Are Mangalam Global latest results good or bad?

Mangalam Global Enterprise has reported its financial results for the quarter ending June 2025, revealing a mixed performance. The company achieved net sales of Rs 858.54 crore, which represents a notable growth compared to the previous four-quarter average of Rs 570.37 crore. This marks the highest net sales recorded in the last five quarters, indicating a positive trend in sales performance.
Profit Before Tax (PBT) also showed an upward movement, reaching Rs 4.29 crore, which is a growth over the previous four-quarter average of Rs 3.08 crore. The Earnings per Share (EPS) stood at Rs 0.20, the highest in five quarters, suggesting improved profitability for shareholders.

However, the company encountered challenges as its Profit After Tax (PAT) for the latest six months declined by 36.94% year-on-year, indicating a negative trend in this area. Additionally, a significant portion of PBT, 49.35%, was derived from non-operating income, which raises concerns regarding the sustainability of its core business operations. The Dividend Payout Ratio (DPR) was notably low at 1.43%, reflecting a limited distribution of profits to shareholders.

In terms of quarterly results, the company experienced a QoQ growth in net sales of 59.96% compared to the previous quarter. Consolidated net profit also saw a QoQ growth of 23.89%. Operating profit, excluding other income, increased by 61.10%, while the operating profit margin remained relatively stable.

Overall, while Mangalam Global Enterprise has shown positive sales growth and profitability indicators in certain areas, it also faces significant challenges that may impact its long-term performance. The company saw an adjustment in its evaluation based on these results.