Corporate results: Engro Foods switches to profit

KARACHI:

Engro Foods switched to profit of Rs216 million in the first half of 2011 against loss of Rs177 million in the same period last year, according to results sent to the Karachi Stock Exchange on Wednesday.

Revenues grew by 41 per cent to Rs13.4 billion in the period under review on the growing market share of the company products.

Increasing market share for the company the juice, ice cream and milk sector is bearing well for the company. The company’s ice cream business Omore expanded from Punjab to other parts of the country including Karachi in the period under review. Engro Foods already moved to number one slot in the UHT milk market share last year.

The company kept a lid on its distribution and marketing expanses as they eased to Rs1.70 billion during January to June 2011 compared with Rs1.74 billion in the same period last year.

The parent company Engro Corporation’s stock fell Rs3.76 to close at Rs138.02 at the Karachi Stock Exchange on Wednesday, however, this was more to do with the index nose-diving than its subsidiary’s result, said an analyst.

The company recently offered initial public offering shares to the general public in a bid to raise Rs675 million in a bid to finance different projects.





Published in The Express Tribune, August 4^th, 2011.