KARACHI: Fauji Fertiliser Bin Qasim Limited (FFBL) has been approached by a potential acquirer that has expressed its intention to enter into negotiations with the company for the acquisition of majority voting shares in Fauji Meat Limited (FML), the company informed the PSX in a material disclosure statement on Tuesday.
FFBL holds 83 per cent stake in the FML while the remaining 17pc is with Fauji Foundation.
The FML holds assets worth Rs8.2 billion, of which Rs6.6bn is plant and machinery while the value of the subsidiary in FFBL’s book is Rs3.7bn. It will be sometime before the due diligence is conducted and the sale price worked out.
The Foundation Securities in its report on the event stated that FML owns the largest and most technologically-advanced slaughtering plant, having capacity of 200 tonnes of meat (170 tonnes beef and 30 tonnes mutton) in both frozen and chilled categories.
Indus Motor profits fall 62pc
Indus Motor Company Limited (INDU) announced its 1QFY20 results reporting profit-after-tax at Rs1.319bn and EPS at Rs16.78, down 62pc over the net earnings in the same quarter last year.
Along with the results, the company announced an interim cash dividend at Rs7 per share.
The company’s net sales dropped, which the analysts said was expected due to YoY plunge in volumes. Furthermore, gross margins contracted on the back of continued repercussions of the devalued rupee which caused a huge rise in the imported raw material costs.
National Bank records Rs16.3bn income
The National Bank of Pakistan earned PAT of Rs16.3 billion for the nine months ending Sept 30 – up 2.41pc, translating into EPS of Rs7.8.
In same period last year, earnings worth Rs16.246bn and EPS of Rs7.59 were reported.
The reduced profitability is mainly attributed to higher taxation charge of 44pc. Net interest income closed at Rs53.9bn, non-mark-up income at Rs25.6bn, up by 23.7pc and 13.7pc, respectively. With an increase of 26.2pc, the bank’s profit before taxation amounted to Rs29.2bn, from Rs23.1bn.
Nishat Mills earnings up 7pc
Nishat Mills Limited (NML) reported consolidated financial results for 1QFY20, recording an earnings per share (EPS) of Rs4.67 against EPS of Rs4.37 earned in the same period last year.
Earnings were up 7pc year-on-year due to increase in revenue and improvement in gross profit margin.
The company’s top line grew by 9pc YoY to Rs15.9bn in 1QFY20 over the net sales at Rs14.5bn in the same quarter last year attributed mainly to the depreciation of rupee against the dollar.
Standard Chartered profits jump
Standard Chartered Bank (Pakistan) Ltd on Tuesday declared 9MCY19 profit after tax at Rs11.4 billion (earnings per share: Rs2.95).
This represented a jump of 46.7 per cent over Rs7.77bn and EPS of Rs2.01 in same period last year.
A strong growth of 56pc to 19.8bn in before-tax profit and revenue increase of 41pcwere the major drivers of the increased profitability.
Operating expenses continue to be well managed through operational efficiencies and disciplined spending with a decrease of 5pc from comparative period last year.
Nestle earns Rs5.4bn
Nestlé Pakistan Ltd announced financial results for the third quarter ending Sep 30 reporting net profit of Rs5.4bn, up 36.7pc compared to same period last year.
The company’s top line clocked in at Rs87bn for the nine months under review.
Published in Dawn, October 30th, 2019