Karachi: Pakistan Synthetics Limited has reported a slight decline in net profit for the quarter ended September 30, 2024, despite stable revenue flows, according to its latest condensed interim financial statement released to shareholders.
The company generated net revenue of 3,500.89 million rupees during the quarter, marking a modest decrease of 3.35% from 3,620.85 million rupees during the same period in the previous year. The cost of sales also saw a slight reduction, amounting to 2,934.09 million rupees, down 3.83% from 3,051.69 million rupees in the prior year's quarter. Consequently, the gross profit stood at 566.00 million rupees, slightly down from 569.00 million rupees recorded last year.
According to information available from the Pakistan Stock Exchange (PSX), administrative and distribution expenses for Pakistan Synthetics amounted to 92.03 million rupees, showing an improvement over the 103.25 million rupees recorded last year. Finance costs increased slightly to 206.93 million rupees, up from 197.97 million rupees. The share of loss in associates negatively impacted the profit before tax by 74.94 million rupees.
After accounting for all costs, the company's net profit after tax for the quarter was 97.94 million rupees, down from 143.86 million rupees in the same period in 2023. Earnings per share were calculated at 0.71 rupees, a decrease from the previous year's 1.04 rupees.
The company's future outlook remains cautious due to ongoing economic and political uncertainty. Factors such as high inflation, rising prices, stagnant incomes, and increasing taxes continue to challenge consumer affordability, potentially impacting the company’s profit margins moving forward. Despite these challenges, the company remains focused on enhancing operational efficiencies.
In acknowledgment of the support received, the Board expressed its gratitude to shareholders, government functionaries, banks, financial institutions, suppliers, and customers. They also commended the management team, executives, staff members, and workers for their dedication and recognized their contributions as valuable assets to the company.