Are Salora International Ltd latest results good or bad?

Salora International Ltd's latest financial results reveal a complex situation characterized by significant operational challenges and recent fluctuations in performance metrics. For the financial year ending March 2019, the company reported net sales of ₹175.00 crores, which reflects a year-on-year growth of 37.80% compared to ₹127.00 crores in FY18. However, this revenue growth did not translate into profitability, as the company recorded a net loss of ₹5.00 crores, although this was an improvement from a loss of ₹10.00 crores in the previous year. The operating profit margin, while still low, showed some recovery to 3.40% in FY19 from a negative margin of -3.90% in FY18. Conversely, the profit after tax margin remained negative at -2.90%, indicating ongoing difficulties in converting revenue into profit. The company's return on equity (ROE) was reported at 0.00%, highlighting a lack of returns for shareholders, and the return on capital employed (ROCE) was negative, suggesting value destruction on operational assets. In the most recent quarterly results for December 2025, Salora International demonstrated a notable quarter-on-quarter growth in net sales of 169.51%, recovering from a steep decline of -77.75% in the previous quarter. The standalone net profit also showed a positive change, with a growth of 35.53% compared to a significant loss in the prior quarter. However, the operating profit margin remained negative, indicating that while sales are recovering, the company still faces challenges in achieving profitability. Overall, the company has seen an adjustment in its evaluation, reflecting the ongoing operational difficulties and the need for strategic interventions to address its fundamental challenges. The financial data indicates a mixed picture, with some signs of recovery in sales but persistent issues with profitability and capital efficiency.