Atul Reports Strong Q3 FY24-25 Results Amid Declining Debtors Turnover Ratio

Atul, a midcap player in the chemicals industry, has recently released its financial results for the third quarter of FY24-25, showcasing a generally positive performance. The company's Profit After Tax (PAT) for the half-year reached Rs 245.55 crore, reflecting a notable year-on-year growth of 52.27%. This trend in PAT suggests a robust near-term outlook for Atul.
Sales figures also highlight Atul's achievements, with the company recording its highest quarterly net sales of Rs 1,416.83 crore, demonstrating consistent growth over the last five quarters. Furthermore, the Profit Before Tax (PBT), excluding other income, amounted to Rs 142.07 crore, indicating a 22.3% increase compared to the average PBT of the previous four quarters.

On the other hand, the company's Debtors Turnover Ratio has seen a decline to 4.67 times, marking the lowest level in the last five half-yearly periods. This shift may suggest a slowdown in the pace of settling its debtors, which could be an area of concern moving forward. Overall, while Atul has shown strong financial growth, the adjustment in evaluation regarding the Debtors Turnover Ratio may require further scrutiny.

Discover the Latest Mojo Score and Financial Trend Performance - SignUp in less than 2 Minutes and get FREE Premium Access.