Lower PTA margins hurt LOTCHEM’s profits by 96% YoY during 1HCY20

News Image

MG News | August 21, 2020 at 02:54 PM GMT+05:00

0:00

August 21, 2020 (MLN): Lotte Chemical Pakistan (LOTCHEM) has posted a colossal decline of 96% YoY in profitability to Rs 113 million (EPS: Rs 0.07) for the half-year ended June 30, 2020 against net profits of Rs 3 billion of the corresponding period last year.

This massive decrease in earnings is the result of lower volumetric sales and a decline in international PTA margins.

According to the financial statement issued to PSX, the sales of the company came down by 46% YoY due to COVID-19 related lockdown. As a result of lower volumetric sales along with lower PTA margins, the company bore gross losses of Rs 209 million during 1HCY20.

However, as per the research note of Arif Habib Limited, the other income of the company surged by 45% YoY to Rs 620 million due to higher income from short term deposits.

The other highlight is the finance income of Rs 150 million against the finance cost of Rs 117 million during 1HCY19. Meanwhile, the tax expenses of the company plunged by 96% which provided a cushion to its net earnings.

Profit and Loss Account for the Half-year ended June 30, 2020 ('000 Rupees)

 

Jun-20

Jun-19

% Change

Revenue -net

 16,122,328

 33,189,662

-51.42%

Cost of Sales

 (16,331,452)

 (28,709,896)

-43.12%

Gross Profit/Loss

 (209,124)

 4,479,766

-

Distribution and Selling Expenses

 (52,264)

 (50,321)

3.86%

Administrative Expenses

 (207,863)

 (195,544)

6.30%

Other Expenses

 (142,554)

 (322,427)

-55.79%

Other Income

 620,770

 426,736

45.47%

Finance Income/(Cost)

 150,133

 (117,420)

-

Profit before Taxation

 159,098

 4,220,790

-96.23%

Taxation

 (45,983)

 (1,170,305)

-96.07%

Profit after Taxation

 113,115

 3,050,485

-96.29%

Earnings per share - Basic and Diluted (Rs.)

 0.07

 2.01

-96.52%

 

Copyright Mettis Link News

Related News

Name Price/Vol %Chg/NChg
KSE100 134,299.77
290.06M
0.39%
517.42
ALLSHR 84,018.16
764.12M
0.48%
402.35
KSE30 40,814.29
132.59M
0.33%
132.52
KMI30 192,589.16
116.24M
0.49%
948.28
KMIALLSHR 56,072.25
387.69M
0.32%
180.74
BKTi 36,971.75
19.46M
-0.05%
-16.94
OGTi 28,240.28
6.19M
0.21%
58.78
Symbol Bid/Ask High/Low
Name Last High/Low Chg/%Chg
BITCOIN FUTURES 118,140.00 0.00
0.00
-390.00
-0.33%
BRENT CRUDE 70.63 70.71
68.55
1.99
2.90%
RICHARDS BAY COAL MONTHLY 97.50 0.00
0.00
1.10
1.14%
ROTTERDAM COAL MONTHLY 108.75 108.75
108.75
0.40
0.37%
USD RBD PALM OLEIN 998.50 998.50
998.50
0.00
0.00%
CRUDE OIL - WTI 68.75 0.00
0.00
0.30
0.44%
SUGAR #11 WORLD 16.56 16.60
16.20
0.30
1.85%

Chart of the Day


Latest News
July 13, 2025 at 06:20 PM GMT+05:00

Pakistan, UK to sign Trade Dialogue ToRs


July 13, 2025 at 05:48 PM GMT+05:00

Key Pakistan Market Stats and Economic Indicators


July 13, 2025 at 05:44 PM GMT+05:00

Inside NCCPL’s Rulebook Shift


July 13, 2025 at 01:57 PM GMT+05:00

Weekly Market Roundup


July 13, 2025 at 10:26 AM GMT+05:00

K-Electric dispels rumours of peak hour changes



Top 5 things to watch in this week

Pakistan Stock Movers
Name Last Chg/%Chg
Name Last Chg/%Chg