Waterbase Reports Negative Financial Results for Q2 2024, Declining Sales and Profitability

Waterbase, a microcap company in the aquaculture industry, recently announced its financial results for the quarter ending September 2024. The company's stock has been given a "Strong Sell" rating by MarketsMOJO.

According to the financial report, Waterbase has seen a negative performance in the second quarter of the fiscal year 2024-2025. The company's score has improved from -19 to -15 in the last three months, but it is still a cause for concern.

One of the major factors contributing to this negative performance is the decline in net sales. The company's net sales for the quarter were Rs 62.10 crore, which is a decrease of 17.3% compared to the average net sales of the previous four quarters. This trend is expected to continue in the near term.

Another concerning aspect is the decline in profit before tax (PBT) less other income. The PBT for the quarter was Rs -7.09 crore, which is a decrease of 12.3% compared to the average PBT of the previous four quarters. This indicates a negative trend in the company's profitability.

The half-yearly profit after tax (PAT) has also seen a decline of 32.05% year on year, with the current PAT at Rs -8.82 crore. This is a cause for concern in the near term.

In addition, the company's net sales for the quarter were the lowest in the last five quarters, indicating a negative trend in sales. The cash and cash equivalents for the half-yearly period were also at its lowest in the last six periods, indicating a deteriorating short-term liquidity.

On a positive note, the company's non-operating income for the quarter was the highest in the last five quarters, at Rs 3.87 crore. However, this increase in income from non-business activities may not be sustainable.

Overall, Waterbase's financial performance for the quarter ending September 2024 has been negative, with declining sales and profitability. Investors should carefully consider these factors before making any investment decisions.