Indus Motor’s profit rises 31%, declares Rs13.20 per share dividend

February 22, 2024 (MLN): Indus Motor Company Limited (PSX: INDU) revealed its profits for the second quarter of fiscal year 2024, wherein the profit after tax clocked in at Rs1.74 billion [EPS: Rs22.15] compared to a profit of Rs1.33bn [EPS: Rs16.93] in the same period last year (SPLY).

Along with the results, the company announced an interim cash dividend for the quarter ended December 31, 2023 at Rs13.20 per share.

This is in addition to the first interim cash dividend of Rs24.50 per share already paid.

Going by the results, the company's top line marked a significant decline of 63.21% YoY to Rs18.24bn as compared to Rs49.58bn in SPLY.

However, the cost of sales also fell to Rs16.82bn in 2QFY24 as compared to Rs50.08bn in SPLY.

The gross margins improved significantly to 7.78% as compared to -0.99% in SPLY.

During the period under review, other income fell by 27.79% YoY to stand at Rs2.49bn in 2QFY24 as compared to Rs3.45bn in SPLY.

On the expense side, the company observed an increase in distribution expenses by 94.15% YoY and other expenses by 13.01% YoY to clock in at Rs680.56m and Rs43.72m respectively during the review period.

The company’s finance costs marked a decline of 36.88% YoY and stood at Rs31.19m as compared to Rs49.42m in SPLY.

On the tax front, the company paid a higher tax worth Rs688.07m against the Rs590.61m paid in the corresponding period of last year, depicting an increase of 16.50% YoY.

Amount in thousand except for EPS

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