Page 64 - Interloop Annual Report 2018-2019

KEY FINANCIAL RATIOS GRAPHICAL REPRESENTATION

OF RATIOS

OUR PERFORMANCE OVER THE YEAR

Particulars 2019 2018 2017 2016 2015 2014 Gross Profit Gross Profit Margin
Profitability Ratios On account of effective management and prompt decision 40.00
making, the company has been performing steadily over the last 30.00 29.37 31.90
Gross Profit Margin % 31.90 29.37 26.48 28.27 23.38 23.86 six years. The impact of increased sales volume, coupled with cost 23.86 23.38 28.27 26.48
Operating profit Margin % 17.08 14.39 13.22 16.50 14.32 13.43 efficiencies, better sales mix and operational improvements resulted 20.00
in ever highest gross profit of PKR 11,954 Million as compared to
Profit Before tax Margin % 14.46 12.86 11.74 14.71 10.64 9.76 10.00
PKR 5,404 Million in 2014. Consequentially, compound annual
Net Profit Margin % 13.86 12.48 11.35 13.90 10.32 9.56 growth rate ‘CAGR’ of gross profit rate reached 17.2% over the past 0
EBIT to Sales % 16.84 14.20 12.94 16.27 14.11 13.20 Six years. 2014 2015 2016 2017 2018 2019
EBITDA to Sales % 21.24 18.96 17.47 20.63 18.63 16.80
Return on Equity % 29.05 42.78 20.85 29.39 26.45 27.83 Net Profit Margin and Return Net Profit Margin and Return
Return on Assets % 12.74 11.86 10.57 15.48 10.84 10.13 on Equity & Assets 50.00 on Equity & Assets
Return on Capital Employed % 27.73 35.95 19.76 25.38 22.74 22.80 40.00 42.78
Operating Self Sufficiency Ratio Times 1.17 1.15 1.13 1.17 1.12 1.11 Net Profit Margin 30.00 27.83 26.45 29.39 20.85 29.05
20.00 13.90 15.48 11.35 12.48 11.86 13.86 12.74
Liquidity Ratios A strong topline along with effective cost management has allowed 10.00 9.56 10.13 10.32 10.84 10.57
us to reach the highest ever profit after tax of PKR 5,194 Million as 0
Current Ratio Times 1.27 0.86 1.26 1.53 1.28 1.24 compared to PKR 2,166 Million yielding a CAGR of 19.1 % over the 2014 2015 2016 2017 2018 2019
Quick/Acid Test Ratio Times 0.84 0.56 0.85 0.97 0.71 0.64 last Six years. Net Profit Margin % Return on Equity % Return on Assets %
Leverage Ratio Times 0.93 2.04 0.74 0.62 1.16 1.42 Return on Equity & Assets
Total Liabilities To Equity Times 1.28 2.61 0.97 0.90 1.44 1.75 Liquidity Ratios
Interest Cover Times 7.09 10.62 10.81 10.44 4.06 3.84 The Company continuously monitors its capital structure and aims 2.00
to keep it at its optimum level. Strong growth and optimal capital 1.53
Cash and Cash Equivalent to Cur- 0.15 structure has enable the company to reap higher return on equity 1.50 1.24 1.28 1.26 1.27
rent Liabilities Times 0.01 0.01 0.01 0.01 0.01 and assets. For FY 2019, the return on equity and return on assets 1.00 0.97
Cash flow from operations to sales % 15.63 (8.96) 4.67 20.17 14.69 10.94 recorded at 29.05% and 12.7 % respectively. 0.64 0.71 0.85 0.86 0.56 0.84
0.50
Efficiency Ratios Liquidity Ratios
Inventory Turnover Times 3.91 4.33 4.86 4.54 3.88 3.71 0 2014 2015 2016 2017 2018 2019
By devising strong cash and working capital management policies
Debtors Turnover Times 4.82 5.14 5.53 5.82 6.21 6.45
over the years, liquidity of the company is in stable position. Current Ratio Times Quick/Acid Test Ratio Times
Creditors Turnover Times 8.09 9.68 9.81 9.94 10.78 10.45
Total Assets Turnover Ratio Times 1.02 1.02 1.02 1.13 1.09 1.16 Activity/Turnover Activity
Fixed Assets Turnover Ratio Times 2.22 2.13 2.09 2.27 2.23 2.49 15.00
The inventory turnover of the company witnessed a healthy trend
Capital employed Turnover Ratio Times 1.65 2.53 1.53 1.56 1.61 1.73 as the company strives to implement more effective inventory 10.00 10.45 10.78 9.94 9.81 9.68 8.09
Equity Ratios management. To remain competitive in the market and to gain 5.00 3.71 6.45 3.88 6.21 4.54 5.82 4.86 5.53 4.33 5.14 3.91 4.82
market share, the company extends credit to its customers keeping
Cash dividend per share (declared) Rs 3.00 5.00 5.21 3.03 4.30 4.33 in view the credit worthiness of the customer. Company tends to pay 0
to its supplier in a timely manner, in order to ensure smooth supply
Earnings per share - basic Rs 6.6706 5.1007 3.9541 4.8073 3.2718 2.8450 of goods and services. 2014 2015 2016 2017 2018 2019
Earnings per share - diluted Rs 6.6706 5.1003 3.9539 4.8073 3.2718 2.8450 Inventory Turnover Times Creditors Turnover Times Debtors Turnover Times
Break up value per share Rs 20.50 47.78 76.04 65.70 49.67 41.06 Earning per Share
Bonus share issue for the year No. in '000 571,831 - - - - 63,200 Earnigs per share
Effective management of controllable factors has allowed company 8.0000
Dividend cover Times 1.99 4.09 3.04 6.37 3.06 2.64 to reach highest ever Earning Per Share of PKR 6.76. The healthy 6.6706
Dividend pay out % 50.37 24.46 32.84 15.69 32.73 37.93 growth in earning per share provides a strong financial base for 6.0000 2.8450 3.2718 4.8073 3.9541 5.1007 2018 - 19
4.0000
supporting the implementation of the Company’s growth strategy.
75.54
49.63
67.16
%
Plough back ratio
62.07
84.31
67.27
Interloop Limited 2.0000 0 2014 2015 2016 2017 2018 2019 Annual Report
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