Forbes & Company Faces Financial Challenges Amidst Mixed Performance Indicators

Forbes & Company, a microcap player in the Electronics & Appliances sector, has recently undergone a financial trend adjustment reflecting a flat performance for the quarter ending June 2025. The company's score has notably declined, indicating challenges in several key financial metrics.
On a positive note, the company reported a higher profit after tax (PAT) over the last six months, amounting to Rs 52.26 crore. However, the quarterly PAT has seen a significant drop, falling to Rs 4.86 crore, which represents a decline of 71.2% compared to the previous quarter's average. Other concerning indicators include a record low return on capital employed (ROCE) at -24.93%, net sales at Rs 22.45 crore, and a low operating profit margin of just 5.12%. Additionally, non-operating income constituted a substantial 85.42% of profit before tax, raising questions about the sustainability of earnings.

In terms of market performance, Forbes & Company has shown resilience over longer periods, with a remarkable 1,514.35% return over the past five years, significantly outperforming the Sensex. However, year-to-date returns are down by 8.07%, contrasting with the Sensex's positive performance. This juxtaposition highlights the company's fluctuating market position amidst broader economic trends.