By Jawad Ahmed

ISLAMABAD, Aug 25 (INP-WealthPK): The revenue of International Steels Limited – the manufacturer of cold-rolled, galvanized and colour-coated steel coils and sheets – stood at Rs91.423 billion in the financial year 2021-22, higher by 31% compared to Rs69.796 billion in 2020-21, reports WealthPK.

Registered as a public limited company, International Steels Ltd is a subsidiary of International Industries Limited.

During FY22, the company’s top-line showed a remarkable growth of 31%, but the rising prices of raw material and increasing cost of sales decreased profitability of the company. The company posted Rs8 billion in profit-before-tax in FY22 compared to Rs10.29 billion in the preceding year. After statutory tax adjustments, the net profit for the year ending June 30, 2022, came in at Rs5.41 billion compared to Rs7.46 billion in the previous year. The massive decline in profit shrunk the earning per share (EPS) to Rs12.44 from Rs17.16 the preceding year.

Company’s performance over the years

In FY 2018, the net sales of the company increased to Rs49.15 billion compared to Rs34.82 billion the preceding year. Gross profit of the company increased from Rs5.90 billion to Rs7.63 billion. Net profitability surged to Rs4.36 billion compared to Rs3.04 billion in FY17, which took the EPS up to Rs10.03 from Rs7.01.

The year 2019 continued to witness an increasing trend in the company’s sales revenue, which rose by 17% to Rs57.48 billion from Rs49.15 billion the year before. However, increase in turnover could not push the gross profit. The company’s gross profit fell to Rs6.44 billion from Rs7.63 billion the previous year, registering a 15.6% decline on year-over-year (YoY) basis.

Profit-before-tax for the year climbed to Rs3.67 billion, 36.7% lower than the previous year’s Rs5.80 billion. The EPS further declined to Rs6.12 due to a cut in after-tax profit, which fell to Rs2.66 billion to Rs4.36 billion.

In 2020, sales decreased by 16.36% to Rs48.08 billion from Rs57.48 billion in 2019. This impacted the company’s gross profit, which declined to Rs4.21 billion from Rs6.44 billion a year earlier.

The company’s net profit decreased to Rs494 million in 2020 from Rs2.66 billion in 2019. This pushed the EPS down to Rs1.14 from Rs6.12 a year ago.

In 2021, the company witnessed a remarkable growth in the year’s revenue collection of Rs69.796 billion, which was 45% higher than previous year’s Rs48.081. The gross margins stood at Rs13.49 billion compared to Rs4.213 billion the previous year. The company’s profit-after-tax went up to Rs7.466 billion from the previous year’s Rs494 million. EPS for the year ended June 30, 2021, was Rs17.16 compared to Rs1.14 per share the previous year.

Credit: Independent News Pakistan-WealthPak