Are DDev Plastiks Industries Ltd latest results good or bad?

DDev Plastiks Industries Ltd's latest financial results for the quarter ended December 2025 reflect a mixed operational performance. The company reported net sales of ₹732.84 crores, which represents a sequential growth of 7.75% from the previous quarter. Year-on-year, this marks a healthy increase of 10.91%. However, net profit for the same period was ₹48.04 crores, showing a modest quarter-on-quarter growth of 1.97% and a year-on-year increase of 3.11%. Despite the positive revenue growth, the company's profitability metrics indicate some challenges. The operating margin improved to 10.32%, up from 9.39% in the previous quarter, but it has contracted from 10.65% in the same quarter last year. This suggests that while the company is managing to improve its operational efficiency sequentially, it is facing pressure on profitability when compared to the previous year. The PAT margin has also seen a decline, falling to 6.56% from 7.05% a year ago, indicating potential pricing pressures or increased input costs that the company has not fully managed to pass on to customers. Interest costs have risen, reflecting higher working capital requirements, although the company maintains a net cash position. Overall, while DDev Plastiks has demonstrated resilience in revenue generation, the contraction in margins and profitability metrics raises questions about the sustainability of its current operational performance. The company has experienced an adjustment in its evaluation, reflecting the mixed signals from its financial results. Investors may want to monitor the company's ability to restore margin expansion and maintain revenue growth in the coming quarters.