Nishat Chunian profit grows despite revenue plunge

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MG News | October 29, 2024 at 03:18 PM GMT+05:00

October 29, 2024 (MLN): Nishat Chunian Power Limited (PSX: NCPL) recorded a 5.8% growth in its net profit despite a plunge in revenue.

The company posted a profit after tax of Rs1.47 billion [EPS: Rs3.99] during the quarter ending September 2024, up from Rs1.39bn [EPS: Rs3.77] in the same period last year (SPLY).

Its revenue fell significantly by 69.5% to Rs2.08bn as compared to Rs6.81bn in SPLY. Gross profit decreased 10.2% to Rs1.38bn in Q1 FY25.

The gross margins, however, improved notably to 66.6% as compared to 22.6% in SPLY.

During the period under review, other income expanded 745.4% to stand at Rs239.14m in Q1 FY25 as compared to Rs28.29m in SPLY.

On the expense side, the company's administrative expenses rose 66.3% from a year ago to Rs66.76m, selling and distribution expenses rose to Rs0m, and other operating expenses rose 6253.0% to Rs66.71m.

The company’s finance cost marked a decline of 99.4% and stood at Rs0.9m as compared to Rs140.72m in SPLY.

On the tax front, the company paid a higher tax worth Rs21.71m against an expense paid worth Rs0.07m in the corresponding period of last year, a rise of 30917.1%.

This translates to an effective tax rate of 1.5% as compared to 0.0% in SPLY.

Unconsolidated (un-audited) Financial Results for quarter ended September 30, 2024 (Rupees in '000)
  Sep 24 Sep 23 % Change
Sales 2,077,196 6,805,654 -69.48%
Cost of sales (694,553) (5,266,389) -86.81%
Gross Profit/ (loss) 1,382,643 1,539,265 -10.18%
Administrative Expenses (66,760) (40,141) 66.31%
Other Income 239,144 28,288 745.39%
Other Operating Expenses (66,706) (1,050) 6252.95%
Finance Cost (903) (140,719) -99.36%
Profit/ (loss) before taxation 1,487,418 1,385,643 7.34%
Taxation (21,712) (70) 30917.14%
Net profit/ (loss) for the period 1,465,706 1,385,573 5.78%
Basic earnings/ (loss) per share 3.99 3.77 -

Amount in thousand except for EPS

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