Hathway Cable's Q2 FY25 Financial Results Show Mixed Performance, Investors Should Analyze Carefully

Hathway Cable & Datacom, a smallcap company in the DTH/Cable industry, recently announced its financial results for the quarter ending September 2024. The stock call by MarketsMOJO for Hathway Cable is ‘Sell’.

According to the financials, Hathway Cable has shown positive performance in the quarter, with a score of 6 compared to 17 in the previous quarter. The company’s Profit Before Tax (PBT) less Other Income has grown by 252.82% year on year, indicating a very positive trend in the near term.

However, the company’s Profit After Tax (PAT) has fallen by -15.3% year on year, showing a negative trend in the near term. Additionally, the Operating Cash Flow for the company has been at its lowest in the last three years, with a negative value of Rs -409.59 Cr. This indicates a decline in the company’s cash revenues from business operations.

Furthermore, the Non Operating Income for Hathway Cable is 83.37% of its Profit Before Tax (PBT), which is a cause for concern as it shows a high reliance on non-business activities. The company’s Earnings per Share (EPS) for the quarter is also at its lowest in the last five quarters, indicating a decline in profitability and lower earnings for shareholders.

Overall, while Hathway Cable has shown positive performance in terms of PBT, there are some concerning factors such as declining PAT and low operating cash flow. Investors should carefully consider these financials before making any investment decisions.