Foods & Inns Reports Mixed Performance in Q2 2024 Financial Results

Foods & Inns, a microcap FMCG company, recently declared 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, Foods & Inns has seen a very negative performance in the quarter, with a score of -20 compared to -16 in the previous quarter. However, there are some positive aspects to the company's financials. The cash and cash equivalents for the half-yearly period are at their highest in the last six periods, indicating an improvement in short-term liquidity.

On the other hand, there are some areas that are not working in favor of Foods & Inns. The Profit Before Tax (PBT) for the quarter has fallen by 50.7% compared to the average of the previous four quarters. The Profit After Tax (PAT) has also seen a decline of 23.7% compared to the average of the previous four quarters. The company's interest costs have also increased, indicating a rise in borrowings.

The operating profit margin for the quarter is at its lowest in the last five quarters, indicating a deterioration in the company's efficiency. The non-operating income for the quarter is also high, at 36% of the PBT. This suggests that the company's income from non-business activities is not sustainable in the long run.

Additionally, the company's debtors turnover ratio for the half-yearly period is at its lowest in the last five periods, indicating a slowdown in the pace of settling debts. The non-operating income for the quarter is also at its highest in the last five quarters, which may not be sustainable.

Overall, the financial results for the quarter ending June 2024 show a mixed performance for Foods & Inns. Investors should carefully consider these factors before making any investment decisions.