Gujarat Alkalies & Chemicals Reports Mixed Performance in Q1 FY25 Financial Results

Gujarat Alkalies & Chemicals, a midcap company in the chemicals industry, 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, Gujarat Alkalies has seen a flat performance in the quarter, with a score of 2 compared to -10 in the previous three months. However, there are some positive aspects to the company’s performance.

One of the key strengths of Gujarat Alkalies is its ability to manage interest payments, with an operating profit to interest ratio of 6.80 times in the last five quarters. The company’s operating profit (PBDIT) for the quarter was also at its highest in the last five quarters, at Rs 73.77 crore. This indicates a positive trend in the near term.

The company’s efficiency has also improved, with the operating profit margin at its highest in the last five quarters at 7.55%. Additionally, the profit before tax less other income (PBT) for the quarter was at its highest in the last five quarters, at Rs -53.58 crore. This suggests a positive trend in the near term for PBT.

However, there are some areas of concern for Gujarat Alkalies. The company’s cash and cash equivalents for the half-year period were at its lowest in the last six periods, at Rs 161.76 crore. This indicates a deterioration in short-term liquidity.

Overall, Gujarat Alkalies & Chemicals has shown a mixed performance in the quarter ending June 2024. Investors should carefully consider all aspects of the company’s financials before making any investment decisions.