Jawad Ahmed

Net revenue of Pakistan National Shipping Corporation increased over 148% to Rs4.53 billion in the first quarter (July-Sept) of the ongoing financial year 2022-23 compared with Rs1.82 billion in the same period of the last fiscal.

The Covid-19 pandemic, which posed a threat to the world economy since 2020, has begun to fade as economies opened up since closures in 2020. As a result, the company has experienced significant growth in terms of revenue and profitability compared to the prior period, reports WealthPK quoting the company’s financial stats.

During the quarter under review, the company reported a gross profit of Rs1.24 billion, up over 104% from the previous year’s Rs213 million. The profit-before-tax in FY23’s first quarter stood at Rs1.17 billion compared to Rs182 million during the same period of the previous year, posting a massive growth of 547% year-on-year.

The company’s net profitability rose more than 865% to Rs850 million in the first quarter of FY23 from Rs88 million over the same period in FY22. This increase pushed the earnings per share (EPS) to Rs6.43 from Rs0.67 the previous year.

As of June 30, 2022, the government of Pakistan owned 87.56% of the total shares of the company. Local investors owned 8.15% of shares, directors, CEO and their spouse(s) and minor children possessed 1.58% of shares. The remaining shares were divided between the rest of the shareholders.

Company’s performance over the years

In 2020, the company’s revenue increased 21.2% to Rs13.80 billion from Rs11.38 billion in 2019. The rather slow increase in top line was caused by the market closure necessitated by Covid-19. The company reported a 10% increase in net profit during the year, which stood at Rs2.41 billion, up from Rs2.19 billion the previous year. As a result, the EPS inched up to Rs18.27 in 2020 from Rs16.62 the previous year.

In 2021, the company experienced a decline in its turnover, which fell by 7.3% to Rs12.78 billion from Rs13.80 billion the year before. The profit-after-tax also reduced from Rs2.41 billion the previous year to Rs2.26 billion during the year under review. Due to a decline in profit, the EPS dropped to Rs17.14 from Rs18.27 the year before.

In 2022, as Covid-19 pandemic subsided, the company experienced a spectacular increase in its turnover, which leapt by over 116% to Rs27.71 billion from Rs12.78 billion the year before. The profit-after-tax also rocketed from Rs2.26 billion the previous year to Rs5.65 billion this year. Due to an increase in profit, the EPS jumped to Rs42.78 from Rs17.14 the year before.

About the Company

Pakistan National Shipping Corporation was established under the provisions of the Pakistan National Shipping Corporation Ordinance, 1979. It is principally engaged in the business of shipping, including charter of vessels, transportation of cargo and other related services. It provides commercial, technical, administrative, financial and other services to its subsidiaries and third parties in relation to the shipping business. The corporation is also engaged in renting out its properties to tenants under lease arrangements.

Credit : Independent News Pakistan-WealthPk