SEARL narrows loss to Rs284m for 9MFY25

April 30, 2025 (MLN): The Searle Company Limited (PSX: SEARL) reported a loss of Rs284.52 million [EPS: Rs1.78] for the nine months ended March 31, 2025, a significant improvement compared to a loss of Rs596.04m [LPS: Rs0.1] in the same period last year.

According to the consolidated profit and loss statement, the company's revenue from contracts with customers decreased marginally by 1.28% to Rs21.99 billion, compared to Rs22.28bn in the corresponding period of 2024.

Despite the slight decline in revenue, the company's gross profit increased by 4.40% to Rs10.74bn, compared to Rs10.29bn in the prior year, as cost of sales decreased by 6.15%, reaching Rs11.25bn.

The company saw an increase in distribution costs, which rose by 2.02% to Rs6.13bn, while administrative expenses surged by 36.01% to Rs1.89bn, reflecting higher operating expenses.

On a positive note, other income grew by 41.44% to Rs279.74m compared to Rs197.77m in the same period last year, which helped partially offset the higher expenses.

The company's finance cost decreased significantly by 34.58% to Rs1.76bn, compared to Rs2.7bn in the same period last year, benefiting from lower interest rates and cost management.

On the taxation front, the company reported an income tax expense of Rs198.89m, a decrease of 44.71% from the Rs359.74m reported in the previous year.

In terms of earnings, the loss from discontinued operations widened by 102.85% to Rs1.21bn, compared to a loss of Rs596.87m in the previous year.

However, profit from continuing operations increased dramatically by 111,226.80%, reaching Rs926.24m compared to just Rs832,000 in the same period of 2024.

Attributable to the owners of the parent company, the loss from discontinued operations was Rs1.23bn, while profit from continuing operations stood at Rs911.55m.

The basic and diluted earnings per share from continuing operations improved to Rs1.78, compared to a loss of Rs0.10 in the same period last year, while the loss per share from discontinued operations stood at Rs2.41, compared to a loss of Rs1.05 in the previous year.