Huhtamaki India's Q2 FY25 financial results show significant decline in key indicators.

Huhtamaki India, a smallcap company in the packaging industry, has recently declared its financial results for the quarter ending September 2024. According to the latest report, the company has seen a negative financial performance with a score of -16, a significant drop from -5 in the last three months.

The company’s profit before tax (PBT) has fallen by 96.1% to Rs 1.07 crore, compared to the average PBT of the previous four quarters which was Rs 27.37 crore. This indicates a very negative trend in the near term. Similarly, the profit after tax (PAT) has also fallen by 61.3% to Rs 10.58 crore, compared to the average PAT of the previous four quarters which was Rs 27.35 crore.

The operating profit (PBDIT) for the quarter is at its lowest in the last five quarters, standing at Rs 18.08 crore. This shows a negative trend in the near term. The operating profit margin has also hit its lowest at 2.77% in the last five quarters, indicating a deterioration in the company’s efficiency.

Moreover, the non-operating income for the quarter is 92.53% of the PBT, which means that the company’s income from non-business activities is high. This may not be a sustainable business model in the long run. The earnings per share (EPS) for the quarter is also at its lowest in the last five quarters, standing at Rs 1.55. This shows a declining profitability and lower earnings for shareholders.

On the other hand, the non-operating income for the quarter is at its highest in the last five quarters, standing at Rs 13.25 crore. This may not be a sustainable trend and could potentially affect the company’s overall financial performance.

In conclusion, Huhtamaki India’s financial results for the quarter ending September 2024 have been declared as negative, with a decline in various key financial indicators. Investors should take note of these results and make informed decisions while investing in the company’s stock.