KARACHI, Oct 20: National Investment Trust (NIT) has earned a net profit of Rs149 million and Rs142 million in respect of LOC Fund and non-LOC Fund.

This was stated by chairman and managing director NIT here on Monday after the board of directors approved accounts for the first quarter ended on Sept 30, 2008.

He said the profits translated into an earning per unit of Rs0.20 for LOC Fund and Rs0.15 for non-LOC Fund, respectively, for the quarter in the backdrop of the unprecedented bearish sentiments in the stock exchanges during the period.

Net Asset Value of NIT unit for LOC Fund declined by 28.2 per cent from Rs45.73 as on June 30, 2008 (ex-dividend) to Rs32.85 as on Sept 30, 2008 and Net Asset Value of NIT unit for non-LOC Fund declined by 27.3 per cent from Rs46.38 (ex-dividend) to Rs33.72.

During the same period the KSE-100 index dropped by 25.3 per cent. Thus the NIT LOC Fund under performed by 2.9 per cent and non-LOC Fund by 2 per cent to their benchmark of KSE-100 Index.

The reasons for this under performance are extraordinary circumstances in which certain sectors primarily oil and gas and banking have not performed, he said adding that the NIT could not book significant capital gains as in such circumstances the Trust traditionally refrains from sale of portfolio in the market rather it made an investment to the tune of Rs1.3 billion, besides investments made on behalf of NIT Equity Market Opportunity Fund.

Referring to the results of the first quarter of 2008-09 the chairman said that NIT has earned a dividend income of Rs184 million for LOC Fund and Rs237 million for non-LOC Fund.—APP