Kilitch Drugs' Q3 Financial Report Shows Decline in PBT, Net Sales and Operating Profit
Kilitch Drugs (India) has reported a flat performance in the quarter ending December 2023, with a significant decrease in profit before tax, net sales, and operating profit. The company's financial report also shows a decline in operating profit and profit before tax, along with concerns about debt and liquidity. Investors are advised to hold their stocks and monitor future reports closely.
Kilitch Drugs (India), a microcap pharmaceutical company, recently announced its financial results for the quarter ending December 2023. The company's stock has been given a 'Hold' call by MarketsMOJO.
According to the financial report, Kilitch Drugs has seen a flat performance in the quarter, with a score of -5 compared to 18 in the previous 3 months. This decline can be attributed to various factors, including a decrease in profit before tax (PBT), net sales, and operating profit.
The company's PBT for the quarter was at Rs -0.14 crore, which is a significant decrease of 103.5% compared to the average PBT of the previous four quarters. Similarly, the net sales for the quarter were at Rs 31.79 crore, a decrease of 17% compared to the average net sales of the previous four quarters.
Kilitch Drugs' operating profit to interest ratio was also at its lowest in the last five quarters, indicating a deteriorating ability to manage interest payments. The company's PAT for the quarter was at Rs 2.91 crore, a decrease of 17% compared to the average PAT of the previous four quarters.
The company's operating profit and profit before tax have also seen a decline in the quarter, with the former being at its lowest in the last five quarters. Additionally, the company's debt-equity ratio and debtors turnover ratio have also raised concerns, with the former being at its highest in the last five half-yearly periods.
Furthermore, Kilitch Drugs' non-operating income for the quarter was at its highest in the last five quarters, which may not be sustainable in the long run. This, along with the company's high debt-equity ratio, may indicate a stressed liquidity situation.
Overall, Kilitch Drugs' financial performance for the quarter ending December 2023 has been concerning, with various factors contributing to the decline. Investors are advised to hold their stocks and closely monitor the company's future financial reports.
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