Sonapur Minerals & Oil Q4 Results: Revenue Rs. 2.62B, Net Profit Rs. 6.1M, EPS Turns Positive
Author
NepseTrading
Sonapur Minerals and Oil Limited (SONA) has published its audited financial results for the fourth quarter of fiscal year 2024/25. The report highlights exceptional revenue growth and a return to profitability after multiple quarters of heavy losses, signaling a possible turnaround.
The company’s total revenue in Q4 surged to Rs. 2.62 billion, up 60% year-on-year from Rs. 1.64 billion in the same quarter last year. Sequentially, revenue jumped by 49% compared to Q3, reflecting robust demand in the minerals and oil segment.
Gross profit rose sharply to Rs. 712.94 million from Rs. 87.92 million a year ago, with the gross margin expanding to 27.13% from just 5.36%. This significant improvement demonstrates better cost control and higher efficiency in operations.
On the profitability front, SONA posted a net income of Rs. 6.15 million in Q4, a stark turnaround from net losses of Rs. 75.93 million in Q3 and Rs. 469.29 million in Q4 of the previous year. The net profit margin stood at 0.23%, modest but positive compared to large negative margins in past quarters.
The company’s financial ratios reflect this recovery. EPS (annualized) improved to Rs. 0.20, up from -15.26 last year, while ROA and ROE also turned positive at 0.05% and 0.11%, respectively. However, the extremely high PE ratio of 2,320.49 suggests the stock remains highly speculative and overvalued relative to earnings.
From a balance sheet perspective, book value per share strengthened to Rs. 190.49 from Rs. 163.24 a year ago, while the market price per share closed at Rs. 464.11, reflecting steady investor confidence and moderate market valuations compared to earlier quarters.
Overall, Sonapur Minerals and Oil has delivered a solid rebound in revenue and profitability, showing clear progress in cost efficiency and operational performance. While profitability remains thin, the turnaround marks a critical shift for the company, though its high valuation metrics warrant cautious investor sentiment.
