Narbada Gems & Jewellery Reports Mixed Performance in Q2 FY24-25
Narbada Gems & Jewellery, a microcap company in the diamond and gold jewellery industry, reported a flat performance in the second quarter of FY24-25 with a score of -2. However, the company has shown a strong operating cash flow and generated higher cash revenues. On the downside, there was a significant decrease in PAT and net sales. MarketsMojo recommends holding the stock.
Narbada Gems & Jewellery, a microcap company in the diamond and gold jewellery industry, recently declared its financial results for the quarter ending September 2024. The stock call for the company by MarketsMOJO is 'Hold'.
According to the financial report, Narbada Gems has seen a flat performance in the second quarter of FY24-25, with a score of -2 compared to 0 in the previous quarter. However, there are some positive aspects to the company's financials. The company has shown a strong operating cash flow, with the highest annual amount of Rs 4.92 crore in the last three years. This indicates that the company has generated higher cash revenues from its business operations.
On the other hand, there are some areas of concern for Narbada Gems. The Profit After Tax (PAT) for the quarter was at Rs 0.07 crore, which is a significant decrease of 87.5% compared to the same quarter last year. The near-term trend for PAT is also negative. Similarly, the Net Sales for the quarter were at Rs 18.65 crore, showing a decline of 8.53% compared to the previous year. The near-term trend for sales is also negative.
Overall, Narbada Gems & Jewellery has shown a mixed performance in the recent quarter. While the company has a strong operating cash flow, there are some concerns regarding the decline in PAT and net sales. Investors are advised to hold their position in the company's stock, as suggested by MarketsMOJO.
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