Engro Corp’s bottom line shrinks 50%

KARACHI:

Engro Corporation has announced consolidated earnings of Rs874 million for the third quarter (July-September) of 2015, down 50% from Rs1.76 billion in the same period of previous year, according to results posted on the Karachi Stock Exchange’s website.

With the profit and loss statement, the company declared an interim cash dividend of Rs5 per share, which was in addition to the Rs6 per share interim dividend already paid.

“The result was below our expectations due to a non-cash charge amounting to Rs2.1 billion related to impairment of a rice processing plant,” Topline Securities commented in its report. Revenues fell 17% year-on-year to Rs37.16 billion because of a 13% decline in sales of Engro Fertilizer led by a drop of 23% in urea demand and an 11% decrease in Engro Polymer revenues to Rs4.7 billion, Topline said.

Published in The Express Tribune, October 30^th, 2015.

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