Moschip Technologies reports excellent financial results for the second quarter of FY25

Moschip Technologies, a smallcap IT software company, recently announced its financial results for the quarter ended September 2024. The company has shown excellent performance with a score of 33, which is a significant improvement from the previous score of 11 in the last three months.

One of the key highlights of the financial results is the growth in profit before tax (PBT) by 179.49% YoY to Rs 8.72 billion. Profit after tax (PAT) also registered a year-on-year growth of 168.0% and reached Rs 9.73 billion. This indicates a very positive trend for the company in the short term.

Moschip Tech. has also demonstrated strong operating cash flow with the highest annual revenue generated at Rs 25.05 Crore in the last three years. The company also witnessed significant growth in net sales, which rose 74.85% year-on-year to Rs 125.63 crore. This shows a positive trend for the company’s sales in the short term.

The company’s ability to manage interest payments has also improved, with its operating profit to interest ratio reaching 8.16, its highest level in the last five quarters. Additionally, the company was able to sell inventory faster, with the inventory turnover ratio reaching its highest level in the last five half-year periods at 278.55.

On the other hand, interest expenses increased by 19.14% quarter-on-quarter to reach Rs 1.93 billion, the highest level in the last five quarters. For the company, this means an increase in borrowing.

Overall, Moschip Technologies has demonstrated strong financial performance in the quarter ended September 2024, with positive trends in key areas such as PBT, PAT, net sales and operating profit. The company was also able to reduce its debt and improve its inventory turnover ratio. Based on these results, MarketsMOJO has issued a “Hold” rating on the company’s shares.