Karachi, Amreli Steel Limited (ASL), one of Pakistan's leading steel manufacturers, has announced its financial results for the fiscal year ending June 30, 2023. The company's Board of Directors convened on Friday, September 8, 2023, to deliberate on various matters, including dividends and corporate actions.
In a statement issued today, the company revealed that the Board of Directors recommended a cash dividend, bonus shares, right shares, and other corporate actions, all of which were set at nil for the fiscal year 2023.
The financial results for the year ended June 30, 2023, indicate a challenging year for Amreli Steel Limited. The company reported a net sales figure of Rs. 45.49 billion, down from Rs. 58.18 billion in the previous year. The cost of sales for the fiscal year was Rs. 39.53 billion, compared to Rs. 51.69 billion in the previous year. This resulted in a gross profit of Rs. 5.96 billion, a decrease from Rs. 6.49 billion in the previous year.
Amreli Steel Limited faced various expenses during the year, including distribution costs of Rs. 1.01 billion and administrative expenses of Rs. 751 million. Additionally, allowances for expected credit losses amounted to Rs. 119.6 million, and other expenses totaled Rs. 84.1 million. On the positive side, the company reported other income of Rs. 8.31 million.
The operating profit for the fiscal year was Rs. 4.01 billion, down from Rs. 4.38 billion in the previous year. Finance costs also increased significantly to Rs. 4.03 billion, compared to Rs. 2.31 billion in the previous year.
Amreli Steel Limited reported a loss of Rs. 25.88 million before taxation, a significant decline from a profit of Rs. 2.08 billion in the previous fiscal year. After accounting for taxation of Rs. 652.57 million, the company reported a net loss of Rs. 678.44 million for the fiscal year 2023. This translates to a loss per share of Rs. 2.28, compared to earnings per share of Rs. 4.46 in the previous year.
The company's Annual General Meeting is scheduled to be held on Tuesday, October 24, 2023, at 03:00 pm in Karachi. During this meeting, shareholders will have the opportunity to discuss these financial results and the recommended corporate actions.
Amreli Steel Limited also announced that the Share Transfer Books of the Company will remain closed from October 17, 2023, to October 24, 2023, inclusive. This is in preparation for the upcoming Annual General Meeting and to facilitate the payment of any declared dividends.
Amreli Steel Limited will face the challenges ahead with a focus on its long-term growth and financial stability, as it navigates the evolving economic landscape in Pakistan.
