference Dividend 0 0 0 0
Equity Dividend % 110 110 110 140
EPS - Unit Curr 40.06 54.22 38.33 5.04

Balance Sheet
SOURCES OF FUNDS :
Share capital 53.9 54 54 54
Reserves 1,009.3 1,232 1,369 1,543
Others - - - -
Equity capital 1,063.2 1,286 1,423 1,597

Secured Loans 3.0 1 1 1

Unsecured loans 66.0 60 51 41
Total Debt 69.0 60 52 42

Total funds employed 1,132.1 1,346 1,475 1,638

Other Liabilities - - - -

Current Liabilities and Provisions

Current Liabilities 449.6 597 673 583
Provisions 116.4 119 107 122
Total Current Liabilities 566.0 716 780 705

Deferred Tax Liability - - - -

Other business liabilities 566.0 716 780 705

Total Liabilities 1,698.1 2,062 2,255 2,343

  APPLICATION OF FUNDS :
 Gross Block 844.5 1,142 1,328 1,389
Less : Accumulated Depreciation 448.2 367 419 484
Less:Impairment of Assets - - - -
Net Block 396.3 774 910 905
Lease Adjustment - - - -
Capital Work in Progress 161.5 123 48 44
Total fixed assets 557.8 898 958 949

Investments 183.5 61 56 216

Current Assets
Inventories 453.7 534 646 542
Sundry Debtors 358.8 420 455 496
Cash and Bank 59.2 60 55 34
871.7 1,014 1,155 1,072

Loans and Advances 85.1 90 86 107

Total Current Assets, Loans & advances 956.8 1,104 1,241 1,179

Miscellaneous Expenses not written off - - - -

Deferred Tax Assets - - - -

  Other Assets - - - -

   Total Assets 1,698.1 2,062 2,255 2,343

- - - -
Other key balance sheet parameters
Current assets 871.7 1,014 1,155 1,072
Current liabilite 566.0 716 780 705
Net current assets 305.7 298 375 367
Change in W/c 2 (67) (49)
Net debt 9.8 0 (3) 7
Capital employed 1,132.1 1,346 1,475 1,638
Capex 297 187 61

Average
- Equity 1,175 1,355 1,510
- Debt 65 56 47
- Total capital 1,239 1,411 1,557
- Assets 1,880 2,159 2,299
- CE 1,239 1,411 1,557
- debtors 389 437 476
- inventory 494 590 594
- creditors 523 635 628

Earnings per share 40.06 54.22 38.33 5.04

Market price - High 949 1,258 1,300 251
Market price - Low 790 865 975 111
Market price - Average 869.5 1061.5 1137.5 181
Book value per share 197.28 238.62 264.08 29.63
Cash flow per share 20.5 63 51 6
Sales per share 482.6 532 591 133
No of shares - in crores 5.3892 5.3892 5.3892 53.892

Cash Flow Statements

At Beginning of the year 39.2 59.2 60.1 54.9
Operating Activities 102.3 223.7 189.2 307.0
Investing Activities (12.2) (141.8) (112.5) (238.7)
Financing Activities (70.6) (81.0) (81.9) (89.1)
Net Inc/(Dec) in Cash and Cash Equivalent 19.5 0.9 (5.2) (20.8)
At End of the year 58.6 60.1 54.9 34.1
Net income less ocf 170.0 115.6 82.3 32.4
Company >> Finance >> Balance Sheet
Kansai Nerolac Paints

(Rs in Crs)
   Year Mar-12 Mar-13 Mar-14 Mar 15
  SOURCES OF FUNDS :
 Share Capital 53.89 53.89 53.89 53.89
  Reserves Total 1,009.26 1,232.09 1,369.30 1,542.93
  Equity Share Warrants - - - -
   Equity Application Money - - - -
  Total Shareholders Funds 1,063.15 1,285.98 1,423.19 1,596.82
  Secured Loans 2.96 0.9 0.9 0.9
 Unsecured Loans 66.01 59.59 50.81 40.6
   Total Debt 68.97 60.49 51.71 41.50
  Other Liabilities - - - -
   Total Liabilities 1,132.12 1,346.47 1,474.90 1,638.32
  APPLICATION OF FUNDS :
 Gross Block 844.54 1,141.83 1,328.34 1,389.00
  Less : Accumulated Depreciation 448.21 367.36 418.76 484
  Less:Impairment of Assets - - - -
  Net Block 396.33 774.47 909.58 905.00
  Lease Adjustment - - - -
  Capital Work in Progress 161.49 123.49 48.16 43.94
 Investments 183.51 60.60 56.47 215.58
   Current Assets, Loans & Advances
  Inventories 453.69 534.08 645.65 541.67
 Sundry Debtors 358.83 419.99 454.84 496.34
  Cash and Bank 59.18 60.07 54.87 34.05
 Loans and Advances 85.08 89.53 85.55 106.78
   Total Current Assets 956.78 1,103.67 1,240.91 1,178.84
  Less : Current Liabilities and Provisions
 Current Liabilities 449.61 597.23 672.92 582.95
  Provisions 116.38 118.53 107.3 122.09
  Total Current Liabilities 565.99 715.76 780.22 705.04
   Net Current Assets 390.79 387.91 460.69 473.80
 Miscellaneous Expenses not written off
   Deferred Tax Assets - - - -
  Deferred Tax Liability - - - -
   Net Deferred Tax - - - -
  Other Assets - - - -
   Total Assets 1,132.12 1,346.47 1,474.90 1,638.32
 Contingent Liabilities 24.48 89.07 6.32 8.31

Check - - - -
Company >> Finance >> Income Statement
Kansai Nerolac Paints

Mar '12 Mar '13 Mar '14 Mar '15

 Sales Turnover 2,876 3,220 3,154 4,007

   Excise Duty 276 364 - 458
  Net Sales 2,601 2,857 3,154 3,549
  Other Income 24 131 10 22
 Stock Adjustments 48 58 81 (62)
   Total Income 2,673 3,046 3,245 3,509
  EXPENDITURE :
 Raw Materials 1,804 2,018 2,232 2,320
  Power & Fuel Cost 35 45 67 65
 Employee Cost 107 118 136 143
  Other Manufacturing Expenses
 Selling and Administration Expenses
  Miscellaneous Expenses 366 397 439 514
 Less: Pre-operative Expenses Capitalised - - - -
   Total Expenditure 2,312 2,579 2,873 3,042
  Operating Profit 362 467 372 467
  Interest 0 0 0 0
PBDT 362 467 372 467
  Depreciation 56 47 65 68
  Profit Before Tax 305 420 307 399
  Tax 89 128 100 127
 Fringe Benefit tax - - - -
  Deferred Tax - - - -
  Reported Net Profit 216 292 207 272
  Extraordinary Items - - - -
  Adjusted Net Profit 216 292 207 272
  Adjst. below Net Profit - - - -
  P & L Balance brought forward
  Statutory Appropriations - - - -
 Appropriations
   P & L Balance carried down
  Dividend 69 69 69 91
   Preference Dividend - - - -
  Equity Dividend % 110 110 110 140
   Earnings Per Share-Unit Curr 40.06 54.22 38.33 5.04
   Book Value-Unit Curr 197.28 238.62 264.08 29.63
Company >> Finance >> Cash Flow
Kansai Nerolac Paints

(Rs in Crs)
Mar-12 Mar-13 Mar-14 Mar 15
Cash Flow Summary
Cash and Cash Equivalents at Beginning of the year 39.16 59.18 60.07 54.88
Net Cash from Operating Activities 102.26 223.70 189.21 307.00
Net Cash Used in Investing Activities (12.15) (141.84) (112.46) (238.74)
Net Cash Used in Financing Activities (70.64) (80.98) (81.94) (89.09)
Net Inc/(Dec) in Cash and Cash Equivalent 19.47 0.88 (5.19) (20.83)
Cash and Cash Equivalents at End of the year 58.63 60.07 54.87 34.05

58.63 60.06 54.88 34.05

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