Khadim India's Q3 Financials Show Decline

Nov 10 2023 12:00 AM IST
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Khadim India, a microcap company in the consumer durables industry, has reported a decline in net sales and operating profit margin for the quarter ended September 2023. The company's consolidated net profit has shown a growth of 8.48%, but its financial performance has been deemed negative with a score of -17. Investors should carefully consider these factors before making any investment decisions.

Khadim India, a microcap company in the consumer durables industry, recently announced its financial results for the quarter ended September 2023. The stock call by MarketsMOJO is 'Sell', indicating a negative outlook for the company.

According to the quarterly analysis, Khadim India has seen a decline in net sales and operating profit margin (excluding other income) compared to the previous quarter. However, the company's consolidated net profit has shown a growth of 8.48% in the same period.

The company's financial performance for the quarter has been deemed negative, with a score of -17 compared to -15 in the last three months. This indicates a downward trend in the company's financials.

Some key areas that are not working for Khadim India based on the September 2023 financials include a significant decrease in profit before tax (PBT) and profit after tax (PAT) compared to the previous year. The net sales have also shown a decline, and the company's debtors turnover ratio has slowed down, indicating a delay in settling debts.

Moreover, the company's non-operating income is high, which is not a sustainable business model. Additionally, the debt-equity ratio has increased, indicating that the company is borrowing more to fund its operations, which may lead to a stressed liquidity situation.

Overall, Khadim India's financial performance for the quarter ended September 2023 has been negative, and the company's stock call is 'Sell' by MarketsMOJO. Investors should carefully consider these factors before making any investment decisions.
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