FFC profit to reach Rs18bn
LAHORE: Pakistan's largest urea manufacturer, Fauji Fertilizer Corporation (FFC), with a 40 percent market share, has become the 6th most profitable listed firm in Pakistan.
The profit of FFC was Rs5 billion five years ago and this may reach Rs18 billion in 2011, a 360 percent growth in 5 years.
FFC is expected to post earnings with a jump of 64 percent in 2011 from last year.
Due to higher international prices and improving farmers’ income, Engro has increased urea price by Rs375 or 46 percent (excluding GST) per bag in the last seven months to mitigate its production losses. For FFC and other plants like Fatima, this price rise is a blessing in disguise.
If current urea prices remain stable with gas price increase to be passed on, FFC's profits may jump to Rs22 billion in 2012.
Copyright PPI (Pakistan Press International), 2011
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