Natraj Proteins sees mixed results in Q3

Natraj Proteins, a microcap company in the refined oil and vanaspati industry, recently declared its financial results for the quarter ended September 2023. The company's stock has been given a 'Strong Sell' call by MarketsMOJO.

In the quarter-on-quarter analysis, the company's net sales saw a decline of 10.69% compared to the previous quarter, which had a decline of 18.87%. However, the standalone net profit showed a growth of 9.09% in the September quarter, as opposed to a significant decline of 2,381.48% in the June quarter. The operating profit (PBDIT) excluding other income also showed a positive growth of 12.04% in the September quarter, after a decline of 569.57% in the June quarter. The interest expenses also saw a growth of 16.18% in the September quarter, compared to a growth of 3.03% in the June quarter. The operating profit margin (excluding other income) has also improved in the September quarter compared to the June quarter.

However, despite these improvements, Natraj Proteins has seen a flat financial performance in the September quarter. The company's score has improved from -2 to 4 in the last three months.

According to the financials, there are some areas that are not working for Natraj Proteins. The company's operating cash flow has been consistently falling each year for the last three years, with the lowest being Rs 2.80 crore in the last year. In terms of quarterly net sales, there has been a decline of 10.4% compared to the average net sales of the previous four quarters. This indicates a negative trend in the company's sales in the near term.

In conclusion, while there have been some improvements in the financial performance of Natraj Proteins in the September quarter, there are still some areas that need attention. Investors should carefully consider these factors before making any investment decisions.