Are CRISIL latest results good or bad?

CRISIL has reported its financial results for the quarter ending March 2025, with a notable year-on-year growth in net sales of 10.23% compared to the previous year, which reflects a positive trend in revenue generation. The consolidated net profit also showed a year-on-year growth of 16.06%, indicating a recovery from the prior year's decline.
In terms of operational efficiency, the Debtors Turnover Ratio reached 5.93 times for the half-yearly period, marking the highest level in the last five half-yearly periods. This suggests that CRISIL has been effective in managing its receivables, allowing for quicker settlements with debtors.

However, the company faced challenges with its Dividend Payout Ratio, which has fallen to 59.84%, the lowest in the past five years. This indicates a reduced proportion of profits being returned to shareholders as dividends. Additionally, the company reported its highest non-operating income in the last five quarters at Rs 30.59 crore, which raises questions about the sustainability of this income derived from non-business activities.

Overall, while CRISIL has shown positive growth in sales and profit, the decline in the dividend payout and reliance on non-operating income present areas of concern. Furthermore, the company saw an adjustment in its evaluation over the past three months.