NRL continues to suffer financial losses owing to lower revenue

October 20, 2020 (MLN): National Refinery Limited (NRL) has incurred losses of Rs. 1.31 billion (LPS: 16.4) during the quarter ended September 30, 2020, i.e. nearly 93% higher as compared to the losses made in the same period of last year.  

The company continued to make losses on the back of lower net revenue from contracts, which in turn resulted from higher trade discounts offered to the customers. While there was a decline in the cost of sales by 27%, the company still made a gross loss of Rs. 1.34 billion i.e. almost 6x higher than the same period of last year.

All the major expense heads, as well as the non-core expenses, declined during the quarter, giving some relief to the financial position of NRL. The Finance cost, too, depicted a decline of 59% owing to a lower interest rate regime.

The company received tax credit this time around too, amounting to almost 418 million i.e. almost double what it received in the same period of last year.

Financial Results for the quarter ended September 30, 2020 (Rupees'000)

 

Sep-20

Sep-19

% Change

Revenue from contracts with customers

42,630,047

52,332,426

-18.5%

Trade discounts, taxes, duties, levies, and price differential

(15,367,807)

(13,064,811)

17.6%

Net revenue from contracts with customers

27,262,240

39,267,615

-30.6%

Cost of sales

(28,602,766)

(39,455,909)

-27.5%

Gross loss

(1,340,526)

(188,294)

611.9%

Distribution cost

(123,781)

(196,882)

-37.1%

Administrative expenses

(206,716)

(234,402)

-11.8%

Other expenses

(3,117)

(5,036)

-38.1%

Other income

95,146

101,773

-6.5%

Finance cost

(150,396)

(370,870)

-59.4%

Profit before taxation

(1,729,390)

(893,711)

93.5%

Taxation

418,290

214,946

94.6%

Profit after taxation

(1,311,100)

(678,765)

93.2%

Earnings per share

-16.4

-8.49

93.2%

 

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Posted on: 2020-10-20T12:17:00+05:00

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