Mangalore Chemicals & Fertilizers Reports Mixed Performance in Q2 FY25

Mangalore Chemicals & Fertilizers, a smallcap company in the fertilizer industry, recently announced its financial results for the quarter ending September 2024. The stock has been given a ‘Hold’ call by MarketsMOJO.

According to the financial report, the company has seen a negative performance in the second quarter of FY24-25, with a score of -17 compared to -16 in the previous quarter. However, there are some positive aspects to the company’s financials.

One of the strengths of Mangalore Chem. is its high operating cash flow, which has been consistently growing over the past three years and reached a peak of Rs 496.26 crore annually. This indicates that the company has been able to generate higher cash revenues from its business operations.

Another positive aspect is the company’s dividend per share (DPS), which has been consistently increasing over the past five years and reached a high of Rs 1.50. This shows that the company is distributing higher dividends from its profits.

However, there are also some areas of concern in the financial report. The net sales for the quarter have fallen by -44.95% year on year (YoY) to Rs 776.39 crore, indicating a negative trend in the near term. Similarly, the profit before tax less other income (PBT) has also fallen by -62.28% YoY to Rs 36.14 crore, and the profit after tax (PAT) has fallen by -61.0% YoY to Rs 26.38 crore. These trends suggest a negative outlook for the company in the near term.

Overall, the financial results for the quarter ending September 2024 show a mixed performance for Mangalore Chemicals & Fertilizers. Investors are advised to hold their positions and monitor the company’s performance closely in the coming months.