Are Artefact Project latest results good or bad?

Artefact Projects has reported notable financial results for the quarter ending March 2025, with a Profit After Tax (PAT) of Rs 2.84 crore, reflecting a substantial growth compared to the average PAT of Rs 1.17 crore over the previous four quarters. The company's net sales reached Rs 20.07 crore, indicating a year-on-year growth of 48.67%.
In terms of operating performance, Artefact Projects achieved its highest quarterly operating profit of Rs 2.30 crore, continuing a consistent growth trend over the last five quarters. The Profit Before Tax (PBT) also reached a peak of Rs 1.78 crore, showcasing a strong upward trajectory. Furthermore, the Earnings per Share (EPS) stood at Rs 4.09, the highest in the last five quarters, suggesting enhanced profitability for shareholders.

However, it is noteworthy that a significant portion of the PBT, specifically 39.25%, was derived from non-operating income, which raises questions about the sustainability of the company's income sources.

The quarterly results also illustrate a substantial quarter-on-quarter growth in net sales of 73.81% compared to 7.01% in the previous quarter, alongside a remarkable 140.32% growth in standalone net profit compared to a decline in the prior quarter. The operating profit margin, excluding other income, experienced a change, indicating a revision in its score.

Overall, Artefact Projects has demonstrated a positive financial outlook for the quarter, although the reliance on non-operating income warrants careful consideration moving forward.