Lucky Cement profit rises 9pc

KARACHI: Lucky Cement Limited on Thursday reported a 9.1 per cent increase in net profit at Rs3.24 billion translating into earnings per share (eps) of Rs10.01 for the first quarter ended September 30 over the same period last year.

Net sales revenue increased by 2.3pc to Rs10.57bn over Rs10.33bn in the corresponding period last year. “The rise in net sales revenue was mainly attributable to increase in sales volume,” the company said in an announcement.

The local sales in the quarter grew 25.4pc to 1.34 million tonnes from 1.07m tonnes whereas exports declined 27.2pc to 0.36 million tonnes from 0.49 million tonnes in the same period last year.

On a consolidated basis, Lucky Cement reported net profit of Rs3.78bn for 1QFY16, which was 14.6pc higher over the same period last year.

OGDCL: Oil and Gas Development Company (OGDCL) declared 1QFY17 earnings at Rs14.6bn (eps Rs3.4), down 20pc year-on-year. This result announcement was in line with market expectations.

The result also accompanied by cash dividend of Rs1.5/share. Analysts at Topline Securities marked key features as decline in OGDCL net sales by 11pc to Rs39.5bn in 1QFY17, mainly on account of 14pc fall in Arab Light Crude oil prices to $43 a barrel during the period.

During 1QFY17, OGDC’s oil sales volume increased by 4pc year-on-year to 40,000 barrels of oil per day (bpd), while gas volume shrank by 5pc to 1,074 mmcfd as per provisional numbers.

The company booked exploration charges of Rs4.3bn, up 139pc year-on-year in 1QFY17.

Engro Corporation Ltd: The company reported a 3pc decline year-on-year in its profit to Rs8.6bn (eps: Rs16.4) in January-September period over Rs8.9bn (eps: Rs17) in the corresponding period last year. The results also accompanied an interim cash dividend of Rs8 per share taking the 9MCY16 payout to Rs20 per share.

Analyst Arubah Zia at BMA Capital Management attributed the decline in earnings to 14pc year-on-year fall in topline due to fertiliser industry dynamics (EFERT’s topline down 21pc YoY in 9MCY16) and pressure on EFOODS’ volumes. Gross margins contracted 4 percentage points.

D.G. Khan Cement: The company announced 1QFY17 eps at Rs4.35 slightly below expectation of Rs4.66. “Variance in earnings is primarily attributable to above-expected operational expenses and an effective tax rate of 31pc,” says analyst Abdul Samad Khanani at Intermarket Securities.

PAT increased 11pc year-on-year led by 6 percentage points increase in gross margins, 9pc increase in local/export despatches and 8pc rise in other income. Effective tax rate, on the other hand, stood at 31pc compared to 24pc in the same period last year.