HCAR witnesses 80.6% YoY deterioration in net profitability

News Image

By MG News | November 18, 2020 at 03:13 PM GMT+05:00

0:00

November 18, 2020 (MLN): Honda Atlas Cars (Pakistan) Limited (HCAR) has witnessed 80.6% YoY deterioration in net profits after tax to Rs.145.8 million during Apr-Sep 2020, compared to Rs.751.4 million in the corresponding period of last year.

This reflected in company’s earnings per share which cut down by the same percent from Rs  5.26 to Rs 1.02.

The decline in HCAR’s profitability is mainly attributed to drop in sales by Rs 2.6 billion to Rs 26.9 billion.

Despite massive surge in car prices due to rise in costs on account of Rupee depreciation, company’s topline declined due to 24% YoY dip in sales units to 9,764 during the period compared to 12,800 units in the same period last year .

Decline in sales unit of HCAR was attributable to economic slowdown and closure of plant due to enforcement of lockdown to prevent spread of pandemic.

As a result, the gross margins are arrived at 5.3%, down by 3ppts from 8.68% during Apr-Sep 2019.

On the cost front, the company witnessed significant decline in its operating expenses and finance cost which provided a cushion to company’s earnings.

  

Profit and Loss statement for the Six months ended September 30, 2020 ('000 Rupees)

 

Sep-20

Sep-19

% Change

Sales

                       26,938,490

                       29,526,146

-8.76%

Cost of sales

                     (25,493,627)

                     (26,960,808)

-5.44%

Gross profit

                         1,444,863

                         2,565,338

-43.68%

Distribution & marketing cost

                           (331,516)

                           (357,112)

-7.17%

Administratiive expenses

                           (339,574)

                           (376,087)

-9.71%

Other operating income

                             157,250

                             200,141

-21.43%

Other operating expenses

                           (150,774)

                           (675,097)

-77.67%

Profit from operations

                             780,249

                         1,357,183

-42.51%

Finance cost

                           (106,878)

                           (254,438)

-57.99%

Profit before taxation

                             673,371

                         1,102,745

-38.94%

Taxation

                           (527,519)

                           (351,333)

50.15%

Profit after taxation

                             145,852

                             751,412

-80.59%

Earnings per share - basic and diluted

                                    1.02

                                    5.26

-80.61%

 Copyright Mettis Link News

Related News

Name Price/Vol %Chg/NChg
KSE100 125,627.31
258.99M
1.00%
1248.25
ALLSHR 78,584.71
1,142.41M
1.16%
904.89
KSE30 38,153.79
69.25M
0.63%
238.06
KMI30 184,886.50
91.38M
0.01%
13.72
KMIALLSHR 53,763.81
554.57M
0.54%
290.61
BKTi 31,921.68
33.15M
1.78%
557.94
OGTi 27,773.98
9.65M
-0.40%
-112.21
Symbol Bid/Ask High/Low
Name Last High/Low Chg/%Chg
BITCOIN FUTURES 107,800.00 108,105.00
107,505.00
-435.00
-0.40%
BRENT CRUDE 66.42 66.63
66.34
-0.32
-0.48%
RICHARDS BAY COAL MONTHLY 97.00 97.00
97.00
1.05
1.09%
ROTTERDAM COAL MONTHLY 107.65 107.65
105.85
1.25
1.17%
USD RBD PALM OLEIN 998.50 998.50
998.50
0.00
0.00%
CRUDE OIL - WTI 64.75 65.02
64.67
-0.36
-0.55%
SUGAR #11 WORLD 16.19 16.74
16.14
-0.52
-3.11%

Chart of the Day


Latest News
July 01, 2025 at 06:00 AM GMT+05:00

MG Morning Breeze: Updates to Skim before Market


June 30, 2025 at 11:55 PM GMT+05:00

TRG: Dominos Tumbling for the Management



Top 5 things to watch in this week

Pakistan Stock Movers
Name Last Chg/%Chg
Name Last Chg/%Chg