Prosperity Weaving Mills Limited reported earnings per share of PKR 4.69 in FY24 against PKR 8.29 in FY23, a decrease of 43%. Total revenue in FY24 reached PKR 18.7 Bn against PKR 14.7 Bn in FY23, an increase of 28%.
Gross margin was recorded at 6% in FY24 down from 7% in FY23. Margins are expected to remain low on the back of high energy costs.
The company currently has a 1.7 MW solar power plant which they hope to expand by adding 2 MW of capacity to reduce energy costs. The management revealed that they source yarn from abroad while specialized yarns are bought from group companies.
The company is currently operating at capacity however the management was cautious about this moving forward. They spoke of how the demand going forward will be dependent on retail spending in the developed world specifically the US.
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