Assets structure analysis
Phibro Animal Health’s total assets were $971.4 million and $931.7 million as of June 30, 2023 and June 30, 2022, respectively.
As of June 30, 2023, the company had cash and cash equivalents of $41.3 million, short-term investments of $40 million, accounts receivable, net of $163.5 million, other current assets of $63.4 million, property, plant and equipment of $195.6 million, intangible, net of $55 million, goodwill of $53.3 million and other assets of $81 million.
Cash and cash equivalents accounted for 4.3% of total assets.
Short-term investments made up 4.1% of total assets.
Accounts receivable, net consisted of 16.8% of total assets.
Other current assets comprised 6.5% of total assets.
Property, plant and equipment accounted for 20% of total assets.
Intangible, net made up 5.7% of total assets.
Goodwill consisted of 5.5% of total assets.
Other assets comprised 8.3% of total assets.
Liquidity and solvency
Total current liabilities were $176 million as of June 30, 2023.
The current ratio was 3.3 times.
Total liabilities was $688.9 million as of June 30, 2023.
The debt ratio was 71%.
Phibro Animal Health’s liquidity is very strong.
Given that the factors of goodwill and intangible assets, the debt ratio is very high.
Profitability analysis
The company’s net sales were $977.9 million, $942.3 million and $833.4 million for the year ended June 30, 2023, the year ended June 30, 2022 and the year ended June 30, 2021, respectively.
The net sales in fiscal 2023 were up 3.8% year on year.
The net sales in fiscal 2022 were up 13% year on year.
Net income was $32.6 million, $49 million and $54.4 million in fiscal 2023, 2022 and 2021, respectively.
The net profit margin was 3.3%, 5.2% and 6.5% in fiscal 2023, 2022 and 2021, respectively.
The net profit margin is very low.
Cash flow analysis
Net cash provided by operating activities was $13.3 million, $31.6 million and $48.3 million for fiscal 2023, 2022 and 2021, respectively.
Capital expenditures were $51.8 million, $37 million and $29.3 million in fiscal 2023, 2022 and 2021, respectively.
You could see that net cash from operations has been eaten up by capital expenditures.
Dividends paid were $19.4 million, $19.4 million and $19.4 million in fiscal 2023, 2022 and 2021, respectively.
Phibro Animal Health’s operating performance for the quarterly period ended March 31, 2024.
Net sales were $744.5 million and $722.8 million in the nine months ended March 31, 2024, and the nine months ended March 31, 2023, respectively.
Net income was $1.7 million and $21.1 million in the nine months ended March 31, 2024, and the nine months ended March 31, 2023, respectively.
Conclusion
Phibro Animal Health is a mediocre company, and we could not see its investing value.
Disclaimer: The content is for reference only and does not constitute investment advice.
Introduction
Phibro Animal Health Corporation is a leading global diversified animal health and mineral nutrition company. We strive to be a trusted partner with livestock producers, farmers, veterinarians and consumers who raise and care for farm and companion animals by providing solutions to help them maintain and enhance the health of their animals. We market approximately 770 product lines in over 80 countries to approximately 4,000 customers. We develop, manufacture and market a broad range of products for food and companion animals including poultry, swine, beef and dairy cattle, aquaculture and dogs. Our products help prevent, control and treat diseases and support nutrition to help improve animal health and well-being. We sell animal health and mineral nutrition products either directly to integrated poultry, swine and cattle producers or through animal feed manufacturers, wholesalers, distributors and veterinarians.
