Shares of Cantabil Retail India Ltd declined 3.86% to Rs 248.85 in Tuesday’s session, reversing recent momentum as investors reacted to muted quarterly performance indicators and rising finance costs.
While the company posted a healthy 25.34% growth in profit after tax (PAT) to Rs 43.93 crore for the nine-month period, the latest quarterly trend reflects flat performance and weakening financial strength metrics. Market sentiment was impacted by the firm’s rising interest expenses, which jumped 21.09% to Rs 31.06 crore. This has pushed the operating profit-to-interest coverage ratio down to 3.77x — its lowest level — signalling margin pressure and reduced cushion against borrowing costs.
The company’s financial score has also weakened over the past three months, pointing to broader challenges in efficiency and cost control. Despite resilience in overall profitability, the growing interest burden appears to have overshadowed near-term positives, leading to profit-booking and pressure on the stock.
As of 10:05 AM, Cantabil Retail traded in the range of Rs 246.90 – Rs 256.25, with a market cap of Rs 20.81 billion.
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