Are Nath Bio-Genes latest results good or bad?

Nath Bio-Genes (India) has reported its financial results for the quarter ending March 2025, which present a mixed picture of the company's performance. The company achieved net sales of Rs 51.97 crore, reflecting a year-on-year growth of 20.75%, which indicates a positive trend in revenue generation compared to the previous year. Additionally, the debtors turnover ratio improved to 4.10 times, suggesting enhanced efficiency in managing receivables.
However, there are significant concerns regarding profitability and operational efficiency. Profit Before Tax (PBT) fell to Rs -2.29 crore, marking a substantial decline year-on-year, while Profit After Tax (PAT) decreased to Rs 1.48 crore, down by 43.5%. The operating profit margin dropped to 0.79%, the lowest level in five quarters, indicating challenges in maintaining operational efficiency. Furthermore, interest expenses rose by 34.15%, reflecting increased borrowings, and non-operating income constituted a large portion of PBT, raising questions about the sustainability of the company's core business operations.

Overall, while Nath Bio-Genes has shown growth in sales, the decline in profitability and rising costs present challenges that the company will need to address moving forward. Additionally, the company saw an adjustment in its evaluation over the past three months.