AGP 9MCY26 profit dips 9%

October 30, 2026 (MLN): AGP Limited (PSX: AGP) reported a 9% decline in its consolidated net profit for the nine months ended September 30, 2026 (9MCY26), falling to Rs2.59bn compared to Rs2.85bn in the corresponding period last year.

Reflecting the reduced bottom line, basic and diluted earnings per share (EPS) for the nine-month period contracted 7% to Rs8.29, down from Rs8.92 in 9MCY25.

For the third quarter (Q3CY26) alone, net profit declined 12% to Rs1.03bn (EPS of Rs3.05) compared to Rs1.18bn (EPS of Rs3.72) recorded in Q3CY25.

The contraction was driven by a 12% decline in top-line revenue from contracts with customers, which settled at Rs17.98bn compared to Rs20.34bn in 9MCY25.

Cost of sales declined 16% to Rs6.96bn from Rs8.25bn, leading to a 9% decrease in gross profit to Rs11.02bn against Rs12.09bn in the comparative period.

However, the company's gross profit margin expanded to 61.28% from 59.44% in 9MCY25.

On the operational side, expenses remained tightly controlled.

Administrative expenses stood virtually flat at Rs671.22m (compared to Rs674.46m), while marketing and selling expenses remained stable at Rs5.56bn against Rs5.58bn.

Other expenses declined 29% to Rs199.65m from Rs281.63m, while other income fell 30% to Rs51.88m compared to Rs74.17m in the prior-year period. Total operational deductions and finance charges stood at Rs7.44bn, down 2% year-on-year.

Below the operational line, finance costs reduced 4% to Rs1.06bn from Rs1.11bn in 9MCY25.

Accounting for statutory levies of Rs49.71m (compared to nil previously), profit before taxation fell 22% to Rs3.53bn against Rs4.52bn.

The decline in earnings was partially cushioned by a 44% decrease in taxation expense to Rs940.32m (down from Rs1.67bn), aided by prior-year tax adjustments of Rs46.93m, allowing AGP Limited to close the nine-month period with a consolidated net profit of Rs2.59bn.

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