Kanpur Plastipack's Q3 financial report shows mixed results, with positive PAT and net sales growth.

Kanpur Plastipack, a microcap company in the packaging industry, recently announced its financial results for the quarter ending September 2024. The company's stock call has been declared as 'Sell' by MarketsMOJO.

According to the financial report, Kanpur Plastipack's performance for the quarter was flat, with a score of -2. However, there has been an improvement from the previous quarter's score of -15. The company's profit after tax (PAT) for the quarter was Rs 1.66 crore, showing a significant growth of 351.5% compared to the average PAT of the previous four quarters, which was Rs -0.66 crore. This indicates a positive trend in the near term for the company's PAT.

In terms of net sales, Kanpur Plastipack has shown a growth of 28.58% year on year, with a total of Rs 283.84 crore in the first half of the financial year. The company's operating profit (PBDIT) for the quarter was the highest in the last five quarters, at Rs 9.57 crore. This also shows a positive trend in the near term for the company's operating profit.

However, there are some areas that are not working in favor of Kanpur Plastipack. The interest cost for the nine-month period has increased by 60.42%, indicating a rise in borrowings. Additionally, the company's non-operating income for the quarter was 79.20% of the profit before tax (PBT), which suggests that the company's income from non-business activities is high and may not be sustainable in the long run.

Overall, Kanpur Plastipack's financial performance for the quarter has been mixed, with some positive and negative trends. Investors should carefully consider these factors before making any investment decisions.