Arif Habib earnings jump 115%, stand at Rs881m

Arif Habib Limited posted earnings of Rs881 million in FY17, registering an increase of 115% year-on-year. This was in contrast to earnings of Rs409 million reported in the previous year, according to a statement issued by Arif Habib Limited.

Earnings per share (EPS) increased to Rs16.01 in FY17 from Rs7.45 in the previous year.

Apart from this, the company announced a final cash dividend of Rs10 per share compared to Rs7 per share in the previous year. Operating revenue jumped 45% year-on-year to Rs858 million compared to Rs590 million in FY16. The increase was due to the KSE-100 Index that provided a massive return of 23% in the year, attracting new investors in the wake of increasing confidence in the market. Administrative expenses surged 44% year-on-year to Rs386 million, which was directly proportional to the increase in the operating revenue.

On the other hand, finance cost dropped 17% to Rs138 million due to lower reliance on borrowing and reduced interest rates. The company booked effective taxation at 23% amid higher capital gains on the sale of investment.