B&A Reports Mixed Financial Results Amid Rising Debt and Declining Profits for Q4 2024

B&A, a microcap company in the Tea/Coffee industry, has recently reported its financial results for the quarter ending December 2024. The results indicate a notable shift in the company's financial performance, with the score reflecting a revision in its evaluation.
On a positive note, B&A has achieved its highest cash and cash equivalents in the last six half-yearly periods, amounting to Rs 36.67 crore, suggesting an improvement in short-term liquidity. However, the company is facing significant challenges as evidenced by its profit metrics. The Profit Before Tax (PBT) has shown a substantial decline, recorded at Rs -1.99 crore, which is markedly lower than the average PBT of the previous four quarters. Similarly, the Profit After Tax (PAT) stands at Rs -2.17 crore, also reflecting a considerable drop compared to prior averages.

Additionally, the company has experienced an increase in interest expenses, which have risen by 61.32% over the preceding nine months, indicating a reliance on borrowing to support operations. The debt-equity ratio has reached its highest level in the last five half-yearly periods at 0.46 times, suggesting that B&A is increasing its debt to fund its activities, potentially straining its liquidity.

Discover the Latest Mojo Score and Financial Trend Performance - SignUp in less than 2 Minutes and get FREE Premium Access.