PRL released financial results today for the quarter and six months ending December, 31st 2017. The company despite a healthy growth in sales reported a fall in profits for the period.
PRL Gross Margins also shrunk by more than 12% to 941 million despite a 15% increase in Net Sales. Company’s Distribution Costs and Admin Expenses also went up by more than 13% and 14% respectively, taking away a total of Rs. 277 million from bottom line profit.
PRL bottom line profits during the half year ended December, 2017 clocked in at Rs. 145 million, down 78% from last year’s tally Rs. 690 million.
Other income also took a fall of more than 84%, clocking in at Rs. 66.33 million against Rs. 441 million last year, the company reported an EPS of Rs. 0.47 vs. an EPS of Rs. 2.24 during half year ending December, 2016.
The company in additional notes informed that the “company has accumulated losses of Rs. 4.6 billion resulting in a negative equity of Rs. 0.25 billion and its current liabilities exceed its current assets by Rs. 7.96 billion.”
The company also informed stakeholders that, “the company did not meet the policy framework for upgradation and expansion of refinery projects issued by Ministry of Energy, under which all refineries were required to install Diesel Hydro Desulphurization Unit (DHDS) to produce Euro II compliant High Speed Diesel (HSD) and therefore it is subject to downward adjustments in HSD Pricing until setting up of DHDS Unit”.
|
Unconsolidated Profit and Loss Account – For the Half Year Ended, December, 2017 |
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|---|---|---|---|
|
Key Financials |
2017 |
2016 |
% Change |
|
Amounts in PKR ‘000 |
|||
|
Net Sales |
39,552,822 |
34,343,429 |
15.17% |
|
Cost of Sales |
38,611,209 |
33,267,756 |
16.06% |
|
Gross Profit |
941,613 |
1,075,673 |
-12.46% |
|
Distribution Cost |
101,816 |
89,561 |
13.68% |
|
Administrative Expenses |
176,953 |
155,042 |
14.13% |
|
Other Operating Expenses |
69,965 |
109,836 |
-36.30% |
|
Other Income |
66,330 |
441,256 |
-84.97% |
|
Operating Profit |
659,209 |
1,162,490 |
-43.29% |
|
Finance Cost |
253,661 |
317,348 |
-20.07% |
|
Profit/(loss) before Taxation |
406,116 |
847,490 |
-52.08% |
|
Taxation |
260,851 |
157,279 |
65.85% |
|
Profit/(loss) after Taxation |
145,265 |
690,211 |
-78.95% |
|
EPS – Basic |
0.47 |
2.24 |
-79.02% |
Company release on Earnings Report can be accessed here.
