March 4, 2020 (MLN): Shell Pakistan Limited has announced its financial results for the CY19, as per which the company has posted its net losses of Rs 1.48 billion (LPS: Rs13.88), i.e. around 35% higher than net losses of Rs 1.1 billion (Rs 10.30) of the corresponding period of last year.
As per the financial statement of the company, the net revenue went up by 7.26% YoY, but more than an increase in the cost of sales (up by 8.11 %) caused gross profits to decrease by 2.12% YoY to Rs. 15 billion.
On the cost front, the distribution and marketing expenses increased by 14% YoY whereas distribution expenses plunged by 45% YoY.
More notably, the main culprit is the colossal increase in finance cost which increased by 4 times YoY, from Rs 370 million to Rs 1.5 billion, damaging the company’s performance owing to higher borrowings with higher interest rates.
|
Financial Results for the year ended December 31, 2019 ('000 Rupees) |
|||
|---|---|---|---|
|
|
Dec-19 |
Dec-18 |
% Change |
|
Sales |
234,040,872 |
214,211,920 |
9.26% |
|
Other revenue |
765,436 |
941,091 |
-18.67% |
|
Total revenue |
234,806,308 |
215,153,011 |
9.13% |
|
Sales tax |
(35,087,707) |
(28,949,456) |
21.20% |
|
Net revenue |
199,718,601 |
186,203,555 |
7.26% |
|
Cost of products sold |
(184,621,127) |
(170,779,180) |
8.11% |
|
Gross profit |
15,097,474 |
15,424,375 |
-2.12% |
|
Distribution and marketing expenses |
(7,388,212) |
(6,482,137) |
13.98% |
|
Administrative expenses |
(5,042,971) |
(5,028,800) |
0.28% |
|
Other expenses |
(2,791,907) |
(5,084,078) |
-45.09% |
|
Other income |
557,612 |
507,050 |
9.97% |
|
Operating profit/ (Loss) |
431,996 |
(663,590) |
|
|
Finance costs |
(1,522,768) |
(370,159) |
311.38% |
|
|
(1,090,772) |
(1,033,749) |
|
|
Share of profit of associates – net of tax |
950,806 |
974,075 |
-2.39% |
|
Loss before taxation |
(139,966) |
(59,674) |
134.55% |
|
Taxation |
(1,345,801) |
(1,042,311) |
29.12% |
|
Net Loss for the year |
(1,485,767) |
(1,101,985) |
34.83% |
|
Loss per share – basic and diluted (Rupees) |
(13.88) |
(10.30) |
34.76% |
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