Savita Oil Technologies Reports Decline in Financial Performance for Q3 2024

Savita Oil Technologies, a smallcap company in the lubricants industry, recently announced its financial results for the quarter ending September 2024. The company's stock has been given a 'Sell' call by MarketsMOJO.

According to the financial report, Savita Oil Tech has seen a negative performance in the quarter, with a score of -13 compared to -9 in the previous quarter. This indicates a decline in the company's financial health in the last three months.

One of the major factors contributing to this decline is the Profit Before Tax (PBT) less Other Income, which has fallen by 50.6% to Rs 20.28 crore compared to the average PBT of the previous four quarters, which was Rs 41.07 crore. This trend is expected to continue in the near term.

Similarly, the Profit After Tax (PAT) has also seen a decline of 32.9% to Rs 31.05 crore compared to the average PAT of the previous four quarters, which was Rs 46.24 crore. This indicates a negative trend in the company's profitability in the near term.

Another concerning factor is the Non Operating Income, which is 56.18% of the Profit Before Tax. This means that a significant portion of the company's income is coming from non-business activities, which may not be sustainable in the long run.

In fact, the Non Operating Income for this quarter was the highest in the last five quarters at Rs 26.00 crore. This increase in income from non-business activities may not be sustainable and could have a negative impact on the company's financial performance in the future.

Overall, the financial results for the quarter ending September 2024 have not been favorable for Savita Oil Technologies. Investors should carefully consider these factors before making any investment decisions.