Pakistan: two cement firms post losses

Pakistan: two cement firms post losses
Published: 17 March 2010

Pakistan producers, Maple Leaf Cement Factory and Cherat Cement Company, have posted substantial losses for the quarter ended December 31, 2009 (2QFY10).

Maple Leaf posted loss after tax of PKR745m for September-December 2009 quarter as against loss of PKR5m for the corresponding period of last year. This loss can be attributed to a number of factors that include decrease in sales and increase in distribution cost.

For 1HFY10, the company posted loss after tax of PKR920m as compared to a loss of PKR283m for 1HFY09. The story started with decline in sales and rise in cost of sales plunging gross profit to  PKR2,140m from PKR2,905m in the period under review.