Karachi: Pervez Ahmed Consultancy Services Limited has reported a return to profitability for the fiscal year ending June 30, 2024, after consecutive years of financial losses. The company announced a profit after taxation of 1.16 million rupees, a significant improvement from a loss of 2.60 million rupees in the previous year. According to information available from the Pakistan Stock Exchange (PSX), this marks a notable turnaround for the consultancy firm, which has faced challenging market conditions.

The company's financial results, released on December 9, 2024, reveal that the positive outcome was primarily driven by the share of profit from an associated undertaking, which contributed 3.15 million rupees. This was in stark contrast to the previous year's loss of 1.74 million rupees from the same source. Additionally, changes in the fair value of long-term investments also positively impacted the financial performance, with an increase of 339,600 rupees compared to 122,000 rupees the previous year.

Despite the improved bottom line, the company faced a decline in operating revenue, which fell to zero from 600,000 rupees a year earlier. Administrative expenses decreased marginally to 1.48 million rupees from 1.71 million rupees, while financial charges rose to 584,628 rupees from 509 rupees. The changes in the fair value of short-term investments resulted in a loss of 261,525 rupees, compared to a gain of 201,241 rupees in the prior year.

The balance sheet of Pervez Ahmed Consultancy Services Limited showed total assets amounting to 86.23 million rupees, up from 83.65 million rupees in 2023. Shareholders' equity remained negative at 582.90 million rupees, although improved from 584.06 million rupees. The company's current ratio stood at 0.0061:1, indicating ongoing liquidity challenges.

The financial results highlight the company's efforts to stabilize its financial position, despite ongoing obstacles in the market environment. The return to profitability is a positive development for the company, although it continues to face substantial accumulated losses and liquidity constraints.