Are Dhanlaxmi Fabric latest results good or bad?

Dhanlaxmi Fabrics has reported its financial results for the quarter ending June 2025, which indicate significant challenges in its operational performance. The net sales for the latest six months amounted to Rs 6.31 crore, reflecting a year-on-year decline of 32.22%. This decline suggests difficulties in sustaining sales momentum within the garments and apparel industry.
In terms of profitability, the Profit After Tax (PAT) was recorded at Rs -0.41 crore, also showing a year-on-year decrease of 32.22%. This consistent downturn highlights ongoing struggles in achieving profitability for the company. Furthermore, the Earnings per Share (EPS) reached Rs -0.19, marking the lowest figure in the past five quarters, which underscores the company's challenges in generating earnings for its shareholders.

The quarterly results also reveal a quarter-on-quarter decline in net sales of 42.25% compared to the previous quarter, where there was a growth of 68.07%. The consolidated net profit showed a drastic quarter-on-quarter decline of 277.78%, contrasting with a positive growth of 200.00% in the prior quarter. Additionally, the operating profit margin (excluding other income) fell significantly, indicating further operational difficulties.

Overall, Dhanlaxmi Fabrics' financial performance has raised concerns, leading to an adjustment in its evaluation. The data reflects a challenging environment for the company as it navigates through these operational setbacks.