John Cockerill India's Q1 FY25 Financial Results Show Negative Trends and Concerning Factors

John Cockerill India, a smallcap company in the engineering and industrial equipment industry, recently announced its financial results for the quarter ending June 2024. According to MarketsMOJO, a leading financial analysis platform, the stock call for John Cockerill is ‘Sell’.

The company’s financial performance for the quarter has been very negative, with a score of -26 compared to -15 in the previous quarter. However, there are some positive aspects to note from the financials. John Cockerill has shown a strong dividend per share (DPS) of Rs 7.00 annually, which is the highest in the last five years. This indicates that the company is distributing higher dividends from its profits.

On the other hand, there are some concerning factors in the financials as well. The net sales for the quarter have fallen by -54.1% to Rs 93.29 crore, which is significantly lower than the average net sales of the previous four quarters at Rs 203.42 crore. This shows a very negative trend in near-term sales. Similarly, the profit before tax less other income (PBT) has also fallen by -126.4% to Rs -1.51 crore, indicating a very negative trend in near-term PBT.

The company’s operating cash flow for the year has also been the lowest in the last three years at Rs 22.75 crore, showing a decline in cash revenues from business operations. Additionally, the net sales and operating profit (PBDIT) for the quarter have also been the lowest in the last five quarters, with a negative trend in near-term sales and operating profit.

The operating profit margin for the quarter has also been the lowest at 0.62%, indicating a deterioration in the company’s efficiency. The PBT for the quarter has also been the lowest in the last five quarters at Rs -1.51 crore, showing a negative trend in near-term PBT. The earnings per share (EPS) for the quarter have also been the lowest at Rs -0.06, indicating a decline in profitability and lower earnings for shareholders.

Overall, the financial results for the quarter ending June 2024 for John Cockerill India have been negative, with some concerning factors to note. Investors should carefully consider these financials before making any investment decisions.