Are Zee Learn latest results good or bad?

Zee Learn has reported its financial results for the quarter ending June 2025, showcasing a mixed performance. The company achieved net sales of Rs 108.37 crore, reflecting a year-on-year growth of 34.91%, which indicates a positive trend in sales compared to the previous year. Additionally, profit before tax (PBT) also demonstrated growth, increasing by 39.24% year-on-year to Rs 6.21 crore, suggesting favorable momentum in this area.
However, the results also reveal a decline in profit after tax (PAT), which fell by 21.2% year-on-year to Rs 2.87 crore, raising concerns about the company's overall profitability. Furthermore, interest expenses rose significantly to Rs 12.53 crore, marking a 25.17% quarter-on-quarter increase, the highest in the last five quarters. This increase in interest costs points to a rise in borrowings, which may affect the company's financial stability. Additionally, a notable portion of PBT, specifically 40.35%, was derived from non-operating income, indicating a reliance on non-business activities that may not contribute to sustainable growth.

Overall, while Zee Learn has shown strong sales and PBT growth, the decline in PAT and rising interest expenses present challenges that could impact its financial health. The company saw an adjustment in its evaluation following these results.