Lahore: Azgard Nine Limited, a prominent player on the Pakistan Stock Exchange (PSX), has reported a substantial decrease in its net profit for the fiscal year ending June 30, 2024. The company witnessed a decline in net profit to 529.58 million rupees, a stark contrast from the previous year’s 1.47 billion rupees.

According to the details provided in a recent disclosure, the Lahore-based company saw an increase in sales, rising to 36.74 billion rupees from 31.57 billion rupees in the prior year. However, the cost of sales also escalated, from 26.48 billion rupees to 31.93 billion rupees, which significantly affected the gross profit margins.

The administrative and selling expenses combined rose to 2.81 billion rupees, up from 2.18 billion rupees last year, further impacting the profitability. Operating profits were recorded at 1.99 billion rupees, down significantly from 2.91 billion rupees reported the year before.

According to information available from the Pakistan Stock Exchange (PSX), Azgard Nine Limited did not announce any dividends, bonus shares, or rights shares for the year, indicating a potential conservation of cash amidst financial tightening.

The financial report highlighted a substantial increase in finance costs, which surged to 1.09 billion rupees from 814.18 million rupees, coupled with a significant amortization of notional income amounting to 269.19 million rupees. The taxation for the year stood at 73.33 million rupees compared to 48.30 million rupees in the previous year, affecting the overall net income.

Azgard Nine Limited also mentioned that its share transfer books would be closed from October 22, 2024, to October 28, 2024, for the upcoming Annual General Meeting scheduled for October 28, 2024. The meeting will discuss the financial results and other corporate matters.