Sunshield Chemicals Announces Q3 Financial Results, Receives 'Hold' Rating from MarketsMOJO

Sunshield Chemicals, a microcap company in the chemicals industry, recently announced its financial results for the quarter ending September 2024. The results, declared on October 28, 2024, have received a 'Hold' call from MarketsMOJO.

The company's financial performance for the quarter has remained flat, with a score of 2 compared to 6 in the previous quarter. However, there are some positive aspects to note from the financials. Sunshield Chemicals has shown a strong operating cash flow of Rs 42.07 crore annually, the highest in the last three years. This indicates that the company has generated higher cash revenues from its business operations.

In terms of sales, the company has seen a positive trend with the highest quarterly net sales of Rs 92.91 crore in the last five quarters. This is a growth of 26.1% over the average net sales of the previous four quarters. However, there are some areas of concern as well. The company's operating profit to interest ratio has been the lowest in the last five quarters, indicating a deteriorating ability to manage interest payments. The interest cost has also increased by 12.25% quarter-on-quarter, suggesting increased borrowings.

Moreover, the company's profit before tax less other income has been the lowest in the last five quarters, and the earnings per share have also declined. This indicates a declining profitability and lower earnings for shareholders.

Overall, Sunshield Chemicals has shown a mixed performance in the quarter ending September 2024. Investors are advised to hold their positions and closely monitor the company's financials in the upcoming quarters.