September 05, 2023 (MLN): Cherat Cement Company Limited (PSX: CHCC) witnessed a meager 1.17% YoY decline in its profitability in FY23, reporting a profit after tax of Rs4.4 billion [EPS: Rs22.67].
This figure marks a slight decrease compared to the Rs4.46bn profit [EPS: Rs22.93] it achieved during the same period last year (SPLY).
Along with the results, the company announced a final cash dividend at Rs3 per share i.e. 30%.
This is in addition to the interim cash dividend already paid at Rs1.5 per share i.e. 15%.
Going by the results, the company's top line expanded by 16.52% YoY to Rs37.39bn as compared to Rs32.09bn in SPLY.
The cost of sales also rose by 17.79% YoY but was lesser than proportionate to sales decline, which improved the gross profit by 13.25% YoY to Rs10.14bn in FY23.
During the review period, other income expanded by 16.25% YoY to stand at Rs453.97 million in FY23 as compared to Rs390.5m in FY22.
On the expense side, the company observed a rise in distribution costs by 14.58% YoY and other expenses by 31.51% YoY to clock in at Rs606.44m and Rs362.03m respectively during the review period.
The company’s finance costs soared by 40.86% YoY and stood at Rs1.91bn as compared to Rs1.36bn in FY23, mainly due to higher interest rates.
On the tax front, the company paid a lower tax worth Rs2.87bn against the Rs2.37bn paid in the corresponding period of last year, depicting a fall of 20.88% YoY.
| Unconsolidated (un-audited) Financial Results for the year ended 30 June, 2023 (Rupees in '000) | |||
|---|---|---|---|
| June 23 | June 22 | % Change | |
| Sales | 37,386,186 | 32,085,361 | 16.52% |
| Cost of sales | (27,249,373) | (23,134,576) | 17.79% |
| Gross Profit | 10,136,813 | 8,950,785 | 13.25% |
| Distribution Costs | (606,436) | (529,254) | 14.58% |
| Administrative expenses | (436,116) | (349,141) | 24.91% |
| Other Income | 453,965 | 390,495 | 16.25% |
| Other expenses | (362,027) | (275,286) | 31.51% |
| Finance cost | (1,914,170) | (1,358,874) | 40.86% |
| Profit before taxation | 7,272,029 | 6,828,725 | 6.49% |
| Taxation | (2,868,097) | (2,372,760) | 20.88% |
| Net profit for the period | 4,403,932 | 4,455,965 | -1.17% |
| Basic earnings/ (loss) per share | 22.67 | 22.93 | – |
Amount in thousand except for EPS
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Posted on: 2023-09-05T13:02:03+05:00
