PAKOXY 1HCY26 profit surges 87%

August 25, 2026 (MLN): Pakistan Oxygen Limited (PSX: PAKOXY) reported a strong 87% increase in its net profit for the half-year ended June 30, 2026 (1HCY26), reaching Rs1.68bn compared to Rs901.56m in the corresponding period last year.

Reflecting this solid bottom-line expansion, basic and diluted earnings per share (EPS) jumped to Rs19.31 for the half-year, up from Rs10.35 in 1HCY25.

The primary driver behind the performance was strong top-line revenue expansion combined with a sharp improvement in gross margins.

Net sales posted a 22% year-on-year surge, rising to Rs7.39bn from Rs6.07bn in 1HCY25.

Although cost of sales grew by 9% to Rs4.14bn, revenue growth outpaced direct production costs, allowing gross profit to expand 42% to Rs3.25bn compared to Rs2.29bn in the prior year.

On the operational front, overheads expanded to support business scale-up.

Distribution and marketing expenses rose 88% to Rs304.88m, administrative expenses grew 25% to Rs250.18m, and other operating expenses rose 63% to Rs212.77m.

Despite higher operating expenses, strong gross profit gains and a multi-fold boost in "other income" (surging to Rs233.80m from Rs19.83m) propelled operating profit up 49% to Rs2.71bn.

Below the operating line, PAKOXY benefited from significant debt-servicing relief.

Finance costs fell by 48% to Rs152.17m (down from Rs294.60m in 1HCY25).

Supported by this interest cost reduction and the complete elimination of minimum tax levies, profit before taxation surged 72% to reach Rs2.56bn.

The company absorbed a 50% higher corporate taxation charge of Rs880.77m for the six-month period.

Backed by top-line growth, margin expansion, and reduced debt costs, Pakistan Oxygen Limited securely closed the half-year with its net profit reaching Rs1.68bn.

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