Roshan Packages profit plunges 77% in 9MFY26

April 28, 2026 (MLN): Roshan Packages Limited (PSX: RPL) reported a sharp 76.97% year-on-year contraction in profit for the period for the nine months ended March 31, 2026, recording Rs27.76m compared to Rs120.56m in the corresponding period last year.

The company's basic and diluted earnings per share (EPS) declined 76.47% to Rs0.20, down from Rs0.85 in 9MFY25, reflecting significant value erosion for shareholders during the period.

RPL's net revenue posted a 15.84% year-on-year increase, rising to Rs8.17bn from Rs7.05bn. Concurrently, the cost of revenue grew at a faster pace of 17.96%, reaching Rs7.60bn, outstripping revenue growth and compressing the gross level.

This resulted in gross profit registering a 6.30% contraction, settling at Rs575.32m, down from Rs614.00m in the prior year.

Operating profit declined by 23.39% to Rs226.88m from Rs296.13m, as administrative expenses rose 11.72% to Rs275.86m while selling and distribution expenses remained broadly stable at Rs90.54m.

Finance costs escalated sharply by 37.33% to Rs181.78m from Rs132.37m, emerging as a material drag on earnings. Following these dynamics, profit before income tax and final tax stood at Rs104.74m, a 47.88% contraction from Rs200.96m in 9MFY25.

The most consequential drag, however, was the emergence of a minimum tax differential charge of Rs50.96m, entirely absent in the prior year, which compressed profit before taxation to Rs51.01m, a 74.10% decline from Rs196.99m.

After accounting for a taxation charge of Rs23.25m, Roshan Packages Limited closed the nine-month period with a profit for the period of Rs27.76m, representing a 76.97% contraction over the Rs120.56m reported in the corresponding period of last year.

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