Saif Power’s annual profit drops 60% in 2024

April 07, 2025 (MLN): Saif Power Limited (PSX: SPWL) posted a net profit of Rs133.3 million for the year ended December 31, 2024, down 60.3% from Rs336.1m in the previous year, according to its annual statement of profit and loss.

SPWL’s earnings per share dropped to Rs0.35 from Rs0.87 a year ago.

The drop in profitability was largely driven by a steep decline in net turnover and additional provisioning expenses.

Net turnover fell by 49.2% to Rs9.67 billion in 2024 from Rs19.04bn a year earlier, reflecting reduced power dispatch or lower fuel pass-through, while cost of sales decreased by 58.5% to Rs6.75bn.

Despite this, gross profit slightly improved by 4.4% to Rs2.92bn, supported by a significant jump in other income, which surged over 22 times to Rs528.6m.

Operating profit jumped 442.2% to Rs1.82bn, compared to Rs336.1m in 2023, due to lower finance costs and higher other income.

However, the company faced heavy provisions including Rs1.36bn against delayed payments from CPPA-G and Rs252.5m in expected credit loss allowances.

These one-off charges significantly impacted the bottom line.