February 26, 2024 (MLN): D.G. Khan Cement Company Limited (PSX: DGKC) recorded an increase of 13.17% YoY in its unconsolidated profits in the first half of FY24, with the company's after-tax profits rising to Rs1.05 billion [EPS: Rs2.41], compared to a profit of Rs968.12m [EPS: Rs2.13] in the same period last year (SPLY).
Going by the results, the company's top line increased by 16.88% YoY to Rs34.78bn as compared to Rs29.76bn in SPLY.
The cost of sales also rose by 14.65% YoY but was lesser than proportionate to sales rise, which improved the gross profit by 30.21% YoY to Rs5.54bn in 1HFY24.
The gross margins improved to 15.94% as compared to 14.30% in SPLY.
During the review period, other income inflated by 55.37% YoY to stand at Rs2.16bn in 1HFY24 as compared to Rs1.39bn in SPLY.
On the expense side, the company observed an increase in administrative expenses by 36.37% YoY while other expenses fell 22.26% YoY to clock in at Rs580.37m and Rs66.09m respectively during the review period.
The company’s finance cost rose by 28.48% YoY and stood at Rs4.12bn as compared to Rs3.2bn in SPLY, mainly due to higher interest rates.
On the tax front, the company paid a higher tax worth Rs688.38m against the Rs458.38m paid in the corresponding period of last year, depicting a rise of 50.18% YoY.
| Unconsolidated (un-audited) Financial Results for half year ended 31 December, 2023 (Rupees in '000) | |||
|---|---|---|---|
| Dec 23 | Dec 22 | % Change | |
| Sales | 34,784,335 | 29,761,039 | 16.88% |
| Cost of sales | (29,241,186) | (25,504,030) | 14.65% |
| Gross Profit | 5,543,149 | 4,257,009 | 30.21% |
| Administrative Expenses | (580,365) | (425,590) | 36.37% |
| Selling And Distribution Expenses | (1,201,726) | (508,843) | 136.17% |
| Net impairment loss/gain on financial assets | – | (36,464) | – |
| Other Income | 2,163,395 | 1,392,412 | 55.37% |
| Other Expenses | (66,090) | (85,014) | -22.26% |
| Finance Cost | (4,115,667) | (3,203,476) | 28.48% |
| Profit before taxation | 1,742,696 | 1,426,498 | 22.17% |
| Taxation | (688,382) | (458,378) | 50.18% |
| Net profit for the period | 1,054,314 | 931,656 | 13.17% |
| Basic earnings/ (loss) per share | 2.41 | 2.13 | – |
Amount in thousand except for EPS
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Posted on: 2024-02-26T15:27:07+05:00
