Systems Ltd states profits of over Rs 2 billion for CY20

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MG News | March 04, 2021 at 10:50 AM GMT+05:00

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March 4, 2021 (MLN): Systems Limited has reported earnings of Rs. 2.16 billion (EPS: 17.78) for the year ended December 31, 2020, i.e. around 38% higher as compared to the earnings of last year.

The company paid a final cash dividend for the year at Rs. 3.5/-per share i.e. 35%. Moreover, the Board of Directors recommended to issue Bonus Shares in the proportion of 1 share(s) for every 10 share(s) held i.e. 10%.

The company posted revenues of Rs. 9.87 billion for the year, i.e. up by 31% on account of higher maintenance contracts. The company also benefitted from higher exports owing to a viable exchange rate.

While the company performed decently with respect to sales, it failed to control major costs as S&D and Administrative expenses increased by 13% and 3.4%, respectively.

The finance costs increased by nearly 42% due to higher working capital requirement.

Consolidated Profit and Loss account for the year ended December 31, 2020 (Rupees)

 

Dec-20

Dec-19

% Change

Revenue from contracts with customers

9,876,827,710

7,535,648,069

31.07%

Cost of sales

(6,619,640,203)

(5,166,301,606)

28.13%

Gross profit

3,257,187,507

2,369,346,463

37.47%

Selling and distribution expenses

(201,024,729)

(178,002,387)

12.93%

Administrative expenses

(722,310,556)

(698,066,995)

3.47%

Other operating expenses

(220,135,525)

(163,532,016)

34.61%

Other income

235,201,038

318,491,575

-26.15%

Finance cost

(66,659,676)

(47,022,121)

41.76%

Profit before taxation

2,282,258,059

1,601,214,519

42.53%

Taxation

(117,960,376)

(33,281,698)

254.43%

Profit after taxation

2,164,297,683

1,567,932,821

38.04%

Earnings per share - basic and diluted

17.78

12.86

38.26%

 

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