Petro Carbon and Chemicals reports strong statutory profits, but a high accrual ratio suggests these gains are not backed by actual cash flow. The company experienced a significant free cash flow deficit of 571 million rupees despite reporting a profit of 257 million rupees. This gap between paper profits and cash on hand raises questions about the long term earnings power of the business. Investors are closely watching whether this cash burn indicates higher operational risks within the petroleum coke sector.
