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Last update: Sat, 25 Jun 2016 07pm

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FY14 was the year of overhauls and repairs for major independent power producers. And thus their profitability that picked up right after the settlement of circular debt remained stunted in year ending June 2014. But, for Kot Addu Power Company (Kapco) things started improving from the third quarter of FY14.
There seems to be no stopping to K-Electric's profitable journey that started off in FY12. The power generating and distribution company announced 1.89 times increase in its earnings for FY14 yesterday. In its annual result released at Karachi Stock Exchange, it also announced a cash dividend up to a maximum of 15 percent only for minority shareholders, subject to waiver from its four majority stakeholders namely GOP, KESP, IFC and ADB. The firm did not announce any dividend for majority shareholder due to circular debt and cash flow constraints.
Standard Chartered Bank (Pakistan) Limited (SCB) has performance ratios that most local banks would die for. Although, the after-tax 1H CY14 profits largely remained flat year on year, the bank did boast further improvement in spreads, cost of funds, asset and liability mix and administrative cost control.
Summit Bank is learning the hard way. It still continues to be in net losses, and massive ones at that. But, there are signs of visible improvement. In a rare industry event, the banks top line slid year on year, as the asset-base shrunk in relation to the same period of last year. Summit has been on the road to clearing its books, improving the deposit-mix and the asset portfolio.
“Anything that can go wrong will go wrong”, Murphy’s Law is surely applying on the PMLN’s government. There is another dent on the macroeconomic stability as the Supreme Court has rejected government’s petition against the Peshawar High Court’s ruling of declaring Gas Infrastructure Development Cess Act unconstitutional.
Bad times are not yet over for Pakistan Reinsurance (KSE: PAKRI)! The financial result announced by the company yesterday showed a 15 percent year-on-year slump in 1H CY14 profitability. But with the treaty business on the mend, the company seems to be on the roads to recovery.
Good times keep rolling roll for the packaged foods industry. Earlier this week, Nestle Pakistan amazed its shareholders with a 33 percent bottom line boost for 1H CY14. Now it’s Unilever Pakistan Foods Ltd’s (KSE: UPFL) turn to charm. The company’s half-yearly financials sent to the KSE yesterday show that UPFL has achieved profit margins that are superior to its closest competitors (Nestle and Engro Foods), on the back of comparatively better margin accretions over previous year.