AKD Securities Limited - AKD, Off the Analyst's Desk (January 25, 2022)

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AKD Securities Limited – AKD, Off the Analyst’s Desk (January 25, 2022)

January 25, 2022

Karachi, January 25, 2022 (PPI-OT): HCAR Result Review – earnings clock in at PkR3.12/sh

Honda Atlas Cars Limited (HCAR) announced its 3QMY22 results where it posted NPAT of PkR446mn (EPS: PkR3.12), declining by 41%YoY/53%QoQ despite 67%YoY/13%QoQ growth in volumetric sales. This takes cumulative 9MMY22 earnings to PkR2.3bn (EPS: PkR16.2) compared to PkR898mn (EPS: PkR6.28) in same period last year, up 158%YoY. The gross margin of the company clocked in 2.7% on account of 3.7%QoQ currency devaluation, shooting the unit cost up by 5%QoQ. The other income also remained flattish at PkR530mn despite significant build-up of Cash and ST investments.