GSK Pakistan bounces back with Rs1.1bn profit

August 23, 2024 (MLN): GlaxoSmithKline (Pakistan) Limited (PSX: GLAXO) made a strong recovery in the second quarter of 2024, earning a profit after tax of Rs1.09 billion [EPS: Rs3.41] driven by a substantial surge in gross margins.

This compares with a loss of Rs752.39 million [LPS: Rs2.36] incurred in the same period last year.

The company's sales revenue grew by 11.8% to Rs13.25bn as compared to Rs11.86bn in SPLY.

Furthermore, the cost of sales fell 11.9%, improving the gross profit substantially by 570.1% to Rs3.23bn in Q2 2024.

The gross margins surged to 24.4% as compared to 4.1% in SPLY.

During the period under review, other income went down by 15.9% to stand at Rs415.16m in Q2 2024 as compared to Rs493.89m in SPLY.

On the expense side, the company's administrative expenses rose 15.0% YoY to Rs495.35m, other operating expenses rose to Rs158.33m, while selling and distribution expenses fell 19.6% YoY to Rs970.57m.

The company’s finance cost inflated to Rs166.12m as compared to a finance income of Rs322.14m in SPLY.

On the tax front, the company paid a higher tax worth Rs767.53m against the Rs440.07m paid in the corresponding period of last year, depicting a rise of 74.4%.

Amount in thousand except for EPS

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