The third quarter and first nine months of Lucky Core Industries Limited’s fiscal year 2023, which ends on March 31st, were reported.
A profit after tax (PAT) of Rs. 18.9 billion (EPS: Rs. 204.98) was reported by the corporation. compared to Rs. 2.0 billion (EPS: Rs. 21.79) during the same time last year, it increased by 841 percent year-over-year (YoY). As a result, the 9MFY23 earnings increased by 181 percent YoY to Rs. 22.0 billion (EPS: Rs. 236.74).
The increase in earnings, according to Arif Habib Limited (AHL), was brought on by gains on the partial sale of NutriCo Morinaga (Rs. 8.9 billion) and a remeasurement gain on retained interest in NutriCo Morinaga (Rs. 8.2 billion), as well as greater PSF margins. In terms of quarter over quarter (QoQ), earnings increased by 15.4x.
Due to stronger sales across all categories, which supported the overall lump, net sales for the third quarter of FY23 increased by 19 percent YoY to Rs. 30.8 billion. However, because NutriCo Morinaga’s classification was changed from a subsidiary to an associate during the third quarter of FY23, its sales were not counted.
During 3QFY23, gross margins increased by 115 basis points YoY to 23 percent. Better PSF sector performance and declining coal costs were the primary drivers of the increase in gross margins.
LCI recorded an exchange loss of Rs. 729 million in the third quarter of FY23 due to the weakening of the PKR.
Due to increased short-term borrowing and higher interest rates, the company’s finance expenditures increased by 135 percent YoY or 139 percent QoQ to Rs. 800 million during the third quarter of FY23.
The business recorded gains of Rs. 8.9 billion on the partial sale of NutriCo Morinaga and Rs. 8.2 billion on the remeasurement of the retained interest in the same.
LCI’s stock price was Rs. 555 at the time of reporting, up 0.91 percent or Rs. 4.98 on Thursday thanks to a turnover of 959 shares.