Are Enkei Wheels latest results good or bad?

Enkei Wheels India has reported financial results for the quarter ending March 2025 that indicate significant challenges for the company. The profit before tax (PBT) was recorded at Rs -7.35 crore, which reflects a notable decline compared to the average PBT of Rs 0.34 crore from the previous four quarters. This trend suggests ongoing operational difficulties.
The profit after tax (PAT) also experienced a substantial drop, reported at Rs -5.30 crore, indicating a decline from the average PAT of Rs 0.66 crore in prior quarters. The company faced rising interest costs, with interest expenses reaching Rs 5.08 crore, marking the highest level in the last five quarters and a quarter-on-quarter increase of 35.47%. This rise in interest expenses may raise concerns regarding the company's financial stability moving forward.

Earnings per share (EPS) fell to Rs -2.95, which is the lowest figure in five quarters, highlighting the company's declining profitability and the impact on shareholder earnings.

Despite a reported net sales growth of 16.79% compared to the previous quarter, the standalone net profit showed a decline of 78.45%. The operating profit margin also reflected minimal change, indicating that while sales may have increased, the overall profitability remains under pressure.

Overall, the financial performance of Enkei Wheels India for this quarter underscores significant operational challenges, and the company saw an adjustment in its evaluation based on these results.