Are Narmada Gelatine latest results good or bad?

Narmada Gelatines has reported its financial results for the quarter ending March 2025, showcasing a range of operational trends that reflect positive developments in its performance metrics. The company's net sales reached Rs 49.77 crore, marking the highest quarterly figure in the last five quarters, with a quarter-on-quarter growth of 3.64%. This growth in net sales is accompanied by an operating profit of Rs 7.48 crore, which corresponds to an operating profit margin of 15.03%, indicating enhanced operational efficiency.
Profit before tax (PBT) for the quarter stood at Rs 6.57 crore, reflecting a growth of 27.3% compared to the average of the previous four quarters. Similarly, profit after tax (PAT) reached Rs 5.36 crore, which is up by 26.0% from the prior average. The earnings per share (EPS) also reached a high of Rs 8.86, suggesting increased profitability for shareholders.

However, the company is facing challenges, particularly with a decline in cash and cash equivalents, which fell to Rs 0.19 crore. Additionally, there was a decrease in the debtors turnover ratio, now at 7.61 times, indicating slower debt collection processes.

Overall, while Narmada Gelatines has demonstrated significant improvements in key financial metrics, it is also encountering some operational challenges. The company saw an adjustment in its evaluation, reflecting the mixed nature of its financial performance.