Hubco profits fall 3.2 percent in nine months

KARACHI: Hub Power Company Limited (Hubco), Pakistan’s largest independent power producer (IPP), on Thursday announced a 3.23 percent fall in its nine months net profit, as its turnover fell.

In its condensed interim consolidated profit and loss statement released to the Pakistan Stock Exchange (PSX), the company reported a net profit of Rs8.67 billion for the nine months ended March 31, 2016, down from Rs8.96 billion in the previous year.

Hubco also announced an interim cash dividend of Rs3.5/share. This is in addition to interim dividend already paid at Rs4.5/share.

The company posted earnings per share (EPS) of Rs7.21 as compared to Rs7.22 in the same period of the last year.

Total turnover of the company fell 36 percent to Rs69.75 billion as compared to Rs108.54 billion last year.

However, a decline in the operating cost to Rs56.50 billion from Rs94.13 billion reduced the profit gap.

Gross profits of the company remained at Rs13.24 billion as against Rs14.40 during the same period in FY15.

Other income of Hubco increased to Rs130.36 million from Rs91.44 million.

For the quarter ended March 31, 2016, Hubco's net profit fell to Rs3.10 billion against Rs3.33 billion in the same period of the last year.

PPL profits down 48 fall 63 percent

Pakistan Petroleum Limited (PPL), pioneer of the natural gas industry in the country, on Thursday reported a 48 percent fall in its nine months net profit, as its sales fell sharply.

In its consolidated results announcement released to the Pakistan Stock Exchange, the company reported a net profit of Rs15.85 billion for the nine months ended March 31, 2016, down from Rs30.45 billion in the previous year.

The company did not announce any dividend for the quarter ended March 31. However, it already paid Rs2.25 per share cash dividend for the first half.

PPL posted earnings per share (EPS) of Rs8.04 for the period under review as compared to Rs15.45 in the same period of the last year.

The company posted net sales of Rs59.74 billion, down 27 percent from Rs81.45 billion.

It mentioned field expenditures and royalties at Rs38.97 billion against Rs39.01 billion in the same period of FY15.

Other income of the company also fell to Rs4.17 billion as compared to Rs6.08 billion last year.

For the quarter ended March 31, PPL’s net profit fell 52 percent to Rs3.78 billion as compared to the last year’s Rs7.80 billion.

Byco posts losses

Byco Petroleum Pakistan Limited on Thursday announced a 98 percent fall for the nine months net losses, as its financial charges remain increased.

In its consolidated condensed interim profit and loss statement released to the Pakistan Stock Exchange (PSX), the company reported a net loss of Rs41.48 million for the nine months ended March 31, down 98 percent than the last year’s losses of Rs1.67 billion.

The company posted losses per share (LPS) of four paisas as compared to LPS of Re1.71 posted in the same period of the last year.

Byco posted net sales of Rs54.72 billion as compared to Rs64.73 billion in the previous year.

After deducting cost of sales at Rs51.72 billion against Rs62.73 billion, the gross profits of the company were posted at Rs3.44 billion as compared to Rs2.73 billion in the last year.

Distribution expenses at Rs2.18 billion against Rs1.7 billion and financial charges of Rs2.01 billion as compared to Rs2.37 billion last year changed the books of the company from profit to losses.

Byco reported other income of Rs1.38 billion against Rs1.32 billion last year.

For the quarter ended March 31, Byco posted profits of Rs407.29 million as compared to Rs317.81 million during the same quarter of the last year.

A spokesman for Byco said that in a period when oil prices declined by around 40 percent, the company reported gross sales of Rs75.80 billion, which is just three percent lower than the gross sales reported in the same period of the last year; thereby, indicating a significant increase in Byco’s sales volume.

It can be gauged from the results for the March quarter wherein the company declared gross sales of Rs26.9 billion, registering a growth of 14 percent as compared to the same quarter of the last year.

Recently, the board of directors of the company approved a potential merger by way of amalgamation of Byco Oil Pakistan Limited (the company that owns larger refinery) and Byco\ Terminals Pakistan Limited (the company operating SPM and storage terminals) with and into the Byco Petroleum Pakistan Limited.

As a result, the company decided to reduce internal costs in multiple operating units, as well as at the head office, which included rightsizing.

Currently, the market capitalisation of the company in the stock market showed investors' confidence and as a result the company’s stock was included in the 30 most liquid companies listed on the Pakistan Stock Exchange.

This is in addition to the company being added to the MSCI Global Equity Index.

 

FFCL’s profits fall 63 percent

Fatima Fertilizer Company Limited (Fatima) on Thursday reported a 63 percent fall in its first quarter net profit, as sales declined considerably.In its condensed interim consolidated profit and loss statement issued to the Pakistan Stock Exchange (PSX), the company reported net profit of Rs896.47 million for the three months ended March 31, 2016, down from Rs2.42 billion last year.

The company posted earnings per share of 43 paisas as compared to Rs1.16 in the previous year.

Total sales of the company fell to Rs5.37 billion, down 41 percent against Rs9.17 billion in the same quarter of the last year. Cost of sales remained at Rs2.75 billion against Rs3.95 billion last year.

Gross profits of the company were reported at Rs2.62 billion against Rs5.21 billion in the same period of the last year.

Sajjad Hussain, analyst at BMA Capital, said the decline in earnings was primarily on the back of 43 percent year-on-year decline in revenues due to 41 percent year-on-year decline in off-take and reduce fertiliser prices.

Fatima’s other income also fell to Rs163.09 million as compared to Rs188.48 million last year.

 

NBP profits remain flat

The National Bank of Pakistan (NBP) on Thursday reported one percent increase in its first quarter net profit on lower interest expenses.

In its consolidated condensed interim profit and loss account statement issued to the Pakistan Stock Exchange (PSX), the bank reported a net profit of Rs4.02 billion for the quarter ended March 31, up from Rs3.97 billion in the previous year.

The company posted earnings per share (EPS) of Rs1.89 as compared to Rs1.86/share last year.

The NBP’s interest earned revenues were posted at Rs27.12 billion, lower to Rs29.49 billion in the last year. However, a fall of 20 percent in its interest expenses to Rs14.94 billion against Rs18.79 billion increased the profit margins.

Net interest income (NII) of the bank was declared at Rs12.18 billion, higher than the last year’s NII of Rs10.70 billion.

Total non-markup income of the bank was recorded at Rs6.65 billion as compared to Rs9.25 billion in the same quarter of the last year.

 

Pak Suzuki's profits up 0.16 percent

Pak Suzuki Motor Co Ltd (PSMC) on Thursday announced 0.16 percent increase in its first quarter net profit with minor increase in its sales.

In its financial results statement sent to the Pakistan Stock Exchange (PSX), PSMC reported a net profit of Rs947.64 million for the quarter ended March 31, 2016, up from Rs946.10 last year.

The company posted earnings per share (EPS) of Rs11.51 as compared to Rs11.50 in the same period of the last year.

Total sales of the company during the period were reported at Rs19.99 billion, up from Rs19.64 billion in the last year.

The cost of sales was posted at Rs17.78 billion from Rs17.46 billion in the same quarter of the last year.

Gross profits of PSMC remained at Rs2.20 billion, up from the last year's Rs2.17 billion.

 

PNSC’s after-tax-profit at Rs1,364 million

The Pakistan National Shipping Corporation (PNSC) has posted after-tax-profit of Rs1,364 million during the nine months ended March 31, 2016 against Rs1,051 million in the same period of the last year.

Earnings per share for the group increased to Rs10.33 from Rs7.96 in the corresponding period of the last year.

Though reduction in revenue by 16 percent, the corresponding direct operating expenses reduced 28 percent to Rs6,700 million from Rs 9,298 million; thereby, resulting in an improvement in gross profits to Rs2,917 million as against Rs2,126 million during the same period of the last year.

PNSC also took the initiative by swapping its expensive loans and prepayment of Rs700 million in order to reduce high mark-up, the loans were acquired in 2010 and 2014 at three months KIBOR plus spread of 2.2 percent and 1.6 percent, respectively, and achieved a milestone with significant reduction in spreads to the level of 0.4 percent and 0.5 percent, respectively, that will result in substantial reduction in the finance costs over the remaining period of the loan.