Arihant Foundations Reports Significant Profit Growth Amid Ongoing Financial Challenges

Arihant Foundations & Housing, a small-cap player in the realty sector, has recently undergone an adjustment in evaluation, reflecting the company's financial landscape. The firm reported very positive financial performance for the quarter ending March 2025, highlighted by a remarkable annual growth rate of 34.53% in net sales. Additionally, net profit surged significantly, showcasing a growth of 11,040%, which contributed to a strong performance over the last six consecutive quarters.
Key performance indicators reveal that the company's profit before tax, excluding other income, reached Rs 7.23 crore, marking a growth of 299.45%. The profit after tax for the same quarter stood at Rs 11.46 crore, with an impressive growth rate of 1,173.3%. The return on capital employed (ROCE) was noted at 12.79%, indicating a robust return relative to capital invested.

However, challenges remain, including a low average return on capital employed of 6.02% and a high debt-to-EBITDA ratio of 4.50 times, suggesting difficulties in servicing debt. Despite these hurdles, Arihant Foundations & Housing has generated substantial returns over the past year, outperforming the BSE500 index consistently over the last three annual periods.

Discover the Latest Mojo Score and Financial Trend Performance - SignUp in less than 2 Minutes and get FREE Premium Access.