Suryalata Spinning Mills: Mixed Financial Results Revealed

Suryalata Spinning Mills, a microcap textile company, recently announced its financial results for the quarter ended September 2023. The company's stock has been given a 'Sell' call by MarketsMOJO.

In the quarter, Suryalata Spinning Mills saw a 7.22% growth in net sales compared to a -4.49% decline in the previous quarter. The standalone net profit also showed improvement with a growth of 18.03% compared to a -42.80% decline in the previous quarter. The operating profit (PBDIT) excluding other income also saw a significant growth of 28.65% compared to a -34.10% decline in the previous quarter. However, the interest cost increased by 14.39% in the quarter, indicating increased borrowings.

Despite the negative financial performance in the quarter, Suryalata Spinning Mills has shown improvement in its overall score, which has improved from -28 to -17 in the last three months.

One of the factors working in favor of the company is its strong operating cash flow, which has been consistently growing over the last three years. However, the profit before tax (PBT) and profit after tax (PAT) have both shown a decline in the quarter, with a -37.8% and -31.0% change respectively compared to the average of the previous four quarters.

The company's interest cost has also been on the rise, with the highest in the last five quarters and a 14.39% increase compared to the previous quarter. This signifies increased borrowings by the company.

The earnings per share (EPS) for the quarter was the lowest in the last five quarters, indicating a decline in profitability and lower earnings for shareholders.

Overall, Suryalata Spinning Mills has shown mixed financial results in the quarter, with some positive and negative trends. Investors should carefully analyze the company's financials before making any investment decisions.