MTL’s profit drops to Rs3.6bn in H1 FY24
MG News | February 19, 2025 at 12:41 PM GMT+05:00
February 19, 2025 (MLN): Millat Tractors Limited (PSX: MTL) unveiled its profit and loss statement, wherein the profit after tax clocked in at Rs3.64 billion [EPS: Rs18.87] for the six-month period ended December 31, 2024.
This reflects a decline of 35.83% compared to the bottom line of Rs5.21bn [EPS: Rs29.40] reported in the same period last year (SPLY).
According to the profit and loss statement, the 37.54% drop in revenue was the primary factor behind the weaker financial results.
The cost of sales also declined by 39.77%, but due to the sharper decline in revenue, the gross profit fell by 36.19% to Rs7.64bn.
During the period under review, other income plummeted by 63.98%, standing at Rs197.79 million compared to Rs549.18mn in SPLY.
Meanwhile, administrative expenses rose by 18.64% YoY, whereas distribution and marketing expenses decreased by 5.65%. Other operating expenses also saw a decline of 11.17%.
A major factor contributing to the decline in profitability was the 152.11% surge in finance costs, which reached Rs1.19bn.
On the tax front, the company paid Rs362.13mn in taxes, marking a steep decline of 90.22% from Rs3.7bn in the corresponding period last year.
Consequently, the total comprehensive income for the period stood at Rs3.38bn, reflecting a 37.16% year-over-year decline.
| Consolidated Profit and Loss For The Period Ended December 31, 2024 (Rupees in '000) | |||
| Dec-24 | Dec-23 | %Change | |
| Revenue from contracts with customers | 28,896,877 | 46,267,420 | -37.54% |
| Cost of sales | (20,654,709) | (34,290,264) | -39.77% |
| Gross profit | 7,642,168 | 11,977,156 | -36.19% |
| Distribution and marketing expenses | (980,389) | (1,039,046) | -5.65% |
| Administrative expenses | (1,015,046) | (855,557) | 18.64% |
| Other operating expenses | (657,932) | (740,688) | -11.17% |
| Other income | 197,790 | 549,179 | -63.98% |
| Operating profit | 5,186,591 | 9,891,044 | -47.56% |
| Finance cost | (1,197,851) | (475,139) | 152.11% |
| Profit before income taxes and levies | 3,988,740 | 9,415,905 | -57.64% |
| Levy - final taxes | (7,505) | (73,738) | -89.82% |
| Profit before income tax | 3,981,235 | 9,342,167 | -57.38% |
| Taxation | (362,133) | (3,702,696) | -90.22% |
| Profit after tax for the period | 3,619,097 | 5,639,471 | -35.83% |
| Other comprehensive income / (loss) | (235,846) | (255,341) | -7.63% |
| Total comprehensive income for the period | 3,383,281 | 5,384,130 | -37.16% |
| Earnings per share - basic and diluted (Rupees) | 18.87 | 29.4 | -35.82% |
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