Indus Motor Company (IMC) has posted its earnings, and it doesn’t look too good, according to the company its profits are down by 22%.
As per the details, which the company has provided to Pakistan Stock Exchange (PSX), IMC made PKR 3.35bn in the Q3 of FY19 as opposed to PKR 4.27bn in the same time of the corresponding year. Moreover, on a cumulative basis, earnings for 9MFY19 decreased by 12% YoY to PKR 10.26.
Note that Earnings per share (EPS) on a year-on-year basis is down to PKR 42.56 from PKR 54.35. The reasons earnings are down in the 3rd quarter are weak gross margins owing to rising costs from rupee depreciation against the US Dollar and lower sales in high margins segment. The margins have been declining since the first quarter of the current fiscal year.
Despite seeing a loss in the earnings, the net sales of the company increased by 13% YoY to PKR 41.533bn.
Aside from IMC, Honda has also posted its profit, and according to it, the company recorded a 31% dip in profits during the Fiscal Year 2018-19. The company’s profit after tax (PA)T stood at Rs3.21 billion at the end of March 31, 2019. It was Rs4.66 billion during the same period of the previous year.
Moving onwards, Pakistan State Oil’s earnings in Q3 down by a massive 64%. It made PKR 1.68bn in Q3 of FY19 whereas in the same period of the corresponding year the company earned PKR 4.70bn. The gross profit of Pakistan State Oil declined by 23%YoY to PKR 7.89bn during 3QFY19 as against PKR 10.18bn in the similar period last year.
The total profitability for 9MFY19 of the company is PKR 5.93bn down by 55%YoY. That’s it from our side, drop your thoughts in the comments section below.