Lahore February 29 2024: Panther Tyres Limited showed a substantial growth of 55.20% in top line resulting in 124.17% increase in gross profit as compared to the corresponding period during first half of fiscal year 2024, according to company filing to the exchange.
The company’s revenue growth momentum is primarily resulting from increase in sales volumes and cost push price adjustments in all categories including OEM, Exports and Replacement market. Consistent inflationary pressures pose significant checks on consumers spending and demand. However, the Company remains committed to leverage its diverse product portfolio and implementing cost rationalization efforts to minimize any adverse impacts and deliver sustainable results.
The company earned gross profit of PKR 2,179 million during the half year as compared to PKR 972 million earned during the same period last year. Increase in gross margin from 10.48% to 15.13% is mainly due to increase in domestic sales prices, improved export sales and operational efficiencies brought in. Selling and distribution expenses increased from PKR 401 million to PKR 696 million due to spending in various sales and brand promotional activities, including but not limited to signing off famous cricketer Babar Azam as our brand ambassador.
Financial charges for the period have increased from PKR 549 million to PKR 638 million mainly due to increase in utilization of working capital limits in order to support the growth in top line and business operations.
Resultantly, the company has been able to post profit after tax of PKR 431 million as compared to loss of PKR 135 million earned during the same period last year.
