September 7, 2021 (MLN): National Foods Limited (PSX: NATF) has concluded the fiscal year 2020-21 on a positive note as the company managed to earn net profit worth Rs1.97 billion, up by 19.64%, compared to the previous year.
This translated into company’s earnings per share which has increased to Rs9.43 in FY21 from Rs 7.9 in FY20.
During the year, Net sales of the company posted a healthy growth of 20.46% YoY to clock in at Rs34.59bn, mainly due to brand and consumer led initiatives. However, the cost of sales increased by 22% to stand at Rs24.84bn which has slightly hit the gross margins of the company.
On the expenses front, NATF reported 16.81% YoY increase in distribution costs, other expenses incurred by the company moved up by 16.31%, while the administrative expenses and Impairment loss on trade debts remained flat at Rs1.44bn and Rs32.55, respectively in FY21.
On the other hand, the company saw a nominal decline in the amount paid in terms of taxation. During the year, the company paid taxes of Rs656.31mn, compared to Rs657.63mn in FY20.
Alongside financial results, the company also announced a cash dividend of Rs 5 per share i.e., 100% for FY21.
In the Board of Director's meeting, the board also recommended issue of 25% fully paid bonus shares in the proportion of one share for every four shares held.
|
Consolidated Financial Results for the year ended June 2021 ('000 Rupees) |
|||
|---|---|---|---|
|
Jun-21 |
Jun-20 |
% Change |
|
|
Sales |
34,588,433 |
28,713,146 |
20.46% |
|
Cost of sales |
-24,836,018 |
-20,345,845 |
22.07% |
|
Gross profit |
9,752,415 |
8,367,301 |
16.55% |
|
Distribution cost |
-5,319,701 |
-4,554,322 |
16.81% |
|
Impairment loss on trade debts |
-32,551 |
-32,478 |
0.22% |
|
Administrative expenses |
-1,443,960 |
-1,241,483 |
0.22% |
|
Other expenses |
-143,055 |
-138,766 |
16.31% |
|
Other income |
132,608 |
250,585 |
3.09% |
|
Operating profit |
2,945,756 |
2,650,837 |
11.13% |
|
Finance costs |
-314,768 |
-342,688 |
-8.15% |
|
Profit before taxation |
2,630,988 |
2,308,149 |
13.99% |
|
Taxation – net |
-656,314 |
-657,625 |
-0.20% |
|
Profit after tax |
1,974,674 |
1,650,524 |
19.64% |
|
Basic and diluted earnings per share – Rupees |
9.43 |
7.9 |
19.37% |
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