NTC Industries Reports Decline in Q3 Profits

NTC Industries, a microcap company in the cigarettes/tobacco industry, has recently declared its financial results for the quarter ended September 2023. The company's net sales for the quarter have seen a decline of 17.46% compared to the previous quarter, while the consolidated net profit has also decreased by 15.80%. The operating profit (PBDIT) excluding other income has also seen a decline of 23.24% in the same period.

Despite these negative financial results, MarketsMOJO has given a 'Hold' call for NTC Industries' stock. The company's interest expenses have increased by 33.33% in the quarter, but the operating profit margin (excluding other income) has fallen from the previous quarter.

However, there are some positive aspects to NTC Industries' financial performance in the quarter. The company's profit after tax (PAT) for the half year is higher than the preceding 12-month period, indicating a potential turnaround in the future.

On the other hand, the company's net sales for the quarter have fallen by 43.45% compared to the same period last year, and the profit before tax (PBT) has also seen a decline of 41.02%. The company's non-operating income, which is 55.72% of the PBT, is also a cause for concern as it may not be a sustainable business model.

Overall, NTC Industries has seen a negative financial performance in the quarter ended September 2023, but there are some positive signs for the company's future. Investors should carefully consider these factors before making any investment decisions.