Fakiha Tariq

Gross profit of International Steels Limited dropped 59% during the first half (July-Dec) of the fiscal year 2022-23 (1HFY23) compared to the corresponding period of the previous fiscal, reports WealthPK. International Steels Limited (ISL) is listed on the Pakistan Stock Exchange with the symbol of ISL in the engineering sector. With a market cap of Rs18.2 billion, ISL is the largest company in engineering sector in Pakistan. Established in 2007, ISL is currently Pakistan’s biggest manufacturer of flat steel. ISL also exports its products to more than 20 countries, and is recognised as the largest exporter of flat steel.

ISL reported a gross profit of Rs2.9 billion in 1HFY23, which was 59% less than Rs7.2 billion reported in the same period of FY22. ISL semi-annual revenues dropped by 22% as the company registered the sales of Rs33 billion in 1HFY23 compared to the sales value of Rs43 billion in 1HFY22. ISL saw a massive net profit decline of Rs4.1 billion as it plunged from Rs4.2 billion in 1HFY22 to Rs60 million in 1HFY23. ISL made a net profit ratio of only 0.18% in 1HFY23. The company reported earnings per share value of Rs0.14 in 1HFY23.

International Steels Limited – Quarterly Review – 1HFY23

In the first quarter (July- Sept) of FY23, ISL made sales of Rs16 billion and gross profit of Rs2.2 billion. It reported a net profit value Rs448 million in 1QFY23. The company generated an EPS value of Rs1.03 per share. In 1QFY23, ISL’s gross profit ratio and net profit ratio came out to be 13.54% and 2.71%, respectively.

In the second quarter (Oct-Dec) of FY23, ISL revenue moved up to Rs17 billion compared to Rs16 billion in 1QFY23. ISL reported a gross profit of Rs735 million and suffered a net loss of Rs387 million in 2QFY23. Thus, the loss per share was Rs0.89 in this quarter.

International Steels Limited – Market Value – 1HFY23

In the 1HFY23, International Steels Limited’s market value declined by 23% from Rs25 billion to Rs19 billion. In the first quarter of FY23, ISL’s market value dropped by 6% from Rs25 billion to Rs23 billion.

However, the second quarter of FY23 proved devasting for ISL as the company further experienced a market value dip of 17%. During the 2QFY23, ISL’s market value dropped from Rs23 billion to Rs19 billion.

Credit: Independent News Pakistan-WealthPk