April 24, 2019 (MLN): DG Khan Cement Company (DGKC)’s nine months’ cumulative earnings have logged in at Rs.2.5 billion (EPS: Rs.5.71) marking a 47% decline in net earnings for the period ended March 31, 2019, as compared to the corresponding period of last year.
Against the backdrop of a weakened economy, the drop in net profit can be attributed to considerable year-on-year depreciation in the value of PKR, the rise in gas tariff, 20% YoY rise in FED and higher finance cost owing to the capitalization of Hub Plant.
The company’s topline earnings (Rs.32.6 billion) grew by 28% over the year, but when coupled with the heightened sales cost worth Rs.27.4 billion, the company’s gross profit declined by 28%, YoY.
A considerable enhancement in finance cost which stands at Rs.2.5 billion against last year’s figure of Rs.339 million, has played a major part in weighing down the overall earnings of DGKC.
Consolidated Profit and Loss Account for the nine months ended March 31, 2019 ('000 Rupees)
