Honda Atlas, a leading auto manufacturer company reported a whooping 90% decline in profits in the wake of the economic crisis. The statistics revealed show the drop in company’s revenue from Rs.108.047 billion in 2022 to Rs 95.087 billion in 2023.
Owing to increase in expenses, the earnings / share were Rs 1.82 in 2023 as compared to Rs 17.58 in 2022. In addition, the stock filing revealed a net profit of Rs 260.141 million dropped from Rs 2.5 billion. The cost of sales also sustained at 87.9 billion, compared to Rs 102.515 billion last year.
As per the sources, the company’s expenditure surged to Rs 4.929 billion from Rs 984.045 million, severely affecting revenue margins.
The loss in profits has been attributed to the poor economic situation of the country, increased financial expenses, and declining volumetric sales. Due to a huge loss in the earnings, the company also announced months-long closure. However, the company resumed operation on 16th May and is working on improving the situation.