Karachi: OLP Services Pakistan (Pvt) Limited - Modaraba Management Company announced on September 14, 2024, in Karachi, robust financial results for OLP Modaraba for the fiscal year ending June 30, 2024. The Board of Directors approved a final cash dividend of PKR 2.00 per certificate, translating to a 20 percent payout, reflecting a confident outlook on sustained earnings growth.
The financial overview reveals a significant increase in profitability, with OLP Modaraba posting a net profit after taxation of PKR 157.74 million for 2024, up from PKR 128.78 million in the previous year. This represents an increase in earnings per certificate from PKR 2.84 to PKR 3.48. According to information available from the Pakistan Stock Exchange (PSX), these results underscore a notable improvement in operational efficiency and asset performance.
Revenue streams for OLP Modaraba showed a diverse portfolio with Ijarah rentals earning PKR 836.64 million, a slight decline from last year's PKR 976.43 million. However, income from diminishing musharika arrangements significantly increased to PKR 1.14 billion, compared to PKR 830.83 million in 2023, indicating a strategic shift towards more profitable ventures. Dividend income and income on deposits with banks also saw upward trajectories.
On the expenditure side, financial and other charges rose to PKR 1.09 billion due to heightened market volatility, while depreciation on assets under Ijarah arrangements decreased to PKR 513.10 million. The company efficiently managed reversals and provisions, notably reversing PKR 9.97 million in provisions related to diminishing musharika arrangements.
The annual review meeting for stakeholders is scheduled for October 28, 2024, in Karachi, where further insights into the fiscal strategies and operational directives are expected to be shared. Certificate transfer books will remain closed from October 21, 2024, to October 28, 2024, for dividend entitlement.
The designated market category, significant financial results, and corporate governance details presented in these announcements play a crucial role in maintaining investor confidence and market stability.