February 15, 2024 (MLN): Pakistan State Oil Company Limited (PSX: PSO) witnessed a significant increase in its losses, soaring fivefold year-over-year in the second quarter of FY24.
The company reported a loss after tax of Rs10.43 billion [LPS: Rs25.09], compared to Rs2.08bn [LPS: Rs6.24] in the same period last year (SPLY).
Going by the results, the company's top line rose by 10.05% YoY to Rs962.43bn as compared to Rs874.55bn in SPLY.
However, the cost of sales also rose by 10.69% YoY, which worsened the gross profit by 61.81% YoY to Rs2.97bn in 2QFY24.
The gross margins worsened to 0.31% as compared to 0.89% in SPLY.
During the review period, the company recorded other income of Rs9.47bn in 2QFY24 as compared to Rs4.17bn in SPLY, depicting an increase 2.27x YoY.
On the expense side, the company observed a rise in distribution and marketing expenses by 54.93% YoY and administrative expenses by 7.13% YoY to clock in at Rs4.85bn and Rs2.06bn respectively during the review period.
The company’s finance costs expanded by 95.75% YoY and stood at Rs16.3bn as compared to Rs8.33bn in SPLY, mainly due to higher interest rates.
On the taxation front, the company received a tax credit worth Rs1.28bn as against Rs1.09bn tax paid in the same quarter last year.
| Consolidated (un-audited) Financial Results for Quarter ended 31 December, 2023 (Rupees in '000) | |||
|---|---|---|---|
| Dec 23 | Dec 22 | % Change | |
| Sales | 962,430,526 | 874,551,044 | 10.05% |
| Cost of Sales | (959,460,833) | (866,775,354) | 10.69% |
| Gross Profit | 2,969,693 | 7,775,690 | -61.81% |
| Distribution and marketing expenses | (4,846,303) | (3,128,051) | 54.93% |
| Administrative expenses | (2,056,661) | (1,919,863) | 7.13% |
| Provision for impairment on financial assets – net | (311,461) | (57,101) | 445.46% |
| Share of profit of associates – net of tax | 342,178 | 238,403 | 43.53% |
| Other Income | 9,474,788 | 4,166,064 | 127.43% |
| Other expenses | (976,267) | 257,560 | – |
| Finance cost | (16,303,493) | (8,328,927) | 95.75% |
| Profit before taxation | (11,707,526) | (996,225) | 1075.19% |
| Taxation | 1,278,258 | (1,086,971) | – |
| Net profit for the period | (10,429,268) | (2,083,196) | 400.64% |
| Basic earnings/ (loss) per share | (25.09) | (6.24) | – |
Amount in thousand except for EPS
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Posted on: 2024-02-15T11:34:30+05:00
