TransIndia Real Estate's Q1 FY25 Financial Results Show Decline, MarketsMOJO Issues 'Strong Sell' Call

TransIndia Real Estate, a smallcap company in the real estate industry, recently declared its financial results for the quarter ending June 2024. However, the news is not positive as the company has seen a decline in its financial performance. MarketsMOJO has given a ‘Strong Sell’ call for the company’s stock.

According to the financials, the company’s net sales for the quarter were at Rs 18.68 crore, which is a decrease of 22.8% compared to the average net sales of the previous four quarters. This indicates a negative trend in the company’s sales in the near term. Similarly, the profit before tax less other income (PBT) for the quarter was at Rs -0.06 crore, a significant decrease of 101% compared to the average PBT of the previous four quarters. The company’s profit after tax (PAT) also saw a decline of 53.6% compared to the average PAT of the previous four quarters.

The company’s operating profit to interest ratio was at its lowest in the last five quarters, indicating a deteriorating ability to manage interest payments. The net sales and operating profit for the quarter were also at their lowest in the last five quarters, showing a negative trend in the company’s performance. The operating profit margin was also at its lowest, indicating a decline in the company’s efficiency.

Moreover, the non-operating income for the quarter was at 100.63% of the PBT, which suggests that the company’s income from non-business activities is high and not sustainable in the long run. The earnings per share (EPS) for the quarter were also at their lowest, indicating a decline in profitability and lower earnings for shareholders.

In conclusion, TransIndia Real Estate’s financial performance for the quarter ending June 2024 has been negative, with a decline in sales, profits, and efficiency. MarketsMOJO’s ‘Strong Sell’ call for the company’s stock further highlights the need for caution for investors.