Nimir Resins posts 20% earnings growth

February 17, 2026 (MLN): Nimir Resins Limited (PSX: NRSL) reported a profit after tax (PAT) of Rs161.99 million for the six months ended December 31, 2025, showing a 20.5% increase compared to Rs134.45m in the corresponding period last year.

Earnings per share (EPS) rose to Rs1.15, up 21.1% from Rs0.95 in 1HFY25. The company did not announce any dividend along with the results.

The company’s revenue from sales increased 22.9% year-on-year to Rs6.97bn, compared to Rs5.67bn in the same period last year.

After accounting for sales tax, net sales rose 23.5% to Rs5.89bn from Rs4.77bn, supported by improved volumetric sales and pricing adjustments.

Cost of sales increased 24.7% to Rs5.29bn; however, revenue growth partially offset cost pressures. As a result, gross profit grew 14% to Rs600.16m compared to Rs526.43m in 1HFY25.

Despite the increase in gross profit, margins remained under pressure due to higher input costs and operating expenses.

Other income declined 17.1% to Rs12.80m from Rs15.44m in the corresponding period last year, limiting additional non-core earnings support.

Distribution costs increased 19.4% to Rs85.91m, showing higher freight and selling expenses.

Administrative expenses rose sharply by 28.5% to Rs92.54m, indicating increased overheads and inflationary impact.

Total operating expenses climbed 24.0% to Rs178.46m, while other operating expenses rose 19.9% to Rs33.07m.

Despite higher expenses, operating profit increased 10.3% to Rs421.70m from Rs382.49m in 1HFY25, supported by topline expansion.

Finance costs declined significantly by 28.5% to Rs139.10m, compared to Rs194.41m last year, providing relief to the bottom line amid a relatively improved financing environment.

Other income stood at Rs12.80m, bringing total other items to Rs159.37m, down 22.9% year-on-year.

Profit before levy and taxation rose 49.1% to Rs262.33m from Rs175.94m in the same period last year, reflecting improved operational performance and lower finance costs.

Tax expense surged 141.9% to Rs100.34m compared to Rs41.48m last year, weighing on net profitability.

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