Cherat Cement’s periodic earnings, saved on account of tax credit

April 25, 2019 (MLN): Cherat Cement Company (CHCC) Limited’s net income during the period ended March 31, 2019 has puffed up by a quarter (25%) over the year as the company recorded it at Rs.2.25 billion (EPS: Rs.12.74), while the net profit margin (20.2%)  grew by 405 basis points over the year.

The remarkable improvement in their earnings roots from the Rs.1.2 billion tax credit recorded on the company’s expansion which ultimately reversed the otherwise decline of 42% or Rs.774.8 billion in pretax profits (Rs.1 billion).

Financial results for the period ended March 31, 2019 ('000 Rupees)

 

Mar-19

Mar-18

% Change

Turnover – net

                           11,161,275

                           11,147,937

0.12%

Cost of sales

                           (9,043,820)

                           (8,578,755)

5.42%

Gross profit

                             2,117,455

                             2,569,182

-17.58%

Distribution costs

                               (291,737)

                               (248,839)

17.24%

Administrative expenses

                               (219,715)

                               (181,152)

21.29%

Other expenses

                                 (64,331)

                               (106,643)

-39.68%

 

                               (575,783)

                               (536,634)

7.30%

Other income

                                 101,101

                                   55,442

82.35%

Operating profit

                             1,642,773

                             2,087,990

-21.32%

Finance costs

                               (596,257)

                               (266,682)

123.58%

Profit before taxation

                             1,046,516

                             1,821,308

-42.54%

Taxation

                             1,203,514

                                 (26,003)

 

Net profit for the year

                             2,250,030

                             1,795,305

25.33%

Earnings per share – basic and diluted (Rupees)

                                      12.74

                                      10.16

25.39%

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Posted on: 2019-04-25T13:49:00+05:00

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