Islamabad: Pioneer Cement (PIOC) and Fauji Cement Co (FCCL) are poised for a notable uptick in their fourth-quarter earnings for fiscal year 2024, with analysts predicting substantial growth in profitability due to improved operational efficiencies and strategic fuel usage.

According to JS Global, PIOC is expected to see its earnings per share (EPS) soar by 43% year-over-year to Rs5.88, while FCCL’s EPS is projected to increase significantly to Rs1.04 in 4QFY24 from Rs0.19 in the same quarter the previous year. This growth is largely attributed to enhanced retention rates and optimized fuel arrangements, reflecting a broader industry trend towards using more cost-effective fuel variants.

Despite these positive forecasts, the sector faces ongoing challenges with rising costs, which could continue to pressure margins in the near term. Additionally, both companies are anticipated to book a deferred tax charge in the fourth quarter ahead of a transition to a normal tax regime, which could impact their earnings temporarily.

JS Global also forecasts that PIOC will announce a final cash dividend of Rs3 per share alongside its 4QFY24 results, signaling confidence in the company’s financial health and its commitment to shareholder returns.