Jawad Ahmed ISLAMABAD, June 14 (INP-WealthPK): The profit after tax (PAT) of Atlas Honda Limited (PSX: ATLH) for Financial Year 2022 ending March 31, 2022 stood at Rs5.6 billion compared to Rs3.6 billion in the same period last year, showing a growth of 55.6%. Registered as a public limited company, ATLH is a subsidiary of Shirazi Investments (Private) Limited, which holds 52.43% of issued, subscribed and paid-up capital of the company as of March 31, 2022. The company is principally engaged in progressive manufacturing and marketing of motorcycles and spare parts. As of March 31, 2022, over 90% of the company's shares were held by affiliated entities and associated parties. Individuals owned around 9% of the total shares, while roughly 1% is split among the remaining stakeholders. The board of directors, the chief executive officer, their spouses and minor children owned a negligible percentage of the shares. Company Turnover Since the calendar year 2017, the company's top line has largely been expanding at more variable rates, while profit margins have been modestly fluctuating between 2019 and 2020; there was a major decline in 2020, followed by a rise again in 2020 and 2021. In 2018, the company's revenues climbed over 20% year-on-year to Rs77.5 billion from Rs64.5 billion in 2017. However, the company's gross profit increased by 22% to Rs8.3 billion from Rs6.8 billion the year before. [caption id="attachment_68387" align="aligncenter" width="696"] Source: FFC Annual Report/ WealthPK Research[/caption] In 2019, the company achieved net sales of Rs82.4 billion compared to Rs77.5 billion the previous year, up by 6%. The increase was mainly due to volume growth. However, gross profit declined from Rs8.3 billion to Rs6.6 billion, down by 21%. This was due to significant surge in material prices on account of depreciation of Pak Rupee against USD and Japanese Yen.   The company achieved profit before tax of Rs4.6 billion during the year ending, representing a decrease of 26%. Net profit after tax decreased by 31% from Rs4.7 billion to Rs3.2 billion. This translated into Earnings per Share (EPS) of Rs31.0 as against Rs45.1 the previous year. [caption id="attachment_68386" align="aligncenter" width="696"] Source: FFC Annual Report/ WealthPK Research[/caption] In 2020, the company earned net sales of Rs84.8 billion, up 3% from Rs82.4 billion the previous year. Gross profit, on the other hand, fell by 7% from Rs6.6 billion to Rs6.1 billion. This resulted from a large increase in material prices due to depreciation of the Pakistani rupee against the US dollar and Japanese yen, as well as imposition of additional tariffs and a drop in output. At the end of the year, the company earned Rs4.4 billion in Profit Before Tax, a decrease of 4% compared to Rs4.6 billion the previous year. The net profit after tax was Rs3.1 billion, down 4% from the previous year. This resulted in an EPS of Rs24.8 compared to Rs25.9 a year before. [caption id="attachment_68385" align="aligncenter" width="696"] Source: FFC Annual Report/ WealthPK Research[/caption] In year 2021, net sales reached Rs93.2 billion compared to Rs84.8 billion the previous year, up by 10%. Increase in sales volumes, better model mix and cost reduction measures improved gross profit from Rs6.1 billion to Rs6.9 billion, up by 12%. The company achieved profit before tax of Rs5.2 billion during the year ending March 31, 2021, up by 17%. Likewise, net profit after tax reached Rs3.6 billion with an increase of 17% over the previous year. This translated into EPS of Rs28.9 as against Rs24.8 the previous year. [caption id="attachment_68384" align="aligncenter" width="696"] Source: FFC Annual Report/ WealthPK Research[/caption] During the year 2022, the company achieved net sales of Rs131.9 billion, an increase of 42% from Rs93.2 billion the previous year. Thanks to an increase in sales volume coupled with continuous cost reduction measures, the gross profit grew to over Rs9.9 billion compared to Rs6.9 billion in the same period the previous year, an impressive increase of 43%. The company achieved profit before tax of Rs7.8 billion during the year, up by 52% compared to Rs5.2 billion the previous year. Likewise, net profit after tax reached Rs5.6 billion with an increase of 55% over the previous year. This translated into EPS of Rs45.01 as against Rs28.97 the previous year.   During the year, the company contributed Rs28 billion to the government and its agencies on account of various taxes and levies. Atlas Group, of which the company is a constituent member, contributed Rs75 billion to the national exchequer, making Atlas one of the highest taxpayers in the country.