Mangalam Seeds Reports Mixed Financial Results for Q1 2024, Stock Given 'Hold' Rating

Mangalam Seeds, a microcap company in the agri-seeds industry, recently announced its financial results for the quarter ending March 2024. According to the report released on May 30, 2024, the company's stock has been given a 'Hold' call by MarketsMOJO.

The financial performance of Mangalam Seeds for the quarter has been negative, with a score of -12 compared to 28 in the previous quarter. However, there are some positive aspects to the company's performance. The net sales for the quarter have grown by 35.32% year on year, indicating a positive sales trend in the near term.

On the other hand, there are some areas where Mangalam Seeds needs to improve. The profit before tax less other income (PBT) has fallen by -61.14% year on year, and the profit after tax (PAT) has also decreased by -50.0% year on year. The interest cost has increased significantly, indicating a rise in borrowings. The company's ability to manage interest payments has also deteriorated, with the operating profit to interest ratio being the lowest in the last five quarters.

The operating profit (PBDIT) for the quarter is also at its lowest in the last five quarters, and the earnings per share (EPS) have declined to the lowest in the last five quarters. The debt-equity ratio is also at its highest in the last five half-yearly periods, indicating that the company is borrowing more to fund its operations.

Overall, Mangalam Seeds has seen a mix of positive and negative financial performance in the quarter ending March 2024. Investors are advised to hold their stock and closely monitor the company's performance in the coming quarters.