Lahore: Millat Tractors Limited, one of Pakistan's leading manufacturers of agricultural machinery, has reported a substantial decline in its financial performance for the quarter ending September 30, 2024. According to the company's unconsolidated financial statement, revenue from contracts with customers stood at 7,825.43 million rupees, a sharp decrease compared to 20,760.83 million rupees recorded in the same period last year.
The company's gross profit for the quarter declined to 2,182.09 million rupees from 4,799.20 million rupees in the previous year. This decline is mainly attributed to a significant drop in revenue, while the cost of sales decreased to 5,643.34 million rupees from 15,961.63 million rupees.
The operating profit was recorded at 1,502.49 million rupees, down from 3,907.18 million rupees in the same period last year. The decrease was further impacted by a rise in finance costs, which amounted to 544.82 million rupees, compared to 195.38 million rupees a year earlier.
According to information available from the Pakistan Stock Exchange (PSX), Millat Tractors' profit before taxation was 957.09 million rupees, significantly lower than the 3,703.37 million rupees achieved in the corresponding quarter of the previous year. After accounting for taxation of 387.88 million rupees, the profit after tax was 569.21 million rupees, in stark contrast to 2,291.68 million rupees in the prior year.
The company's total comprehensive income for the period was reported as 537.71 million rupees, compared to 2,401.99 million rupees in the same quarter of the previous year. Earnings per share also saw a decrease, with basic and diluted earnings per share reported at 2.97 rupees, down from 11.95 rupees in the corresponding period last year.
On a consolidated basis, Millat Tractors reported revenue of 8,792.17 million rupees, a decline from 22,620.19 million rupees in the same quarter of the previous year. The company's consolidated gross profit was 2,390.69 million rupees, down from 5,299.86 million rupees last year. The profit after tax for the consolidated accounts was 459.81 million rupees, significantly lower than the 2,454.12 million rupees recorded in the previous year's corresponding quarter.
Millat Tractors' consolidated earnings per share were reported at 2.40 rupees, a decrease from 12.80 rupees in the previous year. The total comprehensive income attributable to equity holders of the holding company was 421.00 million rupees, a notable decrease from 2,713.51 million rupees in the same period last year.