Honda Atlas Cars Reports Significant Growth in Quarterly Financial Results

Karachi: Honda Atlas Cars (Pakistan) Ltd. announced a substantial increase in its quarterly financial performance for the period ending June 30, 2024.

According to the Board of Directors’ meeting held on July 24, 2024, the company reported significant growth in sales, which reached PKR 15,970.34 million, up from PKR 3,770.62 million during the same period last year. This remarkable growth in sales contributed to a gross profit of PKR 1,011.54 million, compared to a gross loss of PKR 148.38 million in the previous year.

Despite the notable increase in gross profit, Honda Atlas decided against issuing any cash dividends, bonuses, or rights shares for the period. According to information available from the Pakistan Stock Exchange (PSX), this decision reflects the company’s strategy to possibly reinvest the earnings to fuel further growth.

The detailed financial report reveals that while distribution and marketing costs and administrative expenses have risen to PKR 259.40 million and PKR 392.15 million respectively, other income decreased to PKR 343.77 million from PKR 902.69 million in the previous year. Finance costs also increased significantly to PKR 287.09 million from PKR 43.68 million.

Despite these rising costs, the company’s net profit before taxation stood at PKR 383.32 million, up from PKR 267.70 million in the prior year. After accounting for taxation of PKR 180.69 million, the net profit for the period amounted to PKR 202.63 million, resulting in an earnings per share increase to PKR 1.42 from PKR 1.02.

The quarterly report will be disseminated through the PSX’s PUCARS system, ensuring that all stakeholders are timely informed of the company’s financial status and future outlook.