KARACHI, Feb 14: The corporate results season now is in full bloom, major companies are announcing their financial figures. On Wednesday, Hub Power Company Limited (Hubco), Askari Bank Limited (ABL) and United Bank Limited (UBL) came up with their results.
Analysts said that the earnings of all three companies stood in line or slightly lower than expectations, but dividend payouts were generous.
At the Karachi Stock Exchange, the Hubco stock shed Rs1.65 to close at Rs33.50 on Wednesday. The share in Askari Commercial Bank also declined by Rs1.85 to Rs122 but UBL managed to post an increase of Rs1.30 to end at Rs191.
The stocks would have done better but went with the market which after the mid-day saw the KSE-100 index plunge by a massive 359 points, though recovering 170.84 points towards the end to close at the intra-day loss of 189 points.
HUBCO: The board of directors of Hubco which met in London approved interim dividend at Rs1.25 (12.5pc) for the year ending June 30, 2007.
The company posted net profit at Rs1,248 million for the half year ended December 31, 2006, which was 1.5 per cent lower than net earnings of Rs1,267 million for the corresponding six months of the previous year.
Turnover grew by 103 per cent to Rs19.73 billion, from Rs9.78 billion and operating expenses increased by 131 per cent to Rs17.74 billion from Rs7.67 billion.
Earning per share (eps) worked out at Rs1.08 for the half year FY07, which was about equal to the previous similar period eps at Rs1.09.
The Independent Power Producer’s (IPP’s) net profit for the second quarter Oct-Dec 2006 decreased to Rs526 million, from Rs628 million in the same time last year.
In a statement issued with the accounts the directors attributed the 2Q07 earnings “mainly due to higher repair and maintenance costs”.
Analysts said that the company’s top line had grown on the back of a higher load factor leading to a 145pc YoY surge in power generation. The higher load factor was due to higher offtake by Wapda and the inter-connection with the KESC grid.
ASKARI COMMERCIAL BANK: The board of directors of the Askari Commercial Bank announced a cash dividend at 10 per cent and bonus shares, one-for-two (50 per cent).
The bank posted 11.3 per cent increase in profit after tax (PAT) amounting to Rs2,250 million for the year ended December 31, 2006, which translated into eps at Rs11.23. The previous year, the bank’s PAT stood at Rs2,022 million and eps at Rs11.09.
Mark-up/return/interest earned increased 43.5 per cent to Rs12.6 billion for the year under review, from Rs8.8 billion the year earlier. Mark-up/return/interest expense was higher at 63.1 per cent to Rs6.9 billion, from Rs4.3 billion last year with the net mark-up/interest income rising by 24.8 per cent to Rs5.6 billion, from Rs4.5 billion.
UNITED BANK LIMITED: The board of directors of the United Bank Limited announced bonus shares one-for-four (25 per cent) along with cash dividend at Rs3 per share (30 per cent).
The UBL’s profit after tax stood at Rs9.5 billion for the year ended December 31, 2006, up from Rs5.9 billion for the previous year. Mark-up/return/interest earned rose to Rs33.0 billion, from Rs20.2 billion.
Non mark-up/interest/other income increased to Rs6.9 billion, from Rs5.0 billion. The PAT translated into eps of Rs14.62 for the year under review and Rs9.19 the previous year.
