Epack Durable's Q3 Financial Results Show Mixed Performance, Receives 'Sell' Rating from MarketsMOJO

Nov 14 2024 09:53 AM IST
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Epack Durable, a smallcap company in the air conditioner industry, reported flat financial results for the quarter ending September 2024. While the operating cash flow has shown growth in the last three years, the PBT and PAT have decreased significantly. The company's stock has been given a 'Sell' call, and investors should carefully consider the negative trends before investing.

Epack Durable, a smallcap company in the air conditioner 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 financials, Epack Durable's performance for the quarter has been flat, with a score of -1 compared to 13 in the previous quarter. However, there are some positive aspects to the company's financials. The operating cash flow for the year has been the highest at Rs 256.98 crore and has shown growth in the last three years. This indicates that the company has generated higher cash revenues from its business operations.

On the other hand, there are some areas of concern for Epack Durable. The profit before tax less other income (PBT) for the quarter has fallen to Rs -16.44 crore, a decrease of -219.6% compared to the average PBT of the previous four quarters. This shows a very negative trend in the near term. Similarly, the profit after tax (PAT) for the quarter has also fallen to Rs -8.49 crore, a decrease of -167.9% compared to the average PAT of the previous four quarters. The net sales for the quarter have also fallen by -14.1% compared to the average net sales of the previous four quarters, indicating a negative trend in the near term.

Another concerning aspect is the company's operating profit to interest ratio, which is at its lowest in the last five quarters. This shows a deterioration in the company's ability to manage interest payments. Additionally, the interest cost has increased by 31.81% compared to the previous half-yearly period, indicating increased borrowings.

In conclusion, Epack Durable's financial performance for the quarter has been flat with some positive and negative aspects. The company's stock has been given a 'Sell' call by MarketsMOJO, and the near term trend for PBT and PAT is negative. Investors should carefully consider these factors before making any investment decisions.
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