Kinetic Engineering's Q3 Results Show Positive Growth

Kinetic Engineering, a microcap company in the auto ancillary industry, recently declared its financial results for the quarter ended September 2023. The company's net sales saw a growth of 15.86% quarter-on-quarter, a significant improvement from the previous quarter's decline of 13.88%. Standalone net profit also showed a positive trend, with a growth of 27.34% compared to a decline of 34.12% in the previous quarter.

The company's operating profit (PBDIT) excluding other income also saw a significant improvement of 40.71% quarter-on-quarter, compared to a decline of 70.15% in the previous quarter. However, the interest cost for the company has increased by 28.47% quarter-on-quarter, indicating a rise in borrowings.

Despite this, Kinetic Engineering has shown a positive financial performance in the quarter, with a score of 10 out of 10, an improvement from 8 in the last 3 months. The company's profit after tax (PAT) for the half-yearly period has grown by 485.19% year-on-year, and the operating cash flow has also shown a consistent growth in the last three years.

However, the company's non-operating income for the quarter is 183.05% of the profit before tax (PBT), which may not be a sustainable business model. Overall, Kinetic Engineering has shown a positive trend in its financial performance for the quarter ended September 2023, with a strong growth in net sales and profitability. Investors should keep an eye on the company's interest cost and non-operating income in the future.