STOCK WATCH

 

 

By SHABBIR H. KAZMI
Updated Sep 28, 2002

 

The KSE-100 index closed at marginally higher level for the week as compared to the previous week. Both the bulls and bears tested their strength but investors chose not to sit on sidelines. During the week index inched upwards mainly due to substantial activity in PSO. Though, there were some major achievements at privatization front, the progress is expected to remain subdued due to elections being held on October 10, 2002. Saying this much PTCL may witness renewed interest after the announcement of its financial results.

 

SITARA ENERGY

The company has announced 30 per cent dividend for the year ending June 30, 2002. It had paid 17.5 per cent dividend to stockholders for the previous year. This improvement can be attributed to better controls on cost of generation and reduction in financial charges. Gross profit for the year was Rs 164.8 million as compared to a profit of Rs 119.8 million for the previous year. Financial charges came down from Rs 37 million to Rs 21 million. There was an increase in operating expenses, from Rs 25.5 million to Rs 29.4 million. A point to be noted is that the company posted Rs 111.5 million profit after tax, out of this only Rs 57.3 million would be used for payment of dividend. The unappropriated profit as at June 30, 2002 was Rs 172.7 million.

FIRST HABIB MODARABA

This Modaraba had paid 22.5 per cent dividend to its certificate holders for the previous year but the payout for the year ending June 30, 2002 would be 20 per cent. Though, there was an increase in operating income, the increase in operating expenses eroded the advantage. Operating income went up from Rs 413.6 million to Rs 567 million. Operating expenses surged from Rs 337.5 million to Rs 494.8 million. Profit for the year declined from Rs 68.5 million to Rs 65 million. The modaraba transferred Rs 6.9 million to statutory reserve and Rs 10 million to general reserve during the year 2001. However, during the year under review a sum of Rs 13 million was transferred to statutory reserve and no amount was transferred to general reserve.

NATIONAL DEVELOPMENT LEASING CORP

The leasing company having the longest history of 18 years of operations in Pakistan has posted Rs 73 million loss before tax for the year ending June 30, 2002 as compared to a profit of Rs 58 million for the previous year. This loss can be attributed mainly to reduction in income and higher provision against doubtful recoveries. Income came down from Rs 643.4 million to Rs 580 million. Provisions surged from Rs 57.9 million to Rs 118.7 million. Operating expenditures also went up from Rs 508.6 million to Rs 537.3 million. Therefore, the company did not declare any dividend. The payout to shareholders was 10 per cent for the year 2001.

GENERAL TYRE & RUBBER CO. OF PAKISTAN

The Board of Directors approved 30 per cent final dividend and also issue of 250 per cent bonus share at the time of approval of accounts for the year ending June 30, 2002. It had already paid 20 per cent interim dividend. Therefore, the total payment of dividend comes to 50 per cent as opposed to a payout of 60 per cent for the previous year. A reserve of Rs 426.938 million has been created for the issue of bonus shares. This mainly comprise of transfer from capital and revenue reserve amounting to Rs 268.4 million. Out of Rs 175.5 million profit after tax, the dividend payout would use Rs 85.4 million.

INDUS MOTOR COMPANY

The company has posted Rs 528 million profit before tax for the year ending June 30, 2002 as compared to a profit of about Rs 339 million for the previous year. It is interesting that despite the reduction in sales the company was able to post higher profit. This can be attributed to better cost controls, increase in other income and decrease in financial charges. Out of a profit after tax of Rs 360 million the Board of Directors approved payment of 20 per cent as dividend amounting to Rs 157.2 million. An amount of Rs 204 million was transferred to general reserve.

ATTOCK REFINERY

The company has posted Rs 1,112.8 million profit after tax from refinery operation for the year ending June 30, 2002 as compared to a profit of Rs 137.5 million for the previous year. Out of a profit after tax of Rs 741 million, the Board of Directors approved a sum of Rs 610 million for expansion and modernization. The total dividend for the year 2002 comes to 45 per cent dividend as compared to a payout of 25 per cent for the previous year.

CHERAT PAPERSACKS

The company has posted Rs 19.8 million operating profit for the year ending June 30, 2002. It had posted operating loss of Rs 5.2 million for the previous year. The reason being better control on cost of goods sold. Sales came down from Rs 534.4 million to Rs 484.8 million. Whereas, cost of goods sold came down from Rs 521.6 million to Rs 447.7 million. The Board of Directors also approbed distribution of 30 per cent dividend among the shareholders.

MOVEMENT AT A GLANCE

SCRIP

HIGH
(Rs.)

LOW
(Rs.)

CLOSING 
PRICE

TURNOVER
 (SHARE)

P.S.O.

198.50

190.80

196.25

130,080,100

P.T.C.L.A

20.15

20.00

20.15

125,089,500

Hub Power

27.15

23.80

24.05

115,270,000

Engro Chem

63.35

62.30

63.35

28.932,200

M.C.B.

27.40

27.25

27.30

26,957,500

Adamjee Ins

44.25

39.40

44.25

23,598,500

ICI

41.00

40.20

41.00

16,140,800

National Bank

23.00

22.55

22.55

9,467,000

Fauji Fert

51.85

51.00

51.85

7,937,600

Shell Pak

194.50

262.95

294.50

3,067,600