Samrat Forgings Reports Strong Financial Performance in Q2 2024 Despite 'Strong Sell' Call

Samrat Forgings, a microcap company in the castings and forgings industry, has recently announced its financial results for the quarter ending September 2024. The results, declared on November 14, 2024, have received a 'Strong Sell' call from MarketsMOJO.

Despite this, the company has shown positive financial performance in the second quarter of the fiscal year 2024-2025. In the last three months, the company's score has improved from -2 to 15.

Based on the September 2024 financials, there are several factors that are working in favor of Samrat Forgings. The company's Profit Before Tax less Other Income (PBT) for the quarter has grown by 190.4% to Rs 2.49 crore, compared to the average PBT of the previous four quarters which was Rs 0.86 crore. This indicates a very positive trend in the near term.

The company's ability to manage interest payments has also improved, with the Operating Profit to Interest ratio being the highest at 3.14 times in the last five quarters. Additionally, the company's Net Sales for the quarter were the highest at Rs 50.47 crore, showing a positive trend in the near term. The Net Sales have also grown by 23.5% over the average of the previous four quarters, which was Rs 40.88 crore.

Samrat Forgings has also shown a positive trend in its Operating Profit (PBDIT), with the highest figure of Rs 5.09 crore in the last five quarters. The company's efficiency has also improved, with the Operating Profit Margin being the highest at 10.09% in the last five quarters.

The company's Profit Before Tax less Other Income (PBT) and Profit After Tax (PAT) for the quarter were also the highest at Rs 2.49 crore and Rs 1.87 crore respectively, in the last five quarters. This indicates a positive trend in the near term. The Earnings per Share (EPS) for the quarter were also the highest at Rs 3.74, showing an increase in profitability and creating higher earnings for shareholders.

Overall, Samrat Forgings has shown a positive financial performance in the second quarter of the fiscal year 2024-2025, with several factors working in its favor. However, investors should take note of the 'Strong Sell' call by MarketsMOJO and make informed decisions.