NCL FY26 profit doubles to Rs1.6bn

September 18, 2026 (MLN): Nishat (Chunian) Limited (PSX: NCL) reported a 108% surge in its consolidated net profit for the fiscal year ended June 30, 2026, reaching Rs1.56bn compared to Rs751.45m in the preceding year.

Alongside the financial results, the board recommended a final cash dividend of Rs3 per share.

Reflecting this bottom-line doubling, basic and diluted earnings per share (EPS) for the year improved to Rs6.50, up from Rs3.13 in FY25.

The primary drivers behind the performance were core gross margin expansion and direct cost optimization.

Net revenue grew by 2% year-on-year to Rs86.98bn, up from Rs85.51bn in FY25. Effective cost-containment measures allowed cost of sales to decline slightly to Rs76.17bn, enabling gross profit to expand 20% to Rs10.81bn compared to Rs8.97bn in the prior year.

On the operational front, overheads expanded to support commercial outreach and logistical activities.

Distribution costs rose 14% to Rs2.17bn, administrative expenses grew 21% to Rs757.55m, and other expenses increased 15% to Rs542.49m.

Although "other income" declined 36% to Rs436.89m, strong core gross margin gains pushed profit from operations up 17% to Rs7.78bn.

Below the operating line, finance costs grew moderately by 2% to Rs4.94bn. With operating gains outpacing borrowing costs and statutory levies softening by 5% to Rs901.40m, profit before taxation surged 123% to Rs1.94bn.

The company absorbed a higher corporate taxation charge of Rs377.19m for the year (up from Rs117.43m in FY25).

Supported by 20% gross profit growth and operational efficiencies, Nishat (Chunian) Limited securely closed the fiscal year with its net profit reaching Rs1.56bn.

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