Dawood Hercules’ profit jumps to Rs17.86 billion

It was due to gain from sale of Hub Power’s stake to Mega Conglomerate

KARACHI: The consolidated profit of Dawood Hercules jumped four-fold to Rs17.86 billion in the quarter ended March 31, 2018 mainly due to robust sales and outstanding other income, according to its profit and loss statement sent to the Pakistan Stock Exchange (PSX) on Wednesday.

Other income of the company shot up six-fold to Rs14.09 billion from Rs2.39 billion in the same quarter last year likely due to one-time gain from the sale of Hub Power to Mega Conglomerate.

Dawood Hercules had sold its 172.58 million shares in Hub Power to Mega Conglomerate at Rs106.5 per share, totaling Rs18.34 billion.

Dawood Hercules had booked a profit of Rs4.24 billion in the Jan-Mar quarter last year. Earnings per share rose to Rs26.15 in the Jan-Mar 2018 quarter compared to Rs2.25 in the corresponding period last year.

Its share price increased 2.50%, or Rs3.35, to Rs137.58 with 230,400 shares changing hands at the PSX.

The company reported that its net sales rose 49% to Rs33.52 billion from Rs22.49 billion. Finance income dropped to Rs1.37 billion from Rs1.43 billion.

The share of income from associates and joint ventures shrank to Rs416 million from Rs839 million.

Other operating expenses surged to Rs598 million in Jan-Mar 2018 from Rs289 million in the same quarter last year.

Published in The Express Tribune, April 26^th, 2018.

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