Hifsa Raja

Aisha Steel Mills Limited’s (ASL) sales and profitability nosedived in the first nine months of the fiscal year 2022-23 (9MFY23) compared to the corresponding period of last year. ASL’s sales decreased 48.28% to Rs25 billion in 9MFY23 from Rs49 billion over the corresponding period of the previous year, reports WealthPK.  Similarly, the company’s gross profit plunged 63.54% to Rs1.2 billion in 9MFY23 from Rs3.48 billion in 9MFY22.

The company’s operating profit decreased by 69.72% to Rs833 million in 9MFY23 from Rs2.9 billion in 9MFY22. The firm sustained loss-before-tax of Rs3.3 billion in 9MFY23 compared to the before-tax profit of Rs695 million in 9MFY22, posting a staggering 577% negative growth year-on-year. Likewise, the loss-after-taxation stood at Rs2.14 billion in 9MFY23 compared to the post-tax profit of Rs513 million in 9MFY22, registering 517% negative growth year-on-year.

Company’s performance in FY22

In the fiscal year 2021-22, though ASL posted 17.62% gain in gross profit, its before and after-tax profits plunged by 85% and 82%, respectively, compared to FY21.

Industry comparison

Amreli Steels Limited, Agha Steel Industries Limited, International Industries Limited and Crescent Steel and Allied Products Limited are considered rivals of Aisha Steel Mills Limited in terms of market capitalisation. International Industries Limited has the highest market capitalisation of Rs9.8 billion and Crescent Steel and Allied Products Limited has the lowest market cap of Rs2.1 billion. The market value of Aisha Steel Mills is Rs5.4 billion.

Co-sponsoring Pakistan Pavilion at Dubai Expo

Aisha Steel Mills Limited co-sponsored the Pakistan Pavilion at the International Dubai Expo 2020. The Pakistan Pavilion won the ‘Best Pavilion Exterior Design Award’. The company also featured in the Pakistan Pavilion’s official coffee table book ‘Treasured Companies of Pakistan’.

Participating in auto show

Aisha Steel Mills participated in the Pakistan International Auto Show 2022 held in Lahore International Expo Centre from July 29 to 31, 2021. The auto show was a pioneering trade exhibition for the rapidly developing automotive aftermarket in Pakistan. The show was undisputedly the country’s largest gathering of leading automakers, auto parts manufacturers, suppliers and auto service providers from all over the country.

Company profile

Aisha Steel Mills was incorporated in Pakistan on May 30, 2005 as a public limited company under the repealed Companies Ordinance, 1984. The company has a cold rolling mill complex and a galvanisation plant in the Industrial Estate, Bin Qasim, Karachi, to carry out its principal business of manufacturing and selling cold rolled coils and hot dipped galvanised coils. The company's products are sold to customers through a network of dealers, whereas sales are also made directly to end users manufacturing various engineering goods.

Credit: Independent News Pakistan-WealthPk