Packages Limited sees nearly 70% drop in quarterly profit

April 25, 2025 (MLN): Packages Limited (PSX: PKGS) has released its financial results for the three months ended March 31, 2025 (1QCY25), posting a profit after tax of Rs187.87 million, reflecting a substantial decline of 69.94% from Rs625.04m reported in the same period last year (SPLY).

The loss attributable to equity holders stood at Rs302.73m [LPS: Rs3.39] compared to a profit of Rs281.36m [EPS: Rs3.15] in 1QCY24.

The company’s net revenue improved by 9.73% YoY, reaching Rs49.74bn versus Rs45.33bn in SPLY, while cost of sales and services rose by 10.89% YoY, resulting in a gross profit of Rs10.2bn up 5.44% YoY.

On the expense front, administrative costs saw a decline of 11.59% YoY to Rs1.73bn.

However, distribution and marketing expenses surged by 47.22% YoY, clocking in at Rs2.99bn. Other expenses also spiked by 74.28% to Rs470.93m.

Meanwhile, the company recorded a net impairment loss on financial assets amounting to Rs78.89m, in contrast to a gain of Rs24.23m last year.

Other income sharply declined by 77.4% YoY to Rs234.57m, down from Rs1.04bn in 1QCY24. Share of net profit from associates and joint ventures provided some relief, rising 42.7% to Rs93.8m.

The company’s finance cost fell 18.98% to Rs3.65bn.

After accounting for a 90% YoY increase in levies, profit before income tax came in at Rs1.27bn down 32.96% YoY. Income tax expenses also decreased by 14.71% to Rs1.08bn.

Copyright Mettis Link News