Akar Auto Industries shows improvement in financials, with strong interest management and profitability.

Akar Auto Industries, a microcap engineering company, recently announced its financial results for the quarter ending December 2023. The company's stock has been given a 'Sell' call by MarketsMOJO.

Despite a flat financial performance for the quarter, Akar Auto Industries has shown improvement in its overall score, which has increased from 3 to 4 in the last 3 months. This indicates that the company is making positive strides in its operations.

One of the key factors contributing to this improvement is the company's strong ability to manage interest payments, with an operating profit to interest ratio of 2.32 times in the last five quarters. This is the highest it has been in the past five quarters, showcasing the company's efforts in improving its financial management.

Additionally, Akar Auto Industries has also shown an improvement in its operating profit margin, which was at its highest at 6.90% in the last five quarters. This indicates that the company has become more efficient in its operations, resulting in better profitability.

Moreover, the company's profit before tax (PBT) less other income for the quarter was at its highest in the past five quarters, at Rs 2.61 crore. This is a positive trend for the near future, indicating that the company is on the right track towards growth and profitability.

Overall, Akar Auto Industries has shown promising financial results for the quarter ending December 2023, with improvements in key areas. Investors should keep an eye on the company's performance in the coming quarters to see if it continues on this positive trajectory.