August 25, 2022 (MLN): Fauji Foods Limited has won a tender and consequently entered into an agreement with Remount Veterinary Farms Corps to provide 1,250 tons of skimmed milk powder for FY23, the company’s filing on bourse showed today.

This agreement will result in an increase in revenues and gross margins of the company.

As per the latest financial performance, the company reported a net loss of Rs1,253 million in 1HCY22, compared to Rs758 million in 1HCY21.

Despite choppy waters, the net sales of the company showed a healthy growth of 7% to Rs4,797 million during 1HCY22 as compared to the same period last year.

However, cost pressures have chipped away at the gross profit of the company to Rs179 million, compared to Rs545 million during the corresponding period of last year.

The company in its financial statement said that it has started multiple cost efficiency and margin improvement initiatives which should start kicking in from H2 of 2022.

Copyright Mettis Link News

Posted on:2022-08-25T15:42:05+05:00

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