Confidence Petroleum India's Q4 financials show mixed performance, with highest operating profit but lowest PAT.

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

According to the financials, Confidence Petro has seen a very negative performance in the quarter, with a score of -21 compared to -12 in the previous quarter. However, there are some positive aspects to note. The company's operating profit (PBDIT) for the quarter was the highest in the last five quarters at Rs 110.39 crore, and the operating profit margin was also at its highest at 17.51%. This indicates an improvement in the company's efficiency.

On the other hand, there are some concerning factors as well. The profit before tax (PBT) less other income for the quarter was at Rs 17.82 crore, which is a significant decrease of 50.9% compared to the average PBT of the previous four quarters. The profit after tax (PAT) for the quarter was also at its lowest in the last five quarters at Rs 9.92 crore, showing a decline of 65.8% compared to the average PAT of the previous four quarters. The company's interest costs have also increased by 35.01% quarter on quarter, indicating increased borrowings. Additionally, the company's ability to manage interest payments has deteriorated, with the operating profit to interest ratio at its lowest in the last five quarters.

The net sales for the quarter were at Rs 630.54 crore, which is a decrease of 8.0% compared to the average net sales of the previous four quarters. The company's earnings per share (EPS) for the quarter were also at its lowest in the last five quarters at Rs 0.31, indicating a decline in profitability and lower earnings for shareholders.

Overall, the financial results for the quarter ending March 2024 show a mixed performance for Confidence Petroleum India. While there are some positive aspects, there are also some concerning factors that investors should consider before making any investment decisions.