Karachi: Secure Logistics Group Limited has announced a substantial rise in its annual profits for the year ending December 31, 2024, reflecting a robust financial performance amid challenging market conditions. The company's net revenue reached 1.80 billion rupees, up from the previous year's 1.57 billion rupees, marking a notable increase in operational effectiveness.

The financial statement, released on Friday, indicates a gross profit of 488.62 million rupees for 2024, compared to 392.76 million rupees in 2023. Despite a rise in the cost of services to 1.32 billion rupees from 1.17 billion rupees in the prior year, Secure Logistics Group Limited managed to achieve an operating profit of 328.13 million rupees, which was a significant improvement from the 225.28 million rupees recorded in 2023.

Finance costs decreased to 165.44 million rupees from 196.17 million rupees, while the expected credit losses slightly decreased to 0.70 million rupees from 0.74 million rupees. The company's share of profit from associates rose significantly to 408.34 million rupees, up from 290.33 million rupees in the previous year. Additionally, other income generated was 5.36 million rupees, compared to 12.91 million rupees in 2023.

Profit before levies and income tax stood at 575.69 million rupees, a significant gain from 331.61 million rupees. After accounting for levies of 1.98 million rupees, the profit before income tax was 573.71 million rupees, as against 331.23 million rupees in the previous year. Following taxation of 26.97 million rupees, the profit for the year after taxation was reported at 600.68 million rupees, a marked increase from 353.87 million rupees in 2023. Basic and diluted earnings per share rose to 2.43 rupees, up from 2.13 rupees.

According to information available from the Pakistan Stock Exchange (PSX), the company's financial activities included a net cash inflow from operating activities of 157.44 million rupees, a decrease from 324.15 million rupees in the previous year. The cash inflow was affected by changes in working capital, including a significant increase in trade debts and amounts due from subsidiary companies.

The company reported a net cash outflow from investing activities amounting to 472.91 million rupees, contrasting with the previous year's outflow of 364.25 million rupees. This was primarily due to payments for the acquisition of fixed assets.

In financing activities, Secure Logistics Group Limited saw a net cash inflow of 564.84 million rupees, reversing a previous outflow of 145.19 million rupees. This was largely driven by the issuance of shares totaling 947.59 million rupees, although this was offset by repayments of loans and lease rentals.

Overall, the company's cash and cash equivalents at the end of the period improved to a negative balance of 477.32 million rupees, from a negative balance of 726.68 million rupees at the start of the year.