Karachi: Lotte Chemical's Board of Directors announced the company's financial results for the quarter and nine-month period ending September 30, 2024. The un-audited financial statements, approved in a meeting held on October 25, 2024, revealed a decline in net profit despite an increase in revenue.

For the nine-month period ending September 30, 2024, Lotte Chemical reported net revenue of Rs 88,976.74 million, up from Rs 62,135.32 million during the same period in 2023. However, the cost of sales rose significantly to Rs 83,947.39 million from Rs 52,279.19 million, leading to a reduction in gross profit, which fell to Rs 5,029.35 million from Rs 9,856.13 million the previous year.

The company's distribution and selling expenses increased to Rs 164.21 million, up from Rs 125.59 million in 2023. Administrative and general expenses also saw a rise, totaling Rs 551.61 million compared to Rs 469.27 million in the prior year. Other operating expenses decreased to Rs 325.48 million from Rs 691.40 million in 2023, yet the operating profit still declined to Rs 3,988.06 million from Rs 8,569.88 million.

According to information available from the Pakistan Stock Exchange (PSX), Lotte Chemical's other income saw a decrease from Rs 1,883.98 million in 2023 to Rs 990.99 million. Meanwhile, finance costs were reduced to Rs 615.89 million from Rs 1,362.10 million in the previous year.

Profit before taxation was reported at Rs 4,363.17 million compared to Rs 9,091.76 million in 2023. After accounting for taxation of Rs 1,701.57 million, down from Rs 4,251.48 million the previous year, the profit after taxation stood at Rs 2,661.60 million, a decrease from Rs 4,840.28 million in 2023. The earnings per share, both basic and diluted, dropped to Rs 1.76 from Rs 3.20 in the same period last year.

For the quarter ending September 30, 2024, Lotte Chemical recorded net revenue of Rs 24,597.85 million, an increase from Rs 23,592.76 million in the corresponding quarter of 2023. However, the profit after taxation for the quarter fell to Rs 494.94 million from Rs 1,986.55 million in 2023, with earnings per share declining to Rs 0.33 from Rs 1.31.