Marathon Nextgen Realty's Q2 FY24-25 financials show mixed results

Marathon Nextgen Realty, a smallcap company in the construction and real estate industry, has recently declared its financial results for the quarter ending September 2024. According to the report, the company's stock has been given a 'Sell' call by MarketsMOJO.

The financial performance of Marathon Nextgen for Q2 FY24-25 has remained flat, with a score of 0 compared to -2 in the previous quarter. However, there are some positive aspects to the company's financials. The debt-equity ratio has consistently decreased over the last five half-yearly periods, indicating a reduction in borrowing compared to equity capital. The profit after tax (PAT) for the quarter has also shown a growth of 20.2% compared to the average PAT of the previous four quarters. The company's cash and cash equivalents have also increased, improving its short-term liquidity. Additionally, Marathon Nextgen has been distributing higher dividends from its profits.

On the other hand, there are some areas of concern in the company's financials. The net sales for the quarter have decreased by 11.1% compared to the average net sales of the previous four quarters. The profit before tax (PBT) has also shown a decline of 15.9% compared to the average PBT of the previous four quarters. The operating profit (PBDIT) for the quarter is at its lowest in the last five quarters, and the operating profit margin has also decreased. The company's efficiency has deteriorated, and its pace of settling debtors has slowed. Moreover, the non-operating income for the quarter is 40.69% of the PBT, indicating a high income from non-business activities, which may not be sustainable.

Overall, Marathon Nextgen Realty's financial performance for the quarter ending September 2024 has been mixed, with some positive and negative aspects. Investors are advised to carefully consider these factors before making any investment decisions.