DG Khan full-year profit up 8% YoY

Pakistan-based producer DG Khan reported an eight per cent YoY rise net profit to PKR5.96bn (US$58m) for the full fiscal year ending 30 June 2014.

The increase in earnings was primarily supported by lower distribution costs and financial charges, according to Global Research.

Revenues rose by seven per cent to PKR26.54bn as prices rose 12 per cent YoY to PKR506/bag despite a decline in sales volumes to 3.96Mt.

Despite the higher cement prices, the company’s margins declined by two percentage points YoY to 35 per cent during FY14 because of an increase in electricity and gas tariffs which were hiked by 60 and 17 per cent, respectively.