Data Patterns (India) Reports Mixed Financial Results for Q1 FY25

Data Patterns (India), a midcap IT software company, recently announced its financial results for the quarter ending June 2024. The company’s stock has been given a ‘Hold’ call by MarketsMOJO.

According to the financials, Data Patterns has seen a negative performance in the quarter, with a score of -7 compared to 14 in the previous three months. However, there are some positive aspects to the company’s performance. The operating cash flow for the year has been the highest in the last three years at Rs 139.38 crore, indicating a strong revenue generation from business operations.

On the other hand, there are some areas of concern for Data Patterns. The profit before tax (PBT) less other income for the quarter has fallen by -36.5% compared to the average PBT of the previous four quarters. This trend is expected to continue in the near term. Similarly, the profit after tax (PAT) for the quarter has also fallen by -27.8% compared to the average PAT of the previous four quarters. The net sales for the quarter have also seen a decline of -19.9% compared to the average net sales of the previous four quarters, indicating a negative sales trend in the near term.

The company’s ability to manage interest payments has also deteriorated, with the operating profit to interest ratio being the lowest in the last five quarters. Additionally, the interest cost has increased by 30.57% over the previous half-yearly period, indicating a rise in borrowings. On a positive note, the non-operating income for the quarter has been the highest in the last five quarters, but this may not be sustainable in the long run.

Overall, Data Patterns’ financial performance for the quarter ending June 2024 has been negative, with some areas of concern. Investors are advised to hold their stock and monitor the company’s performance in the coming quarters.