KARACHI: Fauji Fertiliser Company Ltd (FFC) has posted 7.7 per cent year-on-year decrease in its profits for fourth quarter of calendar year 2015 as the company announced Rs4.82 billion unconsolidated profit-after-tax (PAT), translating into earnings per share (eps) at Rs3.80.
However, the company’s earnings increased by 31pc quarter-on-quarter, taking the 2015 earnings to Rs16.77 billion and eps at Rs13.18. The results were generally thought to be above market expectations. The board also declared final cash dividend at Rs3.42 per share, taking the 2015 total to Rs11.86 per share.
Revenue increased by 17pc year-on-year to Rs30.5bn owing to 21pc year-on-year uptick in urea sales on the back of Rs120/bag discount offered by fertiliser companies. Cost of sales increased by 32pc to Rs22.3bn in 4QCY15 mainly due to 63pc and 23pc year-on-year hike in feed/fuel gas prices. Thus, gross profit fell by 12pc to Rs8.2bn, while gross margins declined by 857-percentage-point to 27pc.
