KARACHI, Feb 24: Pakistan Industrial Credit and Investment Corporation (PICIC) has declared a 12.5 per cent interim cash dividend for the first time in its history.
The dividend has been announced for six July-December 2002 based on the performance of the corporation during this period.
The board of directors of PICIC took this decision at its meeting held on Saturday in Lahore to approve the six-monthly accounts.
PICIC Managing Director Muhammad Ali Khoja explained to Dawn that the corporation had decided to prepare its accounts on calender year basis instead of fiscal year. That was why PICIC accounts for July-December 2002 were approved by its board of directors. He said that in December 2003 the corporation would present its first full calender year accounts covering eighteen months from July 2002 to December 2003. He said the decision was taken to align the presentation of balance sheet of PICIC with that of PICIC commercial bank that follows the calender year.
Khoja said the corporation would, however, take a decision on whether to issue another interim dividend at end of June this year.
A press release issued here on Monday said during six months ending in December last PICIC earned an after-tax profit of Rs 232 million up from Rs 185 million in a year-ago period thus showing a growth of 25 per cent. It said that during the period under review PICIC’s earning per share rose to Rs 2.30 from Rs 1.80. The break-up value of its share was Rs 22.70 at end of December.
The board of directors of PICIC also approved the accounts of ICP mutual funds lot B comprising 13 mutual funds that PICIC had acquired in October last. “The operating performance of ICP mutual funds lot B has improved during the half year ending in December 2002,” claims the corporation: Total income of all the 13 funds increased to Rs 112 million from Rs 68 million showing a growth of 65 per cent. Net income of all the 13 mutual funds rose to Rs 82.5 million in July-December 2002 from Rs 48 million in a year-ago period.
PICIC’s results are published independent of the results of PICIC Commercial Bank which is its subsidiary. PICIC holds 60 per cent stake in this bank.
RATINGS: Pakistan Credit Rating Agency (PACRA) has upgraded the long-term rating of PICIC to A plus while maintaining its short- term rating at A-one. “Both ratings have a positive outlook.”
“These ratings denote a low expectation of credit risk and strong capacity for timely payment of financial commitments.”