October 24, 2018 (MLN): The profits for Maple Leaf Cement Limited (MLCF) have reported a decline of 45.34% for the quarter ended 30th September 2018 as compared to the corresponding period last year. The reasons attributed to the drop in profits included reduced top-line earnings that were unable to cope with increased core and non-core expenses of the company.
According to the notification issued to PSX, the top-line earnings slithered by 2.51%, whereas the cost of sale increased by a higher margin of 9.61%, causing the gross profits to fall by 23.06%
The operating expenses of the company including Distribution cost and Administrative cost demonstrated a plunge of 43.56% and 24.5% respectively, whereas the non-core income fell by a considerable margin of 78.23%, the combined effect of which further worsened the profitability of the company.
The biggest blow, however, came in the form of Finance cost as they increased by Rs. 189 million, which is approximately 131.18% more as compared to corresponding period last year, causing the Profits before tax to fall by 54.43%
Even though the Income taxes fell by around 78.37%, its impact failed to pull the profits of the company upwards.
The Earnings per share of the company exhibited a decline of 50%.
|
Profit and loss account for the quarter ended September 30th 2018 (Rupees'000) |
|||
|---|---|---|---|
|
|
Sep-18 |
Sep-17 |
% Change |
|
Sales – Net |
5,654,976 |
5,800,494 |
-2.51% |
|
Cost of goods sold |
-3,999,672 |
-3,648,944 |
9.61% |
|
Gross profit |
1,655,304 |
2,151,550 |
-23.06% |
|
Distribution cost |
-382,079 |
-266,150 |
43.56% |
|
Administrative expenses |
-190,244 |
-152,812 |
24.50% |
|
Other charges |
-78,668 |
-124,193 |
-36.66% |
|
Other income |
3,658 |
16,806 |
-78.23% |
|
Profit from operations |
1,007,971 |
1,625,201 |
-37.98% |
|
Finance cost |
-333,080 |
-144,076 |
131.18% |
|
Profit before taxation |
674,891 |
1,481,125 |
-54.43% |
|
Taxation |
-88,193 |
-407,703 |
-78.37% |
|
Profit after taxation |
586,698 |
1,073,422 |
-45.34% |
|
Earnings per share – Basic & Diluted |
0.99 |
1.98 |
-50.00% |
Copyright Mettis Link News
23830
