How has been the historical performance of TruCap Finance?
TruCap Finance has shown significant growth in net sales, increasing from 19.03 Cr in Mar'19 to 196.72 Cr in Mar'25, but has faced profitability challenges, with a negative profit after tax of -59.25 Cr in Mar'25 due to rising interest expenses and negative cash flow from operations.
Answer:The historical performance of TruCap Finance shows significant fluctuations in its financial metrics over the years, particularly in net sales, profits, and cash flow.Breakdown:
TruCap Finance's net sales have shown a consistent upward trend, increasing from 19.03 Cr in Mar'19 to 196.72 Cr in Mar'25. The total operating income followed a similar trajectory, reaching 196.72 Cr in Mar'25, up from 19.03 Cr in Mar'19. However, the company has faced challenges with its operating profit, which peaked at 99.37 Cr in Mar'24 but fell to 55.22 Cr in Mar'25. The interest expenses have surged from 5.18 Cr in Mar'19 to 98.69 Cr in Mar'25, contributing to a negative profit before tax of -71.16 Cr in Mar'25, compared to a profit of 11.42 Cr in Mar'24. Consequently, the profit after tax also turned negative, recording -59.25 Cr in Mar'25, down from 10.96 Cr in Mar'24. The company's total liabilities increased significantly, reaching 917.03 Cr in Mar'24, with total debt at 686.11 Cr. Cash flow from operating activities has been negative, with -211.00 Cr in Mar'24, although cash flow from financing activities was positive at 244.00 Cr. Overall, while TruCap Finance has experienced growth in sales, it has struggled with profitability and cash flow management in recent years.
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