May 20, 2020 (MLN): Due to the uncertain outlook as a result of Covid-19 pandemic, the first quarter of the ongoing fiscal year has been tough for the leading oil marketing company Shell Pakistan Limited as it reported a loss worth Rs 4.33 billion compared to the profits of Rs 256.89 million earned in the corresponding quarter of last year.
The company’s loss per share clocked in at Rs 40.48 against the earnings per share of Rs 2.40 reported in the first quarter of 2019.
The losses were mainly attributable to decline in sales volume which diminished company’s net revenues by 8%. Consequently, Shell’s gross profits deteriorated significantly by 76% YoY.
Furthermore, a considerable jump in Admin cost by 72.17% and other expenses by 316.8% also had a great impact on company’s income as they turned company’s operating profits into operating losses of Rs 3.9 billion.
Shell also witnessed a 74% decline in other income during the quarter under review which further helped in dragging company’s profits into negative territory.
Financial Results for the Quarter ended March 31, 2020 ('000 Rupees) | |||
|---|---|---|---|
| Mar-20 | Mar-19 | % Change |
Sales | 49,309,716 | 53,283,294 | -7.46% |
Other revenue | 104,724 | 236,835 | -55.78% |
Total revenue | 49,414,440 | 53,520,129 | -7.67% |
Sales tax | (7,504,663) | (7,939,819) | -5.48% |
Net revenue | 41,909,777 | 45,580,310 | -8.05% |
Cost of products sold | (41,163,967) | (42,460,043) | -3.05% |
Gross profit | 745,810 | 3,120,267 | -76.10% |
Distribution and marketing expenses | (1,747,045) | (1,606,267) | 8.76% |
Administrative expenses | (1,315,789) | (764,246) | 72.17% |
Other expenses | (1,667,284) | (400,000) | 316.82% |
Other income | 72,784 | 279,818 | -73.99% |
Operating profit/ (Loss) | (3,911,524) | 629,572 |
|
Finance costs | (432,451) | (330,508) | 30.84% |
| (4,343,975) | 299,064 |
|
Share of profit of associates – net of tax | 248,228 | 215,496 | 15.19% |
Loss before taxation | (4,095,747) | 514,560 |
|
Taxation | (236,715) | (257,666) | -8.13% |
Net Loss for the year | (4,332,462) | 256,894 |
|
Loss per share – basic and diluted (Rupees) | (40.48) | 2.40 |
|
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