GTYR discloses unapproved Q1FY25 financial result before official review

October 21, 2024 (MLN): Perhaps inadvertently, Ghandhara Tyre & Rubber Company Limited (PSX: GTYR) has released its financial results for the First Quarter that ended September 30, 2024, ahead of their official approval.

While notifying the Pakistan Stock Exchange (PSX) about an upcoming Corporate Briefing Session scheduled for October 28, 2024, the company attached a presentation containing its unauthorized income statement snapshot.

What could be more surprising than to distribute inside information wholesale? The Board of Directors has not even reviewed the first-quarter accounts yet.

The Board has yet to meet to review and approve the financial results for the First Quarter, which ended September 30, 2024, on October 24, 2024.

One can extend the benefit of the doubt to the management, assuming that it slipped up by leaking this material information. However, can there be more to the story, one might ask!

Any which way, this has given rise to serious compliance concerns.

As regards the unauthorized financial result for the First Quarter FY2025, the company witnessed a notable drop in its profit after tax, which shrank by Rs21 million compared to Rs70m in the same period last year.

The net sales of the company also decreased by 20% YoY to Rs3.86 billion compared to Rs4.84bn in SPLY. 

The company’s finance cost observed a meagre drop of 5% during the review period to stand at Rs393m compared to Rs414m in 1QFY24.

To note, the company has not provided any tax and expense-related amount in its unauthorized, and unpublished, financial snapshot in the Corporate Briefing Presentation.

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