Novartis India reports strong financial performance in Q4 2023, with significant growth in PBT and PAT

Novartis India, a smallcap pharmaceutical company, has recently announced its financial results for the quarter ended December 2023. The company has shown a positive performance with a score of 14, a significant improvement from -8 in the last 3 months.

One of the key highlights of the financials is the growth in Profit Before Tax less Other Income (PBT) which has increased by 229.08% year on year. The company's Profit After Tax (PAT) has also seen a growth of 249.1% year on year. This indicates a strong financial performance in the near term.

Novartis India has also shown improvement in its Operating Profit Margin, which is currently at its highest at 23.39%. This shows an increase in the company's efficiency. The company's Operating Profit (PBDIT) has also seen a positive trend in the last five quarters.

On the other hand, the company's Non Operating Income is 53.16% of its Profit Before Tax (PBT), which may not be a sustainable business model. The company's Cash and Cash Equivalents have also decreased in the last six half yearly periods, indicating a deteriorating short term liquidity. Additionally, the company's pace of settling its Debtors has slowed, with the Debtors Turnover Ratio at its lowest in the last five half yearly periods.

Overall, Novartis India has shown a positive financial performance in the quarter ended December 2023. However, investors should keep an eye on the company's Non Operating Income and Cash and Cash Equivalents in the future. MarketsMOJO has given a 'Hold' call for the company's stock.