How has been the historical performance of Gorani Industrie?

Answer:The historical performance of Gorani Industrie shows a gradual increase in net sales and operating income over the years, with net sales rising from 18.40 Cr in Mar'21 to 42.99 Cr in Mar'25. The total operating income followed a similar trend, reaching 42.99 Cr in Mar'25, compared to 28.76 Cr in Mar'22. However, the raw material costs peaked at 32.49 Cr in Mar'24 before declining to 31.27 Cr in Mar'25. Operating profit, excluding other income, fluctuated, peaking at 2.93 Cr in Mar'22 and dropping to 2.43 Cr in Mar'25. Profit before tax also saw a decline from 2.27 Cr in Mar'22 to 1.19 Cr in Mar'25, while profit after tax decreased from 1.66 Cr in Mar'22 to 0.86 Cr in Mar'25. The company's earnings per share (EPS) showed a downward trend, falling from 3.4 in Mar'22 to 1.6 in Mar'25. On the balance sheet, total liabilities increased from 11.89 Cr in Mar'19 to 28.02 Cr in Mar'24, while total assets remained relatively stable around 28 Cr in recent years. Cash flow from operating activities was negative in Mar'23 and Mar'24, indicating challenges in generating cash from operations.

Breakdown:
Gorani Industrie has demonstrated a consistent growth in net sales, which increased from 18.40 Cr in Mar'21 to 42.99 Cr in Mar'25, reflecting a strong upward trajectory in revenue generation. Operating income mirrored this growth, reaching 42.99 Cr in Mar'25. Despite this, the company faced rising raw material costs, which peaked at 32.49 Cr in Mar'24 before slightly decreasing. Operating profit showed variability, with a peak of 2.93 Cr in Mar'22, but fell to 2.43 Cr in Mar'25, indicating potential operational challenges. Profit before tax and profit after tax also declined during this period, suggesting a tightening profit margin. The EPS trend further illustrates this decline, dropping from 3.4 in Mar'22 to 1.6 in Mar'25. On the balance sheet, total liabilities increased significantly, reflecting a rise from 11.89 Cr in Mar'19 to 28.02 Cr in Mar'24, while total assets remained stable around 28 Cr, indicating a potential liquidity concern. The negative cash flow from operating activities in the last two years highlights difficulties in cash generation, which may impact future operational flexibility.