DCX Systems' Financial Performance Sees Significant Decline in Q1 FY25
DCX Systems, a smallcap company in the electronics components industry, has recently declared its financial results for the quarter ending March 2024. According to the latest report, the company has seen a significant decline in its financial performance, with a score of -20 compared to 6 in the previous quarter.
The company’s net sales for the quarter have fallen by -61.2% to Rs 138.08 crore, which is a significant decrease from the average net sales of the previous four quarters at Rs 355.85 crore. This indicates a very negative trend in the company’s sales in the near term.
Similarly, the profit before tax (PBT) has also seen a sharp decline of -196.8% to Rs -8.97 crore, compared to the average PBT of Rs 9.26 crore in the previous four quarters. The profit after tax (PAT) has also fallen by -73.5% to Rs 4.51 crore, indicating a negative trend in the company’s profitability.
The company’s ability to manage interest payments has also deteriorated, with the operating profit to interest ratio at its lowest in the last five quarters at -0.56 times. The operating profit (PBDIT) for the quarter is also at its lowest at Rs -2.76 crore, showing a negative trend in the company’s operating profit.
The operating profit margin has also decreased to -2.00%, indicating a decline in the company’s efficiency. The non-operating income for the quarter is at 224.07% of the PBT, which is a cause for concern as it shows a high income from non-business activities, which may not be sustainable in the long run.
The earnings per share (EPS) for the quarter is at its lowest at Rs 0.40, indicating a decline in profitability and lower earnings for shareholders. The non-operating income for the quarter is also at its highest in the last five quarters at Rs 16.20 crore, which may not be sustainable in the long run.
Based on these financial results, MarketsMOJO has given a ‘Sell’ call for DCX Systems’ stock. Investors should carefully consider these financials before making any investment decisions.
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