KAPCO’s earnings slip to Rs2.18b
Dip comes due to increased short-term borrowing
KAPCO. PHOTO: KAPCO
KARACHI:
Kot Addu Power Company’s (Kapco) profit dropped 6% to Rs2.18 billion in the quarter ended September 2017 mainly due to increased finance cost paid for short-term borrowing, according to a bourse filing on Thursday.
The power generation and distribution company had earned Rs2.31 billion in the same quarter of previous year.
KAPCO earnings up 38% to Rs2.58b in third quarter
Accordingly, earnings per share decreased to Rs2.48 from Rs2.63. Kapco’s share price inched up 0.24%, or Rs0.17, to Rs68.24 with a volume of 126,500 shares at the Pakistan Stock Exchange.
Finance cost increased substantially by 67% year-on-year to Rs1.59 billion during the quarter from Rs955.27 million in the corresponding period of last year. This happened “likely due to increased short-term borrowing, leading to higher interest cost”, IGI Securities said in post-result comments.
Sales surged 22% to Rs21.57 billion from Rs17.75 billion. This came because of “7% rise in power dispatches to 1,852 gigawatt hours (load factor 63% versus 59% in the same period of last year) and 23% increase in furnace oil prices,” JS Research said.
Resolving issues: Govt urged to address concerns over KAPCO's
IGI added gross margins fell three percentage points to 16% from 19% in the corresponding period of last year “likely owing to higher maintenance cost as a result of overhaul of gas turbines”. Other income rose 30% to Rs1.39 billion from Rs1.07 billion potentially because of higher interest earned on receivables, it said.
Published in The Express Tribune, October 20th, 2017.
Kot Addu Power Company’s (Kapco) profit dropped 6% to Rs2.18 billion in the quarter ended September 2017 mainly due to increased finance cost paid for short-term borrowing, according to a bourse filing on Thursday.
The power generation and distribution company had earned Rs2.31 billion in the same quarter of previous year.
KAPCO earnings up 38% to Rs2.58b in third quarter
Accordingly, earnings per share decreased to Rs2.48 from Rs2.63. Kapco’s share price inched up 0.24%, or Rs0.17, to Rs68.24 with a volume of 126,500 shares at the Pakistan Stock Exchange.
Finance cost increased substantially by 67% year-on-year to Rs1.59 billion during the quarter from Rs955.27 million in the corresponding period of last year. This happened “likely due to increased short-term borrowing, leading to higher interest cost”, IGI Securities said in post-result comments.
Sales surged 22% to Rs21.57 billion from Rs17.75 billion. This came because of “7% rise in power dispatches to 1,852 gigawatt hours (load factor 63% versus 59% in the same period of last year) and 23% increase in furnace oil prices,” JS Research said.
Resolving issues: Govt urged to address concerns over KAPCO's
IGI added gross margins fell three percentage points to 16% from 19% in the corresponding period of last year “likely owing to higher maintenance cost as a result of overhaul of gas turbines”. Other income rose 30% to Rs1.39 billion from Rs1.07 billion potentially because of higher interest earned on receivables, it said.
Published in The Express Tribune, October 20th, 2017.