Hifsa Raja

Kohat Cement Company Limited’s gross revenue climbed 32% to Rs23.58 billion in the first nine months of the previous fiscal year 2021-22 (9MFY22) from Rs17.81 billion over the corresponding period of FY21. The gross profit, showing a 67% growth, stood at Rs7.24 billion in 9MFY22 compared to Rs4.33 billion over the same period of FY21. The operating profit stood at Rs6.89 billion, up 76% from Rs3.92 billion in 9MFY21. The before-tax profit grew 85% to Rs6.51 billion in 9MFY22 from Rs3.52 billion in 9MFY21. The profit-after-tax grew 83% to Rs4.62 billion in 9MFY22 from Rs2.53 billion in 9MFY21. The earnings per share (EPS) stood at Rs23.05 in 9MFY22 compared to Rs12.6 over the same period in FY21, showing a growth of 83%, reports WealthPK.

As of June 30, 2021, directors, their spouse(s) and minor children owned 17.09% of the company’s total shares. Associated companies held 55.08% of the shares; NIT and ICP 0.09%; banks, development financial institutions and non-banking financial institutions 0.10%; insurance companies 0.31%; modarabas 0.01%; mutual funds 13.82%; general public (local) 10.83%; general public (foreign) 0.95% and ‘others’ 1.72%.

Financial Performance

During the fiscal year 2020-21, the company generated revenue of Rs24 billion against Rs11 billion in 2019-20, registering an increase of 113%. The gross profit for FY21 was Rs5.96 billion, up a mammoth 24628% from the loss of Rs24 million in FY20. The operating profit for FY21, showing a huge increase of 3760%, settled at Rs5.40 billion, from a loss of Rs147 million in FY20. The profit-before-tax for FY21 was Rs4.88 billion compared to Rs557 million in FY20, showing an increase of 977%. Similarly, the profit-after-tax for FY21 was Rs3.49 billion as compared to a loss of Rs443 million in FY20, showing a gigantic increase of 888%.

The company’s EPS plunged from Rs12.29 in 2019 to Rs2.21, a loss per share, in 2020. However, a rebound in the company’s fortunes was witnessed the following year as the EPS surged to Rs17.41. The EPS went further higher to Rs25.01 in 2022.

The company’s profitability – gross profit and profit before and after tax – remained robust in 2019, but all the three ratios plunged into the negative territory in 2020. The profitability improved in 2021, as the gross profit ratio and profit before and after the tax increased at a good pace.

Kohat Cement Company Limited was incorporated in Pakistan under the Companies Act,1913 as a public limited company. The firm is engaged in production and sale of cement. ANS Capital (Private) Limited is its holding company.

Credit : Independent News Pakistan-WealthPk