In 9MCY23, ZIL Limited reported a net profit of PKR 226.80 million (EPS: PKR 37.05), reflecting a significant increase from the net loss of PKR 124.93 million (LPS: PKR 20.41) in the same period last year (SPLY).
The company’s topline experienced a notable 43% YoY surge to PKR 4.19 billion in 9MCY23, the highest ever recorded for a nine-month period, compared to PKR 2.93 billion in the corresponding period of the previous year. Gross Profit also witnessed substantial YoY growth, reaching PKR 1.23 billion in 9MCY23, up from PKR 382.91 million in SPLY. Similarly, Gross profit margins increased to 30% with PAT of PKR 81.36 million in 3QCY23.
Cost of sales amounted to PKR 2.96 billion in 9MCY23, reflecting a notable increase of 16% YoY from PKR 2.55 billion in the corresponding period last year. Other income saw a significant rise of 102% YoY to PKR 12.37 million, compared to PKR 6.13 million in SPLY.
Distribution expenses and administrative expenses increased by 65% YoY and 74% YoY to PKR 449.41 million and PKR 227.31 million, respectively, while finance costs witnessed a 69% YoY increase to PKR 92.45 million in 9MCY23.
The Profit Before Tax (PBT) for 9MCY23 increased to PKR 398.33 million, compared to a loss of PKR 91.03 million in SPLY.
The holding company of ZIL is New Future Consumers International general trading (NFCI) LLC Dubai from 2023. In 2005, the company registered revenue of PKR one billion, PKR 2 billion by relaunching Capri in 2017, and PKR 3.2 billion in 2019.
The products of the company comprise two categories: Beauty and Health Segment. Capri Moisturizing is the top product in the beauty category, with the company’s market share standing at 12-13%, and continuously increasing in the beauty segment.
The prices of raw materials significantly increased in 9MCY23 due to higher inflation. ZIL imports most of its raw materials. The fatty raw material constitutes around 80% of the total cost, and the company procures soap noodles from local vendors.
Going forward, ZIL is going to launch new categories in food and personal care products to diversify the portfolio. The R&D for these products is underway, and ZIL plans to manufacture products in Pakistan.
Important Disclosures
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