Shell Pakistan incurs hefty losses of Rs4.33 billion in 1QCY20
KARACHI: Due to the uncertain outlook as a result of Covid-19 pandemic, the first quarter of the ongoing fiscal year has been tough for the leading oil marketing company Shell Pakistan Limited as it reported a loss worth Rs4.33 billion compared to the profits of Rs256.89 million earned in the corresponding quarter of last year.
The company’s loss per share clocked in at Rs 40.48 against the earnings per share of Rs 2.40 reported in the first quarter of 2019.
The losses were mainly attributable to decline in sales volume which diminished company’s net revenues by 8%. Consequently, Shell’s gross profits deteriorated significantly by 76% YoY.
Furthermore, a considerable jump in Admin cost by 72.17% and other expenses by 316.8% also had a great impact on company’s income as they turned company’s operating profits into operating losses of Rs 3.9 billion.
Shell also witnessed a 74% decline in other income during the quarter under review which further helped in dragging company’s profits into negative territory. – MG Link News