April 18, 2024 (MLN): Lotte Chemical Pakistan Limited’s (PSX: LOTCHEM) earnings plummeted 64.7% YoY in the first quarter of 2024. The company’s profit after tax fell to Rs897.1 million compared to a profit of Rs2.54 billion in the same period last year (SPLY).
This translates to an earnings per share (EPS) of Rs0.59, a stark contrast to the Rs1.68 EPS, recorded in SPLY.
Along with the results, the company announced an interim cash dividend of Rs0.5 per share.
Despite a robust 46% YoY increase in revenue, reaching Rs32.28bn up from Rs22.11bn, the cost of sales surged by 73.1%, eroding gross profit by 62.1% to Rs1.68bn.
The gross margins worsened significantly to 5.22% as compared to 20.07% in SPLY.
During the period under review, other income marked a decline of 40.0% YoY to stand at Rs351.09m in 3QFY24 as compared to Rs585.16m in SPLY.
On the expense side, the company observed an increase in administrative Expenses by 20.3% YoY while reducing other expenses by 62.4% YoY to clock in at Rs182.35m and Rs111.95m respectively during the review period.
The company’s finance cost dipped by 70.5% YoY and stood at Rs222.78m as compared to Rs755.51m in SPLY.
On the tax front, the company paid a lower tax worth Rs572.18m against the Rs1.24bn paid in the corresponding period of last year, depicting a decrease of 53.9% YoY.
| Unconsolidated (un-audited) Financial Results for quarter ended March 31, 2024 (Rupees in ‘000) | |||
|---|---|---|---|
| Mar 24 | Mar 23 | % Change | |
| Sales | 32,276,924 | 22,112,698 | 45.97% |
| Cost of sales | (30,592,943) | (17,673,713) | 73.10% |
| Gross Profit | 1,683,981 | 4,438,985 | -62.06% |
| Administrative Expenses | (182,349) | (151,633) | 20.26% |
| Selling And Distribution Expenses | (48,693) | (36,867) | 32.08% |
| Other Income | 351,092 | 585,156 | -40.00% |
| Other Operating Expenses | (111,947) | (297,524) | -62.37% |
| Finance Cost | (222,775) | (755,507) | -70.51% |
| Profit before taxation | 1,469,309 | 3,782,610 | -61.16% |
| Taxation | (572,183) | (1,240,253) | -53.87% |
| Net profit for the period | 897,126 | 2,542,357 | -64.71% |
| Basic earnings/ (loss) per share | 0.59 | 1.68 | – |
Amount in thousand except for EPS
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Posted on: 2024-04-18T15:55:19+05:00
