Fakiha Tariq

The revenue, gross and net profits of Thal Limited (THALL), an auto parts maker, dropped by 10%, 31% and 52%, respectively, in the first nine months (July-March) of the ongoing fiscal year 2022-23 as compared to the corresponding period of the previous fiscal, WealthPK reports.

During this period, THALL made gross sales of Rs24 billion, gross profit of Rs3.36 billion and gross profit ratio of 13.5%. The company posted net profit and net profit ratios of Rs1.6 billion and 6.62%, respectively. THALL posted earnings per share of Rs20.33 in 9MFY23.

In comparison to the same period of FY22, the revenue of Pakistan’s largest automobile parts manufacturer dropped by 10% from Rs27 billion to Rs24 billion in 9MFY23. Likewise, the gross profit of Rs4.88 billion in 9MFY22 decreased by 31% in 9MFY23. THALL’s net profit dropped from Rs3.4 billion in 9MFY22 to Rs1.6 billion in 9MFY23. Registered on the Pakistan Stock Exchange (PSX) with the symbol ‘THALL’, the company has the market capitalisation of Rs13.7 billion.

THALL – Quarterly Review – 9MFY23

Review of quarter-based profitability reveals that THALL enjoyed profits in all the three previous quarters of FY23. The company made highest gross and net profits in the latest quarter (January-March) followed by Q1 and Q2.

In the July-September quarter, THALL posted gross revenues of Rs6.9 billion and gross profit of Rs886 million. The company posted net profit of Rs171 million. Therefore, the gross profit and net profit ratios were reported to be 12.8% and 2.47%, respectively. In 1QFY23, the company reported the earnings per share of Rs2.11.

In the October-December quarter, the auto parts manufacturer posted gross revenue of Rs7.7 billion and gross profit of Rs853 million. The company posted net profit of Rs572 million. Therefore, the gross profit and net profit ratios came out to be 11.0% and 7.39%, respectively. In this quarter, the company reported the earnings per share of Rs7.07.

In the January-March quarter, the company posted the highest gross revenue of Rs10.2 billion, and gross profit of Rs1.6 billion. The company posted net profit of Rs903 million. Therefore, the gross profit and net profit margins were calculated to be 15.9% and 8.84%, respectively. In this quarter, THALL posted the earnings per share of Rs11.15.

Credit: Independent News Pakistan-WealthPk