Renown name in the Auto maker industry Indus Motor Company Limited (IMC) on reported increase of 152 percent in its full-year net profit on a rebound in car sales from pandemic lows, recovery in volumes and aided by higher other income.
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Ali Asghar Jamali, Indus Motor’s chief executive said the company has had a very good year despite the frequent challenges arising owing to Covid-19 pandemic. The decrease in duties and taxes (federal excise duty and additional custom duty) resulted in reduction in prices of vehicles in July 2021, which will eventually boost the industry to continue positive momentum,
The company posted net sales revenue of Rs179.2 billion, a 108 percent increase compared to Rs86.2 billion last year, while profit before tax increased by 150 percent to Rs18.2 billion. Earnings per share remained at Rs163.21.
The company also announced a final cash dividend of Rs36.50/share, which is in an addition to the already paid interim cash dividend of Rs67/share, making the annual dividend for the year Rs103.5/share.
“During the year sales volume of CKD (Completely Built-Up) and CBU (Completely Knocked Down) vehicles increased by 100 percent to 57,731 units as against 28,837 units sold last year,” the company said in a statement. “Consequential to increased demand, the company produced 59,187 units for the year, as compared to 28,519 units produced in the same period last year.”
It said the increase in turnover and profitability for the year was mainly due to higher CKD and CBU volumes, primarily due to improved economic conditions and healthy demand generated on account of launch of the facelift models of Corolla, Hilux and Fortuner along with wider acceptance of Toyota Yaris.