Are Indo National Ltd latest results good or bad?

Indo National Ltd's latest financial results for Q3 FY26 reveal significant operational challenges. The company reported a net loss of ₹7.84 crores, which reflects a substantial decline compared to the previous quarter and the same quarter last year. Revenue for the quarter was ₹106.31 crores, marking a year-on-year decrease of 12.60%, indicating ongoing difficulties in maintaining sales levels amidst competitive pressures. The operating margin, excluding other income, was recorded at -6.42%, which, while an improvement from -9.18% in the same quarter last year, remains deeply negative. This suggests that the company is struggling to cover its basic operating expenses, raising concerns about its long-term viability in the manufacturing sector. Additionally, the company's reliance on other income to mitigate operational losses is unsustainable. The financial performance over the nine-month period shows cumulative sales of ₹345.35 crores with a consolidated net loss of ₹5.44 crores, contrasting unfavorably with the previous year's performance when the company managed a modest profit. Indo National's market capitalization stands at ₹280 crores, and it trades at a price-to-book value of 0.69x, reflecting market skepticism regarding its future prospects. The company has seen an adjustment in its evaluation, indicating a shift in how its financial health is perceived. Overall, the results highlight a troubling pattern of revenue decline, persistent operating losses, and structural issues that need addressing for any potential turnaround. The company faces a challenging outlook in a competitive FMCG landscape, necessitating strategic interventions to improve its operational performance and financial stability.