Ittehad Chemicals reports 7% decline in profit for FY2025

September 19, 2025 (MLN): Ittehad Chemicals Limited (PSX: ICL) has released its financial results for the year ended June 30, 2025, reporting a decline in profitability despite a notable increase in revenue.

The company's profit after income tax decreased to Rs 1.29 billion, a 6.90% drop from Rs 1.39bn in the previous year.

This financial performance was reflected in the company's earnings per share (EPS), which fell to Rs 12.90, a 6.86% decrease from Rs 13.85 in the last fiscal year.

The company’s revenue from contracts with customers saw a positive increase, reaching Rs 27.86bn, up 14.57% from Rs 24.31bn in the fiscal year 2024.

However, this growth was offset by a significant increase in the cost of sales, which rose by 17.24% to Rs 22.87bn.

A key factor contributing to the decline in the bottom line was the rise in selling and distribution expenses and general and administrative expenses, which increased by 20.26% and 18.52%, respectively.

Additionally, while finance costs decreased by 13.26%, a drop in other income and a decline in operating profit further impacted the company's performance.

Despite the drop in profit, the company’s board of directors recommended a final cash dividend of 20%, or Rs 2.0 per share.

This is in addition to the interim cash dividend of Rs 2.0 per share already paid. No bonus or right shares were declared.

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