Are Orient Cement latest results good or bad?

Orient Cement has reported its financial results for the quarter ending March 2025, which reflect a notable decline across several key performance metrics compared to the same period last year. The company's net sales amounted to Rs 825.19 crore, showing a year-on-year decrease of 7.08%. This downturn in sales is accompanied by a significant reduction in profitability, with the Profit Before Tax (PBT) recorded at Rs 60.22 crore, representing a decline of 41.25% year-on-year. Similarly, the Profit After Tax (PAT) fell to Rs 42.07 crore, marking a decrease of 38.3%.
In addition to these declines, the company's operating profit also experienced a downturn, with the Operating Profit (PBDIT) excluding other income decreasing by 30.44%. The Operating Profit Margin, excluding other income, was reported at 12.49%, reflecting a reduction of 4.19%. Furthermore, the Debtors Turnover Ratio has reached its lowest level in the last five half-year periods at 10.92 times, indicating a slowdown in the collection of receivables.

While Orient Cement did achieve its highest non-operating income in the last five quarters at Rs 7.65 crore, the reliance on this income from non-business activities raises questions regarding the sustainability of its financial performance. Overall, the results indicate a negative trend for the company, which has prompted an adjustment in its evaluation.