Negative trend continues for Ashnisha Industries as financial report reveals decline in sales and profits

Ashnisha Industries, a microcap company in the iron and steel industry, recently announced its financial results for the quarter ending March 2024. The company's stock has been given a "Strong Sell" call by MarketsMOJO.

According to the financial report, Ashnisha Industries has seen a negative performance in the quarter, with a decline in net sales of 39.73% compared to the same period last year. This trend has continued for the past three months.

The company's operating profit (PBDIT) for the quarter was at its lowest in the last five quarters, at Rs -0.90 crore. This indicates a negative trend in the company's near-term operating profit. Additionally, the operating profit margin for the quarter was also at its lowest in the last five quarters, showing a decline in the company's efficiency.

One concerning aspect of the financial report is the high non-operating income, which is 2,160% of the profit before tax (PBT). This suggests that the company's income from non-business activities is not sustainable in the long run.

The earnings per share (EPS) for the quarter were also at their lowest in the last five quarters, at Rs 0.00. This indicates a decline in profitability and lower earnings for shareholders.

Another red flag in the financial report is the company's debtors turnover ratio, which was at its lowest in the last five half-yearly periods. This shows that the company's pace of settling its debtors has slowed down.

Overall, the financial results for the quarter ending March 2024 do not paint a positive picture for Ashnisha Industries. Investors should carefully consider these factors before making any investment decisions.