Lambodhara Textiles Reports Mixed Results for Q1 FY25, MarketsMOJO Recommends 'Hold'

Lambodhara Textiles, a microcap company in the textile industry, has recently declared its financial results for the quarter ending March 2024. The stock call for the company by MarketsMOJO is ‘Hold’.

According to the financials, Lambodhara Textiles has shown a flat performance in the quarter, but there are some positive trends to note. The company’s Profit Before Tax (PBT) has grown by 105.4% compared to the average of the previous four quarters. The Net Sales for the quarter are also the highest in the last five quarters, indicating a positive trend. The Operating Profit (PBDIT) and Profit After Tax (PAT) are also at their highest in the last five quarters, showing an increase in profitability. The company’s Debtors Turnover Ratio has also improved, indicating a faster settlement of debts.

However, there are some areas of concern as well. The Non Operating Income for the quarter is 47.96% of the PBT, which is quite high and may not be a sustainable business model. The company’s income from non-business activities has also increased significantly in the last five quarters, which may not be sustainable in the long run.

Overall, Lambodhara Textiles has shown a mixed performance in the quarter, with some positive trends and some areas of concern. Investors are advised to hold their position in the stock, as recommended by MarketsMOJO.