Are Global Surfaces latest results good or bad?

Global Surfaces has reported its financial results for the quarter ending June 2025, showcasing a mixed performance within the diversified consumer products sector. The company achieved net sales of Rs 74.50 crore, reflecting a notable growth of 43.5% compared to the average net sales of Rs 51.91 crore over the previous four quarters. This marks the highest quarterly sales in the last five quarters, indicating a positive trend in sales performance.
Operating profit also reached a peak of Rs 7.95 crore, the highest recorded in the past five quarters. Profit before tax (PBT) and profit after tax (PAT) showed improvements, with PBT at Rs -0.11 crore and PAT at Rs -0.43 crore, both representing the best figures in the last five quarters. Additionally, earnings per share (EPS) improved to Rs -0.10.

However, the company is facing challenges, particularly with a significant rise in interest costs, which surged by 68.62% to Rs 12.63 crore over the past nine months. The debt-equity ratio has reached 0.66 times, indicating increased borrowing, while the debtors turnover ratio has declined to 1.63 times, suggesting slower collection of receivables.

In terms of quarterly performance, the net sales showed a growth of 29.63% compared to the previous quarter, while the consolidated net profit exhibited a growth of 95.90%. Operating profit margin, however, experienced a change, reflecting a decrease of 3.36%.

Overall, the company saw an adjustment in its evaluation, reflecting the complexities of its operational environment amidst notable sales and profit trends.