Muhammad Sarfraz Abbasi

  Corporate results: DG Khan Cement profit jumps tenfold By Faseeh Mangi Published: April 19, 2012 The country’s second largest cement manufacturer net profit swelled 1070% to Rs2.07 billion in the first nine months of fiscal 201 2.   KARACHI:  Coming from a torrid patch, DG Khan Cement profits jumped more than ten times to a much more familiar territory in financial year 2012 on the back of higher prices. Higher prices single-handedly pushed up the numbers as production levels stayed almost the same, said Summit Capital analyst Sarfraz Abbasi. The country’s second largest cement manufacturer net profit swelled 1070% to Rs2.07 billion in the first nine months of fiscal 2012 against Rs177 million posted in the same period last year, according to unconsolidated results sent to the Karachi Stock Exchange on Wednesday. The entire industry witnessed a bad run in financial year 2010 an...

KARACHI, April 18: The DG Khan Cement Company Limited (DGKC) announced profit of Rs2.07 billion for the nine months of financial year 2012 (9MFY12), translating into earning per share (eps) at Rs4.73.  The results overwhelmed the comparable profit at Rs177 million or eps of Re0.40 in the same time last year, as the growth was 12 times. Analyst Sarfraz Abbasi at Summit Capital observed that the huge growth in earnings was driven by higher retention prices which were seen to have increased by 25pc YoY.  Resultantly, top line of the company increased by 28pc YoY to Rs16.70bn as against the monetary sales of Rs13.08bn in the corresponding period last year. Gross profit rose 87 per cent to Rs5.51bn (gross margin at 33pc) in comparison of Rs2.95bn (gross margins of 23pc) in 9MFY11.  Other income was high mainly because of strong stream of dividend income which the company received from its associates. The decline in financial charges by 16pc YoY to Rs1.30bn i...

  Corporate results: Fauji Fertilizer Bin Qasim hit bad by gas shortfall By Faseeh Mangi Published: April 18, 2012 Fertiliser manufacturer fails to declare a dividend for the first time in almost three years. KARACHI:    The cracks caused by the massive gas shortfall in the country have finally started to show, Fauji Fertilizer Bin Qasim witnessed its worst quarter in more than three years during January to March 2011. FFBL, one of the country’s largest fertiliser manufacturers, posted a net loss of Rs387 million due to decreased production in the past three months compared with a profit Rs1.6 billion in the same period last year. The company’s plant failed to produce a single bag of urea – the highest selling fertiliser – in January and February on the back of winter gas shutdown, latest data of National Fertiliser Development Centre shows. Production of fertiliser di-ammonia phosphate (DAP) also stood at a stan...

  Thursday, 12 Apr 2012    Auto sales witness 15 percent growth April 12, 2012 RECORDER REPORT The auto sales in the nine-month period of FY12 increased to 128,217 units witnessing a healthy growth of 15 percent on year-on-year basis against the sales of 111,269 units in the corresponding period last year. Similarly on monthly basis, the auto sales grew by 12 percent to 16,665 units in March 2012 against 14,940 units sold in the previous month. "Overall sales were higher because of the low-based effect while upsurge in the sales on monthly basis can be attributed to prompt deliveries by PSMC to the government of Punjab," Sarfraz Abbasi, senior analyst at Summit Capital said. According to Pakistan Automotive Manufacturers Association's (PAMA) data, Pak Suzuki Motor Company Limited (PSMC) witnessed a 32 percent growth to 81,360 units in the nine-month period as against the sales of 61,693 units in the same period last year.Hig...

Car sales continue to ride smooth Published: April 12, 2012 Civic production stood at 1,140 units while City’s still stood at a standstill. KARACHI:  Car sales continued to ride on the smooth lane as sales increased 7% in March with the lower segment leading the way and Honda making its way back in the market after three months. Sales stood at 14,469 in March against 13,579 units sold in the same period of the preceding year, according to data released by Pakistan Automotive Manufacturers Association. The country’s largest car assembler Pak Suzuki witnessed growth of 16% on a yearly basis amid demand for all models swelling. Suzuki Mehran and Suzuki Bolan posted growth of 34% and 48% respectively, primarily because of timely deliveries to Punjab on account of its yellow cab scheme, said Summit Capital analyst Sarfraz Abbasi. The provin...

Wednesday, 11 Apr 2012 6:48 pm   Is the bid in cement sustainable? News Comments (0) Shahab Jafry 18 hrs ago | Comments (0) SITUATIONER -  The cement sector’s recent bull run is an interesting extension of the market’s current behavior – stellar uptrend decoupled from the real economy. It outperformed the wider market by approximately 30 per cent, even as 8M-’12 y-o-y growth in total dispatch was an unimpressive 3.5 per cent (exports actually dropped 5.6pc!). Yet the sector posted healthy gains, mainly because leading companies employed cost-cutting measures just in time to leverage higher retention prices in both local and international markets.   EXOGENOUS FACTORS, DEMOGRAPHICS: Of course, it helped that the international price of coal – the main cost driver – fell 22 per cent (y-o-y) as weakening global growth dimm...