Omax Autos Reports Strong Financial Performance in Q2 FY25

Omax Autos, a microcap auto ancillary company, has recently declared its financial results for the quarter ending September 2024. The company has shown positive performance in the second quarter of the fiscal year 2024-25, with a score of 15 out of 25, an improvement from the previous score of 14 in the last three months.

The company’s Profit After Tax (PAT) for the half-yearly period has grown by 198.63% year on year, with a positive trend. The PAT for the half-yearly period is also higher at Rs 4.60 crore compared to the preceding 12-month period ended September 2024, which was at Rs -2.52 crore. This shows a significant improvement in the company’s financials, with the half-yearly PAT already surpassing the previous 12-month period.

Omax Autos has also shown a high Operating Profit Margin of 9.10% in the last five quarters, indicating an improvement in the company’s efficiency. The Debt-Equity Ratio for the half-yearly period is also at its lowest in the last five periods, at 0.34 times. This shows that the company has been reducing its borrowing as compared to its equity capital.

In terms of dividends, Omax Autos has distributed the highest Dividend per Share (DPS) of Rs 1.00 in the last five years, and the Dividend Payout Ratio (DPR) is also at its highest in the last five years at 18.35%. This shows that the company is distributing a higher proportion of its profits as dividends to its shareholders.

However, there are some areas that are not working for Omax Autos based on its September 2024 financials. The Net Sales for the quarter have fallen by -14.6% compared to the average Net Sales of the previous four quarters. This indicates a negative trend in the company’s near-term sales. Additionally, the Non-Operating Income for the quarter is at 205.86% of the Profit Before Tax (PBT), which shows that the company’s income from non-business activities is high and may not be sustainable in the long run.

Overall, Omax Autos has shown positive financial performance in the second quarter of the fiscal year 2024-25, with improvements in key areas such as PAT, Operating Profit Margin, and Debt-Equity Ratio. However, there are also some concerns regarding the company’s sales and non-operating income. Investors should carefully consider these factors before making any investment decisions.