NCL Research and Financial Services Reports Mixed Performance in Q2 2024

Nov 16 2024 05:07 PM IST
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NCL Research and Financial Services, a microcap finance company, reported a flat performance in the second quarter of fiscal year 2024-25. However, there was an improvement in the company's score and profitability, with a significant growth in profit after tax and earnings per share. The high non-operating income raises concerns about the sustainability of the company's business model. Investors are advised to carefully evaluate the company's financials before making any investment decisions.

NCL Research and Financial Services, a microcap finance company, recently announced its financial results for the quarter ending September 2024. The company's stock has been given a 'Strong Sell' rating by MarketsMOJO.

According to the financial report, NCL Res. & Finl. has shown a flat performance in the second quarter of the fiscal year 2024-25. However, there has been an improvement in the company's score, which has increased from -9 to 4 in the last three months.

The company's profit after tax (PAT) for the quarter was Rs 1.09 crore, which is a significant growth of 519.2% compared to the average PAT of the previous four quarters, which was Rs -0.26 crore. This shows a positive trend in the company's near-term profitability.

Moreover, the PAT for the quarter was the highest in the last five quarters, indicating a positive trend in the company's profitability. The earnings per share (EPS) for the quarter was also the highest in the last five quarters, at Rs 0.01. This shows that the company has been able to create higher earnings for its shareholders.

However, the non-operating income for the quarter was 71.14% of the profit before tax (PBT). This suggests that the company's income from non-business activities is high, which may not be a sustainable business model.

Overall, NCL Research and Financial Services has shown a mixed performance in the quarter ending September 2024. While there has been an improvement in the company's score and profitability, the high non-operating income raises some concerns. Investors are advised to carefully evaluate the company's financials before making any investment decisions.
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