Kovilpatti Lakshmi Roller Flour Mills Reports Mixed Financial Results for Q2 2024

Kovilpatti Lakshmi Roller Flour Mills, a microcap company in the FMCG industry, recently announced its financial results for the quarter ending September 2024. The company's stock has been given a 'Strong Sell' call by MarketsMOJO.

According to the financials, Kovilpatti Lakshmi Roller Flour Mills has seen a negative performance in the second quarter of the fiscal year 2024-2025. However, there has been a slight improvement in the company's score, which has gone from -19 to -10 in the last three months.

One of the positive aspects of the company's financials is its high operating cash flow of Rs 16.61 crore annually, which is the highest in the last three years. This indicates that the company has generated higher cash revenues from its business operations.

On the other hand, there are some areas that are not working in favor of Kovilpatti Lakshmi Roller Flour Mills. The company's Profit Before Tax (PBT) has fallen by -343.3% compared to the average PBT of the previous four quarters. Similarly, the Profit After Tax (PAT) has also fallen by -159.1% compared to the average PAT of the previous four quarters. This indicates a very negative trend in the near term.

Another concerning factor is the company's interest cost, which has grown by 43.19% over the preceding nine months period. This signifies increased borrowings and may lead to a stressed liquidity situation for the company.

In the last five half-yearly periods, Kovilpatti Lakshmi Roller Flour Mills has maintained a high Debt-Equity Ratio of 1.66 times. This indicates that the company is borrowing more to fund its operations, which may put a strain on its liquidity.

Overall, the financial results for the quarter ending September 2024 show a mixed performance for Kovilpatti Lakshmi Roller Flour Mills. Investors should carefully consider these factors before making any investment decisions.