Super Tannery's Q3 financial results show mixed performance, with some positive and negative trends.

Super Tannery, a microcap company in the leather industry, recently announced its financial results for the quarter ending September 2024. According to the report released on November 14, 2024, the company's stock has been given a 'Sell' call by MarketsMOJO.

The financial performance for the quarter was flat, with a score of -1 compared to 3 in the previous quarter. However, there are some positive aspects to the company's performance. The inventory turnover ratio for the half-yearly period was the highest at 4.68 times, and it has been growing consistently over the last five half-yearly periods. This indicates that the company has been able to sell its inventory at a faster rate.

The net sales for the quarter were also the highest in the last five quarters at Rs 78.12 crore, showing a positive trend in the near term. The net sales have grown at a rate of 27.2% over the average net sales of the previous four quarters, indicating a positive sales trend in the near future. The company's cash and cash equivalents for the half-yearly period were also at its highest at Rs 13.81 crore, showing an improvement in short-term liquidity.

However, there are some areas of concern for Super Tannery. The profit before tax less other income (PBT) for the quarter was at its lowest in the last five quarters, showing a negative trend in the near term. The same can be said for the profit after tax (PAT), which has also fallen by 46.4% over the average PAT of the previous four quarters. The interest cost for the nine-month period has also increased, indicating higher borrowings.

The company's operating profit margin for the quarter was at its lowest in the last five quarters, showing a deterioration in efficiency. The PBT for the quarter was also at its lowest in the last five quarters, indicating a negative trend in the near term. The earnings per share (EPS) for the quarter were also at its lowest in the last five quarters, showing a decline in profitability and lower earnings for shareholders.

Overall, Super Tannery's financial performance for the quarter ending September 2024 has been mixed, with some positive and negative aspects. Investors should carefully consider these factors before making any investment decisions.