Are CHD Chemicals latest results good or bad?

CHD Chemicals has reported its financial results for the quarter ending March 2025, which highlight a mixed operational performance. The company has achieved a Profit After Tax (PAT) of Rs 0.05 crore for the latest six-month period, marking a significant turnaround from a loss of Rs 0.18 crore in the previous twelve months. This indicates a positive shift in profitability as the company has already surpassed its PAT from the prior year within just half a year.
However, the sales performance presents a contrasting picture. For the nine-month period, net sales amounted to Rs 5.37 crore, reflecting a substantial decline of 58.01% year on year. This decline raises concerns about the company's near-term financial outlook and operational sustainability.

In terms of quarterly results for the period ending March 2025, CHD Chemicals experienced a net sales decrease of 66.51% compared to the same quarter in the previous year. Conversely, the standalone net profit showed a notable increase of 250.00% year on year, indicating a recovery in profitability despite the challenges in sales.

Additionally, the company saw an adjustment in its evaluation over the past three months. Overall, while CHD Chemicals has demonstrated a recovery in profitability, the significant decline in sales performance could pose challenges moving forward.