Business

Corporate results: Hubco earnings up 62%

Earnings per share increased from Rs2.88 in 1HFY14 to Rs4.67 in 1HFY15

Our Correspondent February 16, 2015

The profits were driven largely by reduced operating costs and significantly lower operating and manufacturing charges despite reduced generation from plants STOCK IMAGE

KARACHI:

Hub Power Company posted after-tax profit of Rs5.4 billion for the first half of fiscal year 2014-15 (1HFY15), up 62% from Rs3.33 billion in the same period of previous year.

Earnings per share increased from Rs2.88 in 1HFY14 to Rs4.67 in 1HFY15, while earnings for the Oct-Dec quarter stood at Rs2.29 per share.

The profits were driven largely by reduced operating costs and significantly lower operating and manufacturing charges despite reduced generation from plants. The company also announced a cash dividend of Rs4 per share with the results. The earnings were attributable to higher-than-estimated mark-up income and improved efficiency of plants, according to Elixir Securities.

Higher gross profit was partially offset by higher-than-estimated financial charges. Other income fell by around 44% year-on-year while administrative expenses increased from Rs324 million in 1HFY14 to Rs419 million in 1HFY15.

Published in The Express Tribune, February 17^th, 2015.

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