Packages Limited, a leading packaging and paperboard manufacturer in Pakistan, has reported impressive financial results for the nine months ended September 30, 2023. During the period, Packages Limited’s revenue reached Rs119.7 billion, exhibiting a significant year-on-year growth of 32.6%. The substantial increase in revenue is a testament to the company’s effective sales, successful product offerings and strong customer demand. The company’s gross profit for the nine months amounted to Rs30.2 billion, demonstrating a remarkable growth rate of 55% compared to the same period of the previous year. This noteworthy increase highlights the company’s operational efficiency and cost management practices. Packages Limited’s profit-before-tax for the period stood at Rs14.1 billion, indicating a substantial growth of 33%. The increase reflects the company's ability to generate strong operating profits, despite prevailing market challenges and tough economic conditions.

The post-tax profit for the nine months reached Rs8.9 billion, representing an inspiring growth of 21.7% compared to the corresponding period of the previous calendar year. The rise underscores the company’s consistent profitability and effective tax management strategies. The earnings per share for the period under review stood at Rs89.44, showing a notable growth rate of 15.1% compared to the same period of the previous year. The higher EPS indicates enhanced profitability on a per-share basis and reflects the company’s commitment to creating value for its shareholders.

Three-months summary

Packages Limited earned revenue of Rs43.8 billion in the third quarter (July-September) of the last calendar year 2023 (3QCY23) compared to Rs32.4 billion over the corresponding period of the previous year, posting growth of 34.9%. The gross profit during the three months was Rs9.9 billion compared to Rs6.5 billion over the corresponding period of CY22. The profit-before-taxation also increased significantly during the period under review. About the company

Packages Limited is a public limited company engaged in the manufacture and sale of packaging materials and tissue products. The company also holds investments in various businesses, including tissue and consumer products, industrial inks, papers and paperboard products, biaxially oriented polypropylene films and cast polypropylene films, calcium carbonate products, insurance, power generation and real estate.

Future outlook

Amidst a highly challenging and competitive environment, the company is thriving on the heels of the successful operations of its subsidiaries, which serve across various sectors of the economy, providing their holding company the advantage of income diversification. Moreover, its foreign-based subsidiaries continue to be a source of hefty exchange gain amidst steep depreciation in the Pak rupee against the US dollar.

Credit: Independent News Pakistan (INP)