CPPL sees minor profit dip, declares 35% dividend

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MG News | August 22, 2024 at 04:11 PM GMT+05:00

August 22, 2024 (MLN): Cherat Packaging Limited (PSX: CPPL) reported a meagre drop of 2.46% YoY in profitability during 2024 as the profit stood at Rs885.89 million [EPS: Rs18.04] compared to Rs908.25mn [EPS: Rs18.5] in 2023.

Along with the results, the company declared a final cash dividend of Rs3.5 per share, i.e. 35%.

Going by the results, the company's top line fell by 16.52% YoY to Rs13.82bn as compared to Rs16.55bn in SPLY.

During the period under review, other income jumped by 936.4% YoY to stand at Rs999.84m in FY24 as compared to Rs95.98m in SPLY.

On the expense side, the company observed a slight increase in distribution costs by 4.63% YoY and administrative expenses by 2.55% YoY to clock in at Rs256.16m and Rs185.41m respectively during the review period.

The company’s finance costs also dipped by 30.3% YoY to stand at Rs837.73m compared to Rs1.2bn in SPLY.

On the tax front, the company paid a significantly lower tax worth Rs152.3m against the Rs755m paid in the corresponding period of last year.

Financial Results for the year ended on June 30, 2024 (Rs “000”)

 

2024

2023

%

Turnover — net

13,820,153

16,554,262

-16.52

Cost of sales

-12,358,782

-13,277,189

-6.92

Gross profit

1,461,371

3,277,073

-55.41

Distribution costs

-256,168

-244,831

4.63

Administrative expenses

-185,419

-180,802

2.55

Other expenses

-133,026

-77,182

72.35

Other Income

994,847

95,984

936.47

Operating profit

1,881,605

2,870,242

-34.44

Finance costs

-837,730

-1,201,904

-30.30

Profit before income tax and final taxes

1,043,875

1,668,338

-37.43

Final taxes

-5,599

-4,359

28.45

Profit before income tax

1,038,276

1,663,979

-37.60

Income tax

     

Current

-180,855

-463,765

-61.00

Prior

2,635

24,553

-89.27

Deferred

25,836

-316,517

-108.16

 

-152,384

-755,729

-79.84

Net profit for the year

885,892

908,250

-2.46

Earnings per share - basic and diluted

Rs18.04

Rs18.50

18.50

 

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