Fauji Foods slashes losses by 94% in 9MCY23

MG News | October 23, 2023 at 04:05 PM GMT+05:00

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October 23, 2023 (MLN): Fauji Foods Limited (PSX: FFL) successfully reduced its losses by 94.41% YoY in 9MCY23, reporting a loss after tax of Rs108.75 million [LPS: Rs0.05] compared to a substantial loss of Rs1.94bn [LPS: Rs1.23] incurred in the same period last year (SPLY).

Going by the results, the company's top line grew by 82.80% YoY to Rs14.75bn as compared to Rs8.07bn in SPLY.

The cost of sales also by 66.09% YoY but was less than proportionate to sales increase, which improved the gross profit by 544.06% YoY to Rs1.82bn in 9MCY23.

During the review period, other income rose by 37.41% YoY to stand at Rs189.3m in 9MCY23 as compared to Rs137.77m in SPLY.

On the expense side, the company recorded sales and marketing expenses and other expenses of worth Rs1.03bn and Rs24.77m respectively during the review period.

The company’s finance costs marked a decline of 62.45% YoY and stood at Rs341.4m as compared to Rs909.28m in 9MCY22.

On the tax front, the company paid a higher tax worth Rs190.19m against the Rs102.82m paid in the corresponding period of last year, depicting an increase of 84.98% YoY.

Unconsolidated (un-audited) Financial Results for Nine months ended 30 September, 2023 (Rupees in '000)
	Sep 23	Sep 22	% Change
Sales	14,754,446	8,071,196	82.80%
Cost of sales	(12,936,763)	(7,788,972)	66.09%
Gross Profit	1,817,683	282,224	544.06%
Sales and marketing expenses	(1,027,533)	(1,029,150)	-0.16%
Administrative expenses	(531,844)	(322,645)	64.84%
Other Income	189,300	137,767	37.41%
Other expenses	(24,766)	0	-%
Finance cost	(341,401)	(909,280)	-62.45%
Profit before taxation	81,439	(1,841,083)	-%
Taxation	(190,190)	(102,816)	84.98%
Net profit for the period	(108,751)	(1,943,900)	-94.41%
Basic earnings/ (loss) per share	(0.05)	(1.23)	-