Are Mohit Paper Mill latest results good or bad?

Mohit Paper Mills has reported its financial results for the quarter ending March 2025, showcasing a mixed performance. The company achieved net sales of Rs 52.41 crore, which is the highest quarterly figure in the last five quarters, reflecting a growth of 20.9% compared to the average net sales of Rs 43.34 crore from the previous four quarters. Additionally, the operating profit (PBDIT) reached Rs 5.46 crore, indicating a positive trend in operational performance.
However, the company encountered significant challenges regarding profitability. The profit after tax (PAT) fell to Rs 0.22 crore, representing a decline of 87.3% compared to the average PAT of Rs 1.74 crore from the previous four quarters, highlighting a negative trend in near-term profitability. Interest expenses also rose to Rs 3.85 crore, an increase of 27.48% from the previous half-year period, suggesting a rise in borrowing costs. Furthermore, the earnings per share (EPS) decreased to Rs 0.16, marking the lowest level in five quarters, indicating reduced earnings for shareholders.

Overall, the company saw an adjustment in its evaluation, reflecting the complexities of its financial landscape. The quarterly results indicate a notable increase in sales and operating profit, yet the substantial decline in profitability metrics presents challenges that the company must address moving forward.