Engro Fertilizer today announced financial results for the year ending December, 30th 2017. The company could not top previous year’s revenues, company releases revealed a decline in company’s bottom line profits as well much below the industry expectations.
EFERT releases on the exchange show company’s performance during the outgoing year was much below the industry expectations. Net Sales took a substantial dip downwards by more than 9% (63 million in 2017 vs. 69.518 million in 2016) against market expectations of 7% upwards tick.
On the other hand, gross margins were also much below what analysts had anticipated. The company reported a 19.64% incline of Gross Profits against projections of +27% rise.
Company’s other income performed much better than anticipated, falling just by 25% against expectations of 35%, to clock in at Rs. 6.074 million with finance costs also declining by more than 18%.
Company’s bottom line shrunk by 2.17%, with total profit for the year totaling at Rs. 24.626 million against Rs. 25.177 million during the same period last year.
EFERT Management reported a diluted EPS of Rs. 7.6 against Rs. 6.72 per share during the same period last year.
The Board at Engro Fertilizer also approved a final cash dividend for the year ended December 31st, 2017 at Rs. 3 per share i.e. 30%. This is in addition to interim dividends already paid at Rs. 5.50 per share i.e. 55%.
|
Unconsolidated Profit and Loss Account – For the Half Year Ended, December 31st 2017 |
|||
|---|---|---|---|
|
Key Financials |
2017 |
2016 |
% Change |
|
Amounts in PKR |
|||
|
Net Sales |
63,010,060 |
69,518,729 |
-9.36% |
|
Cost of Sales |
42,538,067 |
52,408,080 |
-18.83% |
|
Gross Profit |
20,471,993 |
17,110,649 |
19.64% |
|
Selling & Distribution Expenses |
6,493,239 |
6,702,247 |
-3.12% |
|
Administrative Expenses |
1,267,577 |
888,324 |
42.69% |
|
Other Income |
6,074,598 |
8,135,374 |
-25.33% |
|
Other Operating Expenses |
1,230,232 |
1,144,178 |
7.52% |
|
Finance Costs |
2,560,453 |
3,136,045 |
-18.35% |
|
Profit before Taxation |
14,995,090 |
13,375,229 |
12.11% |
|
Taxation |
4,858,541 |
4,350,528 |
11.68% |
|
Profit for the year |
24,626,571 |
25,172,422 |
-2.17% |
|
EPS – Basic |
7.60 |
6.78 |
12.09% |
|
EPS – Diluted |
7.60 |
6.72 |
13.10% |
Company release on Earnings Report can be accessed here.
