Danish Raza
Active Member
Indus Motor Company Limited (PSX: INDU) reported a notable 38.3% year-on-year increase in profitability during the first quarter of 2024, with its profit after tax reaching Rs4.45 billion [EPS: Rs56.60], compared to Rs3.22 billion [EPS: Rs40.92] in the same period last year (SPLY).
In conjunction with these results, the company declared an interim cash dividend of Rs34 per share, in addition to the interim cash dividend of Rs37.7 per share already disbursed.
Despite a slight 1.8% year-on-year decline in revenue to Rs47.32 billion from Rs48.2 billion in SPLY, the company witnessed a significant 10.6% decrease in the cost of sales.
This led to a noteworthy 128.5% year-on-year increase in gross profit to Rs6.96 billion in Q1 2024. Consequently, gross margins improved substantially to 14.70% from 6.32% in SPLY.
During the review period, other income surged by 35.3% year-on-year to Rs4.11 billion in Q1 2024, up from Rs3.04 billion in SPLY.
On the expenditure front, administrative expenses decreased by 10.3% year-on-year to Rs524.07 million, while other expenses saw a substantial 63.7% year-on-year decline to Rs402.49 million during the review period.
The company's finance costs contracted by 28.9% year-on-year, amounting to Rs29.01 million compared to Rs40.81 million in SPLY.
Regarding taxes, the company incurred a higher tax expense of Rs3.16 billion compared to Rs1.62 billion in the corresponding period of last year, representing a significant 94.7% year-on-year increase.
In conjunction with these results, the company declared an interim cash dividend of Rs34 per share, in addition to the interim cash dividend of Rs37.7 per share already disbursed.
Despite a slight 1.8% year-on-year decline in revenue to Rs47.32 billion from Rs48.2 billion in SPLY, the company witnessed a significant 10.6% decrease in the cost of sales.
This led to a noteworthy 128.5% year-on-year increase in gross profit to Rs6.96 billion in Q1 2024. Consequently, gross margins improved substantially to 14.70% from 6.32% in SPLY.
During the review period, other income surged by 35.3% year-on-year to Rs4.11 billion in Q1 2024, up from Rs3.04 billion in SPLY.
On the expenditure front, administrative expenses decreased by 10.3% year-on-year to Rs524.07 million, while other expenses saw a substantial 63.7% year-on-year decline to Rs402.49 million during the review period.
The company's finance costs contracted by 28.9% year-on-year, amounting to Rs29.01 million compared to Rs40.81 million in SPLY.
Regarding taxes, the company incurred a higher tax expense of Rs3.16 billion compared to Rs1.62 billion in the corresponding period of last year, representing a significant 94.7% year-on-year increase.