KARACHI: Matco Foods Limited announces the Company’s financial results for the quarter and six months ended December 31, 2017.Matco is actively pursuing new avenues for growth and development including new product developments and expansion of rice glucose project.
Consolidated net turnover for the half year at PKR 2.649 billion as compared with PKR 2.841 billion of same period of the last year (SPLY). The Company’s gross profit margin is higher by 4.60 % i.e. for the period 17.95% as compared with 13.36% of SPLY and net profit margin is higher by 2.45 % i.e. for the period 5.05% as compared with 2.60% of SPLY mainly due to good export prices in international rice market. Earnings per share (EPS) for the six-month period is PKR 1.53 as compared with 0.84 of SPLY. Subsequently, an interim cash dividend at the rate of 3% i.e. PKR 0.30/- per share of PKR 10/- has been declared by the Board of Directors.
During the period, Company has started commercial production of Rice Glucose having annual capacity of 10,000 metric tons of Glucose and 1,000 Metric tons of Protein and shipped first export order in January, 2018. The Company undertook successful Initial Public Offering (IPO) of 29.143 million ordinary shares in February, 2018 at strike price of Rs. 26. The company will utilize the Initial Public Offering proceeds for expansion of its rice glucose production facilities by installing unit of additional 20,000 Metric ton Glucose and 2,000 Metric ton of Protein. The total production capacity of Rice Glucose and Rice Protein will be 30,000 metric ton and 3,000 metric ton per annum respectively, after expansion.
Matco has laid the foundation for long term sustainable operating results and will focus on operational efficiency by improved production techniques, diversification in other high margin FMCG products, efficient energy alternatives, cost reduction initiatives and strengthening relationships with customers, suppliers and investors. News Desk