KARACHI: The Board of Directors of Indus Motor Company (IMC) released its financial results for the first quarter ended September 30, 2020.

The Company’s combined sales of Complete Knocked Down (CKD) and Complete Built-Up (CBU) units for the quarter increased by 73 percent to 11,809 units against 6,839 units sold in the same period last year. The market share of IMC in the overall market stood at approximately 27 percent for the first quarter. The Company’s net sales turnover for the quarter increased by 65 percent to 34.19 billion compared to Rs20.72 billion, for the same period last year; while profit after tax increased by 40 percent to Rs1.85 billion against Rs1.32 billion achieved in the same period last year.

The increase in turnover and profitability for the three-month period was mainly due to higher CKD and CBU volumes, and increased other income due to improved cash flows, however, due to the depreciation of Pak Rupee and absorption of costs, the gross margin of the company reduced to 6.7 percent against 9.7 percent in same period last year.

The overwhelming response received for Toyota Yaris has also led to volume increase. The Company opened booking for the Toyota Corolla 1.6 Manual Transmission vehicle, considering the customer demand, and is consistent with IMC’s policy of providing customers with more options and features.

The Earnings per Share of the company stood at Rs23.48 as compared to Rs16.78 reported during the same time last year in September, 2019. The Board of Directors is pleased to declare first interim cash dividend of Rs12 per share for the first quarter as compared to Rs7 per share, for the same period last year. Expressing his views, CEO IMC, Ali Asghar Jamali, stated, “We would like to appreciate our customers for their continued loyalty towards our products as well as acknowledging the tremendous and dedicated efforts of our staff, vendors, dealers, business partners and the entire Indus team during these challenging times.”—PR

Copyright Business Recorder, 2020