Karachi: Calcorp Limited's parent company, Optimus Limited, is in discussions to sell its shares, which could lead to a significant shift in business operations and the potential sale of fleet assets. Calcorp is preparing to approach shareholders for authorization of this strategic transaction, which, if actualized, could alter the company's business nature.
During a corporate briefing session for the fiscal year ending in June 2024, Calcorp outlined its strategic and operational plans. The company has also detailed alternatives should the share sale not materialize. In such a scenario, Calcorp intends to continue investing in fleet assets to generate returns by making these assets available to its partners for financing.
According to information available from the Pakistan Stock Exchange (PSX), Calcorp's financial performance for the year ending June 2024 showed significant improvements. The vehicle rental segment reported gross rentals of 967.13 million PKR, a substantial increase from the previous year's 511.11 million PKR. Net rental income, excluding depreciation, also rose from 499.03 million PKR in June 2023 to 797.76 million PKR in June 2024.
Despite these gains, Calcorp's expenses have increased, with total expenses rising from 26.1 million PKR to 28.4 million PKR. The company's net worth has improved from 19.8 million PKR to 13.8 million PKR over the same period.
The balance sheet indicates that Calcorp made additions to its property, plant, and equipment worth 51.35 million PKR during the year. The sale of fleet assets generated 18.1 million PKR, with a gain on disposal amounting to 1.8 million PKR. The total assets increased from 286.2 million PKR to 311.4 million PKR, marking a 25 million PKR rise.
The company's total liabilities also saw an increase from 11.5 million PKR to 23 million PKR, while total equity expanded from 274.6 million PKR to 299.4 million PKR. The book value per share grew from 25.6 PKR to 26.8 PKR, despite a decline in the current ratio from 15.24 to 12.50.
As Calcorp navigates these potential changes, the market will closely watch the outcome of Optimus Limited's negotiations and the impact on Calcorp's strategic direction and financial health.