Antony Waste Handling Cell Ltd. (NSE: AWHCL) reported its Q2 FY25 financial results, revealing a weak performance with a significant drop in profit. The company’s net income stood at ₹120.9 million, marking a 56% decline from ₹274.4 million in the same quarter last year. This substantial decrease in profitability has impacted investor sentiment, leading to a decline in share prices.
As of 9:17 am the shares were trading 9.36% lower at ₹718.25 on NSE
- Revenue: ₹2.27 billion, showing a modest growth of 1.0% YoY, but missing analyst expectations by 3.6%.
- Net Income: ₹120.9 million, a 56% decrease YoY from ₹274.4 million.
- Profit Margin: 5.3%, down from 12% in Q2 FY24, reflecting decreased efficiency.
- Earnings Per Share (EPS): ₹4.26, down from ₹9.77 in Q2 FY24, and below analyst expectations by 31%.
Market Outlook and Analyst Forecast
The earnings and revenue miss has raised concerns about the company’s short-term performance, especially in comparison to the broader commercial services industry in India, which is expected to grow at 13% annually. Despite the recent setbacks, analysts forecast that Antony Waste’s revenue will grow at an average of 7.5% per annum over the next three years.
Conclusion
Antony Waste’s Q2 results highlight the challenges the company faces in maintaining profitability amid growing operational costs. With revenue growth lagging behind industry averages, the company will need to address these challenges to regain investor confidence.
Disclaimer: The information provided is for informational purposes only and should not be considered financial or investment advice. Stock market investments are subject to market risks. Always conduct your own research or consult a financial advisor before making investment decisions.
