Sheela Foam Limited shares were trading 1.72% lower at ₹810.55 on the NSE as of 10:19 am following a decline in Q2 FY25 margins and net income, despite a rise in revenue.
Key Financial Highlights
- Revenue Growth: Q2 revenue increased to ₹8,445 million, up from ₹6,375.7 million YoY, driven by higher sales.
- EBITDA and Margins: EBITDA increased by 4.5% YoY; however, margins contracted to 8.5% from 10.8% in the previous year, indicating increased cost pressures.
- Net Income: Dropped significantly to ₹98.1 million from ₹439.6 million YoY, impacting overall profitability.
- Earnings Per Share: Basic and diluted EPS from continuing operations fell to ₹0.9, compared to ₹4.48 a year ago.
The decline in margins and net income, along with lower EPS, has raised investor concerns about the company’s profitability and cost management, leading to the stock’s decline today.
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