Lucky Core Industries profit drops 25% while sales increase

October 27, 2026 (MLN): Consolidated profit for the period of Lucky Core Industries Limited (PSX: LCI) fell 24.52% year-on-year to Rs1.62bn for the three months ended September 30, 2026, compared with Rs2.15bn in the same period last year.

Basic and diluted earnings per share (EPS) declined 24.46% to Rs3.52 from Rs4.66 in the corresponding quarter last year.

The decline came from a 12% drop in gross profit, a 41% rise in finance costs and a more than five-fold jump in exchange loss. A lower tax charge, a more than tripled share of profit from associate and lower workers’ fund charges partly cushioned the impact.

Net turnover grew 4.48% to Rs29.90bn from Rs28.62bn. Cost of sales rose faster, by 9.10%, to Rs24.50bn from Rs22.46bn, which pulled gross profit down 12.36% to Rs5.40bn from Rs6.16bn.

Selling and distribution expenses increased 6.04% to Rs1.84bn from Rs1.74bn, while administration and general expenses rose 12.01% to Rs728.96m from Rs650.80m.

As a result, operating profit fell 25.01% to Rs2.83bn from Rs3.78bn.

Finance costs rose 40.77% to Rs765.80m from Rs544.02m, and exchange loss increased more than five-fold to Rs34.20m from Rs6.05m. Workers’ profit participation fund declined 32.07% to Rs63.67m from Rs93.72m, workers’ welfare fund fell 29.22% to Rs46.83m from Rs66.17m, and other charges dropped 30.65% to Rs28.61m from Rs41.25m. Total finance and other charges grew 25.01% to Rs939.11m from Rs751.22m.

Other income edged up 5.21% to Rs566.81m from Rs538.77m. Share of profit from associate more than tripled to Rs129.77m from Rs35.72m.

Profit before final taxes and income tax fell 28.07% to Rs2.59bn from Rs3.60bn. Final taxes rose 17.26% to Rs105.87m from Rs90.29m, taking profit before income tax down 29.23% to Rs2.48bn from Rs3.51bn.

Current income tax declined 28.49% to Rs984.35m from Rs1.38bn, while a deferred tax credit rose nearly seven-fold to Rs124.30m from Rs17.86m. Total taxation fell 36.70% to Rs860.06m from Rs1.36bn, which left profit for the period at Rs1.62bn.

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