Are Sarda Energy latest results good or bad?

Sarda Energy & Minerals has reported its financial results for the quarter ending March 2025, highlighting both growth in key performance metrics and emerging financial pressures. The company's Profit After Tax (PAT) for the latest six months reached Rs 305.86 crore, reflecting a year-on-year growth of 43.20%. Additionally, the Profit Before Tax (PBT), excluding other income, was Rs 113.95 crore for the quarter, indicating a 45.18% increase compared to the previous year. Net sales also showed strong performance, totaling Rs 1,238.84 crore, which is a 39.31% rise year-on-year.
However, Sarda Energy is facing challenges, particularly with interest expenses, which have risen to Rs 134.23 crore, marking a 56.14% increase over the previous half-year period. This rise in interest expenses suggests higher borrowings, and the operating profit to interest ratio has dropped to its lowest level in five quarters at 3.86 times, indicating a decline in the company's ability to manage its interest payments effectively.

Overall, Sarda Energy's financial results reflect a mix of growth in sales and profits alongside emerging financial pressures. It is also noted that the company saw an adjustment in its evaluation during this reporting period.