Confidence Petroleum India's Q1 FY25 financials show negative performance, with some concerning factors.

Confidence Petroleum India, a smallcap company in the industrial gases and fuels industry, has recently declared its financial results for the quarter ending June 2024. The stock has been given a ‘Sell’ call by MarketsMOJO.

According to the financials, Confidence Petro has seen a very negative performance in the quarter, with a score of -22, which has improved from -23 in the last 3 months. However, there are some positive aspects to the company’s financials. The cash and cash equivalents for the half-yearly period are at their highest in the last six periods, indicating an improvement in short-term liquidity.

On the other hand, there are some concerning factors as well. The interest cost has grown by 86.82% over the preceding nine months period, indicating increased borrowings. The company’s PBT and PAT have also fallen significantly, with a negative trend in the near term. The operating profit to interest ratio is at its lowest in the last five quarters, indicating a deteriorating ability to manage interest payments.

Furthermore, the company’s debt-equity ratio is at its highest in the last five half-yearly periods, indicating increased borrowing to fund operations. The debtors turnover ratio is also at its lowest in the last five half-yearly periods, indicating a slower pace of settling debts.

Overall, Confidence Petroleum India’s financial performance for the quarter ending June 2024 has been negative, with some concerning factors that investors should keep in mind.