Interloop Limited, a leading textiles and garment exporter from Pakistan, beat all odds to register a record profit at a time when most of the textile and garment industry in the country was struggling to survive.
Interloop Limited (PSX: ILP), a company specializing in textile and garment exports, reported a record-breaking profit of Rs. 20.1 billion for the fiscal year 2022-23, as per Arif Habib Limited.
This profit represents a remarkable 63.2 percent increase compared to the Rs. 12.3 billion earned in the same period last year. Additionally, the company’s earnings per share (EPS) surged from Rs. 8.82 in the previous year to Rs. 14.39 in FY23. ILP also announced a final cash dividend of Rs. 2 per share, in addition to the interim cash dividend of Rs. 3 per share (30 percent) already paid for the year ending June 30, 2023.
ILP’s sales for the period reached Rs. 119.2 billion, marking a substantial 31.1 percent increase. Gross profit saw a significant rise, going from Rs. 39.8 billion to Rs. 26 billion compared to the same period in the previous year.
However, the cost of sales increased by 22.3 percent to Rs. 79.3 billion, potentially due to rising cotton prices in local and international markets, along with the depreciation of the Pakistani Rupee. Distribution expenses rose by 16.8 percent to Rs. 3.95 billion, accounting for 3.3 percent of sales compared to 3.7 percent in FY22. Administrative expenses also witnessed a sharp increase of 33.4 percent, reaching Rs. 6.24 billion, up from Rs. 4.68 billion in the previous year.
Furthermore, the company’s finance costs experienced a substantial jump, increasing by 121.7 percent to Rs. 5.5 billion from Rs. 2.49 billion.
ILP’s stock on the stock exchange closed at Rs. 41.85, representing a 4.86 percent increase or Rs. 1.94, with a trading volume of 2,662,918 shares.
Interloop reports rupees 20 billion profit for fiscal year 2022-23
