Thursday, November 30, 2023

Nishat Mills Limited Posts Highest-Ever Profit of Rs.12.16 Billion in FY23

Nishat Mills Limited (NML) has shown impressive financial performance in FY23, with several key indicators pointing towards significant growth and profitability. This robust performance is indicative of the company’s effective management and strong market presence.

First and foremost, NML reported a substantial increase in its profitability, with a profit after tax of Rs12.16 billion in FY23, marking a notable 17.98% YoY rise compared to the previous fiscal year’s earnings of Rs10.31 billion. This increase in profit demonstrates the company’s ability to effectively capitalize on market opportunities and manage its operations efficiently.

NML’s top-line revenue also saw significant growth, increasing by 22.45% YoY to reach Rs141.76 billion in FY23. This increase in revenue indicates the company’s ability to expand its market presence and potentially gain market share.

Despite a 22.6% YoY increase in the cost of sales, NML managed to improve its gross profit by 21.59% YoY to Rs21.08 billion in FY23. This indicates effective cost management and potentially higher product pricing.

The substantial increase in other income, totaling Rs10.2 billion, with an 83.11% YoY growth compared to the previous fiscal year, could be attributed to various sources of non-operating income or investment gains, further enhancing the company’s overall financial performance.

However, it’s important to note that NML also faced some challenges, including increased distribution costs, other expenses, and significantly higher finance costs due to rising interest rates. These challenges may have impacted the company’s bottom line to some extent.

Related Articles

Latest Articles