Fortis Malar Hospitals Reports Mixed Financial Results for Q2 2024

Fortis Malar Hospitals, a leading hospital and healthcare services provider in the microcap industry, recently announced its financial results for the quarter ending September 2024. The company's stock has been given a 'Strong Sell' rating by MarketsMOJO.

According to the financial report, Fortis Malar has seen a negative performance in the second quarter of the fiscal year 2024-2025, with a score of -9, which has improved from -16 in the last three months. However, there are some positive aspects to the company's financials.

The company's Profit After Tax (PAT) for the half-yearly period was higher at Rs 0.03 crore compared to the previous 12 months, which was at Rs -7.99 crore. This shows a significant improvement in the company's profitability. Additionally, the Profit Before Tax less Other Income (PBT) for the quarter was at its highest in the last five quarters, indicating a positive trend in the near future.

Fortis Malar has also been able to reduce its debt-equity ratio to 0.00 times in the last five half-yearly periods, showing a decrease in borrowing compared to equity capital. The company has also been distributing a higher proportion of its profits as dividends, with a Dividend Payout Ratio (DPR) of 175.88% in the last five years.

However, there are some areas where Fortis Malar needs to improve. The company's net sales for the nine-month period have decreased by -90.24% year on year, indicating a negative trend in sales. The Operating Cash Flow for the last three years has also been decreasing, with the lowest being at Rs -7.30 crore in the last fiscal year. This shows a decline in the company's cash revenues from business operations.

Moreover, the company's ability to manage interest payments has deteriorated, with the Operating Profit to Interest ratio being at its lowest in the last five quarters. Additionally, the Debtors Turnover Ratio for the last five half-yearly periods has been at its lowest, indicating a slowdown in the company's pace of settling its debtors.

Overall, Fortis Malar Hospitals has shown a mixed performance in its financials for the quarter ending September 2024. While there are some positive aspects, there are also areas that need improvement. Investors are advised to carefully consider these factors before making any investment decisions.