Sui Southern Gas Company Limited (PSX: SSGC) reported a net profit of Rs7.06 billion for the six months ended June 30, 2024, up 8.47% from Rs6.50 billion in the same period last year. Earnings per share increased to Rs8.01 from Rs7.38.
Revenue from the gas segment rose 38.21% year-on-year to Rs244.09 billion, while negative tariff adjustments of Rs19.75 billion reduced net revenue to Rs224.34 billion, down 3.72% from H1 2023.
Cost of revenue decreased 3.49% to Rs217.02 billion, resulting in a gross profit of Rs7.32 billion, compared to Rs8.13 billion previously. Administrative and selling expenses increased 7.15% to Rs3.71 billion, while other operating expenses fell 23.64% to Rs0.50 billion. The company’s allowance for expected credit losses rose to Rs2.38 billion from Rs0.71 billion.
Other income dropped 77.89% to Rs0.73 billion, while operating profit increased 7.95% to Rs13.54 billion. Finance costs rose slightly to Rs6.72 billion. Profit before levy and taxation declined 18.33% to Rs7.55 billion.
After accounting for minimum tax differential and final tax adjustments, profit before taxation reached Rs7.25 billion, up 3.75% year-on-year. Taxation charges fell 59.72% to Rs194 million. The results reflect growth in earnings despite challenging operating conditions and negative tariff adjustments.
