Are Terai Tea Co Ltd latest results good or bad?

The latest financial results for Terai Tea Co Ltd for Q2 FY26 indicate significant operational challenges. The company reported a net loss of ₹2.92 crores, a stark contrast to the profit of ₹5.05 crores in the previous quarter (Q1 FY26). This represents a substantial setback, as the net profit has declined sharply both quarter-on-quarter and year-on-year. Revenue for the quarter was ₹15.32 crores, which reflects a 47.30% decline from the previous quarter's revenue of ₹29.07 crores and a 51.12% decrease compared to the same quarter last year. This marks the lowest quarterly revenue in the company's recent history, raising concerns about potential operational disruptions or market demand issues. The operating margin, excluding other income, fell to -15.47% from a positive 5.64% in Q1 FY26, highlighting severe operational inefficiencies. The company also experienced a notable decline in other income, which dropped to ₹0.19 crores, significantly impacting profitability and exposing underlying operational weaknesses. The financial performance indicates a critical need for operational stabilization and a return to positive margins. Given these results, the company saw an adjustment in its evaluation, reflecting the ongoing challenges it faces in maintaining profitability and revenue stability. Overall, the data suggests that Terai Tea Co Ltd is navigating a difficult period, with multiple factors contributing to its current financial distress.