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Askari Bank Limited (AKBL) led the pack in announcing the 1Q CY14 results of the banking sector and undoubtedly it was a pleasant kick-start. AKBL that has been posting losses since it was taken over by the Fauji group due to rigorous book cleaning strategy undertaken by the management, turned to profits in 1Q CY14.
The rising gap between the revenues and earnings of National Refinery Limited (NRL) should be concerning for the firm. While revenues of the firm during 9M FY14 increased by 20 percent year on year, the bottom line nosedived to almost one fifth of what it was in 9M FY13.
Managing to achieve a double-digit growth for a company like Abbott Pakistan is a matter-of-course. Undeterred by the hardships being faced by the pharmaceutical industry owing to irrational pricing mechanism, Abbott Pakistans diversified product mix has rescued the company from facing downturns in yester years. And 1Q FY14 is no exception to this observation.
Despite the governments efforts, FDI scorecard is not budging much. Latest SBP data show that net FDI (derived as gross FDI inflows less outflows) stood at $669.8 million for the Jul-Mar period, showing a nominal 6.1 percent year-on-year growth. Even the small improvement owes largely to a 22 percent decline in outflows. The gross inflows--which concern fresh investment--went down by 11 percent in the same period to $1.42 billion.
Nestle Pakistans profit margins have been under stress for a while and that situation has not reversed in the first quarter ending March 2014. Nestle enjoys huge product portfolio with an added advantage of market penetration and good brand positioning in dairy sector. During 1Q CY14, the net sales of the company witnessed 18 percent accretion year on year with growth, seemingly accruing from increase in volume and selling prices. Thats a good sign following the 9 percent year-on-year growth in CY13.
A year of profits, followed by a year into losses; the cyclical trend seen in Pakistan Refinery Limiteds (PRL) profitability since FY10 till 9M FY14 suggests that its profitability might just remain below par in FY14.
International Steels Limited (ISL) announced its 9M FY14 results yesterday boasting an almost five-fold increase in the bottom line.