Power Cement Ltd overall capacity utilisation was 68 per cent, compared to 76 per cent in the corresponding period, according to the Sindh-based company's 1HFY24-25 (ended 31 December 2024) financial and operational performance filing to the Pakistan Stock Exchange. Total sales reached 1.108Mt, compared to 1.389Mt in 1HFY24-25.
In the second quarter (Oct-Dec 2024), the company made a steady recovery, resulting from improved local sales volume and a significant reduction in finance costs. Net sales revenue grew by 23 per cent to PKR8.775bn (US$31.49bn) compared to PKR7.111bn in the same quarter last year, driven by improving domestic demand. A significant turnaround was observed in profitability, with profit before taxation and levy reaching PKR643m, reversing a loss of PKR489m in the corresponding quarter of the previous year. Similarly, profit after taxation and levy rose to PKR525m, compared to PKR0.374m in the year-ago period, highlighting effective cost control, a recovering domestic market and financial discipline.
For 1HFY24-25, net sales revenue declined by 18 per cent to PKR13,822m due to sluggish local demand for cement during the first quarter of the current financial year. However, a notable recovery in domestic demand in the last quarter signalled improving market conditions. Gross profit remained stable at PKR3.747bn while operating profit increased by almost nine per cent to PKR2.104bn, supported by cost efficiencies and improved margins. The company’s profit before tax was PKR214m, compared to a loss of PKR602m in the corresponding period. Profit after tax stood at PKR32m, a significant recovery from the PKR470m loss recorded in the corresponding period.
by Abdul Rab Siddiqi, Pakistan.
