Are Sterling & Wils. latest results good or bad?

Sterling & Wilson Renewable Energy has reported its financial results for the quarter ending June 2025, showcasing a notable year-on-year growth in net sales, which reached Rs 4,280.74 crore, reflecting a growth of 104.52%. This indicates a strong market position within the construction industry. However, when comparing quarter-on-quarter results, there is a decline in net sales by 30.07% from the previous quarter, which may raise concerns regarding short-term performance.
Profit Before Tax (PBT) for the quarter was Rs 53.56 crore, representing a substantial increase of 74.3% compared to the average PBT of the last four quarters. Profit After Tax (PAT) also rose to Rs 31.97 crore, up 57.0% from the average PAT of the same period. These figures suggest a positive trend in profitability on a year-on-year basis.

The company has shown efficiency in managing its receivables, achieving a Debtors Turnover Ratio of 5.03 times, the highest in the last five half-year periods. However, it is important to note that interest expenses have risen to Rs 91.49 crore, reflecting a 27.80% increase over the preceding nine months, indicating higher borrowing costs.

Overall, while Sterling & Wilson Renewable Energy has demonstrated strong year-on-year growth in sales and profitability, the quarter-on-quarter results indicate a decline in both net sales and net profit. Additionally, the company saw an adjustment in its evaluation, reflecting the complexities of its operational performance during this period.