Murree Brewery net profit jumps 16% to around Rs4bn

September 18, 2026 (MLN): Murree Brewery Company Limited (PSX: MUREB) recorded a 16% increase in its net profit for the year ended June 30, 2026, with profit for the year climbing to Rs3.79bn from Rs3.26bn in the corresponding period last year.

Showing this healthy bottom-line growth, the company's basic and diluted earnings per share (EPS) expanded to Rs137.02 from Rs117.92 in FY25.

The Board of Directors has declared a final cash dividend of Rs14.50 per share (145%) for the year ended June 30, 2026.

This is in addition to interim dividends of Rs27.00 per share (270%) already paid during the financial year.

The top-line showed healthy momentum, with revenue from contracts with customers growing 12% year-on-year to Rs31.996bn from Rs28.56bn in the prior year.

Cost of sales rose at a slightly faster pace of 13% to Rs23.95bn, causing gross profit to expand at a more modest 9% to Rs8.04bn from Rs7.38bn showing mild margin compression as cost growth marginally outpaced revenue.

On the expenditure side, selling and distribution expenses declined 7% to Rs1.67bn, providing meaningful relief.

Administrative expenses rose 13% to Rs900.47m, and other expenses increased 12% to Rs411.98m. Other income grew 10% to Rs129.76m.

A marginal reversal of allowance for impairment loss on trade debts of Rs381,000 was recorded against a charge of Rs429,000 in the prior year. These combined movements drove operating profit up 14% to Rs5.19bn from Rs4.55bn.

Below the operating line, finance cost declined 42% to Rs3.98m from Rs6.82m, while finance income eased 12% to Rs790.08m from Rs899.68m.

Net finance income declined 12% to Rs786.11m from Rs892.86m, though it remained a positive contributor. Profit before income tax and final taxes rose 10% to Rs5.98bn from Rs5.44bn.

The standout development that amplified the pre-tax growth into a stronger bottom-line outcome was a near-complete elimination of the levy burden.

Final taxes levies declined 99% to just Rs769,000 from Rs114.15m in the prior year a saving that provided a meaningful boost and lifted profit before income tax up 12% to Rs5.978bn from Rs5.33bn.

Income tax rose 6% to Rs2.19bn from Rs2.06bn a proportionally smaller increase than pre-tax profit growth providing an additional tailwind that delivered the 16% increase in profit for the year.

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