Microcap company Metroglobal reports positive financial results for Q2 2024

Metroglobal, a microcap company in the paper and paper products industry, has recently announced its financial results for the quarter ending September 2024. The company's stock has been given a 'Hold' call by MarketsMOJO.

According to the financial report, Metroglobal has shown positive performance in the second quarter of the fiscal year 2024-2025. The company's score has improved from 20 to 16 in the last three months.

One of the key factors contributing to this positive performance is the company's operating cash flow, which has been consistently growing over the past three years. In the last fiscal year, Metroglobal generated the highest operating cash flow of Rs 24.71 crore. Additionally, the company's profit after tax (PAT) for the quarter has also shown a significant growth of 79.5% year on year.

Furthermore, Metroglobal's net sales for the first half of the fiscal year have also increased by 28.39% compared to the same period last year. This indicates a positive trend in the company's sales performance.

However, there are some areas that need improvement for Metroglobal. The company's non-operating income for the quarter is 52.21% of its profit before tax, which suggests a high reliance on non-business activities. Additionally, the company's cash and cash equivalents have decreased to Rs 2.53 crore in the last six half-yearly periods, indicating a deteriorating short-term liquidity.

Overall, Metroglobal has shown a positive financial performance in the recent quarter, but there are some areas that need attention for sustainable growth. Investors are advised to hold their stock in the company for now, as suggested by MarketsMOJO.