MRPL's Q1 financials show negative performance, low debt-equity ratio, but concerns remain.

Mangalore Refinery & Petrochemicals Ltd. (MRPL), a largecap company in the oil exploration and refineries industry, recently announced its financial results for the quarter ending June 2024. The stock call by MarketsMOJO for MRPL is 'Hold'.

According to the financials, MRPL has seen a negative performance in the quarter, with a score of -17 compared to 6 in the previous quarter. However, there are some positive aspects to the company's financials. The debt-equity ratio for the half-yearly period is at its lowest in the last five periods, indicating that the company has been reducing its borrowing compared to equity capital.

On the other hand, there are some areas of concern for MRPL. The profit before tax (PBT) less other income for the quarter has fallen by 95.2% compared to the average of the previous four quarters. The same trend is seen in the profit after tax (PAT) for the quarter, which has fallen by 91.9% compared to the average of the previous four quarters. The company's ability to manage interest payments has also deteriorated, with the operating profit to interest ratio at its lowest in the last five quarters.

The operating profit (PBDIT) for the quarter is also at its lowest in the last five quarters, indicating a negative trend in the near term. The operating profit margin for the quarter is also at its lowest, showing a decline in the company's efficiency. The non-operating income for the quarter is 41.31% of the PBT, which is a cause for concern as it indicates a high income from non-business activities.

The earnings per share (EPS) for the quarter is also at its lowest in the last five quarters, showing a decline in profitability and lower earnings for shareholders. Overall, the financial performance of MRPL for the quarter ending June 2024 has been negative, with some areas of concern that need to be addressed by the company.