HinoPak Motors suffers losses of Rs687 mln following substantial increase in finance cost

January 24, 2019 (MLN): HinoPak Motors Limited has disclosed after-tax losses of Rs. 687 million for the quarter ended December 31, 2018, in a notification issued to Pakistan Stock Exchange. The losses incurred can be attributed to a huge drop in sales and substantial increase in the company’s finance cost.  

During the quarter, HINO observed 27% decline in sales (Rs.4.3 billion) while its gross profits (Rs.207.6 million) dropped by 63%.

Adding to the woes, overall expenses rose while non-core income (Rs.17.2 million) observed an 87% decline. Coupled with a substantial upswing (172%) in finance cost (Rs.658.2 million), this caused the company to bear a pre-tax loss worth Rs. 625.7 million.

The company reported its Loss per share at Rs. 55.44, for the quarter ended December 31, 2018.

Profit and loss account for the quarter ended December 31 2018 (Rupees'000)

 

Dec-18

Dec-17

% Change

Sales

4,318,921

5,924,020

-27.09%

Cost of sales

-4,111,353

-5,357,397

-23.26%

Gross profit

207,568

566,623

-63.37%

Distribution costs

-97,006

-95,605

1.47%

Administration expenses

-115,305

-104,049

10.82%

Other income

17,218

142,472

-87.91%

Other expenses

20,095

-19,639

 

Profit from operations

32,570

489,802

-93.35%

Finance cost

-658,240

-241,350

172.73%

(Loss) / profit before taxation

-625,670

248,452

 

Taxation

-61,874

-57,128

8.31%

(Loss) / profit after taxation

-687,544

191,324

 

(Loss) / Earnings per share – basic and diluted

-55.44

15.43

 

 

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Posted on: 2019-01-24T14:39:00+05:00

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