Panther Tyres topline surges 38.2% in FY24, earns Rs466m

October 07, 2024 (MLN): Panther Tyres Ltd. (PSX: PTL) revealed its earnings for the year ended June 30, 2024, wherein the profit after tax clocked in at Rs465.79 million [EPS: Rs2.77], up by 7.62% compared to the bottom line reported last year.

The profit growth was primarily driven by a robust 38.2% jump in topline, clocking in at Rs29.52bn as compared to Rs21.36bn in FY23.

The cost of sales rose by 38.1%, but with sales increasing at a greater rate, gross profit jumped by 38.7% to Rs4.3bn in FY24.

The gross margins improved to 14.6% as compared to 14.5% in SPLY.

During the period under review, the company received further support through other income, which expanded 13.5% to stand at Rs104.06m in FY24 as compared to Rs91.73m in FY23.

On the expense side, the company's administrative expenses rose 10.1% YoY to Rs392m, while distribution cost spiked 51.3% YoY to Rs1.41bn.

Conversely, other operating expenses fell 10.2% YoY to Rs170.24m.

The company’s finance cost soared by 41.9% and stood at Rs1.49bn as compared to Rs1.05bn in SPLY, mainly due to higher interest rates.

On the tax front, the company paid a higher tax worth Rs429.89m against the Rs213.08m paid in the corresponding period of last year, depicting an increase of 101.8%.

In summary, PTL's robust revenue growth successfully offset rising costs associated with sales, operating expenses, finance costs, and taxation, with other income also playing a modest supporting role.

It is important to note that the company's total comprehensive income in FY24 reached Rs1.11bn, largely due to a significant revaluation gain of Rs725.72m on property, plant, and equipment.

Amount in thousand except for EPS

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