Nishat Power slips into loss in 9MFY25

April 25, 2025 (MLN): Nishat Power Limited (PSX: NPL) slipped into the red during the nine months ended March 31, 2025, posting a net loss of Rs3.28 billion compared to a profit of Rs3.85bn in the same period last year, driven largely by a substantial adjustment of Rs5.59bn payable by CPPA-G and a sharp fall in revenue.

The company’s Earnings Per Share (EPS) fell to negative Rs8.93, compared to a positive EPS of Rs10.48 in the same period last year.

Despite the downturn, the Board of Directors has approved an interim cash dividend of Rs2 per share, representing 20% of the face value.

The company’s revenue from contracts with customers plummeted by 67.7% year-on-year, falling to Rs4.03bn from Rs12.48bn. Despite a 77.3% drop in cost of sales, gross profit declined by 47%, amounting to Rs2.1bn.

Administrative expenses more than doubled, increasing by 81.2% to Rs238m, while other operating income more than doubled to Rs554m, up 135% from Rs236m last year though insufficient to offset the major drag from CPPA-G adjustments.

Operating profit dropped by 41% to Rs2.4bn, while finance costs were drastically cut by 94% to Rs13.5m, compared to Rs225m in the same period last year.

However, the one-time adjustment to balance payable by CPPA-G severely impacted the bottom line, dragging the company into a pre-tax loss of Rs3.19bn.

After taxation of Rs88.8m, the net loss stood at Rs3.28bn.

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