Lahore: Thal Industries Corporation has announced its financial results for the quarter ending December 31, 2024, showcasing a significant decline in profit compared to the same period the previous year. The results were reviewed and recommended by the Board of Directors at a meeting held on January 24, 2025.
The company's net sales for the quarter reached 10.92 billion rupees, a notable increase from the 5.20 billion rupees recorded in the corresponding quarter of 2023. However, the cost of sales also surged to 9.88 billion rupees from 3.81 billion rupees, resulting in a gross profit of 1.04 billion rupees, a decrease from the 1.39 billion rupees achieved in the previous year.
Operating expenses, which include distribution and selling expenses along with administrative expenses, amounted to 468.94 million rupees, up from 325.52 million rupees in the previous year. Consequently, the operating profit stood at 574.42 million rupees, a sharp decline from the 1.07 billion rupees reported in the last quarter of 2023.
The organization generated other income of 61.94 million rupees, down from 108.97 million rupees, taking the total to 636.36 million rupees. Finance costs soared significantly to 481.02 million rupees from 109.40 million rupees, while other expenses decreased to 10.72 million rupees from 73.76 million rupees. This led to a profit before levies and income taxes of 144.62 million rupees, compared to 995.21 million rupees in the same quarter of the previous year.
Levies for the period amounted to 137.32 million rupees, resulting in a profit before income tax of just 7.30 million rupees, a stark contrast to the 995.21 million rupees recorded in the previous year. Following income tax deductions, the profit after taxation remained at 7.30 million rupees, a substantial decrease from 706.60 million rupees.
The total comprehensive income for the quarter concluded at 7.30 million rupees, significantly down from the 706.60 million rupees reported in Q4 2023. Earnings per share (EPS) also saw a drastic fall to 0.49 rupees from 47.03 rupees in the comparable period of the previous year.
According to information available from the Pakistan Stock Exchange (PSX), the financial results indicate a challenging quarter for Thal Industries Corporation, highlighting the impact of increased costs and reduced income on the company's profitability.
The financial results underscore considerable challenges faced by the corporation, particularly in managing operational costs and maintaining profitability amidst rising financial expenses.