LAHORE - Pak Suzuki Motor Company (PSMC) reported Profit After Tax of Rs1,369 million for first half of calendar year 2011-12, up by phenomenal 392 per cent annually primarily driven by 57 per cent increase in net turnover. This exceptional increase in net sales was a result of completion of the yellow cab scheme driving up volumes by 40 per cent and increase in car prices thrice (Jan, Apr and June 2012) by 11 per cent to pass on the Rupee depreciation.Moreover, change in taxation scheme on account of turnover tax adjustment also played its part as the company’s effective tax rate reduced to 26.5% in 1HCY12 from 48% in the same period last year.For 2QCY12, the company reported Profit After Tax of Rs780 million, presenting YoY increase of an exorbitant 317 per cent. For 2QCY12, PSMC’s revenue increased by 57 per cent YoY to Rs36,471 million due to better volumes and price increases.PSMC sold 30,797 cars in 2QCY12 as compared to 18,248 in the same period last year mainly due to the Yellow Cab Scheme where Mehran and Bolan were the prime beneficiaries. Subsequently, Mehran (company’s major revenue driver) witnessed an increase of 90 per cent in volumes QoQ to 9548 units followed by Bolan registering a 94 per cent increase in volumes.Going forward, phasing out of the Yellow Cab scheme coupled with discontinuation of ALTO would reduce the volumetric sales post CY12 thus suggesting a Neutral stance on PSMC.It is to be noted that gross profit of the Indus Motor Company Limited has also reached Rs2.47 billion against the gross profit of Rs1.40 billion in 1HFY11, showing a gigantic augment of 77 percent annually. The company has also announced 1HFY12 financial results recently, registering a massive 95 percent annual jump in its earnings to Rs1.77 billion translating into an EPS of Rs22.48 as against the PAT of Rs908m and EPS of Rs11.55 in the corresponding period last year. According to experts, the exciting growth in the bottom line can be attributed to the massive growth in the top line of the company which has posted a rise of 23 percent YoY to Rs33 billion in comparison of the sales of Rs26.83 billion in the same last year owing to be higher prices and better volumetric sales. The company has registered a sharp 7 percent YoY growth in its volumetric sales to 24,066 units in 1HFY12 as against 22,408 units in the same period previous year.The operating profit of the company has registered an enormous upsurge of 106 percent YoY to Rs1.91 billion as against Rs925m in 1HFY11 despite of 20 percent YoY higher operating costs.