Pakistan Cables posts Rs186.65mn loss in 1HFY25

January 31, 2025 (MLN): Pakistan Cables Limited (PCAL) has reported a net loss of Rs186.65 million for the six-month period ended December 31, 2024 (1HFY25), compared to a profit of Rs217.97mn in the corresponding period last year.

The loss per share stood at Rs3.43, contrasting with earnings per share of Rs4 in the previous year.

Despite a 21.91% increase in revenue from contracts with customers, reaching Rs15.71 billion, the company faced higher costs, with the cost of sales rising by 26.68% to Rs14.06bn.

This resulted in a 7.63% decline in gross profit, which fell to Rs1.65bn compared to Rs1.79bn in 1HFY24.

Operating expenses also saw an upward trend, with marketing, selling, and distribution expenses increasing by 11.41% to Rs555.41mn, while administrative expenses rose by 10.93% to Rs187.61mn.

However, a reversal in impairment on trade debts of Rs13.508mn provided some relief compared to a loss of Rs16.51mn in the prior period.

The company's finance cost surged significantly by 52.62% to Rs1.25bn, primarily due to increased borrowing costs.

Other expenses declined by 71.78% to Rs11.74mn, while other income saw a substantial increase of 189.26%, reaching Rs135.11mn.

As a result of these factors, PCAL reported a pre-tax loss of Rs224.14mn compared to a pre-tax profit of Rs276.91mn in the same period last year.

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