POWER 1QFY27 profit surges 31%

October 22, 2026 (MLN): Power Cement Limited (PSX: POWER) reported a 31% surge in its net profit for the first quarter ended September 30, 2026 (1QFY27 / 3MFY27), reaching Rs1.05bn compared to Rs804.36m in the corresponding period last year.

Reflecting this bottom-line growth, basic earnings per share (EPS) expanded to Rs0.80 (diluted EPS of Rs0.76), up from basic EPS of Rs0.60 (diluted EPS of Rs0.58) in 1QFY26.

The primary driver behind the quarter's strong performance was a 36% expansion in revenue from customer contracts, aligning with robust industry dispatches in the South Zone, where total regional dispatches grew by 16.24% (domestic up 12.90% and exports up 19.15%).

Revenue for the quarter jumped to Rs10.65bn, up from Rs7.81bn in 1QFY26.

Although cost of sales increased 39% to Rs7.07bn amid elevated global commodity/energy prices and domestic utility tariff adjustments, gross profit expanded 32% to Rs3.58bn compared to Rs2.71bn in the prior-year period.

On the operational front, selling and distribution expenses rose 92% to Rs1.28bn, reflecting higher freight outlays and active export scaling. Administrative costs increased 21% to Rs189.52m, while other operating expenses declined 74% to Rs33.80m. Operating profit grew 18% to Rs2.08bn.

Below the operating line, Power Cement gained debt-servicing relief as net finance costs contracted 19% to Rs410.45m (down from Rs504.70m in 1QFY26), supported by lower borrowing costs. This pushed profit before taxation up 33% to Rs1.67bn.

The company absorbed a higher corporate taxation charge of Rs614.91m for the quarter (up 37% from Rs449.06m in 1QFY26).

Supported by strong South Zone demand, active export expansion, and debt cost relief, Power Cement Limited securely closed the three-month period with its net profit reaching Rs1.05bn.

Looking ahead, management expects construction demand to benefit from government PSDP allocations and housing initiatives, while focusing on operational efficiency, energy optimization, and export expansion to navigate global commodity risks.

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