Subex Announces Mixed Financial Results for Q1 FY25, with Positive and Negative Trends

Subex, a smallcap IT software company, recently announced its financial results for the quarter ending June 2024. The company’s stock has been given a ‘Strong Sell’ call by MarketsMOJO.

According to the financials, Subex’s profit after tax (PAT) for the quarter was at its highest in the last five quarters, at Rs 0.00 crore. This shows a positive trend in the company’s near term profitability. Similarly, the earnings per share (EPS) for the quarter were also at their highest in the last five quarters, indicating an increase in profitability and higher earnings for shareholders.

However, there are some areas of concern for Subex. The profit before tax (PBT) less other income for the quarter has fallen by 21.5% compared to the average of the previous four quarters. This shows a very negative trend in the company’s near term PBT. Additionally, the net sales for the quarter have also fallen by 12.0% compared to the average of the previous four quarters, indicating a very negative trend in sales.

Furthermore, Subex’s operating cash flow for the last three years has been at its lowest, showing a decline in cash revenues from business operations. The company’s dividend payout ratio (DPR) for the last five years is also at its lowest, indicating that it is distributing a lower proportion of profits as dividends.

Overall, Subex’s financial performance for the quarter ending June 2024 has been flat, with some positive and negative trends. Investors should carefully consider these factors before making any investment decisions.