Security Paper Limited (PSX: SEPL) released its financial statement for the first six months of the fiscal year ending December 31, 2023, announcing a profit of Rs 746 million (EPS Rs 12.59) showing a significant increase of 122% compared to the profit of Rs 336 million (EPS Rs 5.67) reported in the Same Period Last year (SPLY).

The results show that the Security Papers Limited’s (SPL) top line increased by 38% to Rs 3.49 billion compared to Rs 2.53 billion in SPLY. The Company’s cost of sales rose by 26% to Rs 2.51 billion vs SPLY. However, due to a higher increase in sales, the gross profit improved substantially by 82% to Rs 976 million.

Expressing his delight at the results, SPL Chairman Mohammad Aftab Manzoor expressed that Security Paper’s strategic focus on increasing sales via diversifying its customer base, focus on operational costs, and positive outcome of several reforms introduced in the Company has yielded superb financial performance. “Our strategic vision and relentless focus on new initiatives and diversification has doubled the Company’s EPS. The SPL’s strong performance is a testament to its commitment to progress aimed at delivering value to shareholders and customers.”

Expressing confidence in the future performance, the SPL chairman expressed that the recently concluded technical consultancy agreement with a leading European Security Paper Company that aims to benchmark SPL’s operational efficiencies will help prepare comprehensive efficiency and cost improvement plans.

The Company also announced an interim dividend of Rs 2.5 per share (25%).