Are Royale Manor latest results good or bad?

Royale Manor Hotels & Industries has reported its financial results for the quarter ending March 2025, highlighting several operational metrics. The company recorded its highest operating profit (PBDIT) in the last five quarters at Rs 1.97 crore, alongside a profit before tax (PBT) of Rs 1.43 crore, which also represents a peak in the same timeframe. Profit after tax (PAT) reached Rs 1.81 crore, and earnings per share (EPS) rose to Rs 0.91, indicating a positive trend in profitability for shareholders.
However, the company's net sales growth year-over-year was 7.16%, a decline compared to the previous year's growth of 13.31%. Similarly, standalone net profit growth was reported at 17.53%, down from 26.23% in the prior year. Additionally, a significant portion of the profit before tax, specifically 42.57%, was derived from non-operating income, suggesting a reliance on income sources outside of core business activities, which may pose challenges for sustainable growth.

It is also noted that the company experienced an adjustment in its evaluation over the last three months. Overall, while there are positive operational highlights, the reliance on non-operating income and the decline in sales growth may warrant further scrutiny.