Karachi: Nimir Resins Limited has released its financial results for the quarter ended September 30, 2024, revealing a noticeable decline in profit due to increased operating costs.

In the latest quarter, Nimir Resins reported a revenue from sales of 2,589.24 million PKR, down from 3,141.63 million PKR in the same quarter last year. After accounting for sales tax, net sales stood at 2,181.79 million PKR. The cost of sales was high, totaling 1,939.66 million PKR, leading to a gross profit of 242.13 million PKR, a decrease from last year's 299.45 million PKR.

According to information available from the Pakistan Stock Exchange (PSX), operating expenses also contributed to the company’s decreased profitability. Distribution costs and administrative expenses amounted to 68.46 million PKR. Consequently, the operating profit was 173.67 million PKR, significantly lower than the previous year's 231.34 million PKR.

Finance costs for the quarter were notably high at 109.91 million PKR, further impacting the bottom line. Other operating charges and minimal other income resulted in a profit before taxation of 61.75 million PKR, almost half of last year's 136.80 million PKR.

After taxation, which included current and deferred tax adjustments, Nimir Resins posted a net profit of 37.21 million PKR for the period, down from 81.18 million PKR in September 2023. The earnings per share correspondingly declined from 0.57 PKR to 0.26 PKR.

Despite these challenges, the company's board has not recommended any cash dividends, bonus, or rights shares for this quarter, indicating a cautious approach to capital management amid uncertain market conditions.