Gul Ahmed Textile’s Profit Drops by 41.6% to Rs. 2.18 Billion in 6 Months
In the first half of the company’s fiscal year 2023, Gul Ahmed Textile Mills Limited’s (PSX: GATM) bottom line decreased by 41.60% year over year to Rs 2.17 billion (EPS: Rs 3.53) from Rs 4.72 billion in the same time the previous year.
Profitability has fallen due to higher finance costs, which increased 92% year on year to Rs 2.6 billion in the first half of fiscal year 2023. Going by the financial statement, the net sales of the company clocked in at Rs 62 billion, an increase of only 9.42% year over year, while the cost of sales jumped by over 13% year over year to Rs 50 billion in the review period.
As a result, the company’s gross margins fell to 18.44% in the first half of fiscal year 2023, down from 21.1% in the same period last year. On the cost front, the company’s operating costs were recorded at Rs. 6.57 billion, compared to Rs. 6 billion in the same period last year.
Among other line items, the other income of the company increased by 4.8 times year over year in the first half of fiscal year 2023. The company paid Rs. 11.3 billion during the period, compared to Rs. 989.43 million in the first half of fiscal year 2022.
Source: STARTUP PAKISTAN