Lakshmi Machine Works announces second quarter results: profit drops 78.75% year-on-year

Lakshmi Machine Works Second Quarter Results Live: Lakshmi Machine Works announced its second quarter results on October 28, 2024, with both revenue and profits declining significantly. The company’s revenue fell by 41.76% year-on-year, and its profit fell by 78.75% year-on-year. This reflects the challenges faced by the company in the current market environment.

In contrast, Lakshmi Machinery Factory showed signs of recovery with revenue rising by 14.27% and profits by an impressive 121.96% compared to the previous quarter. This suggests that despite the year-over-year decline, there is still potential for a turnaround.

The company’s selling, general and administrative expenses increased by 8.97% month-on-month, but decreased by 5.37% year-on-year. Despite the increase in short-term expenses, this small decrease may hint at improved cost management efforts.

Operating income also showed mixed performance, with a month-on-month increase of 131.21%, but a year-on-year decrease of 96.34%. This sharp year-over-year decline raises concerns about the long-term sustainability of the company’s profitability.

Second quarter earnings per share (EPS) was $22.9, a sharp decrease of 78.75% year-on-year. Investors are likely to pay close attention to this metric, as it reflects a company’s profitability and directly impacts shareholder returns.

In terms of stock performance, Lakshmi Machine Works returned 1.41% last week and -2.17% over the past six months, but has returned 20.14% year-to-date (YTD). The mixed performance leaves investors with a mixed picture.

Currently, the market capitalization of Lakshmi Machinery Factory is $Rs 17,633.79 Crore, 52-week High $19,199.95 lowest price is $12,722.3. The range indicates a stock’s volatility, reflecting investor sentiment as performance metrics fluctuate.

Of the two analysts covering the company as of October 30, 2024, one has a “strong sell” rating and the other has a “hold” rating. The prospect of such a divergence could signal uncertainty about the company’s near-term performance and overall market positioning.

Lakshmi Machinery Factory Financial Status