February 29, 2024 (MLN): Roshan Packages Limited (PSX: RPL) reported a 7.2% YoY drop in net income in the first half of fiscal year 2024 as higher costs eroded its margins.
Going by the consolidated results made available by the company on the local bourse, the company earned Rs21.78 million [EPS: Rs0.15] in 1HFY24 compared to a profit of Rs23.48m [EPS: Rs0.17] in the same period last year (SPLY).
Roshan Packages Limited achieved net sales revenue of Rs5.41bn for the half-year ended December 31, 2023, compared to Rs5.19bn in the corresponding period last year, registering an increase of 4.3%.
Despite the modest increase in sales, the company's gross profit showed a slight decrease from Rs574m in the previous year to Rs558m in the current reporting period, reflecting increased costs and potential pricing pressures.
Operating expenses, including administrative, selling, and distribution expenses, decreased from Rs358m in the last year comparable period to Rs356m in the current reporting period.
Other income witnessed a substantial increase, rising from Rs24m in the last year comparable period to Rs49m in the current reporting period, attributed to diversified income streams and improved investment activities.
However, finance costs remained relatively stable, while other expenses decreased, contributing to the overall profitability.
Profit before taxation surged by 56%, rising from Rs55m in the same period last year to Rs86m in the current period, despite facing challenges in revenue and operating expenses.
| Consolidated (un-audited) Financial Results for half year ended December 31, 2023 (Rupees in '000) | |||
|---|---|---|---|
| Dec 23 | Dec 22 | % Change | |
| Sales – Net | 5,410,757 | 5,186,742 | 4.32% |
| Cost of sales | (4,852,514) | (4,612,828) | 5.20% |
| Gross Profit / (Loss) | 558,243 | 573,914 | -2.73% |
| Administrative expenses | (127,951) | (150,473) | -14.97% |
| Provision of allowance for expected credit losses | (41,088) | (13,063) | 214.54% |
| Selling and distribution expenses | (169,685) | (185,029) | -8.29% |
| Other operating expenses | (16,987) | (9,248) | 83.69% |
| Other income | 49,169 | 24,148 | 103.62% |
| Finance cost | (165,571) | (155,510) | 6.47% |
| Profit before taxation | 86,128 | 54,631 | 57.66% |
| Taxation | (64,344) | (31,154) | 106.53% |
| Net profit / (loss) for the period | 21,784 | 23,476 | -7.21% |
| Basic earnings/ (loss) per share | 0.15 | 0.17 | – |
Amount in thousand except for EPS
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Posted on: 2024-02-29T15:32:01+05:00
