Hike in power tariffs and fuel prices pull Kohat Cement’s earnings down by 5%

By
News Desk
-

April 29, 2019 (MLN): Kohat Cement Company Limited (KOHC) has disclosed net profits of Rs. 2.1 billion (EPS: Rs. 10.81) for the nine months ended March 31, 2019, indicating a decline of 5% as compared to profits reported in the same period last year.

The topline earnings of the company clocked in at Rs. 12.2 billion, up by approximately 18% mainly due to improvement in retention prices. However, the positive impact of improved topline was mitigated by hike in power tariffs and fuel prices, which led to an increase in Cost of sales by 27%.

However, finance costs went down by 29% in spite of increase in borrowing rates. Moreover, the taxation expense remained somewhat stable during the period, brushing off some of the burden on the company.  

Profit and Loss Account for the nine months ended March 31, 2019 (Rupees)

 

Mar-19

Mar-18

% Change

Sales – net

12,241,938,856

10,384,648,773

17.88%

Cost of goods sold

(8,764,773,786)

(6,869,833,618)

27.58%

Gross profit

3,477,165,070

3,514,815,155

-1.07%

Selling and distribution expenses

(109,466,751)

(94,699,052)

15.59%

Administrative and general expenses

(191,737,670)

(150,746,559)

27.19%

Other operating income

251,482,412

267,410,519

-5.96%

Other operating expenses

(292,960,446)

(254,682,597)

15.03%

Operating profit

3,134,482,615

3,282,097,466

-4.50%

Finance cost

(35,241,311)

(49,928,083)

-29.42%

Profit before taxation

3,099,241,304

3,232,169,383

-4.11%

Taxation

(927,982,038)

(936,152,108)

-0.87%

Profit after taxation

2,171,259,266

2,296,017,275

-5.43%

Earnings per share – basic and diluted

10.81

11.43

-5.42%

Copyright Mettis Link News

Posted on: 2019-04-29T15:51:00+05:00

27741

RELATED ARTICLESMORE FROM AUTHOR