HASCOL’s profits grow regardless of soaring losses on exchange

October 26, 2018 (MLN): Hascol Petroleum Limited (HASCOL) has reported its profits for the 3 quarters of current year at Rs.1.5 billion, up by 41% over the corresponding period of last year. The growth transpired despite vast increment in net exchange losses (+Rs. 2.3 billion).

HASCOL’s financial earnings report has shown that that while its net revenue grew by Rs.59.9 billion (+48%), its gross profits went up by Rs.3.8 billion (+85%) after accounting for the sales’ cost.

However, distribution and marketing expenses rose by Rs.864 million (+48%), while finance cost marked an increase of Rs.393.8 million (+101%).

Meanwhile, the heaviest decline came about as net exchange losses witnessed a massive growth of over Rs.2 billion, dragging down pre-tax profit growth to only 5% rise.

Luckily for the company, taxation declined by 41% while losses from discontinued operations remained nil, collectively causing the overall profit growth to increase.

HASCOL’s basic and diluted EPS stands at Rs.10.41 per share.

In addition to this, the company’s Board of Directors have recommended bonus shares in the proportion of one share for every four shares held (25%).

Profit and Loss Account for the nine months ended September 30th 2018 ('000 Rupees)

 

Sep-18

Sep-17

% Change

Sales – net

                                              220,375,883

                                              152,321,380

44.68%

Sales tax

                                              (36,686,924)

                                              (28,297,052)

29.65%

Net sales

                                              183,688,959

                                              124,024,328

48.11%

Other revenue

                                                       615,532

                                                       336,906

82.70%

Net revenue

                                              184,304,491

                                              124,361,234

48.20%

Cost of products sold

                                            (176,091,584)

                                            (119,919,075)

46.84%

Gross profit

                                                   8,212,907

                                                   4,442,159

84.89%

Operating expenses

 

 

 

Distribution and marketing expenses

                                                 (2,655,233)

                                                 (1,790,338)

48.31%

Administrative

                                                    (647,569)

                                                    (466,807)

38.72%

Other income

                                                       341,167

                                                       242,576

40.64%

Operating profit

                                                   5,251,272

                                                   2,427,590

116.32%

Finance cost

                                                    (782,616)

                                                    (388,817)

101.28%

Other expenses

                                                                  –  

                                                       (15,000)

 

Exchange loss – net

                                                 (2,517,381)

                                                    (165,839)

1417.97%

Profit before taxation

                                                   1,951,275

                                                   1,857,934

5.02%

Taxation

                                                    (444,186)

                                                    (762,140)

-41.72%

Profit from continued operations

                                                   1,507,089

                                                   1,095,794

37.53%

Profit from discontinued operations

                                                                  –  

                                                       (27,703)

 

Profit for the period

                                                   1,507,089

                                                   1,068,091

41.10%

Earnings per share – basic and diluted (Rupees)

                                                           10.41

                                                              8.49

22.61%

 

Copyright Mettis Link News

Posted on: 2018-10-26T16:28:00+05:00

23912