Archroma Pakistan Limited Announces Financial Results for H1 2024 with Declining Profits

Karachi, Archroma Pakistan Limited disclosed its financial outcomes for the first half of the fiscal year ending March 31, 2024. The company revealed a significant decline in net profits compared to the previous year, amidst stable sales and rising operational costs.

For the six months period ending on March 31, 2024, Archroma Pakistan reported net sales amounting to Rs. 14,281,582,000, slightly down from Rs. 14,289,417,000 in 2023. The company faced increased cost of sales which totaled Rs. 11,602,921,000, up from Rs. 10,510,982,000 the previous year, leading to a lower gross profit of Rs. 2,678,661,000 compared to Rs. 3,778,435,000 in 2023.

Operational expenditures for the company rose with distribution and marketing expenses totaling Rs. 1,624,935,000, up from Rs. 1,439,843,000 in the prior year. Administrative expenses also saw an increase to Rs. 460,823,000 from Rs. 384,830,000. Despite a drop in impairment losses on trade receivables and other expenses, the overall financial strain was evident.

The financial strain impacted the company’s bottom line, with a reported loss after taxation of Rs. (125,171,000) compared to a profit of Rs. 621,767,000 in the same period last year. Earnings per share similarly declined from Rs. 18.22 to Rs. (3.62).

In terms of shareholder returns, the Board of Directors announced no dividends, bonus shares, or rights issues for the period.

Further details regarding Archroma Pakistan’s financial statements have been made available on the company’s website.