THALL Q1 profit rises 30% despite lower revenue

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MG News | October 30, 2024 at 10:21 AM GMT+05:00

October 30, 2024 (MLN): Thal Limited (PSX: THALL) earned a 29.8% higher first-quarter profit despite lower revenue. The growth was led by higher other income.

The company posted a net profit of Rs328.92 million [EPS: Rs4.06] during the quarter ending September 2024, up from Rs253.33m [EPS: Rs3.13] in the same period last year (SPLY).

The company's revenue marked a decline of 1.9% to Rs5.75bn as compared to Rs5.86bn in SPLY. Gross profit fell 18.9% to Rs481.09m in Q1 FY25.

The gross margins worsened to 8.4% as compared to 10.1% in SPLY.

Meanwhile, its other income jumped 65.5% to stand at Rs795.7m in Q1 FY25 as compared to Rs480.7m in SPLY.

On the expense side, the company's administrative expenses rose 20.8% from a year ago to Rs357.84m, selling and distribution expenses rose 11.5% to Rs192.61m, and other operating expenses fell 20.1% to Rs40.25m.

The company’s finance cost down by 1.5% and stood at Rs190.13m as compared to Rs193.03m in SPLY.

On the tax front, the company paid a higher tax worth Rs167.04m against Rs108.06m paid in the corresponding period of last year, an increase of 54.6%.

This translates to an effective tax rate of 33.7% as compared to 29.9% in SPLY.

Unconsolidated (un-audited) Financial Results for quarter ended September 30, 2024 (Rupees in '000)
  Sep 24 Sep 23 % Change
Sales 5,751,093 5,861,141 -1.88%
Cost of sales (5,270,006) (5,268,088) 0.04%
Gross Profit/ (loss) 481,087 593,053 -18.88%
Administrative Expenses (357,843) (296,129) 20.84%
Selling And Distribution Expenses (192,613) (172,831) 11.45%
Other Income 795,704 480,695 65.53%
Other Operating Expenses (40,247) (50,377) -20.11%
Finance Cost (190,130) (193,029) -1.50%
Profit/ (loss) before taxation 495,958 361,382 37.24%
Taxation (167,039) (108,056) 54.59%
Net profit/ (loss) for the period 328,919 253,326 29.84%
Basic earnings/ (loss) per share 4.06 3.13 -

Amount in thousand except for EPS

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