Pakistan Engineering Company Limited (PECO) has announced its financial results for the nine-month period ended March 31, 2022, revealing continued operational challenges and net losses, despite notable improvements in cash reserves and operating cash flow.<\/p>\n
According to the company’s financial statements, sales revenue declined significantly to Rs110.3 million during the period, compared with Rs168.5 million recorded in the corresponding period of the previous year. The reduction in sales contributed to a gross loss of Rs118.8 million, highlighting persistent difficulties in generating profitable business operations.<\/p>\n
The company reported an operating loss of Rs160.7 million, an improvement from the operating loss of Rs224.5 million posted during the same period last year. However, finance costs and other expenses continued to weigh on overall performance, resulting in a loss before taxation of Rs167.7 million.<\/p>\n
After accounting for taxation adjustments, PECO recorded a net loss of Rs171.2 million for the nine months ended March 31, 2022. Although the company remained in the red, the loss was lower than the Rs262.7 million loss reported during the corresponding period in 2021, indicating some improvement in financial performance.<\/p>\n
The company’s balance sheet shows total assets of approximately Rs15.31 billion as of March 31, 2022, compared with Rs15.38 billion at the end of June 2021. Property, plant and equipment continued to represent the largest portion of the asset base, valued at more than Rs14.45 billion.<\/p>\n
One of the positive highlights of the report was the significant improvement in cash and bank balances, which increased to Rs189.3 million from Rs44.6 million at the beginning of the period. Operating activities generated cash inflows of Rs144.7 million, substantially higher than the Rs3.9 million generated during the corresponding period last year.<\/p>\n
Despite the improved liquidity position, accumulated losses increased to nearly Rs1.99 billion, reflecting the ongoing financial pressures facing the company. Total equity stood at approximately Rs12.5 billion at the end of March 2022, supported largely by the revaluation surplus of fixed assets.<\/p>\n
The Board of Directors did not recommend any cash dividend, bonus shares, right shares, or other corporate actions for shareholders during the period.<\/p>\n
Going forward, PECO’s ability to improve operational efficiency, enhance sales performance, and return to profitability will remain key areas of focus for investors and stakeholders. While stronger cash generation offers some encouragement, sustained revenue growth and cost control measures will be essential for achieving long-term financial stability.<\/p>\n","protected":false},"excerpt":{"rendered":"
Pakistan Engineering Company Reports Continued Losses Despite Improved Cash Position Pakistan Engineering Company Limited (PECO) has announced its financial results for the nine-month period ended March 31, 2022, revealing continued operational challenges and net losses, despite notable improvements in cash reserves and operating cash flow. According to the company’s financial statements, sales revenue declined significantly […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[127],"tags":[55],"class_list":["post-318","post","type-post","status-publish","format-standard","hentry","category-pakistan-engineering-company-limited-peco-psx","tag-financial-results","et-doesnt-have-format-content","et_post_format-et-post-format-standard"],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/finance.brands.pk\/index.php?rest_route=\/wp\/v2\/posts\/318","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/finance.brands.pk\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/finance.brands.pk\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/finance.brands.pk\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/finance.brands.pk\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=318"}],"version-history":[{"count":1,"href":"https:\/\/finance.brands.pk\/index.php?rest_route=\/wp\/v2\/posts\/318\/revisions"}],"predecessor-version":[{"id":319,"href":"https:\/\/finance.brands.pk\/index.php?rest_route=\/wp\/v2\/posts\/318\/revisions\/319"}],"wp:attachment":[{"href":"https:\/\/finance.brands.pk\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=318"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/finance.brands.pk\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=318"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/finance.brands.pk\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=318"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}