Gandhi Special Tubes Reports Flat Performance in Q1 FY25, High Dividend Payouts but Decreasing DPR
Gandhi Special Tubes, a microcap company in the iron and steel industry, has recently announced its financial results for the quarter ending June 2024. The company’s stock has been given a ‘Hold’ call by MarketsMOJO.
According to the financial report, Gandhi Special Tubes has seen a flat performance in the quarter, with a score of -3 compared to 2 in the previous quarter. However, there are some positive aspects to note. The company has consistently paid out a high dividend per share (DPS) of Rs 13.00 annually in the last five years, indicating that it is distributing higher dividends from its profits.
On the other hand, there are also some areas of concern for the company. The operating cash flow for the year has been the lowest in the last three years at Rs 26.36 crore, indicating a decline in cash revenues from business operations. Additionally, the dividend payout ratio (DPR) has been consistently decreasing over the last five years, with the latest figure at 28.42%. This suggests that the company is distributing a lower proportion of its profits as dividends.
Overall, Gandhi Special Tubes has shown a mixed financial performance in the quarter ending June 2024. Investors are advised to hold their positions in the company’s stock, as recommended by MarketsMOJO.
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