Wanbury's Q2 financial report shows mixed results, with increased sales but concerns over debt and liquidity.

Wanbury, a microcap pharmaceutical company, recently announced its financial results for the quarter ending September 2024. The company's stock has been given a 'Sell' call by MarketsMOJO.

According to the financial report, Wanbury has seen a negative performance in the second quarter of the fiscal year 2024-2025. This trend has remained consistent for the past three months.

However, there are some positive aspects to the company's financials. The net sales for the quarter were the highest in the last five quarters, at Rs 161.19 crore. The near-term sales trend is also positive.

On the other hand, there are some areas of concern for Wanbury. The interest cost for the quarter has increased by 33.73% compared to the previous quarter, indicating increased borrowings. The profit after tax for the half-yearly period has also decreased by 24.81% compared to the same period last year.

The company's debt-equity ratio is at its highest in the last five half-yearly periods, indicating increased borrowing to fund its operations. This may lead to a stressed liquidity situation for the company. Additionally, the company's pace of settling its debtors has slowed down, with the debtors turnover ratio at its lowest in the last five half-yearly periods.

It is worth noting that Wanbury's non-operating income for the quarter was the highest in the last five quarters. However, this increase may not be sustainable as it comes from non-business activities.

Overall, Wanbury's financial performance for the quarter ending September 2024 has been negative, with some positive and negative trends to consider. Investors should carefully evaluate the company's financials before making any investment decisions.