Thatta Cement profit jumps 52% to Rs2bn in 9MFY26

April 28, 2026 (MLN): Thatta Cement Company Limited (PSX: THCCL) reported a robust 52% surge in its net profit for the nine months ended March 31, 2026, recorded Rs2.22bn compared to Rs1.46bn in the corresponding period last year.

Showing this strong bottom-line performance, the company's basic and diluted earnings per share (EPS) expanded significantly to Rs5.17 from Rs3.59 in 9MFY25.

The primary driver of this profit expansion was a powerful top-line growth that comfortably outpaced the rise in direct costs. THCCL's net revenue posted a remarkable 50% year-on-year increase, rising to Rs9.42bn from Rs6.30bn.

Concurrently, the cost of sales grew at a comparatively slower pace of 40%, reaching Rs6.14bn. This favorable cost dynamic allowed gross profit to register an impressive 73% expansion, settling at Rs3.28bn, up from Rs1.90bn in the prior year.

On the operational front, the company navigated rising overhead pressures across its expense lines. Selling and distribution costs rose by 24% to Rs47.52m, and administrative expenses climbed by 44% to Rs164.43m.

Despite these rising operational costs, the strong gross margin expansion pushed operating profit before other items up by a substantial 75% to Rs3.07bn.

Below the operating line, THCCL experienced mixed financial dynamics. Other income declined sharply by 77% to Rs179.17m from Rs791.81m, while other operating expenses contracted favorably by 48% to Rs92.53m.

After netting these items, operating profit settled at Rs3.16bn, still reflecting a solid 34% year-on-year growth.

However, the company faced a significantly heavier debt-servicing burden, with finance costs surging 147% to Rs414.29m from Rs167.90m in the prior year period.

Despite elevated finance costs, the strength of core operating margins pushed profit before taxation up by 25% to Rs2.75bn.

The company additionally benefited from a meaningfully lower taxation charge of Rs520.73m, down 29% year-on-year, which provided a further boost to the bottom line.

After accounting for taxation, Thatta Cement successfully secured its 52% leap in final net profit, closing the nine-month period at Rs2.22bn.

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