Hifsa Raja

Hi-Tech Lubricants Limited’s (HTL) gross revenue climbed 36% to Rs14.53 billion in the first nine months of the previous fiscal year 2021-22 (9MFY22) from Rs10.68 billion over the corresponding period of FY21.

The gross profit, showing a 34% growth, stood at Rs2.25 billion in 9MFY22 compared to Rs1.68 billion over the same period of FY21.

The operating profit stood at Rs945 million, 35% higher than Rs701 million in 9MFY21.

The after-tax profit grew by 19% to Rs605 million in 9MFY22 from Rs508 million in 9MFY21.

The earnings per share (EPS) stood at Rs4.35 in 9MFY22 compared to Rs3.65 over the same period in FY21, showing a growth of 19%, reports WealthPK.

As of June 30, 2021, directors, their spouse(s) and minor children owned 71.62% of the company’s total shares. Associated companies, undertakings & related parties owned 4.83% of the shares, banks, development financial institutions, non-banking financial institutions 0.05%, insurance companies 3.50%, Modarabas and mutual funds 2.16%, general public (local) 14.75%, (foreign) 0.12% and ‘others’ 2.99%.

Performance in 2020-21

During the fiscal year 2020-21, the company generated revenue of Rs15.6 billion over Rs8.14 billion in 2019-20, registering an increase of 92%. 

The gross profit for FY21 was Rs2.26 billion, registering a growth of 60% over Rs1.41 billion in FY20.

The operating profit for FY21 declined by 18% to Rs107 million from Rs131 million in FY20.

The profit-before-tax for FY21 was Rs781 million compared to only Rs75 million in FY20, showing a meteoric increase of 932%.

Similarly, profit-after-tax for FY21 was Rs651 million as compared to Rs121 million in FY21, again showing massive increase of 436%.

The company’s EPS nosedived from Rs4.78 in 2018 and settled in the negative territory at minus Rs3.75 in 2019. It then trudged up to minus Rs0.35 in 2020 before gaining some strength and reaching Rs2.84 in 2021.

Profit or loss over the years

The gross profit ratio remained low in 2019, but improved in 2020, before slightly decreasing in 2021. The net profit/loss to revenue kept increasing in 2020 and 2021. Hi-Tech Lubricants Limited was incorporated in Pakistan under the repealed Companies Ordinance, 1984 (now Companies Act, 2017). The principal activity of the company is to procure and distribute lubricants and petroleum products.

In 2017, Oil and Gas Regulatory Authority (Ogra) granted licence to the company to establish an Oil Marketing Company. On May 31, 2019, Ogra granted permission to the company to operate new storage facility in Sahiwal and market petroleum products in Punjab.

Credit : Independent News Pakistan-WealthPk