Bank Alfalah’s profit up 13 percent to Rs3.294bln in Jan-Mar

KARACHI: Bank Alfalah’s profit rose 14 percent to Rs3.294 billion for the first quarter ended March 31, 2018 on increase in fee, commission and brokerage income, analysts said on Friday.

The bank’s profit translated into earnings per share (EPS) of Rs2.02/share in January-March period, a notice to Pakistan Stock Exchange (PSX) said. Profit of bank amounted to Rs2.899 billion with EPS of Rs1.80 during the same quarter a year earlier.

The bank didn’t announce any cash dividend for the period. Bank Alfalah’s net revenue showed a small rise in the first quarter to Rs7.552 billion as compared to Rs7.422 billion a year earlier.

Analyst Mustafa Mustansir at Taurus Securities said the topline remained flat with a marked improvement on the fund cost side. “Further, on the NMI (net mark-up income) front, the bank booked higher capital gains as expected.”

Analyst Umair Naseer at Topline Securities said key risks for the bank include lower than expected hike in interest rate, lower than expected advances and deposit growth, and deterioration in macroeconomic indicators.

International Industries’ profit up 38.7pc in Jul-Mar

Profit of International Industries Ltd. rose 38.7 percent during the nine months ended March 31, 2018 owing to rise in sales and other income of the company, analysts said.

Profit of International Industries amounted to Rs3.941 billion in the July-March period with EPS of Rs21.69 as compared to Rs2.849 billion with EPS of Rs16.59 in the corresponding period of last year.

Analysts said the company’s profit increased as other income rose to Rs237 million in the nine months from Rs103.719

International Industries’ net sales rose 48 percent to Rs48.211 billion during the period under review compared with Rs32.530 billion a year earlier.

Higher financing cost and selling and distribution expenses clipped the overall profit of the company. The company, in a statement, said finance cost rose to Rs688 million from Rs 478 million, while selling and distribution expenses rose 36 percent to Rs1.220 billion.

International Industries invested more than Rs194 million into Pakistan Cables.

“The board of directors of the IIL (International Industries Limited) has considered and recommended to exercise its right to subscribe to 25 percent right entitlement, announced by PCL (Pakistan Cables Limited), by making an equity investment of Rs194.959 million by way of subscribing 1.218 million ordinary right shares of Rs10/each at a price of Rs160 (inclusive of premium of Rs150/share) as part of its strategic portfolio,” the company said in the PSX notice.

Amreli Steels’ nine-month profit jumps 22pc

Amreli Steels Ltd’s profit rose 22 percent in the nine months period ended March 31, 2018 owing to rise in sales and other income of the company, analysts said.

Profit of Amreli Steels rose to Rs997 million with EPS of Rs3.36 in January-March period as compared to Rs819 million with EPS of Rs2.76 in the same period last year.

The company skipped the dividend for the period.

The steelmaker’s sales rose negligibly to Rs10.885 billion during the period under review compared with Rs10.135 billion the previous year.

The company reported a higher financing cost of Rs324 million in the nine months compared with Rs186 million of the same period a year ago. The financing cost was higher as the company made higher borrowing for expansion of the unit.

BMA Capital Management said key risks for the company include delay in commissioning of new rebar facility, volatility in rebar-scrap primary margins, and unexpected rupee depreciation.

Lotte Chemical’s quarterly profit rises

Profit of Lotte Chemical Pakistan Ltd rose 13.7 percent to Rs355 million during the first quarter ended March 31, 2018 owing to decline in distribution and selling expenses.

The profit translated into EPS of Re0.23. Lotte Chemical’s profit amounted to Rs312 million with EPS of Re0.21 in the same quarter last year.

The company skipped the dividend for the quarter.

The company’s profit increased on falling distribution and selling expenses and on rising other income.

Lotte’s net revenue rose 16.7 percent to Rs12.376 billion for the January-March period over the previous year.

Higher financing cost clipped the overall profit of the company. Finance cost in the first quarter rose to Rs176 million from Rs9 million from the same period last year.