Income doubled, liquidity disappeared; The management will answer!
Alborz cable sales doubled; So why was the profit lost in financing costs?
When the revenues of a more productive company double, its effects are expected to appear in profitability, liquidity and production capacity. But the 9-month financial statements of Kabul Alborz raised difficult questions: Why did a company with an income of more than two thousand billion tomans recognize only about 934 million tomans in net profit, its financial expenses exceeded the total operating profit, and there was a net flow of more than 266 billion tomans in cash from operating activities?
According to Elon News, the review of the interim unaudited financial reports of the Kabul Alborz company shows that the significant increase in revenues does not necessarily mean a relative improvement in the company's economic performance.
In the 9-month period ending on June 21, 1405, this company increased its operating profit from about 947 billion tomans to more than 2.39 billion tomans; A growth of almost 115%.
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