Benares Hotels' Q2 FY25 Financials Show Resilience Amid Pandemic Impact

The hospitality industry has been hit hard by the ongoing pandemic, and Benares Hotels, a smallcap company in the hotel, resort, and restaurant industry, is no exception. The company recently declared its financial results for the quarter ending September 2024, which showed a flat performance. This has led to a decrease in its score from 9 to 5 in the last 3 months, according to MarketsMOJO.

However, there are some positive aspects to Benares Hotels’ financials. The company has shown a strong operating cash flow, with an annual revenue of Rs 40.55 crore and consistent growth over the past three years. Additionally, its Profit After Tax (PAT) for the nine-month period has grown by 21.66% year on year, indicating a positive trend in the near term. The company has also been distributing higher dividends to its shareholders, with the highest dividend per share (DPS) of Rs 25.00 in the last five years.

On the other hand, there are some areas of concern for Benares Hotels. Its net sales for the quarter have decreased by 5.52% year on year, indicating a negative trend in the near term. This can be attributed to the impact of the pandemic on the hospitality industry.

Overall, while Benares Hotels’ financial performance for the quarter ending September 2024 may not be as strong as desired, the company has shown resilience in its operating cash flow and profitability. Investors are advised to hold their stocks, as recommended by MarketsMOJO, and keep an eye on the company’s future financial results.