RATING

RECOMMENDATION

Buy

  • Dalmia Bharat Refractories Limited
  • ₹165.00

  • PLACE ORDER
  • ROFR Required
  • Available in Depository:

  • NSDL

  • CDSL

  • Available for Investment:

  • Primary

  • Secondary

RATING

RECOMMENDATION

Buy

Business Type

Traditional Business

RATING

RECOMMENDATION

Buy

Business Type

Traditional Business

  • Dalmia Bharat Refractories Limited Growth

Dalmia Bharat Refractories Limited Revenue Growth

Growth in %

  • -12.39%

    1 Year

  • 29.28%

    3 Year

  • 13.84%

    5 Year

In FY21, the company's revenue reduced by 12.39% year-on-year (y-o-y). The decline in revenue is primarily due to the nationwide lockdown in the April to June quarter and delay in infrastructure and industrial projects requiring additional refractory offtake.

Dalmia Bharat Refractories Limited Net Profit Growth(PAT)

Growth in %

  • -61.45%

    1 Year

  • NA

    3 Year

  • 41.58%

    5 Year

In FY21, the company's net profit reduced by 61.45% y-o-y. The impact of covid-19 pandemic can be clearly seen in the decrease in net profit growth of the company as revenue from sales reduced by 12.39% y-o-y from Rs. 453.48 crores in 2020 to Rs. 397.31 crores in 2021. Subsequent to Covid-19 disruptions, availability of shipping vessels and containers became a big issue due to increase in demand and intermittent lockdown in various parts of the world. Such shortage of containers has increased the freight cost significantly, which then impacts raw material prices and creates pressure on pricing of products. 

Dalmia Bharat Refractories Limited EPS Growth

Growth in %

  • -61.46%

    1 Year

  • NA

    3 Year

  • 41.56%

    5 Year

In FY21, the company's EPS reduced by 61.46% y-o-y due to the impact of covid-19 pandemic. The reasons for fall are same as that of net profit as the number of shares remained constant.

  • Dalmia Bharat Refractories Limited Book Value Growth

Growth in %

  • 16.73%

    1 Year

  • 1.45%

    3 Year

  • 31.22%

    5 Year

In FY21, the company's book value increased by 16.73% y-o-y due to 50% y-o-y increase in other comprehensive income in FY21. Total equity increased due to increase in other comprehensive income of Rs. 75.80 crores in FY21 versus other comprehensive loss of Rs. 34.88 crores in FY20.

Dalmia Bharat Refractories Limited EBITDA Growth

Growth in %

  • -26.41%

    1 Year

  • 251.04%

    3 Year

  • 35.04%

    5 Year

In FY21, the company's EBITDA decreased by 26.41% y-o-y due to decrease in total revenues by 12.4% y-o-y. Moreover, expenses such as employee benefit expense reduced by 5% y-o-y and cost of goods sold reduced at a lower rate at 6.3% y-o-y which shows the company was unable to pass on the reduction in revenues at the same rate, thus lead to reduction in the company's EBITDA at an increased rate than the reduction in total revenue.

Dalmia Bharat Refractories Limited Operating Profit Growth

Growth in %

  • -35.29%

    1 Year

  • NA

    3 Year

  • 36.24%

    5 Year

In FY21, the company's EBIT decreased by 35.29% y-o-y due to decrease in total revenue because of lockdowns imposed by Covid-19. Moreover, the company reduced its fixed assets marginally in FY21 which led to decrease in depreciation in FY21 over FY20.

Dalmia Bharat Refractories Limited Asset Growth

Growth in %

  • 26.54%

    1 Year

  • 22.59%

    3 Year

  • 34.92%

    5 Year

In FY21, the company's assets has increased as there has been growth of 224% in financial investments, which is majorly due to investments in shares of Dalmia Bharat Ltd. and growth in current account bank balances.

Dalmia Bharat Refractories Limited Cash Flow from Operations

Growth in %

  • 2146.98%

    1 Year

  • NA

    3 Year

  • 18.64%

    5 Year

In FY21, the company's cash flow from operations increased by 2147% y-o-y as there has been increase in trade and other payables of Rs. 43.67 crores in FY21 whereas in FY20 there was a decrease in trade and other payables of Rs. 22.39 crores. Moreover in FY21, trade and other receivables decreased by Rs. 25 crores whereas it decreased by Rs. 6.43 crores in FY20.

  • Dalmia Bharat Refractories Limited Solvency Ratios

The ability of the company to pay its short-term obligations can be seen improving but still it’s below ideal.

The current account bank balances grew from Rs. 9.2 Cr. to Rs. 32.1 Cr. in FY 21 which is major contributor for increase in current assets.

Dalmia Bharat Refractories Limited D/E Ratio

In FY21, the company's debt to equity ratio reduced by 15.5% y-o-y as the company paid off its long term and short term debts in FY21. The company reduced its cash credits for factoring of trade receivables to Rs. 5.16 crores from Rs. 34.68 crores. Also, the company paid off its bill discounting of Rs. 3.06 crores in FY21.

Dalmia Bharat Refractories Limited Current Ratio

In FY21, the company's current ratio increased by 5.9% y-o-y as the trade receivables increased by 27.7% y-o-y. 

Dalmia Bharat Refractories Limited Quick Ratio

In FY21, the company's quick ratio increased by 10.1% y-o-y as the trade receivables increased by 27.7% y-o-y. The company's current liabilities increased as the total outstanding dues of other than micro and small enterprises increased to Rs. 101.63 crores from Rs. 65.28 crores by FY21 by 55.7% y-o-y.

Dalmia Bharat Refractories Limited Interest Coverage Ratio

In FY21, the company's operating profit of the company fell significantly by 35.3% y-o-y but finance cost increased from Rs. 8.4 crores to Rs. 9.3 crores which is reflected in decline in interest coverage ratio in FY 21.

  • Dalmia Bharat Refractories Limited Operating Efficiency

The Operating efficiency of the company has taken a dip in FY 21 which is majorly due to covid-19 impact on the industry. The domestic sales of the company fell from Rs. 342.89 crores to Rs. 279.15 crores in FY 21.

Dalmia Bharat Refractories Limited Operating Profit EBIT Margin(OPM)

In FY21, the company's operating profit of the company fell significantly by 35.3% y-o-y as the company's revenue decreased by 12.4% y-o-y. The operating profit margin reduced by 26.2%. Moreover, expenses such as employee benefit expense reduced by 5% y-o-y, cost of goods sold reduced at a lower rate at 6.3% y-o-y and depreciation and amortization reduced at lower rate at 10.5% y-o-y thus helping in reducing the company's EBIT at an increased rate than the reduction in total revenue.

Dalmia Bharat Refractories Limited Profit Before Tax Margin (PBT Margin)

In FY21, the company's PBT reduced by 51.6% y-o-y as the company paid more interest expense of Rs. 9.29 crores in FY21 as compared to Rs. 8.46 crores in FY20. 

Dalmia Bharat Refractories Limited Profit After Tax Margin (PAT Margin)

In FY21, the company's PAT reduced by 59% y-o-y as the company's expenses such as employee benefit expense reduced by 5% y-o-y, cost of goods sold reduced at a lower rate at 6.3% y-o-y and depreciation and amortization reduced at lower rate at 10.5% y-o-y thus helping in reducing the company's PAT at an increased rate than the reduction in total revenue.

  • Dalmia Bharat Refractories Limited Profitablity Ratio

The covid 19 situation in the whole world has impacted the refractory sector severely, the significant drop in profitability ratios in FY21 clearly shows that. Although the affects of covid restrictions are seen all across the manufacturing sector. The management of the company was able to tackle the situation and churn out profits and pay dividends.

Dalmia Bharat Refractories Limited Return on Equity(RoE)

In FY21, ROE of the company reduced by 64.7% y-o-y to 3.2%. According to dupont analysis, ROE decreased due to decrease in net profit margin by 53% y-o-y to 1.7% as the revenue decreased 12.4% y-o-y, decrease in asset turnover ratio by 18.8% y-o-y to 0.79 as the company's revenue decreased 12.4% y-o-y and total assets of the company increased 26.5% as the company's cash and cash equivalents increased by 269.4% and long term investments increased by 224% to Rs. 111 crores, and the equity multiplier reduced to 2.38 in FY21 from 2.57 in FY20.

Dalmia Bharat Refractories Limited Return on Capital Employed(RoCE)

In FY21, ROCE of the company reduced by 40.6% y-o-y to 6.3% as the net income reduced by 58.8% y-o-y and total assets increased by 26.5% y-o-y due to increase in long term investments by 223.9% to Rs. 111.08 crores from Rs. 34.30 crores. Also, the current liabilities increased by 22.8% y-o-y as the accounts payable increased by 57.7% to Rs. 111.25 crores from Rs. 70.56 crores. 

Dalmia Bharat Refractories Limited Return to Assets (RoA)

In FY21, ROA of the company reduced by 61.8% y-o-y to 1.33% as the net income reduced by 58.8% y-o-y and total assets  increased by 26.5% y-o-y due to increase in long term investments by 223.9% to Rs. 111.08 crores from Rs. 34.30 crores. 

  • Dalmia Bharat Refractories Limited Valuation Ratios

Dalmia Bharat Refractories Limited Dividend Yield

Dalmia Bharat Refractories Limited Earning Yield