Chashma Sugar Mills Limited Reports Decrease in Quarterly and Half-Yearly Profits

Karachi, Chashma Sugar Mills Limited announced its financial results for the quarter and half year ended March 31, 2024, in a board meeting held on Monday at 11:00. The board approved the results, revealing a decrease in profitability compared to the previous year. According to information available from the Pakistan Stock Exchange (PSX), the company’s net sales for the three months ended March 31, 2024, stood at 5,670,883 thousand rupees, a decrease from 7,915,136 thousand rupees in the same period last year. For the six-month period, sales amounted to 11,937,884 thousand rupees, up from 11,343,990 thousand rupees in the corresponding period last year.

Cost of sales for the quarter was 4,698,966 thousand rupees, leading to a gross profit of 971,917 thousand rupees, significantly lower than the 1,992,802 thousand rupees recorded a year ago. Similarly, the gross profit for the six months was 2,858,137 thousand rupees, compared to 2,694,985 thousand rupees in the prior year.

Operating expenses, including selling, distribution, administrative, and general expenses, impacted the profitability. Operating profit for the quarter was 579,803 thousand rupees, down from 1,393,499 thousand rupees in the previous year. For the half-year period, the operating profit stood at 1,949,622 thousand rupees, compared to 1,730,262 thousand rupees.

The finance cost net for the quarter was significantly higher at 1,257,695 thousand rupees, leading to a loss before revenue tax and income tax of 677,892 thousand rupees, a downturn from a profit of 689,812 thousand rupees in the corresponding quarter last year. The half-yearly finance cost was 1,934,952 thousand rupees, resulting in a marginal profit before income tax of 14,670 thousand rupees, sharply down from 714,439 thousand rupees.

The company reported a loss for the quarter of 503,174 thousand rupees, compared to a profit of 540,792 thousand rupees in the previous year. The earnings per share for the quarter were negative 17.54 rupees, a significant drop from 18.85 rupees per share last year. For the half year, the earnings per share were 1.56 rupees, down from 20.42 rupees.

The half-yearly reports of Chashma Sugar Mills Limited will be submitted electronically through PUCARS as per the PSX guidelines.