Coastal Corporation's Q1 2024 Financial Report Shows Mixed Results, Investors Urged to Analyze Carefully

Coastal Corporation, a microcap aquaculture company, has recently announced its financial results for the quarter ending March 2024. The company's stock has been given a 'Sell' call by MarketsMOJO.

According to the financial report, Coastal Corporation has seen a flat performance in the quarter, with a score of -1 compared to 6 in the previous quarter. However, there are some positive aspects to the company's financials.

The net sales for the quarter were at Rs 132.81 crore, the highest in the last five quarters. This shows a positive trend in the company's sales in the near term. Additionally, the net sales have grown by 32.04% year on year, indicating a positive trend in the company's sales.

On the other hand, there are some areas of concern in Coastal Corporation's financials. The profit before tax less other income (PBT) for the quarter has fallen by -36.87% year on year, and the interest cost has increased by 22.10% over the preceding nine months period. This suggests that the company's profitability may be affected by rising interest costs.

Furthermore, the profit after tax (PAT) for the quarter has also fallen by -7.0% year on year, and the non-operating income is 44.78% of the PBT. This indicates that the company's income from non-business activities is high, which may not be a sustainable business model.

Moreover, Coastal Corporation's debt-equity ratio is at its highest in the last five half-yearly periods, at 1.28 times. This suggests that the company may be borrowing more to fund its operations, which could lead to a stressed liquidity situation.

Overall, Coastal Corporation's financial performance for the quarter ending March 2024 has been mixed, with some positive and negative aspects. Investors are advised to carefully consider these factors before making any investment decisions.