Pakistan’s largest urea manufacturing company, Fauji Fertilizer Company (FFC) Limited, has announced its unconsolidated financial results for the year ended on 31 December 2021.
The FFC had booked an unconsolidated profit of Rs. 21.90 billion in 2021, up by 5.24 percent as compared to Rs. 20.81 billion earned in 2020. It also announced a final cash dividend of Rs. 4.65 per share besides the interim dividends already paid at Rs. 9.85 per share.
The dividend is higher than the market expectations due to a higher payout ratio amid improved liquidity.
The company’s sales went up by 11.60 percent to Rs. 108.65 billion as compared to Rs. 97.65 billion recorded in 2020 mainly due to increased retention prices as well as a 45 percent Year-on-Year surge in DAP offtakes
The cost of sales also fell by 5.6 percent to Rs. 69.77 billion against Rs. 66.07 billion, which took the gross profits to Rs. 38.87 billion from Rs. 31.58 billion in 2020.
The FFC posted a loss of Rs. 2.44 billion on the unwinding of the GIDC liability when compared to a gain of Rs. 5.9 billion that was recorded last year.
Its earnings per share increased to Rs. 17.21 as opposed to Rs. 16.36.
Furthermore, the FCC’s scrip at the bourse was closed at Rs. 106.69, up by Rs. 0.69 or 0.65 percent, with a turnover of 1.32 million shares on Monday.