Thatta FY16-17 performance hit by higher costs

Pakistan producer Thatta Cement Co reported a 5.4 per cent decline in net profit to PKR614.43m (US$5.8m) for FY16-17.

Net sales rose increased by 28 per cent YoY to PKR3.656bn versus PKR2.846bn a year earlier. However, the company incurred selling and distribution costs of PKR101.03m and administrative expenses of PKR148.31m, representing increases of 41 and 30 per cent, respectively. 

Thatta Cement is in the process of establishing a 5MW waste heat recovery plant at its 0.49Mta cement works located in the Sindh province. The project is estimated to cost of PKR1.5bn. The requirements for obtaining a financing arrangement for the project with a syndicate of banks has been completed.