COLG’s profit soars by 77% in FY23, revised EPS clocks in at Rs42.88

August 25, 2023 (MLN): Colgate Palmolive (Pakistan) Limited (PSX: COLG) experienced a significant rise of 77.29% YoY in its profitability, clocking in its profit after tax at Rs10.41bn [EPS: Rs99.48] for the year ended June 30, 2023, compared to a profit of Rs5.87bn [EPS: Rs56.11] in the same period last year (SPLY). 

Along with the results, the company also announced a final cash dividend of Rs5 per share i.e. 50 %.

This is in addition to the first interim cash dividend already paid at Rs20 per share i.e. 200% and by way of the issue of fully paid bonus shares at 45% in the proportion of nine shares for every twenty shares of Rs10/- each.

And a second interim cash dividend at Rs40 per share i.e. 400% and by way of issue of fully paid bonus share at 100% in the proportion of one share for every one share of Rs10/- each.

Going by the results, the company's top line rose by 46.73% YoY to Rs91.46bn as compared to Rs62.33bn in SPLY.

The cost of sales rose by 41.20% YoY but was lesser than proportionate to sales increase, which improved the gross profit by 62.70% YoY to Rs26.1bn in FY23.

Moreover, during the review period, other income went up by 95.84% YoY to stand at Rs2.15bn in FY23 as compared to Rs1.1bn in SPLY.

On the expense side, the company observed an increase in selling and distribution expenses by 33.78% YoY and other expenses by 2.06x YoY to clock in at Rs914.87m and Rs1.49bn respectively during the review period.

The company’s finance costs surged by 5.51% YoY and stood at Rs150.68m as compared to Rs142.81m in FY23, mainly due to higher interest rates.

On the tax front, the company paid a higher tax worth Rs6.12bn against the Rs2.85bn paid in the corresponding period of last year, depicting an increase of 2.15x YoY.

Amount in thousand except for EPS

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