DGKC | Q2 increased margins boost profitability

DG Khan Cement Company Limited (DGKC) reported its financial results for the second quarter ending December 2024. Key highlights include:

Earnings: DGKC posted a profit of Rs. 6.2 per share for the quarter but declared no cash dividend. Over the last four quarters, the company achieved a cumulative net income of Rs. 6.9 per share, with no cash distributions during this period.

Revenue Growth: Revenue for the quarter surged by 34% compared to the average of the previous four quarters, reflecting strong sales performance.

Profitability: Gross profit rose significantly by 112% over the previous four-quarter average, driven by improved operational efficiency. 

Margins: The gross profit margin for the quarter stood at 25.1%, up from the previous four-quarter average of 16.4%.

Taxation:  The tax rate for the quarter was 27.4%, lower than the previous average of 36.8%, contributing to improved profitability.

Nishat Mills (PSX:NML)  owns over 30% of DG KhanCement.

D.G. Khan Cement Company Limited						PakStox.com
					Updated: February-14-2025
DGKC		DGKC	DGKC	DGKC	DGKC	DGKC
Key Financials		Q2	Q1	Q4	Q3	Q2
Rs. Millions		Dec2024	Sep2024	Jun2024	Mar2024	Dec2023
Revenue	33.8%	21,690	15,301	17,003	14,266	18,260
Gross Profit	111.5%	5,451	2,994	1,342	3,643	2,330
Financial Charges	-44.0%	1,050	1,589	1,749	1,957	2,208
Profit before Tax		3,744	1,174	-1,344	1,920	660
Profit after Tax		2,719	804	-1,693	1,180	394
Cash Dividend			-	-	-	-
GPM		25.1%	19.6%	7.9%	25.5%	12.8%
Tax Rate		27.4%	31.5%	-	38.5%	40.3%