Sanathnagar Enterprises' Q2 FY25 financials show mixed performance, with concerns over operating profit and earnings

Sanathnagar Enterprises, a microcap company in the construction and real estate industry, recently announced its financial results for the quarter ending September 2024. The results, declared on October 17, 2024, have received a ‘Strong Sell’ call from MarketsMOJO.

According to the financials, Sanathnagar Ent. has seen a flat performance in the quarter, with a score of 0 compared to 4 in the previous three months. However, there are some positive aspects to the company’s financials. The company has shown a consistent growth in its operating cash flow, with the highest amount of Rs 2.06 crore annually in the last three years. This indicates that the company has been able to generate higher cash revenues from its business operations.

On the other hand, there are some areas of concern for Sanathnagar Ent. The company’s operating profit (PBDIT) for the quarter is at its lowest in the last five quarters, at Rs -0.14 crore. This shows a negative trend in the near term. Similarly, the profit before tax (PBT) less other income for the quarter is also at its lowest in the last five quarters, at Rs -0.14 crore. This indicates a negative trend in the near term for PBT as well. Additionally, the earnings per share (EPS) for the quarter is at its lowest in the last five quarters, at Rs -11.65. This shows a decline in profitability and lower earnings for shareholders.

Overall, Sanathnagar Enterprises has shown a mixed performance in the quarter ending September 2024. Investors should carefully consider these financials before making any investment decisions.