Rane (Madras) Reports Negative Financial Performance in Q2 FY25

Rane (Madras), a smallcap auto ancillary company, recently declared its financial results for the quarter ending September 2024. The company has received a ‘Sell’ call from MarketsMOJO based on its negative financial performance.

According to the financials, Rane (Madras) has seen a decline in its score from -4 to -8 in the last three months. However, there are some positive aspects to the company’s performance. Its operating cash flow has been consistently growing over the last three years, with the highest annual amount of Rs 120.06 crore.

On the other hand, there are some concerning factors as well. The company’s Profit Before Tax (PBT) has fallen by 1080.0% compared to the average of the previous four quarters. Similarly, its Profit After Tax (PAT) has also seen a significant decline of 102.5% compared to the average of the previous four quarters. Additionally, the company’s non-operating income is 340.82% of its PBT, which indicates a high reliance on non-business activities.

It is worth noting that Rane (Madras) has reported its highest non-operating income of Rs 1.67 crore in the last five quarters. However, this may not be a sustainable business model in the long run.

Overall, Rane (Madras) has reported a negative financial performance for the quarter ending September 2024. Investors should carefully consider these factors before making any investment decisions.