Kalyani Steels Key Ratios

The increase in PAT margin in FY2022 points to improved profitability, but this has declined in subsequent years, affecting overall ROE.Asset turnover saw a peak in FY2022, exemplifying efficient asset utilization; however, it's shown a downward trend, indicating potential inefficiencies.Leverage has somewhat stabilized with small fluctuations but remains supportive of ROE; a decrease in leverage in FY2025 suggests a more conservative financing strategy.

Inventory days are rising sharply, indicating slower turnover, which may lead to increased holding costs.Receivable days have increased significantly, suggesting potential cash flow issues and slower collection rates.Payable days have decreased, indicating tighter management of payables, but might strain vendor relationships and cash reserves.

ROE has shown a steady decline, indicating reduced efficiency in generating returns on equity amidst falling profitability metrics.ROCE remains stronger than ROE, suggesting debt financing is compressing equity returns while still contributing overall capital efficiency.ROA has decreased significantly, highlighting inefficiencies in utilizing total assets to generate profit, which may concern investors.