Khadim India's Financial Performance Declines, Receives 'Strong Sell' Rating from MarketsMOJO

Khadim India, a microcap company in the consumer durables industry, recently announced its financial results for the quarter ending March 2024. However, the news is not positive for the company as it has seen a decline in its financial performance. MarketsMOJO has given a 'Strong Sell' call for the stock.

According to the financials, the company's score has fallen from -9 to -15 in the last three months. This is due to various factors that are not working in favor of Khadim India. For instance, the company's Profit After Tax (PAT) for the half-yearly period has decreased by 68.72% year on year. The net sales for the quarter have also been the lowest at Rs 143.64 crore and have been falling each quarter for the past five quarters. This indicates a negative trend in the company's sales.

Moreover, the company's ability to manage interest payments has deteriorated as the Operating Profit to Interest ratio has been the lowest in the last five quarters. The net sales for the quarter have also shown a negative growth of -9.78% year on year. The interest cost has also increased by 12.20% quarter on quarter, which suggests that the company has taken on more borrowings.

The company's Profit Before Tax (PBT) for the quarter has been the lowest in the last five quarters, and the non-operating income is 223.74% of the PBT. This indicates that the company's income from non-business activities is high, which is not a sustainable business model. The Earnings per Share (EPS) for the quarter have also been the lowest in the last five quarters, which shows a decline in profitability and lower earnings for shareholders.

In conclusion, Khadim India's financial performance for the quarter ending March 2024 has been negative, and the company's stock has been given a 'Strong Sell' call by MarketsMOJO. Investors should carefully consider these factors before making any investment decisions.