Divyashakti's Q2 FY24-25 financial report shows mixed results, with significant growth in PAT but decreasing net sales.

Divyashakti, a microcap company in the ceramics/marble/granite/sanitaryware industry, recently announced its financial results for the quarter ending September 2024. The company's stock has been given a 'Strong Sell' rating by MarketsMOJO.

According to the financial report, Divyashakti's performance in Q2 FY24-25 has been flat, with a score of 3 compared to -3 in the previous quarter. However, there are some positive aspects to the company's financials.

One of the highlights is the significant growth in Profit After Tax (PAT) for the nine-month period, which has increased by 852.94% year on year. This trend is expected to continue as the company has already surpassed its sales from the previous twelve months. Additionally, Divyashakti has announced a higher dividend per share (DPS) of Rs 2.00, which is the highest in the last five years. This indicates that the company is distributing a higher proportion of its profits to shareholders.

On the other hand, there are some areas of concern for Divyashakti. The net sales for the first half of the year have decreased by -24.09% year on year, indicating a negative trend in the near term. Furthermore, the company's cash and cash equivalents have decreased to the lowest in the last six half-yearly periods, which could affect its short-term liquidity.

Overall, Divyashakti's financial performance for the quarter ending September 2024 has been mixed, with some positive and negative aspects. Investors should carefully consider these factors before making any investment decisions.