Mirza International Reports Positive Financial Results for Q3 2024, Strong Operating Cash Flow and Growth in PBT and PAT

Mirza International, a microcap company in the consumer durables industry, has recently announced its financial results for the quarter ending September 2024. The company has shown a positive performance in this quarter, with a score of 9 compared to -19 in the previous quarter.

According to the financials, Mirza International has seen a significant growth in its Profit Before Tax (PBT) and Profit After Tax (PAT) for the quarter. PBT has grown by 199.3% to Rs 7.01 crore, while PAT has grown by 130.5% to Rs 5.90 crore. This trend is expected to continue in the near term.

The company has also shown a strong operating cash flow, with the highest amount of Rs 49.65 crore in the last three years. This indicates that the company has generated higher revenues from its business operations. Additionally, Mirza International has also improved its ability to manage interest payments, with an operating profit to interest ratio of 6.52 times in the last five quarters.

The net sales for the quarter have also shown a positive trend, with a growth of 24.6% to Rs 201.39 crore compared to the previous four quarters. The operating profit (PBDIT) for the quarter is also at its highest in the last five quarters, at Rs 16.88 crore.

On the other hand, the company's interest cost has increased by 57.93% quarter on quarter, indicating a rise in borrowings. The dividend payout ratio for the last five years is also at its lowest, at 0.00%, which means that the company is distributing a lower proportion of its profits as dividends.

Overall, Mirza International has shown a positive financial performance in the quarter ending September 2024. However, investors should keep an eye on the rising interest cost and low dividend payout ratio. MarketsMOJO has given a 'Strong Sell' call for the company's stock.