HDL Makes Public Q4 Report with Decline in Net Profit; EPS Contracts to Rs. 27.17
Tue, Aug 15, 2023 7:40 AM on Financial Analysis, Latest,
Himalayan Distillery Limited (HDL) has published its fourth-quarter report for the recently concluded financial year 2079-80, with a significant decline in the Net profits by 37.54 percent. As of FY 2079-80 last quarter, the company has made only Rs. 66.01 crores as opposed to earning Rs. 1.05 Arba until the corresponding quarter of the previous FY 2078-79.
The company’s gross revenue from operations has dropped by 25 percent, totaling Rs. 6.38 Arba as of FY 2079-80’s end. The cost of goods sold and the manufacturing expenses have both decreased by 23.72 percent and 25.56 percent, respectively.
HDL maintains a paid-up capital of Rs. 2.42 Arba and has Rs. 92.33 crores in the form of Reserve and Surplus, which puts the company in good financial standing.
With a decline in Net profits, the Earning per Share (EPS) ratio of the company has dropped as well to stand at Rs. 27.17, alongside a Net worth per Share of Rs. 138.
The Price to Earnings (PE) ratio of the company is 82.74 times as of FY 2079-80.
The company stated that due to the rise in internal duties imposed by the government of Nepal in the budget, liquidity contraction, increased costs of raw materials, a significant rise in interest rates, and intense competition, the overall economy has also impacted the company's operations. Because of these factors, the company's net profit has declined in the past year, as mentioned in the financial statement.
Major Financial Highlights:
| Particulars (Rs in 000) | Himalayan Distillery Limited | ||
|---|---|---|---|
| Q4 2079/80 | Q4 2078/79 | Difference | |
| Paid Up Capital | 2,429,567 | 1,518,479 | 60.00% |
| Reserves and Surplus | 923,313 | 1,326,131 | -30.38% |
| Property, Plant and Equipment | 457,177 | 497,484 | -8.10% |
| Investment | 101,100 | 101,100 | 0.00% |
| Trade Receivables | 1,968,209 | 1,150,583 | 71.06% |
| Revenue from Operation | 6,389,911 | 8,568,823 | -25.43% |
| Administration Expenses | 79,369 | 78,469 | 1.15% |
| Cost of goods sold | 1,027,414 | 1,346,818 | -23.72% |
| Manufacturing Expenses | 167,891 | 225,548 | -25.56% |
| Net Profit | 660,118 | 1,056,940 | -37.54% |
| Annualized EPS (In Rs.) | 27.17 | 69.61 | -60.97% |
| Net Worth per Share (In Rs.) | 138.00 | 187.33 | -26.33% |
| Qtr End P/E Ratio | 82.74 | - | - |
| Liquidity Ratio | 10.88 | - | - |
