Fauji Cement Company limited has announced its 1QFY15 results. The company has recorded profit after taxation of Rs 602 million (EPS: Rs 0.45) as compared to Rs 582 million (EPS: Rs 0.44) during the same period last year. This was mainly due to better retention prices and reduction in financing cost. On QoQ basis earnings rise by 50% to Rs 602 million (EPS: Rs 0.45) compared to Rs 403 million (EPS: Rs 0.30) in 4QFY14 due to normalize effective taxation of 31.6% against 54.1% in 4QFY14.

Revenue up by 8%
Net revenue of the company hiked by 8% YoY to Rs 4.17 billion in 1QFY15 against Rs 3.87 billion in 1QFY14 mainly due to higher domestic prices and slight increased in volumes. During the period, average cement ex-factory prices surge by 9% to Rs 478/bag in 1QFY15. Local dispatches increase by 5.4% to 460k tons compared to 436k tons in 1QFY14. However, export volume fall by 10.7% to 120k tons versus 134k tons in 1QFY14. Thus cumulative offtake up by 1.6% to 580k tons against 571k tons in 1QFY14. The Company achieved capacity utilization of 68% as against to 67% in the corresponding period of last year.

Azee Research