White Organic Agro's Q3 Financials Show Decline

White Organic Agro, a microcap trading company, recently announced its financial results for the quarter ended September 2023. The company's net sales for the quarter showed a growth of 8.33% compared to the previous quarter, which had a decline of 43.53%. However, the standalone net profit for the quarter saw a decrease of 50.00% compared to the previous quarter's growth of 147.35%. The operating profit (PBDIT) excluding other income also showed a positive growth of 106.25% compared to the previous quarter's growth of 93.57%.

The company's interest expenses also saw a decrease of 25.93% compared to the previous quarter's decline of 68.60%. This has resulted in an improvement in the operating profit margin (excluding other income) for the quarter. However, overall, White Organic has seen a very negative financial performance for the quarter.

Despite this, there are some positive aspects to the company's financials. The profit after tax (PAT) for the half-yearly period is higher at Rs 2.01 crore compared to the preceding 12-month period ended September 2023 of Rs 1.24 crore. The company has also been able to settle its debtors faster, with the debtors turnover ratio at its highest in the last five half-yearly periods.

On the other hand, there are some areas that are not working for White Organic based on its September 2023 financials. The net sales for the quarter have fallen by 88.21% year on year, indicating a very negative sales trend in the near term. The profit before tax (PBT) less other income for the quarter has also seen a decline of 104.23% year on year, showing a negative trend in the near term. The PAT for the half-yearly period has also seen a decrease of 73.73% year on year. Additionally, the company's non-operating income is 120.00% of its PBT, which is not a sustainable business model.

Overall, White Organic's financial performance for the quarter ended September 2023 has been deemed as 'Strong Sell' by MarketsMOJO. The company's score has improved slightly from -27 to -22 in the last three months, but it still indicates a very negative performance. Investors should carefully consider these financials before making any investment decisions.