Shreeji Translogistics Reports Negative Financial Performance in Recent Quarter

Shreeji Translogistics, a microcap logistics company, recently announced its financial results for the quarter ending September 2024. The stock has been given a 'Strong Sell' rating by MarketsMOJO.

According to the financials, the company has seen a very negative performance in the second quarter of the fiscal year 2024-25, with a score of -20, a decrease from -17 in the previous three months.

However, there are some positive aspects to the company's financials. The debt-equity ratio for the half-yearly period is at its lowest at 0.76 times and has been decreasing over the past five half-yearly periods. This shows that the company has been reducing its borrowing in comparison to its equity capital.

On the other hand, there are some concerning factors as well. The operating profit to interest ratio for the quarterly period is at its lowest at 1.41 times and has been decreasing over the past five quarters. This indicates that the company's ability to manage interest payments is deteriorating.

The profit before tax less other income (PBT) for the quarterly period has fallen by -123.30% year on year, and the near-term trend for PBT is very negative. Similarly, the profit after tax (PAT) for the nine-month period has also decreased by -73.00% year on year, with a very negative near-term trend.

The operating profit (PBDIT) for the quarterly period is at its lowest at Rs 1.42 crore and has been decreasing over the past five quarters. The operating profit margin for the quarterly period is also at its lowest at 2.33%, indicating a decline in the company's efficiency.

The company's operating cash flow for the past three years has been at its lowest at Rs 0.53 crore, showing a decrease in cash revenues from business operations. The net sales for the quarterly period have also decreased by -6.24% year on year, with a negative near-term trend.

Moreover, the non-operating income for the quarterly period is at 403.70% of the PBT, which is a cause for concern as it shows that the company's income from non-business activities is high, which is not a sustainable business model.

Lastly, the earnings per share (EPS) for the quarterly period are at its lowest at Rs 0.03, indicating a decline in profitability and lower earnings for shareholders.

Overall, Shreeji Translogistics has seen a negative financial performance in the recent quarter, with some concerning factors that need to be addressed. Investors should carefully consider these financials before making any investment decisions.