Sanghvi Movers' Q1 Financial Results Show Mixed Performance, Investors Advised to Hold

Sanghvi Movers, a smallcap engineering company, recently declared 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, Sanghvi Movers has seen a flat performance in the quarter, with a score of -1 compared to 16 in the previous 3 months. However, there are some positive aspects to the company's performance. The net sales for the nine-month period have grown by 22.18% year on year, indicating a positive sales trend. The profit after tax for the same period has also shown a growth of 35.49%, with a positive trend in the near term. The company has also been able to settle its debtors faster, with a debtors turnover ratio of 5.23 times in the last five half-yearly periods.

On the other hand, there are some areas where Sanghvi Movers needs to improve. The profit before tax less other income for the quarter has fallen by -28.60% year on year, with a negative trend in the near term. The company's ability to manage interest payments has also deteriorated, with the operating profit to interest ratio being the lowest in the last five quarters. The operating profit and margin for the quarter have also shown a negative trend, with the non-operating income being 35.83% of the profit before tax. This indicates that the company's income from non-business activities is high, which may not be a sustainable business model.

Overall, Sanghvi Movers has shown a mixed performance in the quarter ending June 2024. While there are some positive aspects to the company's financials, there are also areas that need improvement. Investors are advised to hold their position and monitor the company's performance in the coming quarters.