We expect a PAT for 9MMY22 to clock-in at PKR 3,039mn (EPS: PKR 21.28), up by 239% YoY in contrast to PKR 898mn (EPS: PKR 6.29) in 9MMY21. Topline is expected to clock-in at PKR 78.9bn, up by 77% YoY attributable to volumetric increase of 70% YoY to 27,141 units together with surge in car prices in the period under review.

The jump in sales was due to V-shaped economic recovery along with lower interest rates favouring the automobile sector. On a quarterly basis, topline is expected to witness a jump of 77% YoY and 20% QoQ due to volumetric increase of 67% YoY and 13% QoQ to 10,376 units (Civic/City: 9,827 units; BR-V: 549 units).

Despite depreciation of PKR against USD, gross margins are expected to increase by 19bps YoY due to increase in car prices which should wipe off the impact of adverse currency and commodity movement.

Courtesy – AHL Research