Earnings of Indus Motor Company– the assemblers of Toyota cars in Pakistan dipped 13% to Rs 13.7 billion in the year ended June 30, 2019. The company had reported a profit of Rs 15.8 billion in the previous year, according to a notice sent to the Pakistan Stock Exchange (PSX) on Tuesday.
The board of directors announced a final cash dividend of Rs 27.5 per share, which was in addition to the already paid combined interim cash dividend of Rs 87.5 per share. Earnings per share of the company stood at Rs 174.49 in the period under review compared to Rs 200.66 in the previous year.
Net sales declined 13.1% to Rs158 billion due to a drop in car sales. A massive rupee depreciation, increase in duties on imported raw material and change in the sales mix from high margin vehicles to low margin ones played a key role in denting the company’s profits.
Other income of the company rose 10.4% to Rs 4.3 billion in the period under review whereas finance cost was down 16.1% to Rs 67.4 million compared to Rs 80.3 million in the same period of previous year.