Navkar Corporation's Q2 FY25 financials show flat performance, with concerns for long-term growth

Navkar Corporation, a smallcap logistics company, recently announced its financial results for the quarter ending September 2024. According to the latest report, the company’s performance has remained flat compared to the previous quarter, with a slight improvement in its overall score.

One of the positive aspects of Navkar Corporation’s financials is its net sales, which have shown a growth of 40.75% year on year, reaching Rs 133.12 crore. This is the highest net sales the company has achieved in the last five quarters, indicating a positive trend in the near term.

However, the company’s interest expenses have increased by 102.76% over the preceding nine months period, reaching Rs 16.91 crore. This suggests that the company has taken on more borrowings, which could impact its financials in the long run.

Moreover, Navkar Corporation’s profit before tax (PBT) has fallen by -233.46% year on year, reaching Rs -3.63 crore. This is a concerning trend in the near term. Similarly, its profit after tax (PAT) has also decreased by -151.2% year on year, reaching Rs -1.08 crore.

Based on these financials, MarketsMOJO has given a ‘Sell’ call for Navkar Corporation’s stock. However, it is important to note that this is not a recommendation, and investors should do their own research before making any investment decisions.