NESTLE's profit drops 51.6%, declares Rs25 dividend

News Image

MG News | October 24, 2024 at 03:07 PM GMT+05:00

0:00

October 24, 2024 (MLN): Nestle Pakistan Limited (PSX: NESTLE) saw its bottom line plummet by 51.6% in the third quarter, reporting a profit of Rs2.33 billion (EPS: Rs51.32) compared to earnings of Rs4.81 billion (EPS: Rs105.96) recorded in the same period last year (SPLY).

Along with the results, the company has announced an interim cash dividend of Rs25 per share i.e.250%.

An analysis of the profit and loss account reveals that declining topline revenue and income, along with rising finance costs, led to this profit drop for NESTLE.

The company's top line shrank 16.5% to Rs41.55bn as compared to Rs49.72bn in SPLY.

The cost of sales fell by 13.9% but was higher than proportionate to sales decline, which worsened the gross profit by 21.3% to Rs13.59bn in Q3 CY24.

The gross margins worsened to 32.7% as compared to 34.7% in SPLY.

During the period under review, other income fell by 67.6% to stand at Rs114.92m in Q3 CY24 as compared to Rs354.81m in SPLY.

On the expense side, the company's administration expenses rose 11.4% YoY to Rs1.64bn.

Conversely, distribution and selling expenses fell 11.1% YoY to Rs6.71bn, while other operating expenses were down 36.1% YoY to Rs358.73m.

The company’s finance cost went up by 20.9% and stood at Rs713.14m as compared to Rs589.71m in SPLY, mainly due to higher interest rates.

On the tax front, the company paid a lower tax worth Rs1.97bn against the Rs2.65bn paid in the corresponding period of last year, depicting a decrease of 25.7%.

Unconsolidated (un-audited) Financial Results for quarter ended September 30, 2024 (Rupees in '000)
  Sep 24 Sep 23 % Change
Sales 41,545,472 49,723,087 -16.45%
Cost of sales (27,952,251) (32,460,099) -13.89%
Gross Profit/ (loss) 13,593,221 17,262,988 -21.26%
Administration expenses (1,635,321) (1,467,590) 11.43%
Distribution and selling expenses (6,707,086) (7,547,672) -11.14%
Other Income 114,922 354,807 -67.61%
Other Operating Expenses (358,730) (561,114) -36.07%
Finance Cost (713,144) (589,707) 20.93%
Profit/ (loss) before taxation 4,293,862 7,451,712 -42.38%
Final tax / levies (1,966,559) (2,646,413) -25.69%
Net profit/ (loss) for the period 2,327,303 4,805,299 -51.57%
Basic earnings/ (loss) per share 51.32 105.96 -

Amount in thousand except for EPS

Copyright Mettis Link News

Related News

Name Price/Vol %Chg/NChg
KSE100 136,379.97
273.10M
0.32%
440.10
ALLSHR 84,648.35
701.94M
0.06%
47.97
KSE30 41,546.23
70.12M
0.42%
172.55
KMI30 191,719.76
71.30M
0.34%
649.79
KMIALLSHR 55,827.74
371.98M
0.16%
89.67
BKTi 37,827.61
18.93M
-1.72%
-662.14
OGTi 27,670.67
7.41M
-0.42%
-117.47
Symbol Bid/Ask High/Low
Name Last High/Low Chg/%Chg
BITCOIN FUTURES 118,890.00 119,915.00
118,820.00
-740.00
-0.62%
BRENT CRUDE 68.71 69.09
67.71
0.00
0.00%
RICHARDS BAY COAL MONTHLY 96.50 0.00
0.00
1.80
1.90%
ROTTERDAM COAL MONTHLY 104.50 0.00
0.00
-1.05
-0.99%
USD RBD PALM OLEIN 998.50 998.50
998.50
0.00
0.00%
CRUDE OIL - WTI 66.67 66.69
66.58
0.29
0.44%
SUGAR #11 WORLD 16.55 16.67
16.40
-0.01
-0.06%

Chart of the Day


Latest News
July 16, 2025 at 11:00 PM GMT+05:00

SBP raises Rs342bn in PIB Auction


July 16, 2025 at 10:17 PM GMT+05:00

TRG case files stolen en route to Islamabad


July 16, 2025 at 05:45 PM GMT+05:00

PM pushes for digital, International-Standard education


July 16, 2025 at 05:09 PM GMT+05:00

Gold price in Pakistan falls Rs3,000 per tola


July 16, 2025 at 04:06 PM GMT+05:00

PSX Closing Bell: On the Rise



Top 5 things to watch in this week

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