Pakistan: DG Khan second-quarter profit rises

DG Khan, one of Pakistan's leading cement producers, posted a 14 per cent YoY rise in profit during 2QFY14 to PKR1.61bn but higher power costs affect gross margins.
 
Earnings per share rose to PKR3.68 against PKR3.22 a year earlier.
 
Revenues increased by 10 per cent YoY to PKR6.54bn while gross margins declined to 34 per cent from 40 per cent in the comparative period of FY13 due to higher power costs.
 
Earnings were down 5.6 per cent YoY to PKR2.66 compared to PKR2.82bn in 2QFY13.
 
During August-September the government increased power amd gas prices which led to a decline in gross margins to 34 per cent in 1HFY14 even though revenues increased by five per cent YoY during the period. 
 
DG Khan reported a net income of PKR5.5bn for the fiscal year 2013, up 34 per cent compared PKR4.11bn in FY12.