Gateway Distriparks Reports Negative Financial Performance, Receives 'Sell' Rating from MarketsMOJO

Gateway Distriparks, a smallcap logistics company, has recently declared its financial results for the quarter ended March 2024. According to the latest report, the company has seen a negative financial performance with a score of -11, a significant decrease from 0 in the last 3 months.

One of the major factors contributing to this decline is the Profit Before Tax (PBT) less Other Income, which has fallen by -21.5% to Rs 49.49 crore compared to the average PBT of the previous four quarters, which was Rs 63.03 crore. This indicates a very negative trend in the near term for PBT.

Another concerning aspect is the company's ability to manage interest payments, as seen in the Operating Profit to Interest ratio, which is at its lowest in the last five quarters at 7.19 times. This suggests that the company's financial health is deteriorating.

The Profit After Tax (PAT) has also seen a decline of -17.9% to Rs 54.97 crore compared to the average PAT of the previous four quarters, which was Rs 66.93 crore. This further reinforces the negative trend in the near term for PAT.

The Operating Profit (PBDIT) has also hit its lowest in the last five quarters at Rs 83.23 crore, indicating a negative trend in the near term. The Operating Profit Margin has also decreased to its lowest at 22.20%, showing a decline in the company's efficiency.

Overall, the company's profitability has declined, as seen in the lowest PBT and EPS in the last five quarters. This suggests that Gateway Distriparks has created lower earnings for its shareholders. Based on these financial results, MarketsMOJO has given a 'Sell' call for the company's stock.