Flair Writing Industries (FLAIR) Q4 19/20 earnings summary

Executive summary

• FY20 standalone revenue fell to Rs 5,811.77 million from Rs 6,127.93 million; net profit declined to Rs 381.21 million from Rs 644.29 million.

• Consolidated revenue was Rs 7,251.54 million and net profit Rs 379.35 million; COVID-19 restrictions emerged in March 2020 and disrupted economic activity.

Financial highlights

• Standalone total income was Rs 5,865.05 million vs Rs 6,182.34 million; PBT was Rs 599.97 million vs Rs 853.89 million.

• Consolidated total income was Rs 7,304.92 million vs Rs 7,377.55 million; PBT was Rs 601.38 million vs Rs 877.71 million.

• Standalone operating cash flow rose to Rs 770.65 million from Rs 389.77 million; consolidated operating cash flow rose to Rs 811.62 million from Rs 387.36 million.

• Standalone exports were Rs 1,143.14 million vs Rs 1,274.95 million; foreign exchange outgo fell to Rs 527.47 million from Rs 1,223.88 million.

Outlook and guidance

• Directors cited future prospects and growth plans in deciding to conserve resources and recommend no FY20 equity dividend.

• Asset recoverability assessments incorporated information available through approval of the financial statements; sensitivity analysis indicated expected recovery of carrying values.