Goodricke Group's Financial Results Show Decline in Q1 2024

Goodricke Group, a microcap company in the tea/coffee industry, recently announced its financial results for the quarter ending March 2024. The company's stock has been given a 'Strong Sell' rating by MarketsMOJO.

According to the financial report, Goodricke Group has seen a negative performance in the quarter, with a score of -17 compared to -8 in the previous quarter. This indicates a decline in the company's financial health.

One of the major factors contributing to this decline is the decrease in net sales, which fell by 34.4% to Rs 130.25 crore compared to the average net sales of the previous four quarters. This trend is expected to continue in the near term.

The company's profit before tax (PBT) has also taken a hit, falling by 369.7% to Rs -75.10 crore compared to the average PBT of the previous four quarters. Similarly, the profit after tax (PAT) has also seen a significant decline of 682.2% to Rs -75.83 crore.

Another concerning aspect is the increase in interest costs, which has grown by 27.70% in the last half-yearly period. This indicates that the company has taken on more borrowings, which could impact its financial stability.

The operating profit (PBDIT) for the quarter is at its lowest in the last five quarters, at Rs -67.45 crore. This trend is also reflected in the PBT, which is at its lowest in the last five quarters at Rs -75.10 crore. The declining profitability has resulted in a decrease in earnings per share (EPS) to Rs -35.11, creating lower earnings for shareholders.

Overall, the financial results for the quarter ending March 2024 have not been favorable for Goodricke Group. Investors should carefully consider these factors before making any investment decisions.