Vibhor Steel Tubes Announces Q1 FY25 Financial Results: Mixed Trends for Investors

Aug 13 2024 09:18 PM IST
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Vibhor Steel Tubes, a microcap company in the iron and steel industry, recently announced its financial results for the quarter ending June 2024. While the company's Operating Profit to Interest ratio has improved, there are concerning factors such as a decrease in PBT and PAT, and lower net sales and EPS. Investors should carefully evaluate before investing.

Vibhor Steel Tubes, a microcap company in the iron and steel industry, recently announced its financial results for the quarter ending June 2024. The company’s stock has been given a ‘Sell’ call by MarketsMOJO.

According to the financials, there are some positive aspects for Vibhor Steel. The company’s Operating Profit to Interest ratio for the quarter was the highest in the last five quarters at 2.99 times. This indicates that the company’s ability to manage interest payments is improving.


However, there are also some concerning factors in the financials. The Profit Before Tax less Other Income (PBT) for the quarter was at Rs 3.69 crore, which is a decrease of 30.3% compared to the average PBT of the previous four quarters. This shows a negative trend in the near term for PBT.


Similarly, the Profit After Tax (PAT) for the quarter was at Rs 3.02 crore, a decrease of 28.9% compared to the average PAT of the previous four quarters. The Net Sales for the quarter were also down by 18.1% compared to the average of the previous four quarters. This indicates a negative trend in the near term for both PAT and Net Sales.


In fact, the Net Sales for the quarter were the lowest in the last five quarters. The PBT for the quarter was also the lowest in the last five quarters. The Earnings per Share (EPS) for the quarter were at Rs 1.59, the lowest in the last five quarters. This shows a declining profitability for the company and lower earnings for shareholders.


Overall, the financial results for the quarter ending June 2024 show a mix of positive and negative trends for Vibhor Steel Tubes. Investors should carefully consider these factors before making any investment decisions.


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