3i Infotech Announces Q3 Financial Results, Shows Flat Performance and Areas of Concern

3i Infotech, a microcap IT software company, has recently announced its financial results for the quarter ending September 2024. The results, declared on October 30, show a flat performance for the quarter, with a score of -3, which has improved from -6 in the last three months.

According to the financials, there are some positive aspects for 3i Infotech. The company has reported the highest earnings per share (EPS) of Rs -0.25 in the last five quarters, indicating an increase in profitability and creating higher earnings for shareholders. Additionally, the debtors turnover ratio for the half-yearly period has also improved, with the highest at 7.05 times in the last five periods, showing that the company has been able to settle its debtors faster.

However, there are also some areas of concern for 3i Infotech. The net sales for the quarter have fallen by -11.1% at Rs 177.60 crore, compared to the average net sales of the previous four quarters at Rs 199.81 crore. This indicates a negative trend in near-term sales. Furthermore, the net sales for the quarter are also the lowest in the last five quarters, further highlighting the negative sales trend. Additionally, the cash and cash equivalents for the half-yearly period are at its lowest in the last six periods, indicating a deteriorating short-term liquidity.

MarketsMOJO, a leading financial analysis and research firm, has given a 'Strong Sell' call for 3i Infotech's stock based on these financial results. Investors and stakeholders of 3i Infotech are advised to carefully consider these financials before making any investment decisions.