Mettis Global News
Mettis Global News
Mettis Global News
Mettis Global News

Trending :

Nestlé’s net profits decline by 36.6%

Share on facebook
Share on twitter
Share on linkedin
Share on whatsapp

October 29, 2019: Nestlé Pakistan Limited recorded better sales – a 3.4% sales growth – in the third quarter of 2019 as compared to the same period last year despite the broader macro-economic challenges and high inflationary environment.

The growth in sales was a result of focused demand generation activities, the introduction of new products and continuous investment behind brands. The results were announced upon the conclusion of the meeting of the Board of Directors on Oct 29, 2019.

The revenue of the company was recorded at PKR 87 billion for the nine months ended Sept 30, 2019, a decrease of 4.2% as compared to the same period last year.

Net profit for the same period decreased by 36.7% to PKR 5.4 billion primarily due to higher input and energy costs and the imposition of sales tax and federal excise duty on milk powders and beverages.

Despite the tough economic environment, the management remains committed to meeting consumer expectations by offering quality and value-added products while remaining focused on optimization of the value chain.

Financial Result for the Nine months ended September 30th 2019 ('000 Rupees)

 

Sep-19

Sep-18

% Change

Sales – net

 87,053,262

 90,892,495

-4.22%

Cost of goods sold

 (63,114,454)

 (62,178,300)

1.51%

Gross Profits

 23,938,808

 28,714,195

-16.63%

Distribution and selling expenses

 (10,493,001)

 (11,307,593)

-7.20%

Administration expenses

 (2,506,569)

 (2,359,403)

6.24%

Operating profits

 10,939,238

 15,047,199

-27.30%

Finance cost

 (2,310,919)

 (1,288,808)

79.31%

Other expenses

 (1,122,500)

 (1,218,676)

-7.89%

Other income

 255,853

 200,093

27.87%

Profit before taxation

 7,761,672

 12,739,808

-39.08%

Taxation

 (2,297,349)

 (4,110,996)

-44.12%

Profit after taxation

 5,464,323

 8,628,812

-36.67%

Earnings per share – Basic and Diluted (Rupees)

                             120.49

                             190.27

-36.67%

 

Copyright Mettis Link News

Posted on: 2019-10-29T16:36:00+05:00

30824