Kot Addu Power Company (Kapco) announced its financial results for the 3rd quarter ending on March 31st, 2020.
The power-producing company posted an increase of 65% in its profit to Rs. 6.05 billion in the quarter as compared with a profit of Rs. 3.67 billion in the same period last year. This took the nine months’ profit to Rs. 17.77 billion, up by a massive 78% as compared with Rs. 9.99 billion recorded in the same period last year.
Net sales during the quarter increased by 11% to Rs. 11.93 billion as compared to Rs. 10.76 billion in the same period of last year. According to the analyst, the increase in revenue was due to higher USD/PKR indexation.
According to a report by Arif Habib Ltd, the increase in sales was also due to higher re-gasified liquefied natural gas (RLNG) prices, however, dispatches remained low due to overall thin demand in the country.
The gross profit during the Jan-Mar 2020 quarter rose 50% to Rs. 5.57 billion as compared to Rs. 3.7 billion in the same quarter of last year.
Other income saw an increase of 34.01% to Rs. 5.32 billion as compared to Rs. 3.97 billion in the same period last year due to tariff true-up along with higher interest rates compared to the same period of last year.
The finance cost of the company also increased to Rs. 2.18 billion compared to Rs. 2.13 billion last year. Earnings per share (EPS) of the company came in at Rs. 6.87 in Jan-Mar 2020 compared to Rs. 4.17 in the corresponding period of the previous year. The company also announced a cash dividend of Rs. 1.5 per share for its shareholders.