Abbott Pakistan reports nearly 20x surge in profitability, declares dividend

February 20, 2025 (MLN): Abbott Laboratories (Pakistan) Limited (PSX: ABOT) reported a remarkable surge in profitability for the year ended December 31, 2024, with net profit soaring by 1,900% to Rs5 billion from Rs262 million in 2023.

ABOT has also declared a final cash dividend of Rs10 per share, equivalent to 100% of the face value of the shares.

The earnings per share (EPS) soared to Rs53.46, compared to Rs2.67 in 2023.

This significant rise in earnings is attributed to strong sales growth and improved cost management, as reflected in the company’s latest financial statements.

The pharmaceutical giant posted net sales of Rs68.2bn, reflecting a 23% increase from the previous year’s Rs55.5bn.

The cost of sales rose by 11% to Rs48.4bn, resulting in a gross profit of Rs20bn, an impressive 67% increase from 2023.

This robust performance was driven by higher product demand and strategic pricing adjustments.

Despite an uptick in selling and distribution expenses, which increased by 15.7% to Rs9bn, and administrative expenses growing by 12.7% to Rs1.2bn, ABOT managed to significantly boost its bottom line.

Other charges declined by 48% to Rs838.4mn, and finance costs saw a 22% decrease to Rs23.6mn, further bolstering profitability.

The company’s profit before taxation surged to Rs9bn, a massive 342% rise from Rs2bn in 2023.

The income tax expense for the year stood at Rs4bn, a 113% increase from the previous year.

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