FCEPL incurs losses worth Rs. 808 million

October 18, 2019 (MLN): FrieslandCampina Engro Pakistan Limited (FCEPL) has announced its financial results for the nine months ended on September 30, 2019.  As per the results, the company incurred losses of Rs.808 million (LPS: Rs 1.05) as compared to the profits earned in last year.

During the period, the company’s net revenues were up by 19.91%, YoY, but more than a proportionate increase in the cost of sales (up by 27.15%) made the gross profits decreased by 12.12% from Rs. 4.4 billion to Rs. 3.8 billion. Therefore, the gross margin shrunk by 5 percentage points.

More notably, it bore 83.98% colossal finance cost from Rs. 471 million to Rs. 866 million when compared to the prior year owing to the higher interest rate. Moreover, the administrative and other operating expenses increased by 36.04% and 44.23% respectively.

Whereas, other income slumped by 15.99%, from Rs.396 million to Rs. 332 million, YoY.

 

Financial Results for the Nine Months Ended September 30th, 2019 ('000 Rupees)

 

 

Sep-19

Sep-18

% Change

Net Sales

                     28,709,315

                     23,942,195

19.91%

Cost of Sales

                  (24,832,171)

                  (19,530,401)

27.15%

Gross Profit

                       3,877,144

                       4,411,794

-12.12%

Distribution and marketing expenses

                     (3,058,750)

                     (3,189,068)

-4.09%

Administrative expenses

                        (891,966)

                        (655,687)

36.04%

Other operating expenses

                        (122,719)

                           (85,086)

44.23%

Other income

                           332,861

                           396,236

-15.99%

Operating (loss) profit

                           136,570

                           878,189

-84.45%

Finance cost

                        (866,897)

                        (471,184)

83.98%

(Loss)/Profit before taxation

                        (730,327)

                           407,005

Taxation

                           (78,430)

                           106,186

Profit after taxation

                        (808,757)

                           513,191

Earnings per share – basic and diluted (Rupees)

                               (1.05)

                                  0.67

 

 

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Posted on: 2019-10-18T10:46:00+05:00

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