Celebrity Fashions Reports Decline in Performance, Receives 'Sell' Rating from MarketsMOJO

Celebrity Fashions, a microcap textile company, recently announced its financial results for the quarter ending June 2024. The company's stock has been given a 'Sell' call by MarketsMOJO.

According to the financials, Celebrity Fashions has seen a significant decline in its performance, with a score of -27 compared to -9 in the previous quarter. However, there are some positive aspects to note. The company has been consistently reducing its debt-to-equity ratio over the past five half-yearly periods, indicating a decrease in borrowing and a stronger equity capital.

On the other hand, there are some concerning factors in the financials. The net sales for the quarter were at Rs 36.24 crore, a decrease of -57.7% compared to the average net sales of the previous four quarters. This indicates a negative trend in sales in the near term. Additionally, the company's ability to manage interest payments has deteriorated, with the operating profit to interest ratio at its lowest in the last five quarters.

The profit before tax (PBT) and profit after tax (PAT) for the quarter have also seen a significant decline, with both falling at -2337.9% and -2045.5% respectively, compared to the average of the previous four quarters. The company's operating profit and profit margins have also decreased, indicating a decline in efficiency.

Overall, the financial results for the quarter ending June 2024 for Celebrity Fashions have been negative. The company's stock has been given a 'Sell' call by MarketsMOJO, and the near term trends for sales, PBT, and PAT are all negative. Shareholders have also seen a decline in earnings per share.