Lucky Cement earns Rs7.65 billion, up 15%
Analyst agrees results were below expectation as revenues remain flat
KARACHI:
Lucky Cement - one of the largest cement-makers in Pakistan - has posted a consolidated profit of Rs7.65 billion in the first half (Jul-Dec) of fiscal year 2015-16 (1HFY16), up 15% compared to Rs6.66 billion in the same period last year, according to a company notice sent to the Pakistan Stock Exchange (PSX).
Earnings per share (EPS) jumped to Rs22.17 compared to Rs19.39. Despite a handsome growth, the company’s share price on Monday lost 4% of its value to close at Rs458.5 on the KSE-100 index, which shed 334 points during the day.
“Lucky Cement’s below-expectation results led to the decline of 4% in the stock price,” Topline Securities commented.
The company posted consolidated profit of Rs4.17 billion in the second quarter, up 14.2% compared to Rs3.65 billion in the same period of last year.
Consolidated revenues remained almost flat at Rs21 billion in the quarter primarily due to lower revenues (down 22%) posted by the polyester segment of ICI Pakistan, a subsidiary of Lucky Cement.
Polyester revenues declined owing to downward correction in prices across the petrochemical chain.
However, on standalone basis, revenues from cement operations grew 5% year-on-year (YoY) in 2QFY16, led by a 2% volumetric growth.
Local sales were up 28% YoY to 1.3 million tons. However, exports fell 31% to 0.4 million tons on the back of anti-dumping duty imposed by South Africa and regional currency devaluation.
Published in The Express Tribune, February 23rd, 2016.
Lucky Cement - one of the largest cement-makers in Pakistan - has posted a consolidated profit of Rs7.65 billion in the first half (Jul-Dec) of fiscal year 2015-16 (1HFY16), up 15% compared to Rs6.66 billion in the same period last year, according to a company notice sent to the Pakistan Stock Exchange (PSX).
Earnings per share (EPS) jumped to Rs22.17 compared to Rs19.39. Despite a handsome growth, the company’s share price on Monday lost 4% of its value to close at Rs458.5 on the KSE-100 index, which shed 334 points during the day.
“Lucky Cement’s below-expectation results led to the decline of 4% in the stock price,” Topline Securities commented.
The company posted consolidated profit of Rs4.17 billion in the second quarter, up 14.2% compared to Rs3.65 billion in the same period of last year.
Consolidated revenues remained almost flat at Rs21 billion in the quarter primarily due to lower revenues (down 22%) posted by the polyester segment of ICI Pakistan, a subsidiary of Lucky Cement.
Polyester revenues declined owing to downward correction in prices across the petrochemical chain.
However, on standalone basis, revenues from cement operations grew 5% year-on-year (YoY) in 2QFY16, led by a 2% volumetric growth.
Local sales were up 28% YoY to 1.3 million tons. However, exports fell 31% to 0.4 million tons on the back of anti-dumping duty imposed by South Africa and regional currency devaluation.
Published in The Express Tribune, February 23rd, 2016.