Navin Fluorine International's Q1 FY25 Financial Results Show Mixed Performance, Receives 'Hold' Rating

Navin Fluorine International Limited, a midcap chemical company, recently announced its financial results for the quarter ending June 2024. The company’s stock has been given a ‘Hold’ call by MarketsMOJO.

According to the financials, Navin Fluorine International has seen a negative performance in the quarter, with a score of -10, which has improved from -21 in the last three months. However, there are some positive aspects to the company’s financials.

One of the strengths of Navin Fluorine International is its ability to manage interest payments, with an operating profit to interest ratio of 6.43 times, which is the highest in the last five quarters. The company has also generated a high operating cash flow of Rs 749.89 crore in the last three years, indicating strong revenue from its business operations. Additionally, the company has been distributing higher dividends to its shareholders, with a dividend per share (DPS) of Rs 15.00 in the last five years and a dividend payout ratio (DPR) of 31.60%.

However, there are some areas of concern for Navin Fluorine International. The profit before tax less other income (PBT) for the quarter has fallen by -21.00% year on year, and the profit after tax (PAT) has also declined by -16.8% year on year. The company’s debt-equity ratio has been consistently increasing in the last five half-yearly periods, reaching a high of 0.57 times, which may indicate a stressed liquidity situation. The earnings per share (EPS) for the quarter is also at its lowest in the last five quarters, showing a decline in profitability.

In conclusion, while Navin Fluorine International has some positive aspects to its financials, there are also some concerns that investors should be aware of. The company’s stock has been given a ‘Hold’ call by MarketsMOJO, and it will be interesting to see how the company performs in the coming quarters.