Udayshivakumar Infra Reports Negative Financial Results for Q1 FY25

Udayshivakumar Infra, a microcap company in the capital goods industry, has recently announced its financial results for the quarter ending March 2024. The company’s stock has been given a ‘Hold’ call by MarketsMOJO.

According to the financial report, Udayshivakumar has seen a negative performance in the quarter, with a score of -6 compared to 27 in the previous quarter. This decline can be attributed to several factors.

One of the major concerns is the decrease in net sales, which has fallen by 61.6% to Rs 55.42 crore compared to the average net sales of the previous four quarters. This indicates a very negative trend in the company’s sales in the near term.

The profit before tax less other income (PBT) has also seen a significant decline of 70% to Rs 2.28 crore compared to the average PBT of the previous four quarters. This trend is also expected to continue in the near term.

The profit after tax (PAT) has also taken a hit, falling by 75.6% to Rs 1.83 crore compared to the average PAT of the previous four quarters. This decline in profitability is a major concern for the company.

Another worrying factor is the company’s ability to manage interest payments, with the operating profit to interest ratio being the lowest in the last five quarters. This signifies a deteriorating financial position for Udayshivakumar.

The company’s sales have also been on a downward trend, with the net sales being the lowest in the last five quarters. Additionally, the interest cost has increased by 11.92% compared to the previous quarter, indicating increased borrowings.

The operating profit and PBT have also seen a decline, with both being the lowest in the last five quarters. This trend is expected to continue in the near term.

Lastly, the earnings per share (EPS) have also taken a hit, being the lowest in the last five quarters. This decline in profitability is a cause for concern for shareholders.

Overall, Udayshivakumar Infra’s financial performance for the quarter ending March 2024 has been negative, with several factors contributing to this decline. Investors are advised to hold their stock and monitor the company’s performance in the near future.