October 12, 2018 (MLN): Attock Refinery Limited (ATRL) has experienced a loss of Rs.209.3 million during the first quarter of current fiscal year, due to inflated cost of sales.
The company’s Board of Directors, in a meeting which took place yesterday, have estimated that despite remarkable improvements in net sales which went up by 62% or Rs.17 billion, higher costs of sales have not only dragged down last year’s gross profits but have turned them into a loss of around Rs.622 million.
Although the companies’ non-core income hiked and the share in profit of associated companies increased as well, the losses couldn’t be recovered in the wake of increased overall expenses and finance cost.
Relief from tax reversals for the company was also insufficient to prevent last year’s first quarter’s profits from turning into losses during the quarter under review.
Apart from this, the company reported its total basic and diluted losses per share at Rs.1.97 per share, of which losses of Rs.6.82 per share were recorded for refinery operations while earnings of Rs.4.85 per share were recorded for non-refinery operations.
| Consolidate profit and loss account for the quarter ended September 30th 2018 ('000 Rupees) | |||
|---|---|---|---|
| Sep-18 | Sep-17 | % Change | |
| Gross sales | 57,891,400 | 39,598,519 | 46.20% |
| Taxes, duties, levies and price differential | (13,433,842) | (12,198,346) | 10.13% |
| Net sales | 44,457,558 | 27,400,173 | 62.25% |
| Cost of sales | (45,079,834) | (26,118,164) | 72.60% |
| Gross profit/(loss) | (622,276) | 1,282,009 | |
| Administrative expenses | (185,742) | (152,650) | 21.68% |
| Distribution cost | (12,080) | (11,692) | 3.32% |
| Other charges | – | (79,331) | |
| Other income | 626,276 | 483,615 | 29.50% |
| Operating profit/(loss) | (193,822) | 1,521,951 | |
| Finance cost | (744,276) | (445,442) | 67.09% |
| Profit/(loss) before taxation from refinery operations | (938,098) | 1,076,509 | |
| Taxation | 211,192 | (318,463) | |
| Profit/(loss) after taxation from refinery operations | (726,906) | 758,046 | |
| Share in profit of associated companies | 517,579 | 464,266 | 11.48% |
| Profit/(loss) for the year | (209,327) | 1,222,312 | |
| Earnings (loss) per share – basic and diluted (rupees): | |||
| Refinery operations | (6.82) | 7.11 | |
| Non-refinery operations | 4.85 | 4.35 | 11.49% |
| (1.97) | 11.46 | ||
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