Are Black Box latest results good or bad?

Black Box has reported its financial results for the quarter ending March 2025, showcasing several noteworthy trends. The company achieved net sales of Rs 1,544.58 crore, which represents a 2.85% growth compared to the previous quarter, marking the highest sales figure in the last five quarters. Profit After Tax (PAT) reached Rs 76.77 crore, showing a 28.4% growth relative to the average PAT of Rs 59.80 crore over the preceding four quarters, resulting in an earnings per share (EPS) of Rs 3.57, also the highest in the last five quarters.
However, the company is encountering challenges as well. Interest expenses have risen significantly to Rs 47.22 crore, reflecting a 50.81% increase quarter on quarter, which indicates rising borrowing costs. Furthermore, the operating profit to interest ratio has decreased to 3.02 times, the lowest level in five quarters, suggesting a decline in the company's capacity to manage its interest obligations. Non-operating income has peaked at Rs 1.52 crore, raising concerns regarding its sustainability.

Overall, while Black Box has demonstrated positive trends in sales and profit, it is also facing increased financial pressures that may impact its operational efficiency. Additionally, the company saw an adjustment in its evaluation following these results.