Ghandara Industries undergoes losses worth Rs 105 million in 1HFY20

February 19, 2020 (MLN): Ghandara Industries Limited (GHNI) has announced its financial results for the half-year ended on December 31, 2019. As per the results, the company has incurred losses worth Rs 105 million (LPS: Rs 2.47) compared to last year net profits of Rs 383 million (EPS: Rs 8.99).

During the period, the cost of sales decreased by 21.27% YoY but more than a proportionate decrease in revenue (down by 22.29% YoY) caused gross profits to decrease by around 29% YoY to Rs 752 million.

The company’s distribution and administrative expenses went up by 1.20% YoY and 3% YoY respectively. However, other expenses plunged by 80% YoY to Rs 4.3 million.

More notably, the colossal increase in finance cost by 91.45% YoY, from Rs 254 million to Rs 488 million dented the company’s performance owing to higher interest rate and running finance requirement.

Financial Results for the half-year ended December 31, 2019 ('000 Rupees)

 

Dec-19

Dec-18

% Change

Sales

 5,880,616

 7,567,541

-22.29%

Cost of Sales

 (5,127,861)

 (6,513,209)

-21.27%

Gross profit

 752,755

 1,054,332

-28.60%

Distribution cost

 (279,010)

 (275,689)

1.20%

Administrative expenses

 (146,494)

 (142,301)

2.95%

Other expenses

 (4,371)

 (22,265)

-80.37%

Other income

 20,878

 24,988

-16.45%

Profit (loss) from operations

 343,758

 639,065

-46.21%

Finance cost

 (488,048)

 (254,916)

91.45%

(Loss)/profit before taxation

 (144,290)

 384,149

Taxation

 39,238

 (1,010)

(Loss)/Profit after taxation

 (105,052)

 383,139

basic and diluted (loss)/earning per share(Rupees)

 (2.47)

 8.99

 

Copyright Mettis Link News

Posted on: 2020-02-19T16:24:00+05:00

32866