Engro Corporation has released its financial results for the
year ended 31st December 2015. The Board of Directors approved payment of 70
percent final dividend, taking full year payout to 180 percent. The
announcement was a pleasant surprise for the investors in stock market, which
is going through bearish spell lately.
Engro’s Corp’s profit after tax grew by almost 122 per cent
to Rs17.3 billion (EPS: Rs26.32) for the year under review as compared to net profit
of Rs7.8 billion (EPS: Rs13.59) earned last year.
Engro Fertilizers continued to be the chief contributor
towards the profitability, recording net profit of Rs15 billion (EPS: Rs11.28)
for the year 2015 due to availability of concessionary gas and inclusion of DAP
in total sales.
Earnings of Engro Foods were recorded at Rs3.2 billion (EPS:
Rs4.13) as compared to Rs0.8 billion (EPS: Rs1.16) last year. This growth was
on account of volumetric expansion leading to a higher market share in the
dairy segment coupled with margin accretion.
The chemical business, however, managed to keep its losses
in-check by posting consolidated loss after tax of Rs0.6 billion.
In a stock filing, Engro Corp informed that it had appointed
advisers for the potential sale of up to 24 percent holding in Engro Fertilizer
through private offering to local and international investors subject to the
approval of shareholders.
