Lucky Cement Ltd, Pakistan’s largest cement producer, announced its financial results for the year ended 1HFY24-25 on the Pakistan Stock Exchange website on 30 January. The company reported unconsolidated earnings of PKR13.84bn (US$49.7m), reflecting a one per cent YoY increase compared to PKR13.71bn in the same period last year. Meanwhile, in the 2QFY24-25, earnings reached PKR7.27bn, up seven per cent YoY from PKR6.78bn.

As a local research house reported, key highlights indicated that for the 1HFY25, sales totalled PKR64.3bn, representing a seven per cent YoY growth from PKR59.9bn in the corresponding period last year. This growth was supported by a nine per cent YoY increase in dispatches. In 2QFY24-25, sales climbed to PKR34.5b, a 13 per cent YoY increase from PKR30.5bn in the year-ago period, driven by a 16 per cent YoY rise in dispatches.

Selling and distribution expenses surged by 31 per cent year over year in the 1HFY24-25, reaching PKR4.90bn, which can be attributed to the axle load factor. In the 2QFY214-25, these expenses increased by 27 per cent YoY and nine per cent QoQ.

Other income grew by 21 per cent YoY to PKR7.479bn in the 1HFY24-25, primarily due to higher short-term investments, which reached PKR49.9bn as of December 2024. In the 2QFY24-25, other income also increased by 16 per cent YoY for the same reason.

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Finance costs rose by three per cent YoY in the 1HFY24-25, amounting to PKR827m, driven by increased borrowings that reached PKR13.5bn. In the 2QFY24-25, finance costs rose by 10 per cent YoY and 30 per cent QoQ for the same reason.

The company’s effective tax rate was 35.5 per cent in the 2QFY24-25, compared to 33 per cent during the same period last year. 

by Abdul Rab Siddiqi, Pakistan