Are Sri Lak.Sar.Arni latest results good or bad?

Sri Lakshmi Saraswathi Textiles (Arni) has released its financial results for the quarter ending June 2025, which reflect a complex operational landscape. The company reported an operating profit (PBDIT) of Rs -2.06 crore, which is the highest in the last five quarters, and the operating profit margin reached its peak at -9.37%. This suggests a notable improvement in operational efficiency despite the negative profit figures.
However, the company faced challenges with net sales, which declined by 11.7% to Rs 21.98 crore, marking the lowest sales figure in the last five quarters. Additionally, the debtors turnover ratio fell to 50.79 times, indicating a slowdown in the pace of settling debts, which could impact liquidity.

Profit before tax (PBT) was reported at Rs -4.03 crore, and profit after tax (PAT) was Rs -3.77 crore, both of which are the highest figures in the last five quarters. Earnings per share (EPS) improved to Rs -11.32, reflecting a better performance in terms of losses compared to previous periods.

Overall, while there are some signs of operational improvement in terms of profit margins and profit figures, the decline in net sales and the challenges in debt collection present significant hurdles. Additionally, the company saw an adjustment in its evaluation over the past three months.