VRL Logistics' Q2 financials show strong growth and profitability despite 'Sell' rating.

VRL Logistics, a smallcap logistics company, has recently declared its financial results for the quarter ending September 2024. The stock call for the company by MarketsMOJO is 'Sell'.

Despite this, VRL Logistics has shown a very positive financial performance in the second quarter of the fiscal year 2024-2025. The company's score has improved from -1 to 21 in the last three months.

According to the September 2024 financials, there are several factors contributing to VRL Logistics' success. The company's Profit Before Tax less Other Income (PBT) for the quarter has grown by 184.9% to Rs 46.80 crore, compared to the average PBT of the previous four quarters which was Rs 16.43 crore. This shows a very positive trend in the near term for PBT. Similarly, the Profit After Tax (PAT) for the quarter has also shown a growth of 109.6% to Rs 35.82 crore, compared to the average PAT of the previous four quarters which was Rs 17.09 crore. This indicates a very positive trend in the near term for PAT.

VRL Logistics has also shown a strong ability to manage interest payments, with the Operating Profit to Interest ratio being the highest in the last five quarters at 5.93 times. Additionally, the company has generated a higher cash flow from business operations, with the Operating Cash Flow being the highest at Rs 423.92 crore in the last three years.

The company's net sales for the quarter have also shown a positive trend, being the highest at Rs 799.48 crore in the last five quarters. Similarly, the Operating Profit (PBDIT) for the quarter has also shown a positive trend, being the highest at Rs 133.03 crore in the last five quarters. This indicates a positive trend in the near term for Operating Profit.

VRL Logistics has also shown an improvement in efficiency, with the Operating Profit Margin being the highest at 16.64% in the last five quarters. This shows that the company is able to generate higher profits with its current operations.

Overall, VRL Logistics has shown a positive trend in its financial performance for the quarter ending September 2024. The company's profitability has increased, with the Earnings per Share (EPS) being the highest at Rs 4.10 in the last five quarters. This indicates that the company has created higher earnings for its shareholders.