External broker reports(aggregated public sources), Topline Securities

Topline Securities

External broker reports(aggregated public sources)

Topline Securities is one of the fastest growing brokerage houses in Pakistan. It has strong equity brokerage, economic / equity research, mutual fund distribution, commodity trading and corporate finance & advisory functions. Content available is external broker reports authored by a third party outside the Smartkarma network and has been aggregated by an online aggregator through publicly available sources and is displayed by Smartkarma in this format for user's convenience and general informational purposes only. Content does not constitute investment or financial advice and Smartkarma makes no representation or warranty regarding its accuracy or contents. Original third party author retains all copyright and other proprietary rights in the content. Access or use of third party links not controlled by Smartkarma are at the user's own risk.

Equity Bottom-Up

<ul><li>D.G. Khan Cement (DGKC) announced 3QFY24 unconsolidated earnings of Rs1.2bn (EPS of Rs2.69), which is flat YoY but up by 200% QoQ. The result came higher than industry expectations.</li><li>This takes 9MFY24 earnings to Rs2.2bn (EPS of 5.10), up 6% YoY.</li><li>The main reason for the higher-than-expected earnings in 3QFY24 is the higher-than-expected gross margins.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

D.G. Khan Cement (DGKC) announced 3QFY24 unconsolidated earnings of Rs1.2bn (EPS of Rs2.69), which is flat YoY but up by 200% QoQ. The result came higher than industry expectations.This takes 9MFY24 earnings to Rs2.2bn (EPS of 5.10), up 6% YoY.The main reason for the higher-than-expected earnings in 3QFY24 is the higher-than-expected gross margins.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

DG Khan Cement (DGKC): 3QFY24 EPS at Rs2.69, up 200% QoQ (result higher than industry expectations)

<ul><li>Topline Securities hosted a Corporate Briefing Session (CBS) for DG Khan Cement (DGKC) today, where senior management discussed the recent financial performance and future outlook of the company.</li><li>As per the management, local cement demand to remain flat in FY24. However, cement demand to recover by 5-10% in FY25. At present, the demand for cement is driven by private sector construction activities.</li><li>DGKC raised cement prices by 14-15% today to pass on the impact of axle load. Management highlighted that any further impact of axle load will be passed on to consumers.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Topline Securities hosted a Corporate Briefing Session (CBS) for DG Khan Cement (DGKC) today, where senior management discussed the recent financial performance and future outlook of the company.As per the management, local cement demand to remain flat in FY24. However, cement demand to recover by 5-10% in FY25. At present, the demand for cement is driven by private sector construction activities.DGKC raised cement prices by 14-15% today to pass on the impact of axle load. Management highlighted that any further impact of axle load will be passed on to consumers.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Topline Flash Note: DG Khan Cement (DGKC): Corporate Briefing Key Takeaways

<ul><li>DG Khan Cement (DGKC) announced its 4QFY23 financial result today, where company reported loss of Rs5,748mn (LPS: Rs13.12) in 4QFY23. This takes full year FY23 loss to Rs3,636mn (LPS: Rs8.30) vs profit of Rs2,972mn (EPS: Rs6.78)</li><li>The result came below industry expectations as market was expecting a profit of Rs906mn (EPS: Rs2.07) for 4QFY23. The below expected result was primarily due to higher than expected tax expense.</li><li>DGKC recorded tax expense of Rs5,754mn in 4QFY23. This significant tax expense is due to imposition of super tax on FY23 earnings and deferred tax liability, we believe.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

DG Khan Cement (DGKC) announced its 4QFY23 financial result today, where company reported loss of Rs5,748mn (LPS: Rs13.12) in 4QFY23. This takes full year FY23 loss to Rs3,636mn (LPS: Rs8.30) vs profit of Rs2,972mn (EPS: Rs6.78)The result came below industry expectations as market was expecting a profit of Rs906mn (EPS: Rs2.07) for 4QFY23. The below expected result was primarily due to higher than expected tax expense.DGKC recorded tax expense of Rs5,754mn in 4QFY23. This significant tax expense is due to imposition of super tax on FY23 earnings and deferred tax liability, we believe.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

DG Khan Cement (DGKC): 4QFY23 LPS at Rs13.12 vs. 4QFY22 LPS of Rs1.48 (Result below expectations)

Thematic (Sector/Industry)

<ul><li>Pakistan's listed cement sector reported record earnings of Rs22.4bn, up 8% YoY in 2QFY24. This earnings growth is primarily due to higher gross margins and other income.</li><li>Despite fall in cement dispatches, sector sales increased by 9% YoY to Rs179bn in 2QFY24, led by a 16% YoY increase in average cement prices.</li><li>Local dispatches declined by 12% YoY to 10.1mn tons in 2QFY24. However, the decline in total cement dispatches was restricted to 1% YoY, due to a 166% growth in cement exports in 2QFY24.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Pakistan's listed cement sector reported record earnings of Rs22.4bn, up 8% YoY in 2QFY24. This earnings growth is primarily due to higher gross margins and other income.Despite fall in cement dispatches, sector sales increased by 9% YoY to Rs179bn in 2QFY24, led by a 16% YoY increase in average cement prices.Local dispatches declined by 12% YoY to 10.1mn tons in 2QFY24. However, the decline in total cement dispatches was restricted to 1% YoY, due to a 166% growth in cement exports in 2QFY24.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Pakistan Cement: Sector Reported Record Quarterly Profit in 2QFY24

<ul><li>Pakistan local cement dispatches are likely to decline by 7-11% MoM and 22-26% YoY to clock in at around 2.7-2.8mn tons in Feb-2024.</li><li>MoM decline in local cement dispatches is primarily due to fewer working days in Feb-2024 compared to Jan-2024. Moreover, due to general election, construction activities usually slow down for a few days before and after the election.</li><li>Considering these figures, the average daily domestic sales for the sector is expected to clock in at 93.5k tons/day in Feb-24, compared to the five-year average Feb sales of 128.2k tons/day.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Pakistan local cement dispatches are likely to decline by 7-11% MoM and 22-26% YoY to clock in at around 2.7-2.8mn tons in Feb-2024.MoM decline in local cement dispatches is primarily due to fewer working days in Feb-2024 compared to Jan-2024. Moreover, due to general election, construction activities usually slow down for a few days before and after the election.Considering these figures, the average daily domestic sales for the sector is expected to clock in at 93.5k tons/day in Feb-24, compared to the five-year average Feb sales of 128.2k tons/day.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Pakistan Cement: Local Cement Dispatches to Fall 7-11% MoM in Feb-2024

Pakistan

D.G. Khan Cement Company Limited manufactures and sells portland cement.

D.G. Khan Cement (DGKC PA)

DG Khan Cement (DGKC): 3QFY24 EPS at Rs2.69, up 200% QoQ (result higher than industry expectations)

D.G. Khan Cement (DGKC) announced 3QFY24 unconsolidated earnings of Rs1.2bn (EPS of Rs2.69), which is flat YoY but up by 200% QoQ. The...

Topline Securities

Topline Flash Note: DG Khan Cement (DGKC): Corporate Briefing Key Takeaways

Topline Securities hosted a Corporate Briefing Session (CBS) for DG Khan Cement (DGKC) today, where senior management discussed the recent...

Topline Securities

DG Khan Cement (DGKC): 4QFY23 LPS at Rs13.12 vs. 4QFY22 LPS of Rs1.48 (Result below expectations)

DG Khan Cement (DGKC) announced its 4QFY23 financial result today, where company reported loss of Rs5,748mn (LPS: Rs13.12) in 4QFY23. This takes...

Topline Securities

Pakistan Cement: Sector Reported Record Quarterly Profit in 2QFY24

Pakistan's listed cement sector reported record earnings of Rs22.4bn, up 8% YoY in 2QFY24. This earnings growth is primarily due to higher gross...

Topline Securities

Pakistan Cement: Local Cement Dispatches to Fall 7-11% MoM in Feb-2024

Pakistan local cement dispatches are likely to decline by 7-11% MoM and 22-26% YoY to clock in at around 2.7-2.8mn tons in Feb-2024. MoM decline...

Topline Securities