Karachi, February 14, 2023 (PPI-OT): Cements – Fauji Cement Company Limited

Earnings: Fauji Cement Company Limited (FCCL) announced its 2QFY23, financial result. The company
reported earnings of PKR 2.76bn (PKR 1.13/share) compared to same period last year of PKR 1.68bn (PKR
0.69/share), up by 64%y/y. This takes 1HFY23 earnings to PKR 5.1bn (PKR 2.1) compared to last year PKR
3.79bn (PKR 1.54/share), an increase of +34%y/y.

Dividend/Payout: FCCL did not announce any dividend this quarter.

Operating Performance: During the period under review, company reported net sales of PKR 19bn (up
38%y/y). Its gross margins arrived at PKR 5.12bn (+36%y/y) owing to higher retention prices offsetting
increase in coal costs, depreciation in PKR, and energy tariffs. Furthermore, administrative costs came at
PKR 0.43bn (up by +3%y/y and +36%q/q) owing to inflationary environment. In addition, the company
reported finance cost of PKR 0.48bn this quarter (up by +27%) primarily due to increase in interest rates.