Premier Explosives Reports Positive Financial Performance in Q1 FY25, Hold Position for Now

Premier Explosives, a smallcap company in the chemicals industry, has recently announced its financial results for the quarter ending June 2024. The company’s stock has been given a ‘Hold’ call by MarketsMOJO.

According to the financials, Premier Explosives has shown positive performance in the quarter, with a score of 9 compared to 29 in the previous 3 months. The company’s Profit After Tax (PAT) for the half-yearly period has grown by 31.99% year on year, indicating a positive trend in the near term. Similarly, the Net Sales for the quarter have also shown a growth of 33.75% year on year, with a positive trend in the near term.

On the other hand, the company’s interest cost has increased by 45.87% quarter on quarter, indicating a rise in borrowings. The Profit Before Tax less Other Income (PBT) for the quarter has also fallen by -14.71% year on year, with a negative trend in the near term. The company’s Earnings per Share (EPS) for the quarter is at its lowest in the last five quarters, indicating a decline in profitability and lower earnings for shareholders.

Despite these challenges, Premier Explosives has a strong cash position with Rs 29.24 crore in cash and cash equivalents, which is the highest in the last six half-yearly periods. This shows an improvement in short-term liquidity for the company.

Overall, Premier Explosives has shown positive financial performance in the quarter ending June 2024, with some areas of concern that need to be addressed. Investors are advised to hold their position in the company’s stock and keep an eye on its future performance.