S Chand & Company's Q2 FY25 financials show mixed results, with decline in performance

Based on the financial results for the quarter ending September 2024, S Chand & Company, a microcap printing and publishing company, has seen a decline in its financial performance. The company’s score has fallen from 2 to -6 in the last three months, according to MarketsMOJO’s stock call of ‘Strong Sell’.

However, there are some positive aspects to the company’s financials. S Chand & Company has generated the highest operating cash flow of Rs 121.09 crore in the last three years, indicating strong revenue from business operations. The company has also reduced its debt and has a low debt-equity ratio of 0.12 times. Additionally, S Chand & Company has been able to settle its debtors faster, with a high debtors turnover ratio of 5.32 times.

On the other hand, there are some concerning factors in the company’s financials. The profit after tax (PAT) for the quarter has fallen by 28.2% year on year, with a negative near-term trend. The company’s ability to manage interest payments has also deteriorated, with the lowest operating profit to interest ratio in the last five quarters. The net sales for the quarter have also decreased, with a negative near-term trend. The operating profit and margin have also declined, indicating a decrease in efficiency. The profit before tax (PBT) has also fallen by 7.52% year on year, with a negative near-term trend. The earnings per share (EPS) have also decreased, indicating lower profitability for shareholders. The company’s short-term liquidity has also deteriorated, with the lowest cash and cash equivalents in the last six half-yearly periods.

In conclusion, S Chand & Company’s financial results for the quarter ending September 2024 show a decline in performance, with some positive and negative aspects. Investors should carefully consider these factors before making any investment decisions.