Rupali Polyester faces Rs736mn loss in H1FY25

February 27, 2025 (MLN): Rupali Polyester Limited (PSX: RUPL) has reported a loss of Rs735.82 million for the half year ended December 31, 2024, marking a 92.71% increase compared to a loss of Rs381.83mn in the same period last year.

The decline in performance is primarily attributed to a drop in net sales, a significant gross loss, and rising financial costs.

During the period, net sales stood at Rs4.64 billion, reflecting a 13.59% decrease from the previous year’s Rs5.37bn.

Despite a 4.87% decline in the cost of sales, the company reported a gross loss of Rs435.4mn, compared to a gross profit of Rs34.69mn in the previous year.

Other income surged by 114.46% to Rs83.45mn, but it was not enough to offset operational expenses.

Total operating expenses fell by 10.50% to Rs425.54mn, with distribution costs and administrative expenses decreasing by 5.08% and 14.01%, respectively.

Finance costs declined by 13.76% to Rs269.94mn, while other operating expenses soared by 118.27% to Rs24.01mn.

Consequently, the company’s loss before taxation widened by 78.14% to Rs835.54mn, compared to Rs469.03mn last year.

The provision for taxation rose by 14.36% to Rs99.71mn, further squeezing profitability.

As a result, earnings per share (EPS) dropped to Rs-21.60 from Rs-11.21, reflecting the company’s ongoing financial challenges.

Copyright Mettis Link News