Results for the year ended June 30, 2022: ICI Pakistan’s consolidated profit after tax, EPS increase

KARACHI: Following the meeting of the Board of Directors, ICI Pakistan Limited announced its financial results for the year ended June 30, 2022. In line with its growth aspirations, the company continues to deliver robust results.

On a consolidated basis (including the results of the company’s subsidiaries: ICI Pakistan PowerGen Limited, NutriCo Morinaga (Private) Limited, Net Turnover for the year under review grew by 56 percent to Rs 100,867 million, compared to the same period last year (SPLY).

Consolidated operating result at Rs 13,825 million is higher by 72 percent in comparison to the SPLY. This performance was a result of robust performance delivered across all of the company’s businesses

The consolidated profit after Tax (PAT) for the year under review, at Rs 8,860 million, is 69 percent higher than the SPLY. This translates into PAT attributable to owners of the Holding Company at Rs 8,466 million and an EPS of Rs 91.66 – both higher by 52 percent as compared to the SPLY. This performance was achieved through enhanced efficiencies across all businesses, recovering consumer demand and the acquisition of an additional shareholding in NutriCo Pakistan (Private) Limited (now merged with and into NutriCo Morinaga) allowing for consolidation of results,and the one-off net positive impact resulting from the remeasurement of the previously-held equity interest of NutriCo Pakistan (Private) Limited. The results were negatively impacted by the retrospective imposition of a 4 percent Poverty Alleviation Tax and a 6 percent super tax through the Finance Act, 2022.

Adjusting for the one-off net positive impact of Rs 1,847 million as a consequence of the aforementioned remeasurement of previously previously-held equity interest, PAT for the year ended June 30, 2022, would have been Rs 7,013 million, 34 percent higher versus the SPLY. PAT and EPS attributable to the owners of the holding company would have been Rs 6,618 million and Rs 71.66, higher by 19 percent as compared to the SPLY.

On a standalone basis, PAT and EPS for the year under review at Rs 6,249 million and Rs 67.66 respectively, are 5 percent higher than SPLY.

Based on the results, the board has approved a final cash dividend at the rate of 150 percent - i.e. Rs 15/share. This is in addition to the interim cash dividend of 200 percent (i.e. Rs 20/share) already paid. This final cash dividend will bring the total cash dividend to 350 percent for the year ended June 30, 2022.

The Board, in its meeting on August 1, 2022, has approved the change of the Company name from “ICI Pakistan Limited” to “Lucky Core Industries Limited.” This change will align the company’s name with its holding company, Lucky Cement Limited, which is a part of the Yunus Brothers Group (YBG). The proposed name draws on the strength of the Lucky brand, a leading, progressive, and diversified conglomerate.

Furthermore, the name embodies the company’s central role in delivering enduring value for its stakeholders and Improving Lives across the socio-economic fabric of Pakistan. The company’s diverse portfolio spans a broad range of products that are at the ‘core’ of almost every sector of the economy. From textiles and glass to healthcare, food and agriculture, the application of the company’s products positions it at the centre of its stakeholder’s daily life. The change of the name of the company will be subject to the receipt of the requisite approvals. Subject to the receipt of requisite approvals, the name change is intended to be effective as at the end of the calendar year 2022.

Following the results announcement, ICI Pakistan Limited’s Chief Executive Asif Jooma said, “ICI Pakistan is driven by a single purpose: To enable individuals, business and the economy to thrive. Once again, the Company has closed the year with remarkable performances from each of its businesses. For the last 78 years, we have lived up to our brand promise of cultivating growth, for our stakeholders and the nation at large. The decision to rebrand positions us to accelerate our efforts towards delivering enduring value and focus on our mission of improving lives through our operations, products and philanthropic initiatives.”

Copyright Business Recorder, 2022