August 22, 2023 (MLN): International Steels Limited (PSX: ISL) 's profitability declined significantly by 34.98% YoY in FY23, clocking in its profit after tax at Rs3.52bn [EPS: Rs8.09] compared to a profit of Rs5.41bn [EPS: Rs12.44] in the same period last year (SPLY).
Along with the results, the company announced a final cash dividend of Rs2.5 per share i.e. 25%.
This is in addition to the Rs3 i.e. 30% interim cash dividend already announced and paid, making a total dividend of Rs5.5 per share i.e. 55% per share for the year ended June 30, 2023.
Going by the results, the company's top line decreased by 16.05% YoY to Rs76.75bn as compared to Rs91.42bn in SPLY.
The cost of sales fell by 16.32% YoY but was not enough to offset the sales decline, which worsened the gross profit by 14.33% YoY to Rs10.61bn in FY23.
During the period under review, other income fell by 22.48% YoY to stand at Rs155.8 million in FY23 as compared to Rs200.97m in SPLY.
On the expense side, the company observed a fall in selling and distribution expenses by 36.20% YoY while other expenses rose by 41.71% YoY to clock in at Rs389.06m and Rs1.92bn respectively during the review period.
The company’s finance costs inflated by 71.19% YoY and stood at Rs2.26bn as compared to Rs1.32bn in FY23, mainly due to higher interest rates.
On the tax front, the company paid a lower tax worth Rs1.67bn against the Rs2.59bn paid in the corresponding period of last year, depicting a fall of 35.38% YoY.
| Unconsolidated (un-audited) Financial Results for the year ended 30 June, 2023 (Rupees in '000) | |||
|---|---|---|---|
| June 23 | June 22 | % Change | |
| Sales | 76,753,334 | 91,423,698 | -16.05% |
| Cost of sales | (66,145,658) | (79,042,389) | -16.32% |
| Gross Profit | 10,607,676 | 12,381,309 | -14.33% |
| Selling and distribution expenses | (997,224) | (1,563,129) | -36.20% |
| Administrative expenses | (389,057) | (339,808) | 14.49% |
| Other Income | 155,796 | 200,971 | -22.48% |
| Other expenses | (1,921,613) | (1,356,009) | 41.71% |
| Finance cost | (2,264,167) | (1,322,584) | 71.19% |
| Profit before taxation | 5,191,411 | 8,000,750 | -35.11% |
| Taxation | (1,672,621) | (2,588,560) | -35.38% |
| Net profit for the period | 3,518,790 | 5,412,190 | -34.98% |
| Basic and diluted earnings/ (loss) per share | 8.09 | 12.44 | – |
Amount in thousand except for EPS
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Posted on: 2023-08-22T09:35:51+05:00
