How has been the historical performance of Rathi Steel?

Answer:The historical performance of Rathi Steel shows a significant decline in financial metrics from March 2012 to March 2013, with net sales dropping from 936.66 Cr to 808.43 Cr. The total operating income followed a similar trend, decreasing to 808.43 Cr from 936.66 Cr. The company faced an increase in raw material costs, which fell slightly from 767.00 Cr to 739.47 Cr, while total expenditure rose from 851.56 Cr to 888.88 Cr. This led to an operating profit (PBDIT) decline from 86.25 Cr to a loss of 77.54 Cr. Consequently, profit before tax plummeted from 10.17 Cr to a loss of 155.67 Cr, resulting in a profit after tax loss of 110.05 Cr compared to a profit of 12.38 Cr the previous year. The earnings per share (EPS) reflected this downturn, falling from 3.95 to -35.15. The operating profit margin also deteriorated from 9.09% to -9.95%, and the profit after tax margin shifted from 1.32% to -13.61%.

In terms of balance sheet results, Rathi Steel's total liabilities increased to 192.51 Cr in March 2025 from 146.59 Cr in March 2024, while total assets rose to 192.51 Cr from 146.59 Cr. The company's shareholder's funds improved to 137.02 Cr in March 2025 from 123.07 Cr in March 2024, indicating a recovery from negative equity in previous years. Cash flow analysis reveals a cash flow from operating activities of -11.00 Cr in March 2025, down from 24.00 Cr in March 2024, while cash flow from financing activities turned positive at 32.00 Cr in March 2025, contrasting with previous negative figures. Overall, Rathi Steel's financial performance has shown volatility, with significant losses in recent years but some signs of recovery in shareholder funds and financing activities.

Breakdown:
Rathi Steel's financial performance has experienced a notable decline from March 2012 to March 2013, with net sales and total operating income decreasing significantly. The increase in raw material costs and total expenditure contributed to a drastic fall in operating profit, leading to substantial losses in profit before and after tax. The company's earnings per share also reflected this downturn, indicating a challenging financial environment. On the balance sheet, total liabilities and assets increased, while shareholder's funds showed improvement, suggesting a recovery from previous negative equity. The cash flow analysis indicates a negative cash flow from operating activities, although financing activities have turned positive, hinting at potential recovery efforts. Overall, Rathi Steel's historical performance illustrates a period of significant financial challenges with some emerging signs of recovery.