KARACHI: Indus Motor Company - the second largest carmaker in Pakistan - has achieved a net profit of Rs3.05 billion in the quarter ended September 2016, up 4% compared with Rs2.93 billion in the same period of last year, according to a company notice sent to the Pakistan Stock Exchange (PSX).
Earnings per share increased to Rs38.77 in Jul-Sept 2016 compared with Rs37.33 in the same quarter of previous year.
Along with the result, the automaker announced an interim cash dividend of Rs25 per share. Indus Motor’s share price edged up 0.06% and closed at Rs1,529 at the PSX on Thursday. However, the benchmark KSE 100-share Index ended the day at 39,987 points, down 539 points or 1.35%. Revenues grew 3.6% year-on-year to Rs25.8 billion. Gross profit margins fell 65 basis points to 16.2% during the Jul-Sept quarter. Other income of the company rose 9.5% to Rs874 million.
Analysts say the carmaker is still heavily relying on Toyota Corolla whose demand is quite strong. Indus Motor posted a profit of Rs11.45 billion in the financial year ended June 2016, up 26% compared with Rs9.11 billion in fiscal year 2015.
Published in The Express Tribune, October 28th, 2016.
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