Are Mukka Proteins latest results good or bad?

Mukka Proteins has reported its financial results for the quarter ending June 2025, which indicate significant challenges in its operational performance. The company's net sales for the quarter were Rs 170.77 crore, reflecting a notable decline compared to the average net sales of Rs 251.61 crore over the previous four quarters. This decline in net sales is accompanied by a substantial drop in Profit Before Tax (PBT), which recorded Rs -0.20 crore, a stark contrast to the average PBT of Rs 10.93 crore in prior quarters. Additionally, Profit After Tax (PAT) decreased to Rs 1.52 crore, down from an average of Rs 11.54 crore.
The financial data also highlights a rise in interest costs, with interest expenses increasing by 37.44% over the preceding nine months, suggesting higher borrowings. Notably, non-operating income comprised 108.47% of PBT, raising concerns about the sustainability of Mukka Proteins' business model. The Earnings per Share (EPS) reached a low of Rs 0.05, indicating a decline in profitability for shareholders.

In terms of quarterly performance, the company experienced a QoQ decline in net sales of 55.25% compared to the previous quarter, alongside a QoQ drop in consolidated net profit of 88.82%. Operating profit also reflected a decrease of 50.12%. These results collectively suggest that Mukka Proteins is facing significant operational headwinds.

Furthermore, the company saw an adjustment in its evaluation, reflecting the challenges highlighted in its financial performance.