Greaves Cotton ‘s Latest Q2 Report: Profit Up by 96.17% Year-on-Year

The comprehensive analytics outlining the performance and outlook of Greaves Cotton Ltd.‘s stock. This analysis encompasses various metrics including stock performance, investor sentiment, market trends, future outlook, risk factors, investment opportunities, long-term strategy, dividend policy, analyst insights, and the overall risk-reward profile. These insights aim to provide investors with a holistic understanding of the company”s stock, enabling informed decision-making and strategic investment planning.

Today, we’re looking at Greaves Cotton Ltd.’s financial performance for the Q2(Sep 2024-25).Starting with the top line, the company reported a significant year-over-year sales decline of -2.94 %. However, it did see a marginal increase of 10.26 % from the previous quarter. Expenses ticked up slightly by 11.41 % quarter-on-quarter, aligning with the annual rise of 0.22 %. Operating profit, while down -49.83 % compared to last year, faced a quarter-on-quarter dip of -15.61 %, signaling a short-term contraction in margins.
The Operating Profit Margin (OPM) % contradicts this narrative, showing weakness on an annual basis with a decrease of -3.05 %, but a shrinkage of -1 % sequentially. Other income fell by -44.1 % compared to the last quarter, despite an annual growth of 102.6 %. Interest expenses surged remarkably by 45.24 % from the previous quarter, yet the year-over-year increase remains at a moderate 93.21 %. Depreciation costs climbed by 1.46 % quarter-on-quarter, whereas on an annual scale, they saw an increase of 38.02 %. Profit before tax grew annually by 100.53 % but saw a reduction from the preceding quarter by -88.14 %.
Tax expenses as a percentage of profits increased slightly by 901.72 % compared to last year, with a more notable quarter-on-quarter increase of 790.66 %. Net profit rose by 96.17 % year-on-year but witnessed a -8856.25 % contraction from the last quarter. And finally, Earnings Per Share (EPS) displayed an annual uptick of 98.3 % but a quarterly rise of 68.18 %. In summary, Greaves Cotton Ltd.’s annual performance indicates steady growth, although the quarter-on-quarter figures suggest some areas may require strategic attention.

In reviewing Greaves Cotton Ltd.’s 2024-25(Q2) financial snapshot, key trends emerge, shedding light on the company’s performance.Sales experienced a decrease of -2.94 % year-on-year, however, there was a minor increase of 10.26 % from the previous quarter. Expenses rose by 0.22 % compared to the previous year, with a 11.41 % increase quarter-on-quarter. Operating Profit dropped by -49.83 % annually, and saw a -15.61 % decrease from the last quarter.
Net Profit showed yearly increase of 96.17 %, and experienced a -8856.25 % decrease from the previous quarter. Earnings Per Share (EPS) rose by 98.3 % annually, however rose by 68.18 % compared to the last quarter. In essence, while Greaves Cotton Ltd. faces strong annual decline indicators, short-term fluctuations suggest the need for agile strategies to navigate market dynamics effectively. That’s all for now in the financial sector.