Baba Farid Sugar Mills Reports Significant Loss in Third Quarter

Lahore: Baba Farid Sugar Mills Limited announced a substantial loss in its third quarter financial results for the period ended June 30, 2024.

The Lahore-based company disclosed the figures following a board meeting on July 23, 2024. The quarterly financial results show a net sales revenue of 1.58 billion rupees for the quarter, down from 1.74 billion rupees in the same period the previous year. The cost of sales also decreased slightly to 1.49 billion rupees from 1.57 billion rupees.

Despite a reduction in costs, the gross profit for the quarter stood at 90.96 million rupees, significantly lower than the 173.04 million rupees recorded in 2023. Selling and distribution expenses, along with general and administrative expenses, contributed to operational costs totaling 43.16 million rupees and 37.17 million rupees, respectively.

According to information available from the Pakistan Stock Exchange (PSX), other financial figures such as other operating income amounted to 10.81 million rupees. However, the financial charges, which include interest and other borrowing costs, severely impacted the company’s profitability, totaling 32.35 million rupees.

The company registered a loss before taxation of 290.46 million rupees, a significant decline from a loss of 129.70 million rupees in the previous year. After accounting for taxation, the net loss further deepened to 249.17 million rupees, compared to a loss of 6.95 million rupees last year. The loss per share was notably higher at 26.37 rupees compared to just 0.74 rupees per share in 2023.

This financial downturn reflects challenges in the sugar industry, including fluctuating commodity prices and operational costs. The full quarterly report will be available through PUCARS separately.