ISL reports 77% decline in net profit for H1FY25

February 06, 2025 (MLN): International Steels Limited (PSX: ISL) reported a significant decline in profit for the six months ended December 31, 2024, with a net profit of Rs534.1 million, a drop of 77% compared to Rs2.35 billion during the same period last year.

The company's revenue from contracts with customers decreased by 20%, from Rs39.74bn to Rs31.8bn.

The cost of sales also saw a notable reduction of 14.53%, amounting to Rs29.42bn, which contributed to a lower gross profit of Rs2.38bn, down by 55.21% compared to Rs5.31bn in the previous year.

Selling and distribution expenses declined by 12.57%, while administrative expenses decreased slightly by 2.6%.

Despite a significant drop in operating profit by 68%, the company faced a higher finance cost of 50.6%, amounting to Rs559.1mn.

Additionally, other expenses were reduced by 78.5%, reflecting a more efficient cost management approach.

The company reported a sharp decrease of 76.46% in profit before levies and income tax, which amounted to Rs826.6mn, compared to Rs3.51bn in the prior period.

Income tax expense also decreased by 71.7%, contributing to the overall reduction in profit.

Earnings per share for the period were recorded at Rs1.23, compared to Rs5.41 for the same period in 2023.

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