DG Khan Cement saw profits up by 70% YoY in 1QFY23-24

DG Khan Cement Co Ltd of Pakistan has announced its financial results for the first quarter ended 30 September 2023 with details posted on the Pakistan Stock Exchange (PSX) website. Its net profit after taxation rose 70 per cent to PKR660.57m (US$2.38m) from PKR388.93m during this comparative period due to higher revenue.

According to AHL Research, factors responsible for the higher profit include the reduction in coal prices along with a surge in cement prices. The company's net sales increased to PKR16.51bn from PKR13.58bn during this period. It incurred a higher distribution cost of PKR509m against PKR332m and administrative expenses of PKR285m compared to PKR210m in the 1QFY23. The finance cost increased to PKR2.08bn from PKR1.59bn during the accounting period on higher borrowing costs.