GSK Pakistan bounces back with Rs1.1bn profit
Wire desk byline Sourced from Xinhua, Dawn, Arab News, Anadolu and Minute Mirror. Translated and abridged by the GSRRA Desk.
Healthy Business Environments makes Companies to enhance Profits.
August 23, 2024 (MLN): GlaxoSmithKline (Pakistan) Limited (PSX: GLAXO) made a strong recovery in the second quarter of 2024, earning a profit after tax of Rs1.09 billion [EPS: Rs3.41] driven by a substantial surge in gross margins.
This compares with a loss of Rs752.39 million [LPS: Rs2.36] incurred in the same period last year.
The company’s sales revenue grew by 11.8% to Rs13.25bn as compared to Rs11.86bn in SPLY.
Furthermore, the cost of sales fell 11.9%, improving the gross profit substantially by 570.1% to Rs3.23bn in Q2 2024.
The gross margins surged to 24.4% as compared to 4.1% in SPLY.
During the period under review, other income went down by 15.9% to stand at Rs415.16m in Q2 2024 as compared to Rs493.89m in SPLY.
On the expense side, the company’s administrative expenses rose 15.0% YoY to Rs495.35m, other operating expenses rose to Rs158.33m, while selling and distribution expenses fell 19.6% YoY to Rs970.57m.
The company’s finance cost inflated to Rs166.12m as compared to a finance income of Rs322.14m in SPLY.
On the tax front, the company paid a higher tax worth Rs767.53m against the Rs440.07m paid in the corresponding period of last year, depicting a rise of 74.4%.
| Unconsolidated (un-audited) Financial Results for quarter ended June 30, 2024 (Rupees in ‘000) | |||
|---|---|---|---|
| Jun 24 | Jun 23 | % Change | |
| Sales | 13,254,797 | 11,860,206 | 11.76% |
| Cost of sales | (10,023,208) | (11,377,965) | -11.91% |
| Gross Profit/ (loss) | 3,231,589 | 482,241 | 570.12% |
| Administrative Expenses | (495,347) | (430,793) | 14.98% |
| Selling And Distribution Expenses | (970,569) | (1,207,141) | -19.60% |
| Other Income | 415,163 | 493,890 | -15.94% |
| Other Operating Expenses | (158,327) | 27,340 | – |
| Finance Income/ (cost) | (166,115) | 322,143 | – |
| Profit/ (loss) before taxation | 1,856,394 | (312,320) | – |
| Taxation | (767,525) | (440,073) | 74.41% |
| Net profit/ (loss) for the period | 1,088,869 | (752,393) | – |
| Basic earnings/ (loss) per share | 3.41 | (2.36) | – |
Amount in thousands except for EPS
Reference Link:- https://mettisglobal.news/gsk-pakistan-bounces-back-with-rs1-1bn-profit/
Zamir Ahmed Awan is the founder and Chair of the Global Silk Route Research Alliance, a think tank in Islamabad. He studied engineering at Shanghai University in the 1980s, and years later he went back to China as Pakistan's science counsellor in Beijing, from 2010 until 2016, working on science and higher education cooperation between the two countries.…
