October 25, 2022 (MLN): National Refinery Limited (NRL) has unveiled its financial results for the quarter that ended September 30, 2021, wherein, the company has incurred loss of Rs4.4 billion (LPS: Rs54.92) compared to a profit of Rs406 million (EPS: Rs5.08) earned in the same period of last fiscal year.
According to the financial statement sent to PSX, the company witnessed a jump in net revenue from contracts with customers by 50.81%YoY to Rs68.34bn, which resulted from lesser trade discounts offered to the customers, taxes, duties, and levies.
On the expense side, NRL saw a 40% YoY and 14.48% YoY increase in distribution cost and administrative expenses to stand at Rs392.2mn and Rs240.6mn, respectively in 1QFY23 compared to the same period last year.
Similarly, the financial cost of the company has soared by 3.5x during the review period to Rs5.34bn, affecting the financial health of the company. An increase in the policy rate by the central bank may be one of the reasons behind this increase in financial costs.
On the taxation front, the company recorded a tax credit worth Rs1.5bn, compared to Rs220bn paid in 1QFY22.