Are Cravatex latest results good or bad?

Cravatex has released its financial results for the quarter ending March 2025, showing a mix of operational trends. The company reported net sales of Rs 60.52 crore, marking a year-over-year growth of 19.42%, which is a notable improvement compared to the previous year's decline. This figure represents the highest quarterly sales in the last five quarters, suggesting some stability in Cravatex's core operations.
However, the results also reveal significant reliance on non-operating income, which constituted 99.05% of the profit before tax. This heavy dependence raises concerns about the sustainability of the company's business model moving forward.

Additionally, Cravatex experienced a substantial year-over-year growth in consolidated net profit of 188.00%, contrasting with a significant decline in the prior year. The operating profit, excluding other income, showed a change of 126.60%, although the operating profit margin (excluding other income) experienced a slight decline.

Overall, while Cravatex's latest results indicate some positive trends in sales and profit, the reliance on non-operating income poses challenges for the company's financial sustainability. Furthermore, the company saw an adjustment in its evaluation over the past three months.