Candour Techtex's Q2 FY25 Financial Report Shows Mixed Results, PAT Grows by 389.74%

Candour Techtex, a microcap company in the textile machinery industry, recently announced its financial results for the quarter ending September 2024. The company’s stock has been given a ‘Sell’ call by MarketsMOJO.

According to the financial report, Candour Techtex’s performance for the quarter was flat, with a score of 2 out of 14. However, there are some positive aspects to the company’s financials. The Profit After Tax (PAT) for the half-yearly period has shown a significant growth of 389.74% compared to the same period last year. This trend is expected to continue in the near future.

Moreover, the company’s PAT for the half-yearly period is higher than the previous 12 months, indicating a strong performance in the first half of the financial year. However, there are some areas of concern for Candour Techtex. The operating cash flow has been consistently falling over the last three years, with the latest figure being the lowest at Rs -3.39 crore. This indicates a decline in the company’s cash revenues from business operations.

Additionally, the net sales for the quarter have fallen by 16.7% compared to the average of the previous four quarters. The company’s net sales for the quarter are also the lowest in the last five quarters, showing a negative trend in the near term. Furthermore, the cash and cash equivalents for the half-yearly period are at their lowest in the last six periods, indicating a deterioration in short-term liquidity.

Overall, Candour Techtex’s financial performance for the quarter ending September 2024 has been mixed, with some positive and negative aspects. Investors should carefully consider these factors before making any investment decisions.