Fauji Cement Company Limited (FCCL) has announced a net profit of Rs. 3.29 billion for the first quarter of FY25, showing a slight increase of 1.2% compared to Rs. 3.25 billion in the same period last year.
The earnings per share (EPS) also improved to Rs. 1.34, reflecting the company’s steady financial performance despite challenges in the cement sector.
FCCL’s revenue grew by 2% year-on-year, reaching Rs. 23.42 billion, mainly supported by stable sales volumes. However, the company’s gross profit dropped by 6.4% to Rs. 7.38 billion, primarily due to a decline in cement prices during the quarter.
The operating profit also saw a decrease of 9.5%, standing at Rs. 5.96 billion, while finance costs fell significantly by 32.2% to Rs. 1.14 billion, thanks to improved cash management and lower borrowing expenses.
To counter the impact of falling prices, FCCL’s management focused on cost optimization strategies.
These included increasing the use of local coal, expanding solar energy projects, and producing polypropylene (PP) bags in-house to reduce dependence on external suppliers.
As a result of these efficiency measures, the company’s profit before tax (PBT) rose slightly by 1.1%, reaching Rs. 5.29 billion.
