Are Softtech Enginee latest results good or bad?

Softtech Engineers has reported its financial results for the quarter ending June 2025, showcasing notable operational trends. The company achieved net sales of Rs 27.01 crore, reflecting a year-on-year growth of 36.76%, which is a significant improvement compared to the previous year. The operating profit before depreciation, interest, and taxes (PBDIT) reached Rs 7.38 crore, marking the highest level in the last five quarters, while profit after tax (PAT) also peaked at Rs 0.95 crore, indicating a positive trend in profitability.
However, it is important to note that a substantial portion of the profit before tax, 61.40%, was derived from non-operating income. This reliance on income from non-business activities raises questions about the sustainability of the company's core operations. Additionally, the debt-equity ratio is relatively low at 0.25 times, suggesting a conservative approach to borrowing in relation to equity capital.

Overall, Softtech Engineers has seen an adjustment in its evaluation over the last three months, reflecting the operational changes and financial performance during this period.