October 31, 2007	Wednesday	Shawwal 18, 1428

KARACHI, Oct 30: Scores of companies announced their financial figures for varying periods on Tuesday, the significance of which paled in the face of a huge plunge of 2.42 per cent in the overall stock prices.

Many analysts thought that a contributing factor in the plunge of KSE-100 index by 366 points on Tuesday could be lower than expected corporate results.

A mix bag of few of the actively traded companies tells the tale.

PAKISTAN PETROLEUM: The company posted net profit at Rs4.8 billion for the first quarter FY08 ended Sept 30, reflecting 26 per cent growth from net earnings of Rs 3.80 billion in the corresponding period of the previous year.

Earning per share (eps) stood at Rs6.37 against eps of Rs5.0 in the same time last year.

Most analysts thought that the earnings were in line with expectations, which ranged between Rs4.8 to Rs5.2 billion. The company did not announce a dividend.

Net revenues of the company stood at Rs10.3bn, representing growth of 17 per cent, attributed to increase in oil and gas production in the first quarter and also due to reduction in discounts on Sui and Khandhkot fields.

Royalty on oil and gas rose to Rs1.2bn because of higher sales recorded in the period under review.

UNITED BANK LIMITED: The Bank posted after tax profit amounting to Rs7.1 for the nine months (Jan-Sept 2007), translating into eps at Rs8.75, as compared to Rs6.9 billion and eps of Rs8.53 in 9M2006, representing growth of three per cent in earnings.The stunted growth was ascribed by analysts mainly to higher provisions (of Rs3.6 billion) made by the bank following State Bank of Pakistan circular in October 2007 regarding withdrawal of Forced Sale Value (FSV) of all non-performing loans.

The provisions in the same time last year were considerably lower at Rs1.8 billion.

NISHAT MILLS: Net profit of the company stood at Rs484 million (eps Rs3.03) for the first quarter (July-Sept 2007), representing eps at Rs3.03, showing 14 per cent increase from net profit of Rs426 million and eps at Rs2.66 in the same time last year. Sales decreased by two per cent to Rs4.3billion while gross margins of the company also slipped to 18.5 per cent versus 18.8 per cent in the same quarter of 2006.

This decline in the top line, however, was more than offset by the huge increase of 447 per cent in ‘other income’ of the company.

Share of profit in associated companies, on the other hand, declined by 37 per cent to Rs138m mainly due to lower earnings of DG Khan Cement in 4QFY07.

D. G. CEMENT: The company which announced results on Monday, posted profit after tax for the 1Q ended Sept 2007 at Rs268 million, representing earning per share (eps) at Rs1.06.

It stood lower than tax profit at Rs484 million and eps at Rs1.85 for the same quarter last year.

Sales rose to Rs2,233 million, compared to Rs1,850 million in the same time in 2006. But gross profit dipped to Rs374, from Rs818m.

Other income of Rs198 million helped to look things brighter as the figure on that account in the previous comparable period was only Rs6 million.

The results were stated to have benefited from deferred tax reported in the period under review.