Shivalik Rasayan Reports Negative Financial Results for Q1 2024

Shivalik Rasayan, a microcap chemical company, recently announced its financial results for the quarter ending March 2024. The company's stock has been given a 'Strong Sell' rating by MarketsMOJO.

According to the financial report, Shivalik Rasayan has seen a negative performance in the quarter, with a score of -13, which has improved from -20 in the last three months. However, there are some positive aspects to the company's financials.

The net sales for the quarter were the highest in the last five quarters, at Rs 71.23 crore, and have been growing each quarter. This indicates a very positive sales trend in the near term.

On the other hand, the profit before tax less other income (PBT) for the quarter has fallen by 40% year on year, at Rs 3.57 crore. The near term trend for PBT is also negative. Additionally, the interest cost for the quarter has increased by 65.19% quarter on quarter, which signifies increased borrowings for the company.

The operating profit to interest ratio for the quarter is the lowest in the last five quarters, at 3.56 times. This indicates a deteriorating ability of the company to manage its interest payments.

In terms of the nine-month period, the profit after tax (PAT) has grown at a negative rate of 38.29% year on year, at Rs 8.38 crore. The interest cost for this period has also been the highest in the last five quarters, at Rs 2.61 crore, and has increased by 65.19% quarter on quarter.

Overall, Shivalik Rasayan's financial performance for the quarter ending March 2024 has been negative, with some concerning trends such as a decrease in PBT and an increase in interest costs. Investors should carefully consider these factors before making any investment decisions.