KMF Builders Shows Financial Turnaround Amid Long-Term Profitability Concerns

KMF Builders & Developers, operating in the realty sector, has recently undergone an evaluation adjustment that reflects notable shifts in its financial metrics. The company's financial performance for the quarter ending March 2025 has shown a significant turnaround, with the score moving from a previous negative position to a more favorable standing. Key indicators contributing to this adjustment include a remarkable Return on Capital Employed (ROCE) of 64.84%, alongside a positive Profit After Tax (PAT) of Rs 0.29 crore and Earnings Per Share (EPS) of Rs 0.24.
However, the company faces challenges in its long-term fundamentals, highlighted by a substantial decline in operating profits over the past five years, with a Compound Annual Growth Rate (CAGR) of -207.11%. Additionally, the EBIT to Interest ratio stands at -0.21, indicating difficulties in servicing debt obligations. Despite these concerns, KMF Builders has outperformed the broader market, achieving a return of 21.95% over the past year, significantly surpassing the BSE 500's performance.

The recent evaluation adjustment reflects these mixed signals, emphasizing the complexity of KMF Builders' current market position and financial health.

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