Kohat Cement Company Limited (KOHC) announced its financial result for 9MFY24 today, posting a PAT of PKR 6,512mn (EPS: PKR 33.25) compared to a PAT of PKR 5,363 (EPS: PKR 26.91) in SPLY, up by 21% YoY. During 3QFY24 earnings clocked in at PKR 2,058mn (EPS: PKR 10.51) against PKR 1,624mn (EPS: 8.29), showcasing a jump of 27% YoY.

Result Highlights      

Topline during 9MFY24 remained stable at PKR 29,972mn. During 3QFY24 net sales plummeted by 15% YoY to settle at PKR 8,510mn in contrast to PKR 10,010mn in SPLY.

Gross margins for 9MFY24 arrived at 28% vis-à-vis 27% in SPLY. During 3QFY24, the gross margins climbed by 754bps to 30% owing to higher cement prices in tandem with a fall in coal prices.

Selling and Distribution expenses in 9MFY24 increased by 19% YoY to clock in at PKR 138mn, which is attributable to the introduction of the axle load factor, we view. In 3QFY24, selling and distribution expenses arrived at PKR 53mn vis-à-vis PKR 42mn, up by 26% YoY.

Other income surged by 2x YoY in 9MFY24 to clock in at PKR 3,145mn, due to higher income from short-term investments. In 3QFY24, the other income arrived at PKR 1,078mn, depicting a massive growth of 99% YoY due to the aforementioned reason.

Finance costs in 9MFY24 increased by 5% YoY to PKR 535mn on the back of higher interest rates. In 3QFY24, the finance cost decline by 10% YoY amid fall in the long term finances.

The company booked effective taxation at 34% in 3QFY24 vis-à-vis 30% in 3QFY23.

AHL

Attock Cement Pakistan 3QFY24 earnings arrived at PKR 1.30/share