RATING

RECOMMENDATION

Neutral

  • ROFR Required
  • Available in Depository:

  • NSDL

  • CDSL

  • Available for Investment:

  • Primary

  • Secondary

RATING

RECOMMENDATION

Neutral

Business Type

Traditional Business

RATING

RECOMMENDATION

Neutral

Business Type

Traditional Business

  • Deepak Industries Growth

Deepak Industries Revenue Growth

Growth in %

  • 47.28%

    1 Year

  • 6.76%

    3 Year

  • 11.47%

    5 Year

The company's revenue grew by 47.28% in FY22, which is due to an increase in sales in the automobile gear segment. The long-term prospects of the company are good and promising as the company continues to explore all the avenues to ensure growth of its business, which includes deeper penetration into new and existing markets.

Deepak Industries Net Profit Growth(PAT)

Growth in %

  • 50.87%

    1 Year

  • 21.16%

    3 Year

  • 36.14%

    5 Year

Inspite of the fact, that the cost of goods sold increased by 64% whereas the revenue of the company increased only by 47%, the net profit of the company registered a growth of 50.85% in FY22 as against FY21. The company were able to control it's other expenses such as salaries and wages, and interest expense which overall led to increase in the net profit.

Deepak Industries EPS Growth

Growth in %

  • 50.81%

    1 Year

  • 21.16%

    3 Year

  • 42.97%

    5 Year

The company reported EPS growth from Rs.139.20 in FY21 to Rs.209.93 in FY22, which is 50.81% year-on-year (y-o-y) growth on account of an increase in net profit after tax .

  • Deepak Industries Book Value Growth

Growth in %

  • 39.86%

    1 Year

  • 21.79%

    3 Year

  • 14.02%

    5 Year

In FY22, the company's book value grew by 39.86% because of an increase in retained earnings of the company.


Deepak Industries EBITDA Growth

Growth in %

  • 40.84%

    1 Year

  • 11.55%

    3 Year

  • 19.16%

    5 Year

In FY22, EBIDTA grew by 40.84% as against FY21, as the company's revenue increased by 48% in FY22. With the ease in COVID-19 restrictions, the industrial and manufacturing sectors recovered, which directly impacted the automobile sector. The recovery mode opted by the economy has positively impacted the business performance of the company.

Deepak Industries Operating Profit Growth

Growth in %

  • 43.65%

    1 Year

  • 12.93%

    3 Year

  • 25.35%

    5 Year

Deepak Industries Asset Growth

Growth in %

  • 14.40%

    1 Year

  • 11.60%

    3 Year

  • 8.02%

    5 Year

The assets of the company grew by 14.40% in FY22, which is majorly due to an increase in total receivables because of the increase in company's operations. The company acquired on a going concern basis Lotus Auto Engineering Limited (LAEL),which further led to an increase in non-current assets of the company by 14%.

Deepak Industries Cash Flow from Operations

Growth in %

  • 532.09%

    1 Year

  • 42.24%

    3 Year

  • 7.03%

    5 Year

In comparison to FY21, cash flow from operations has increased by approximately 531.64% in FY22. This is mainly due to the increase in the company's net profit before tax and  lower increase in loans and advances, inventories, and recievables as compared to FY21 .

  • Deepak Industries Solvency Ratios

Deepak Industries D/E Ratio

The overall debt to equity stance of the company improved in FY22 over FY21, which showed a de-growth of 17.4%. The total debt of the company was reduced by 5% in FY22, whereas the total equity increased by 22% on account of an increase in net profits in FY22.

Deepak Industries Current Ratio

There is a steady increase in the liquidity ratios of the company, which reflects that the company’s ability to pay its short-term obligations is getting stronger. The asset base of the company got stronger in FY22 as current assets grew by 14%, which was mainly due to an increase in the receivables of the company. The current ratio is within the optimal range as of now. 

Deepak Industries Quick Ratio

Deepak Industries Interest Coverage Ratio

The interest coverage ratio of the company is growing as the company's operating profit is steady and the long-term borrowings of the company have decreased significantly. In FY22, the interest coverage ratio increased by 82% as compared to FY21.

  • Deepak Industries Operating Efficiency

We can see that the operating ratios remained stable over a period of time. This shows that the pandemic did not affect the company on a major scale. The PAT margin increased 0.2% by ,PBT margin by 0.2% and the EBIT margin decreased by 0.6% in FY22.

Deepak Industries Operating Profit EBIT Margin(OPM)

Deepak Industries Profit Before Tax Margin (PBT Margin)

Deepak Industries Profit After Tax Margin (PAT Margin)

  • Deepak Industries Profitablity Ratio


Deepak Industries Return on Equity(RoE)

Due to the firm's increasing net profit in FY22, the ROE of the company increased by 25.35% y-o-y. As per DU Point analysis, the company's net profit margin increased by 1.8% y-o-y in FY22 and the asset turnover of the company increased by 27.4%, which is a major factor in the increase in ROE. This all led to an increase in the return on equity (ROE) of the company.

Deepak Industries Return on Capital Employed(RoCE)

Deepak Industries Return to Assets (RoA)

In FY22, the net profit of the company increased by 51%, whereas the assets increased by 14% as the company acquired Lotus Auto Engineering Limited (LAEL),which further led to an increase in non-current assets of the company by 14%. This has overall led to a 29.57% increase in the return of assets for the company.

  • Deepak Industries Valuation Ratios

Deepak Industries Dividend Yield

Deepak Industries Earning Yield