PAEL undergoes losses worth Rs 425 million in 1HCY20

August 17, 2020 (MLN): Pak Electron Limited (PAEL) has suffered losses of Rs 425 million for the half-year ended June 30, 2020, against net profits of Rs 275 million of the corresponding period last year.

This has translated into a loss per share which clocked in at Rs 0.90 against earnings per share of Rs 0.51 in the aforementioned period.

The company underwent losses in 1HCY20 due to higher distribution expenses and finance costs.

As per the financial statement issued by the company to PSX, PAEL’s gross revenue was up nearly by 14% YoY on an account of increase in volumetric sales from the Power Division segment and seasonal uptick, mentioned by Topline securities. As a result of this, gross profits increased by 77.52% YoY to Rs 2.96 billion.

The company witnessed a  sharp upsurge in its major expense heads as distribution expenses and administrative expenses went up by 3.89 times YoY and 2.2 times YoY respectively. However, other expenses fell by 52%.

The other major highlight is finance cost which ballooned by 83% YoY to clock in at Rs 1.29 billion, which further injured the financial well-being of the company. Meanwhile, the company booked a tax expense of Rs62 million in 1HCY20.

 Financial Results for the Half-Year ended June 30th, 2020 ('000 Rupees)

 

Jun-20

Jun-19

% Change

GROSS REVENUE

 18,168,597

 16,006,595

13.51%

SALES TAX AND DISCOUNTS

 (4,698,399)

 (2,256,930)

108.18%

NET REVENUE

 13,470,198

 13,749,665

-2.03%

COST OF SALES

 (10,509,448)

 (12,081,830)

-13.01%

GROSS PROFIT

 2,960,750

 1,667,835

77.52%

OTHER OPERATING INCOME

 12,027

 19,883

-39.51%

DISTRIBUTION COST

 (1,230,321)

 (316,242)

289.04%

ADMINISTRATIVE EXPENSES

 (796,089)

 (360,241)

120.99%

OTHER OPERATING EXPENSES

 (12,017)

 (25,098)

-52.12%

FINANCE COST

 (1,295,833)

 (706,733)

83.36%

SHARE OF PROFIT/(LOSS) OF ASSOCIATE

 (2,066)

 1,566

(LOSS)/PROFIT BEFORE TAXATION

 (363,549)

 280,970

PROVISION FOR TAXATION

 (62,293)

 (5,241)

1088.57%

(LOSS)/PROFIT AFTER TAXATION

 (425,842)

 275,729

(LOSS)/EARNINGS PER SHARE-BASIC & DILUTED

 (0.90)

 0.51

 

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Posted on: 2020-08-17T16:11:00+05:00

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