Big Bird Foods profit grows 13% in 1HFY26

February 23, 2026 (MLN): Big Bird Foods Limited (PSX:BBFL) reported a net profit of Rs648.1m for the half year ended December 31, 2025, which represents a 13% increase from the Rs573.3m profit recorded in the same period last year.

The company's earnings per share rose to Rs2.17 from Rs1.92 in the corresponding period of the previous year.

The food products manufacturer's net sales increased 61% year-on-year to Rs7.73bn from Rs4.79bn, demonstrating exceptional top-line growth.

Cost of sales rose 63% to Rs6.12bn from Rs3.75bn, resulting in a gross profit of Rs1.61bn, up 54% from Rs1.04bn in the prior period.

The gross profit margin declined to 20.8% from 21.7% in H1 FY2025, indicating slight margin compression as cost of sales grew faster than revenue.

The net profit margin stood at 8.4% compared to 12% in the same period last year, which reflected the significant impact of higher tax burden on overall profitability.

Distribution and selling expenses increased 98% to Rs236.9m from Rs119.6m.

Administration expenses rose 62% to Rs152.1m from Rs94.1m, while other expenses increased 2.4 times to Rs113.5m from Rs46.5m.

Other income surged 4.1 times to Rs182.4m from Rs36m, providing significant support to profitability. Profit from operations grew 57% to Rs1.29bn from Rs818m in H1 FY2025, demonstrating strong operational performance despite higher expenses.

Finance costs declined 5% to Rs181.2m from Rs190.3m, providing some relief as borrowing costs moderated.

Profit before income tax reached Rs1.11bn, up 76% from Rs627.7m in the prior period, demonstrating exceptional pre-tax performance.

The company recorded a taxation expense of Rs459.1m, up 7.4 times from Rs54.4m in the corresponding period last year.

This dramatic surge in the tax charge emerged as the decisive factor constraining net profit growth to 13%, despite the 76% increase in pre-tax profit.

The near eightfold increase in taxation significantly eroded the strong operational gains achieved during the period.

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