Jawad Ahmed

Gadoon Textile Mills Limited posted the highest ever net revenue of Rs54.82 billion in the financial year 2021-22 compared with Rs41 billion in fiscal 2020-21, reports WealthPK. During the year, the company registered profit-after-tax (PAT) of Rs5.713 billion, 61.6% higher than the previous year’s Rs3.53 billion. Driven by the growth, the earnings per share (EPS) rose to an enviable figure of Rs203.84 in FY22 from Rs126.08 in FY21.

Similarly, the company's gross profit increased from Rs4.97 billion in FY21 to Rs8.34 billion in FY22, showing a 67.6% growth.

Historical Performance

In 2018, the company achieved sales of Rs27.55 billion, 18.5% higher than the previous year’s Rs23.24 billion.

Gross profit grew by 45.9% to Rs1.94 billion compared to Rs1.33 billion the previous year, and profit-after-tax registered a growth of 46.8% to Rs1.185 billion compared to Rs807 million in 2017.

The EPS was Rs42.29 in 2018 compared to Rs28.79 in 2017.

In 2019, the net sales revenue of the company increased to Rs31.21 billion from Rs27.55 billion the previous year. The gross profit increased by 49% to Rs2.89 billion from Rs1.94 billion in 2018. The company's net profit for the year remained constant at Rs1.18 billion, translating into EPS of Rs42.32.

During the year 2020, the net sales revenue dropped to Rs28.98 billion from Rs31.21 billion a year ago. As a result, gross profit dropped 22.5% to Rs2.24 billion from the previous year’s Rs2.89 billion.

The company’s net profit earnings dropped steeply to Rs45 million compared to Rs1.186 billion the previous year. As a result, the EPS plummeted to Rs1.62 in 2020 from Rs42.32 in 2019.

In 2021, the company managed to secure net revenue of Rs41.01 billion as compared to Rs28.98 billion in 2020, posting an increase of 41.5%, mainly on account of acceleration in sales price of yarn coupled with an increase in yarn quantities.

The company generated net profit of Rs3.53 billion during the year as compared to Rs45 million in 2020. This growth in profit jacked up the EPS to Rs126.08 in 2020 from miniscule Rs1.62 in 2020.

Independent News Pakistan-Wealthpk