AGS Transact Technologies Reports Positive Q3 Results, Stock Call 'Hold'

AGS Transact Technologies, a smallcap IT software company, has recently announced its financial results for the quarter ending September 2024. The company has seen a positive performance in this quarter, with its score improving from 14 to 18 in the last 3 months.

According to the financials, AGS Transact has shown growth in its Profit Before Tax (PBT) and Profit After Tax (PAT) by 111.6% and 190.7% respectively, compared to the average of the previous four quarters. The company has also reported its highest PAT of Rs 15.17 crore in the last five quarters, indicating a very positive trend in the near term.

AGS Transact has also shown a strong operating cash flow of Rs 302.52 crore in the last three years, indicating higher cash revenues from its business operations. The company has also reported its highest Earnings per Share (EPS) of Rs 1.25 in the last five quarters, showcasing its increasing profitability and ability to generate higher earnings for its shareholders.

On the other hand, the company's non-operating income is 79.30% of its PBT, which may not be a sustainable business model. The debtors turnover ratio has also slowed down in the last five half-yearly periods, and the company has distributed lower dividends and profits to its shareholders in the last five years.

Overall, AGS Transact Technologies has shown a positive financial performance in the quarter ending September 2024, with some areas of improvement and challenges to address. The stock call by MarketsMOJO for the company is 'Hold', indicating a neutral stance for investors.