Are Om Infra latest results good or bad?

Om Infra has reported its financial results for the quarter ending March 2025, highlighting a complex operational landscape. The company declared a Profit After Tax (PAT) of Rs 14.85 crore, which reflects a notable growth compared to the average PAT of Rs 6.04 crore over the previous four quarters. This PAT figure is the highest recorded in the last five quarters, suggesting a positive trend in profitability for the near term. Additionally, the Earnings per Share (EPS) reached Rs 1.54, also the highest in this timeframe, indicating improved earnings for shareholders.
However, the financial performance also presents several challenges. The Profit Before Tax (PBT) has shown a significant decline to Rs -24.33 crore, contrasting sharply with the previous four-quarter average of Rs 6.14 crore. Furthermore, net sales decreased by 17.8% to Rs 171.94 crore, compared to an average of Rs 209.11 crore in prior quarters. The operating profit margin has dropped to -9.47%, marking the lowest level in five quarters, which points to issues with operational efficiency. Additionally, rising interest costs, now at Rs 6.68 crore, indicate increased borrowings, further complicating the financial situation for Om Infra.

In light of these results, the company saw an adjustment in its evaluation, reflecting the mixed nature of its financial performance. Overall, while there are positive indicators in terms of PAT and EPS, the declines in PBT, net sales, and operating profit margin highlight significant operational challenges that need to be addressed.