Hifsa Raja

SS Oil Mills Limited (SSOM) revenue decreased 22% to Rs1.7 billion in the first quarter of the ongoing financial year 2022-23 from Rs2.24 billion over the corresponding period of the previous fiscal. Similarly, the company’s gross profit decreased 11.73% to Rs148 million in 1QFY23 from Rs168 million in 1QFY22.

Likewise, the operating profit decreased 12% to Rs135 million in 1QFY23 from Rs154 million in 1QFY22. The profit-before-taxation decreased 63% to Rs35 million in 1QFY23 from Rs98 million in 1QFY22. Similarly, the company sustained a net loss of Rs1.94 million 1QFY23 compared to Rs70 million profit in 1QFY22, posting a decrease of 102%, reports WealthPK.

The earnings per share of the company in 2019 stood at Rs2.32, which increased to Rs5.06 in 2020. The EPS took a big leap and reached Rs55.06 in 2021, showing a growth of 988.14%. However, the EPS dropped to 38.87 in 2022.

Profitability

The company’s gross profit margin stood at 5.9% in 2019. After deducting all additional taxes, the net profit margin stood at just 0.34%. The gross profit and net profit margins in 2020 stood at 6.36% and 0.57%, respectively. However, the gross profit margin climbed to 7.97% and the net profit margin to 3.88% in 2021. The gross profit margin dropped to 6.86%, and the net profit margin to 2.88% in 2022.

Compared to 2019, when the gross profit and operating profit were low, profitability remained higher in 2020. The operational profit and gross profit both rose in 2021. In 2022, profitability remained low.

Company profile

SS OIL Mills Limited was incorporated in Pakistan on August 21, 1990 as a public limited company under the now repealed Companies Ordinance, 1984. The company is engaged in solvent extraction (edible oil, meal).

Credit: Independent News Pakistan-WealthPk