Varroc Engineering's Q1 FY25 Financial Results Show Decline, 'Sell' Call by MarketsMOJO.

Aug 07 2024 05:52 PM IST
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Varroc Engineering, a leading player in the auto ancillary industry, has reported a flat performance in the quarter ending June 2024. The company's stock has been given a 'Sell' call by MarketsMojo, with a decline in key financial indicators such as Profit Before Tax, Profit After Tax, and Operating Profit.

Varroc Engineering, a leading player in the auto ancillary industry, recently announced its financial results for the quarter ending June 2024. The company’s stock has been given a ‘Sell’ call by MarketsMOJO, indicating a decline in its performance.

According to the financials, Varroc Engineering has seen a flat performance in the quarter, with a score of -4 compared to 16 in the previous three months. This decline can be attributed to various factors, as highlighted by the financial data.


One of the major concerns is the Profit Before Tax less Other Income (PBT) which has fallen by 31.9% to Rs 52.44 crore, compared to the average PBT of the previous four quarters which was Rs 77.05 crore. This trend is expected to continue in the near term.


Similarly, the Profit After Tax (PAT) has also seen a significant decline of 76.2% to Rs 32.41 crore, compared to the average PAT of the previous four quarters which was Rs 135.92 crore. This indicates a negative trend in the near term for the company.


The Operating Profit (PBDIT) has also hit a low of Rs 174.01 crore in the last five quarters, showing a negative trend in the near term. The Operating Profit Margin has also decreased to 9.16%, the lowest in the last five quarters, indicating a deterioration in the company’s efficiency.


Overall, the financial results for the quarter ending June 2024 have not been favorable for Varroc Engineering. The company’s stock has been given a ‘Sell’ call by MarketsMOJO, and the financial data suggests a negative trend in the near term.


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