Mcleod Russel India's Q2 results show positive growth and improved financial health.

Nov 14 2024 09:22 PM IST
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Mcleod Russel India, a microcap company in the tea/coffee industry, has shown a positive financial performance in the second quarter of FY24-25. The company's score has improved from -7 to 18, with a high Operating Profit to Interest ratio and significant growth in PBT, net sales, and PAT. The company's efficiency and earnings per share have also improved.
Mcleod Russel India, a microcap company in the tea/coffee industry, has recently announced its financial results for the quarter ending September 2024. The stock call by MarketsMOJO for the company is 'Sell'.

Despite the negative sentiment surrounding the company in the past, Mcleod Russel has shown a positive financial performance in the second quarter of FY24-25. In the last three months, the company's score has improved from -7 to 18.

One of the key factors contributing to this improvement is the company's ability to manage interest payments, with the Operating Profit to Interest ratio being the highest in the last five quarters at 3.24 times. This indicates that the company's financial health is improving.

The Profit Before Tax less Other Income (PBT) has also shown a significant growth of 63.54% year on year, with a positive trend in the near term. The company's net sales have also seen a positive trend, with the highest recorded in the last five quarters at Rs 452.62 crore. The growth in net sales is also reflected in the year on year growth of 23.71%.

Mcleod Russel's operating profit (PBDIT) has also been the highest in the last five quarters at Rs 157.88 crore, indicating a positive trend in the near term. The company's efficiency has also improved, with the Operating Profit Margin being the highest at 34.88%.

The Profit After Tax (PAT) has also shown a positive trend, with the highest recorded in the last five quarters at Rs 84.54 crore. The year on year growth of 38.3% in PAT further reinforces the positive trend in the near term. The company has also created higher earnings for its shareholders, with the Earnings per Share (EPS) being the highest at Rs 8.09 in the last five quarters.

Overall, Mcleod Russel India has shown a positive financial performance in the second quarter of FY24-25, with improving profitability and efficiency. Investors should keep an eye on the company's future performance to make informed decisions.
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