By Jawad Ahmed

Asim Textile Mills Limited’s net sales increased 20.5% to Rs2.08 billion in the financial year that ended on June 30, 2022 compared with Rs1.72 billion in fiscal 2020-21.

Asim Textile Mills Limited’s was incorporated in Pakistan as a public limited company under the Companies Act, 1984. The main business activities of the company include the production, import, and sale of yarn, reports WealthPK.

The company posted a gross profit of Rs69 million in FY22, down 44.8% from Rs125 million in FY21 due to increase in cost of sales and raw material. 

The before-tax profit for the year under review decreased 53.13% to Rs45 million from Rs96 million in FY21.

Due to sharp rise in taxes and manufacturing costs, the company’s net income fell 56.58% to Rs33 million in FY22 from Rs76 million in FY21.

As a result, the earnings per share (EPS) decreased from Rs5.02 in FY21 to Rs2.16 in FY22.

In 2019, the company’s sales revenue climbed to Rs1.78 billion from Rs1.43 billion in 2018.

The company’s gross profit increased from Rs88 million in the prior year to Rs109 million this year, a 24% increase year-over-year.

The profit after taxes improved from Rs42 million the year before to Rs56 million this year. As a result, the EPS increased from Rs2.75 in 2018 to Rs3.70 in 2019.

In 2020, the company’s revenue declined to Rs1.47 billion as opposed to Rs1.78 billion in 2019. This was mostly caused by restrictions brought on by Covid-19, which shut the markets and disrupted the supply chain.

The gross profit dropped to Rs47 million from Rs109 million the previous year.

Moreover, the net profit also plunged to Rs19 million from Rs56 million previously. As a result, the earning per share declined to Rs1.23 in 2020 from Rs3.70 the previous year.

However, in 2021, the company posted an increase in its turnover, which rose to Rs1.72 billion from Rs1.47 billion the year before.

Profit-after-tax also increased from Rs19 million the year before to Rs76 million this year.

The EPS increased spectacularly from Rs1.23 to Rs5.02 as a result of profit gains.

Credit : Independent News Pakistan-WealthPk