AAREYDRUGS.NS
Key Ratios

Net Profit Margin: Making very low profit as compared to its revenue which generally means either business is inefficient or cost of making the product or services is higher than what it is finally worth

Acid Test Ratio: It has good liquidity, which means it can can cover its liabilities without relying on inventory

Inventory Turnover: High efficiency of inventory movement which means good inventory management

Coverage Analysis: Company is comfortably able to pay its interest payments from its earnings (EBIT + Lease Payments)

Debt to Equity Ratio: Company has low debt when compared to its equity which means it is financially stable

P/E Ratio: A little overvalued stock but represent growth stock and possibility of future growth

Performance Graph
Financial Ratios
Ratio Value
PE Ratio33.91
Net Profit Margin0.01
Acid Test Ratio1.49
Inventory Turnover11.01
Coverage Ratio2.24
Debt to Equity0.24
Key Ratios

Net Profit Margin: Making very low profit as compared to its revenue which generally means either business is inefficient or cost of making the product or services is higher than what it is finally worth

Return on Assets: Very high efficiency of the assets which indicates assets are making high contribution to the revenue

Return on Equity: Very low income of the company when compared with its equity, which means inefficient equity

Performance Graph
Profitability Ratios
Ratio Value
Net Profit Margin0.01
Return on Assets1.40
Return on Equity0.04
Performance Graph
Key Ratios

Acid Test Ratio: It has good liquidity, which means it can can cover its liabilities without relying on inventory

Current Ratio: It has a good balance between assets & liabilities and would be just able to cover its short-term liabilities

Performance Graph
Liquidity Ratios
Ratio Value
Acid Test Ratio1.49
Current Ratio1.70
Performance Graph
Key Ratios

Inventory Turnover: High efficiency of inventory movement which means good inventory management

Performance Graph
Efficiency Ratios
Ratio Value
Inventory Turnover11.01
Performance Graph
Key Ratios

Coverage Analysis: Company is comfortably able to pay its interest payments from its earnings (EBIT + Lease Payments)

Performance Graph
Coverage Ratios
Ratio Value
Coverage Ratio2.24
Performance Graph
Key Ratios

Debt to Equity Ratio: Company has low debt when compared to its equity which means it is financially stable

Interest Coverage Ratio: Company can barely manage to cover interest payments

Performance Graph
Solvency Ratios
Ratio Value
Debt to Equity Ratio0.24
Interest Coverage Ratio2.24
Performance Graph
Key Ratios

P/E Ratio: A little overvalued stock but represent growth stock and possibility of future growth

Dividend Yield: Low yield, focus on growth rather than dividends (Low dividend yield, which means company is focusing on growth

Performance Graph
Market Ratios
Ratio Value
P/E Ratio33.91
Gross Profit Margin0.03
Price to Book Ratio1.20
Dividend Yield0.00
Performance Graph

Balance Sheet Analysis of Aarey Drugs & Pharmaceuticals Limited

The balance sheet in the financial statement of the company shows its financial position at a particular point in time.

It consists of the following:

  • Assets: Something that the company owns and that gives financial benefits over a period of time.
  • Liabilities: Something that a company owes and that has a financial burden on the company.
  • Equity: It is basically the owner’s share in the company.

The formula is:

Assets = Liabilities + Equity
đź“ŚAssets:
Asset
Value & Year
2024
2023
2022
Total Assets 3032941000 2913245000 2451688000
Total Non Current Assets 207073000 207187000 263521000
Other Non Current Assets - - -
Non Current Prepaid Assets 56529000 55954000 51099000
Non Current Deferred Taxes Assets - - -
Financial Assets - - -
Investment In Financial Assets 13884000 4084000 27969000
Held To Maturity Securities - - -
Available For Sale Securities 13884000 4084000 27969000
Financial Assets Fair Value - - -
Long Term Equity Investment - - -
Investments In Associates At Cost - - -
Goodwill And Other Intangible Assets - - -
Other Intangible Assets - - -
Goodwill - - -
Net Ppe 129610000 139368000 144667000
Accumulated Depreciation -209191000 -192255000 -176549000
Gross Ppe 338801000 331623000 321216000
Construction In Progress - - -
Other Properties 1981000 1957000 1835000
Machinery Furniture Equipment 293912000 286758000 276578000
Buildings And Improvements 39115000 39115000 39010000
Land And Improvements 3793000 3793000 3793000
Properties - - -
Current Assets 2825869000 2706058000 2188169000
Other Current Assets 644000 644000 14585000
Hedging Assets Current - - -
Assets Held For Sale Current - - -
Restricted Cash - - 23969055
Prepaid Assets 400647000 388229000 660979000
Inventory 346758000 288191000 136839000
Other Inventories - - -
Finished Goods 231723000 199701000 85085000
Work In Process 8057000 17472000 2558000
Raw Materials 106978000 71018000 49196000
Other Receivables 155142000 90124000 200000
Taxes Receivable 49003000 29835000 10817000
Accounts Receivable 1844777000 1897797000 1362830000
Allowance For Doubtful Accounts Receivable - - -
Gross Accounts Receivable - - -
Cash Cash Equivalents And Short Term Investments 28898000 11238000 1919000
Other Short Term Investments 12954000 4180000 75068000
Cash And Cash Equivalents 15944000 7058000 1919000
Cash Equivalents - - -
Cash Financial 15944000 7058000 1919000
đź“Ś Liabilities & Equity
Liability/Equity
Value & Year
2024
2023
2022
Net Debt 297580000 370123000 139706000
Total Debt 313524000 377181000 141625000
Total Liabilities Net Minority Interest 1705385000 1739161000 1315315000
Total Non Current Liabilities Net Minority Interest 39916000 57756000 47953000
Other Non Current Liabilities 178000 -1000 -1000
Derivative Product Liabilities - - -
Non Current Pension And Other Postretirement Benefit Plans - - -
Trade And Other Payables Non Current - - -
Non Current Deferred Revenue - - -
Non Current Deferred Taxes Liabilities 7494000 14151000 14554000
Long Term Debt And Capital Lease Obligation 32244000 43606000 33400000
Long Term Capital Lease Obligation - - -
Long Term Debt 32244000 43606000 33400000
Long Term Provisions - - -
Current Liabilities 1665469000 1681405000 1267362000
Other Current Liabilities 54063853 21717000 10212000
Current Deferred Taxes Liabilities 38477000 50559000 26193000
Current Debt And Capital Lease Obligation 281280000 333575000 108225000
Current Capital Lease Obligation - - -
Current Debt 281280000 333575000 108225000
Pension And Other Post Retirement Benefit Plans Current - - -
Current Provisions 2172000 2192000 26193000
Payables 1292878000 1273362000 1124080000
Other Payable 455000 141000 -
Dividends Payable 47000 47000 47000
Total Tax Payable 2946000 5638000 27418000
Accounts Payable 1289430000 1273315000 1096615000
Common Stock Equity 1327556000 1174084000 1136373000
Total Capitalization 1359800000 1217690000 1169773000
Total Equity Gross Minority Interest 1327556000 1174084000 1136373000
Minority Interest - - -
Stockholders Equity 1327556000 1174084000 1136373000
Other Equity Interest 24650000 23150000 23150000
Treasury Stock - - -
Retained Earnings 531081000 484245000 446534000
Additional Paid In Capital 489282000 410842000 410842000
Capital Stock 280543000 253847000 253847000
Common Stock 280543000 253847000 253847000

Income statement interpretation for Aarey Drugs & Pharmaceuticals Limited

The income statement in the financial statement of the company shows its company financial performance over a period in time.

It consists of the following:

  • Revenue: It is the total amount of money earned from the core business activity of the company.
  • Expenses: It is the total amount required for running the full functionality of the company.
  • Profit or loss:In very simple terms, when a company pays its expenses using its revenue, then what’s left is profit, and in case expenses are more when compared with revenue, then it is loss.
đź“ŚRevenue & Profitability
Revenue/Profitability
Value & Year
2024
2023
2022
Total Revenue 3951029000 4128498000 4916097000
Operating Revenue 3951029000 4128498000 4916097000
Cost Of Revenue 3818986000 4038407000 4720549000
Gross Profit 132043000 90091000 195548000
Ebitda 113509000 101941000 139377000
Ebit 96529000 86203000 119494000
Operating Income 28246000 20047000 94875000
Net Income 46837000 37711000 65548000
Net Income From Continuing Operation Net Minority Interest 46837000 37711000 65548000
Net Income From Continuing And Discontinued Operation 46837000 37711000 65548000
Net Income Common Stockholders 46837000 37711000 65548000
Net Income Including Noncontrolling Interests 46836000 37710000 65548000
Net Income Discontinuous Operations - - -
Net Income Continuous Operations 46836000 37710000 65548000
Normalized Income 47002677 37997138 65830773
Normalized Ebitda 113698000 102397000 139810000
Total Unusual Items -189000 -456000 -433000
Total Unusual Items Excluding Goodwill -189000 -456000 -433000
đź“ŚExpenses & Taxes
Expenses/Taxes
Value & Year
2024
2023
2022
Reconciled Depreciation 16980000 15738000 19883000
Reconciled Cost Of Revenue 3818986000 4038407000 4720549000
Total Expenses 3922783000 4108451000 4821222000
Operating Expense 103797000 70044000 100673000
Other Operating Expenses 68441000 33846000 54189000
Depreciation And Amortization In Income Statement 16980000 15738000 19883000
Amortization - - -
Depreciation Income Statement 16980000 15738000 19883000
Selling General And Administration 5869000 6979000 10028000
Selling And Marketing Expense 1706000 2559000 3891000
General And Administrative Expense 4163000 4420000 6137000
Rent And Landing Fees 5323000 4879000 6823000
Tax Provision 6593000 22386000 34823000
Pretax Income 53429000 60096000 100371000
Other Non Operating Income Expenses 20427000 47995000 5848000
Special Income Charges -189000 -456000 -433000
Other Special Charges - - -
Write Off 189000 456000 433000
Net Non Operating Interest Income Expense 4982000 -2953000 -311000
Total Other Finance Cost 653000 3177000 1274000
Interest Expense Non Operating 43100000 26107000 19123000
Interest Income Non Operating 48735000 26331000 20086000
đź“Ś Earnings Per Share
Earnings Per Share
Value & Year
2024
2023
2022
Diluted Eps 1.84 1.49 2.72
Basic Eps 1.84 1.49 2.72
Diluted Ni Avail To Com Stockholders 46837000 37711000 65548000
Net Income From Continuing Operations 53429000 60096000 100271000
Minority Interests - - -

Cash flow analysis for Aarey Drugs & Pharmaceuticals Limited

The cashflow statement in the financial statement of the company shows how cash is moving in or moving out of the company over a period of time.

It consists of the following:

  • Operating activities: Cash flow from the core business operations.
  • Investing activities: Cashflow from investments made by the company.
  • Financing activities: These are cash from loans or by issuing shares or paying out dividends.
đź“ŚOperating Cash Flow
Operating Cash Flow
Value & Year
2024
2023
2022
Operating Cash Flow -29938000 -12811000 4988000
Changes In Cash 8887000 5139000 -4578000
Taxes Refund Paid -13250000 -22788000 -35901000
Change In Working Capital -124193000 -94527000 -99265000
Change In Other Current Liabilities -19949000 236855000 -36117000
Change In Other Current Assets -40360000 267674000 -378967000
Change In Payable 11534000 168461000 2646000
Change In Inventory -58566000 -151352000 47767000
Change In Receivables -11997000 -624891000 257293000
Other Non Cash Items 43753000 28671000 20001000
Stock Based Compensation - - -
Provision And Write Off Of Assets - - -
Depreciation And Amortization 16980000 15738000 19883000
Amortization Cash Flow - - -
Depreciation 16980000 15738000 19883000
đź“ŚInvesting Cash Flow
Investing Cash Flow
Value & Year
2024
2023
2022
Investing Cash Flow -17023000 4410000 -32100000
Net Other Investing Changes - - 13752000
Interest Received Cfi - - -
Dividends Received Cfi - - -
Net Investment Purchase And Sale -9800000 14850000 -23885000
Sale Of Investment - 19030000 -
Purchase Of Investment -9800000 -4180000 -23885000
Net Business Purchase And Sale - - -
Sale Of Business - - -
Purchase Of Business - - -
Net Ppe Purchase And Sale -7223000 -10440000 -21967000
Sale Of Ppe - - 46000
Purchase Of Ppe -7223000 -10440000 -22013000
Net Intangibles Purchase And Sale - - -
Purchase Of Intangibles - - -
đź“Ś Financing Cash Flow
Financing Cash Flow
Value & Year
2024
2023
2022
Financing Cash Flow 55848000 13540000 22534000
Net Other Financing Charges -574000 - 1000
Interest Paid Cff -43753000 -28671000 -20001000
Cash Dividends Paid - - -
Common Stock Dividend Paid - - -
Net Common Stock Issuance 84110000 - 82320000
Common Stock Payments - - -
Common Stock Issuance 84110000 - 82320000
Repurchase Of Capital Stock - - -
Repayment Of Debt -11362000 - -39786000
Issuance Of Debt 731000 42211000 -
Issuance Of Capital Stock 110806000 - 82320000
Net Issuance Payments Of Debt -10631000 42211000 -39786000
Net Short Term Debt Issuance - - -
Short Term Debt Issuance - - -
Net Long Term Debt Issuance -10631000 42211000 -39786000
Long Term Debt Payments -11362000 - -39786000
Long Term Debt Issuance 731000 42211000 -
Net Preferred Stock Issuance 26696000 - 82320000
Preferred Stock Payments - - -

Summary

Fundamental Overview of AAREYDRUGS.NS (Aarey Drugs & Pharmaceuticals Limited)

Above is the summary for fundamental analysis of Aarey Drugs & Pharmaceuticals Limited , whose ticker name is AAREYDRUGS.NS and belongs to sector Healthcare, and it is listed in NSE (National Stock Exchange).

The Aarey Drugs & Pharmaceuticals Limited which is listed in NSE (National Stock Exchange) has a PE ratio of 33.91, AAREYDRUGS.NS has a net profit margin of 0.01, the acid test ratio for AAREYDRUGS.NS is 1.49, AAREYDRUGS.NS has an inventory turnover of 11.01, and AAREYDRUGS.NS has debt-to-equity ratio of 0.24.

The AAREYDRUGS.NS whose company name is Aarey Drugs & Pharmaceuticals Limited has made profit/loss of 132043000 with total revenue of 3951029000, AAREYDRUGS.NS has assets worth of 3032941000.

1. What is fundamental analysis?

Fundamental analysis is looking into a company’s real business performance by analyzing financial statements, earning reports, and key valuation ratios.

Basically, fundamental analysis involves examining a company’s revenue, profits, losses, debts, assets, liabilities, and ratios calculated using these values to determine long-term investment strategies.

Fundamental analysis may not work for short-term trading of stock; it is usually incorporated by long-term investors.

2. Importance of Fundamental Analysis

Imagine you are locking a good amount of funds into an unknown company for many years. Sounds stupid, right?

This is where fundamental analysis comes into the picture, which turns an unknown enemy into a known friend.

As fundamental analysis involves calculating how a company is actually performing, the real revenue, profits, assets, liabilities, debts, and more. This helps investors to determine what the actual current financial condition of the company is, how much the company’s stock price is justified when compared to earnings (Corporate earnings reports India) that it is making through business, what the probability is that the company will go bankrupt in the future, how much growth the company has shown in the past, and other financial ratios.

All these calculations and analyses determine the financial health of the company, historical business growth, company’s efficiency, and its stock price compared with real earnings (Corporate earnings reports India), which helps traders to make investment decisions for long-term investment strategies.

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