Hindustan Organic Chemicals Reports Negative Performance in Q2 2024, Receives 'Strong Sell' Rating

Hindustan Organic Chemicals, a microcap company in the chemicals industry, has recently announced its financial results for the quarter ending September 2024. The results, declared on November 8, 2024, have received a 'Strong Sell' call from MarketsMOJO.

According to the financial report, Hindustan Organic Chemicals has seen a negative performance in the second quarter of the fiscal year 2024-2025. However, there has been a slight improvement in the company's score, which has gone from -19 to -14 in the last three months.

The company's operating cash flow has been consistently low, with the latest annual figure at Rs -65.70 crore. This is a concerning trend as the cash revenues from business operations have been falling each year for the past three years.

In terms of sales, Hindustan Organic Chemicals has reported a decline of -29.96% in the first half of the fiscal year compared to the same period last year. This indicates a negative trend in the company's near-term sales performance.

Similarly, the profit after tax (PAT) has also seen a decline of -29.96% in the first half of the fiscal year. This is a worrying trend for investors as it shows a negative trend in the company's near-term profitability.

One of the major concerns for Hindustan Organic Chemicals is the rising interest cost, which has increased by 13.08% in the last quarter. This signifies an increase in borrowings, which could have a negative impact on the company's financial health.

In conclusion, the recent financial results of Hindustan Organic Chemicals have not been favorable, with a 'Strong Sell' call from MarketsMOJO. The company's declining cash flow, sales, and profitability, along with rising interest costs, are areas of concern for investors.