Karachi: Lucky Core Industries Limited has reported a moderate increase in its financial performance for the quarter and six-month period ending December 31, 2024, according to unaudited financial statements released by the company. The company's net turnover for the quarter stood at PKR 31,535.00 million, reflecting a 1% rise compared to the same period last year. The pharmaceuticals and polyester segments led this growth with increases of 104% and 6%, respectively. However, the soda ash, animal health, and chemical and agri businesses faced declines of 25%, 12%, and 2%, respectively, compared to the same period last year.
The operating result for the quarter was recorded at PKR 5,135.00 million, marking a 29% increase from the previous year. Significant contributions came from the pharmaceuticals and polyester segments, which posted operating result increases of 216% and 214%, respectively. The animal health business also saw a slight increase of 1%. In contrast, the soda ash and chemicals and agri segments experienced a reduction in operating results by 16% and 10%, respectively.
For the six-month period, net turnover reached PKR 62,272.00 million, a 3% increase from the same period of the previous year. The pharmaceuticals and polyester sectors once again showed robust performance, with increases of 80% and 13%, respectively. On the downside, the soda ash, animal health, and chemicals and agri segments recorded declines of 17%, 14%, and 6%, respectively.
The operating result for the six-month period under review was PKR 9,340.00 million, reflecting a 16% rise compared to the same period last year. The pharmaceuticals and polyester businesses showed operating result increases of 147% and 89%, respectively. Meanwhile, the soda ash, animal health, and chemicals and agri segments saw decreases in operating results by 11%, 5%, and 15%, respectively.
According to information available from the Pakistan Stock Exchange (PSX), Lucky Core Industries Limited reported a profit after tax of PKR 6,218.00 million for the six-month period, a 23% increase compared to the same period last year. This improvement is attributed to higher operating results and a reduction in finance costs following a 900 basis points reduction in the policy rate. The company's earnings per share for the six months were PKR 67.33, also a 23% increase from the previous year.
The company’s cash flow activities reflected varied results. Cash generated from operating activities stood at PKR 10,859.58 million, while net cash used in investing activities was PKR 11,867.60 million. Notably, the company completed an asset acquisition from Pfizer Pakistan Limited on September 6, 2024, involving a manufacturing facility and selected pharmaceutical products.
In terms of financing, the company generated PKR 8,589.84 million, primarily through new long-term loans and foreign exchange loans obtained during the period. The net increase in cash and cash equivalents was PKR 7,581.82 million, bringing the total to PKR 15,487.30 million at the end of the period.
The company continues to navigate market challenges, including weak demand in the construction sector affecting its soda ash business and economic pressures impacting its chemicals and agri sciences and animal health segments. Despite these challenges, the pharmaceuticals and polyester segments have shown resilience, driven by strategic asset integration and increased domestic demand.