NGL Fine Chem Shows Stable Cash Flow Amid Ongoing Profitability Challenges

NGL Fine Chem, a microcap player in the Pharmaceuticals and Biotechnology sector, has recently undergone a financial trend adjustment, reflecting a more stable performance in its latest quarter ending September 2025. The company reported its highest operating cash flow at Rs 35.82 crore, alongside net sales reaching Rs 120.26 crore and a PBDIT of Rs 17.16 crore. Notably, the operating profit to net sales ratio stood at 14.27%, indicating effective cost management during this period.
However, challenges remain for NGL Fine Chem. The company's profit after tax for the nine-month period has seen a significant decline of 38.09%, and its return on capital employed is at a low of 8.00%. Additionally, the debtors turnover ratio is concerning, recorded at just 3.63 times, suggesting potential issues with receivables management.

In terms of market performance, NGL Fine Chem has faced difficulties compared to the Sensex. Over the past year, the stock has declined by 23.06%, while the Sensex has gained 8.74%. Despite a notable return over the last decade, the recent trends indicate a need for strategic adjustments to enhance overall performance and align more closely with market benchmarks.