HUBCO’s profit
ISLAMABAD: The HUBCO’s profit doubled in the financial year 2022-23. It increased to Rs 62 billion, from Rs 29.6 billion in the preceding fiscal year.
The Hub Power Company (HUBCO) disclosed its financial results on Tuesday, for the year ended 30 June 2023. Its earnings per share increased to Rs44 per share compared to Rs 22 in the preceding year.
HUBCO’s profit increased to Rs 62 billion in financial year 2022-23.
Along with the FY23 financial results, the board of directors of HUBCO has also announced a final cash dividend for the period ended June 30, 2023, at Rs6 per share i.e. 60%.
In addition to the already paid interim dividends of Rs24 per share, totaling 240% during the financial year, Mettis Global reported this important news on Tuesday.
According to the results, the company’s top line saw a YoY increase of 17.60% in FY23, reaching Rs114.26 billion compared to Rs97.16 billion in SPLY. The company managed to reduce its operating costs by 4.01% YoY in FY23, amounting to Rs61.48 billion, compared to Rs64.06 billion in FY22, thanks to improved expense management.
The growth in sales and the reduction in operating costs resulted in a significant improvement of 59.55% in gross profit, which reached Rs52.78 billion compared to Rs33.10 billion in FY22.
Similarly, during the review period, other income increased by 68.78% YoY, reaching Rs3.59 billion in FY23 compared to Rs2.12 billion in SPLY.
On the expense side, the company witnessed a 33.03% YoY increase in general and administrative expenses, totaling Rs1.37 billion during the review period.
Conversely, HUBC’s other expenses decreased significantly by 80% to Rs79.42 million compared to the Rs398.05 million recorded last year.
Profitability received a significant boost from a substantial 3.71x increase in the share of profit from associates and joint ventures, totaling Rs34.32 billion in FY23 compared to Rs9.32 billion in FY22.
The company’s finance costs rose by 2.44x YoY, standing at Rs19.32 billion, compared to Rs7.93 billion in FY23, primarily due to higher interest rates.
On the tax front, the company paid higher taxes amounting to Rs8.41 billion, compared to the Rs5.53 billion paid in the corresponding period of the previous year, representing a YoY increase of 52.20%.
