October 26, 2023 (MLN): Kot Addu Power Company Limited (PSX: KAPCO) experienced a rise of 44% YoY in its profits in 1QFY24 despite no sales, recording a profit after tax of Rs1.18 billion [EPS: Rs1.34], compared to a profit of Rs2.11bn [EPS: Rs2.4] in the same period last year (SPLY).
To note, no dispatches were made by the company during the quarter as the Power Purchase Agreement (PPA) expired on October 24, 2023.
Since then, the plant has been out of operation.
Going by the results, the company's cost of sales fell to Rs805.66m in 1QFY24 as compared to Rs21.31bn in SPLY.
However, during the review period, other income went up by 14.56% YoY to stand at Rs4.38bn in 1QFY24 as compared to Rs3.83bn in SPLY.
On the expense side, the company observed a rise in administrative expenses by 4.92% YoY while reducing other expenses by 31.51% YoY to clock in at Rs184.43m and Rs136.43m respectively during the review period.
The company’s finance costs decreased by 29.78% YoY and stood at Rs1.32bn as compared to Rs1.88bn in 1QFY23.
On the tax front, the company paid a lower tax worth Rs755.61m against the Rs1.04bn paid in the corresponding period of last year, depicting a fall of 27.28% YoY.
Unconsolidated (un-audited) Financial Results for Quarter ended 30 September, 2023 (Rupees in '000)
