SMC Global Securities reports positive financial performance
SMC Global Securities has reported a 25.04% growth in net sales and 31.96% growth in consolidated net profit for the quarter ended September 2023. The company's profit after tax has also seen a significant increase of 40.1% compared to the previous four quarters. However, the debt-equity ratio has been increasing, and the sustainability of non-operating income is uncertain.
SMC Global Securities, a smallcap finance and NBFC company, has recently declared its financial results for the quarter ended September 2023. The company's stock has been given a 'Hold' call by MarketsMOJO.
According to the quarterly analysis, SMC Global Securities has shown a positive financial performance in the quarter, with a growth of 25.04% in net sales and 31.96% in consolidated net profit compared to the previous quarter. However, there has been a slight decrease in operating profit margin (excluding other income) compared to the previous quarter.
The company's profit after tax (PAT) has also seen a significant growth of 40.1% compared to the average of the previous four quarters. The net sales for the quarter have also shown a positive trend, with a growth of 26.0% compared to the average of the previous four quarters.
On the other hand, SMC Global Securities' debt-equity ratio has been increasing each half year, which may indicate a stressed liquidity situation due to increased borrowing for operations. The company's non-operating income has also seen a significant increase, but it may not be sustainable in the long run.
Overall, SMC Global Securities has shown a positive financial performance in the quarter, with increasing profitability and sales. However, investors should keep an eye on the company's debt levels and non-operating income in the future.
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