Karachi: Service Industries Textiles Ltd has reported a significant narrowing of its net loss for the fiscal year ending June 30, 2024, as revenue increased by nearly 27.54 percent. According to the financial statement released by the company, the net loss for the year amounted to 100.64 million rupees, compared to a loss of 157.92 million rupees in the previous year.
The company's revenue rose to 1,341.32 million rupees from 1,051.60 million rupees in 2023, marking a notable improvement in sales performance. However, the increase in revenue did not translate into profitability, as the cost of sales also increased, reaching 1,376.56 million rupees, up from 1,161.45 million rupees in the prior year. This resulted in a gross loss of 35.24 million rupees, an improvement from the gross loss of 109.84 million rupees reported in 2023.
Operating expenses, which include distribution costs and administrative expenses, totaled 43.77 million rupees, slightly up from 42.56 million rupees in the previous year. The company reported an operating loss of 79.01 million rupees, compared to a loss of 152.41 million rupees in 2023. According to information available from the Pakistan Stock Exchange (PSX), the finance cost for the year was 12.26 million rupees, marginally down from 12.37 million rupees last year.
Other operating expenses increased to 1.58 million rupees from 0.85 million rupees, while other income saw a sharp decline to 0.13 million rupees from 8.26 million rupees the previous year. The loss before taxation stood at 92.72 million rupees, compared to 157.37 million rupees in 2023. After accounting for a levy of 16.77 million rupees, up from 13.29 million rupees, and income tax, the net loss for the year was recorded at 100.64 million rupees, with a loss per share of 7.30 rupees, down from 11.45 rupees in 2023.
The company's total assets increased slightly to 1,469.91 million rupees from 1,451.67 million rupees, while current liabilities rose to 468.47 million rupees from 339.59 million rupees. Equity-net decreased to 911.35 million rupees from 1,010.13 million rupees.