Engro Fertilizers Reports Rs 28.3 Billion Profit in 2024
Engro Fertilizers Limited (EFERT) posted a profit of Rs28.3 billion in 2024, reflecting an 8% increase.
Karachi – Engro Fertilizers Limited (EFERT), a subsidiary of Engro Corporation Limited, has reported a profit after tax (PAT) of Rs28.26 billion for the year ending December 31, 2024. This marks an 8% increase compared to Rs26.19 billion in 2023, according to the company’s consolidated financial results posted on the Pakistan Stock Exchange (PSX).
The earnings per share (EPS) rose to Rs21.16 in 2024, up from Rs19.61 in the previous year. Engro Fertilizers attributed the increase to cost optimization and efficient plant management, which helped drive profitability despite rising costs.
The Board of Directors (BoD) announced a final cash dividend of Rs8 per share (80%), in addition to the Rs13.5 per share (135%) interim dividend already paid.
Engro Fertilizers’ consolidated revenue grew by nearly 15% to Rs256.68 billion in 2024, up from Rs223.7 billion in 2023, primarily due to higher urea prices. However, despite the revenue growth, gross profit remained largely unchanged at Rs72.28 billion, as the cost of sales surged by 22% year-on-year. As a result, the profit margin fell to 28.2% in 2024, compared to 32.3% in 2023.
Operating expenses also increased, with selling and administrative expenses rising by 28% to Rs22.61 billion, compared to Rs17.63 billion in 2023. Meanwhile, the company recorded a Rs1.2 billion gain under allowance on subsidy receivable from the government, in contrast to a Rs2.44 billion loss in the previous year.
Engro Fertilizers reported a profit before tax (PBT) of Rs45.15 billion, reflecting a 9% decline from 2023. However, tax expenses fell significantly to Rs16.89 billion, compared to Rs23.5 billion in 2023, supporting the company’s overall profit growth.
The financial results indicate that Engro Fertilizers profit in 2024 was driven by higher sales revenue but impacted by rising costs and declining profit margins. The company continues to focus on efficiency improvements and cost management to sustain profitability in the coming years.
