Maan Aluminium's Q1 FY25 Financial Results Show Negative Trends and Concerning Performance

Maan Aluminium, a microcap company in the aluminium industry, recently declared its financial results for the quarter ending March 2024 on August 13, 2024. According to MarketsMOJO, a leading financial analysis platform, the stock call for Maan Aluminium is currently ‘Strong Sell’.

The company’s financial performance for the quarter has been very negative, with a score of -24 compared to -15 in the previous quarter. However, there are some positive aspects to the financials, such as the Debtors Turnover Ratio, which has been the highest in the last five half yearly periods at 10.67 times. This indicates that the company has been able to settle its debtors faster.

On the other hand, there are several areas where Maan Aluminium’s financials have not been performing well. The net sales for the quarter were at Rs 176.78 crore, a decrease of -25.8% compared to the average net sales of the previous four quarters. This shows a very negative trend in the near term sales. Similarly, the Profit Before Tax less Other Income (PBT) and Profit After Tax (PAT) have also seen a significant decline of -66.1% and -58.6% respectively, compared to the average of the previous four quarters.

The company’s operating profit (PBDIT) has also been on a downward trend, with the lowest at Rs 4.96 crore in the last five quarters. The same can be seen for PBT and PAT, which have also been declining each quarter in the last five quarters. The operating profit margin for the quarter was at its lowest at 2.81%, indicating a deterioration in the company’s efficiency.

The earnings per share (EPS) for the quarter were at its lowest at Rs 0.63 in the last five quarters, showing a decline in profitability and lower earnings for shareholders. Additionally, the company’s cash and cash equivalents have also been on a downward trend, with the lowest at Rs 0.67 crore in the last six half yearly periods, indicating a deteriorating short-term liquidity.

Overall, Maan Aluminium’s financial results for the quarter ending March 2024 have been negative, with several areas of concern. Investors should carefully consider these factors before making any investment decisions.