National Silk and Rayon Mills Limited Reports Profit Surge for Fiscal Year 2024

Karachi: National Silk and Rayon Mills Limited has reported a substantial rise in profitability for the fiscal year ended June 30, 2024, according to the company’s statement of profit or loss. The company posted a profit after taxation of 66.30 million rupees, a significant turnaround compared to a loss of 22.93 million rupees in the previous fiscal year.

Revenue from contracts with customers reached 2.15 billion rupees, up from 1.76 billion rupees in 2023. The cost of sales totaled 1.99 billion rupees, a slight decrease from the 1.70 billion rupees recorded last year. As a result, the company’s gross profit surged to 155.61 million rupees, compared to 53.49 million rupees in 2023.

The company faced higher expenses in key areas. Distribution costs rose to 2.75 million rupees, up from 1.34 million rupees in the prior year, while administrative expenses increased slightly to 51.63 million rupees. Other expenses also saw a sharp rise, reaching 13.25 million rupees compared to 5.00 million rupees in 2023. Despite this, total operating expenses amounted to 67.63 million rupees, compared to 56.95 million rupees last year.

According to information available from the Pakistan Stock Exchange (PSX), National Silk and Rayon Mills also reported a rise in other income, amounting to 87.97 million rupees, a significant increase from a loss of 3.47 million rupees in 2023. This contributed to a profit from operations of 97.82 million rupees, compared to 5.15 million rupees in the previous year.

However, the company saw a decline in finance costs, which totaled 1.41 million rupees in 2024, compared to 8.79 million rupees in the prior year. After accounting for the finance costs, the company reported a profit before levy and taxation of 96.41 million rupees, compared to a loss of 3.63 million rupees in 2023.

The company also faced a levy of 0.74 million rupees, down from 21.99 million rupees last year. Before taxation, the company posted a profit of 95.67 million rupees, recovering from a loss of 25.62 million rupees in 2023. After deducting taxation of 29.36 million rupees, the company’s profit after taxation stood at 66.30 million rupees.

The company’s earnings per share for 2024 were 4.26 rupees, up from a loss of 1.47 rupees per share in 2023.