SEARL turns profitable with Rs2.3bn in 9MFY26

April 29, 2026 (MLN): The Searle Company Limited (PSX: SEARL) reported a decisive turnaround for the nine months ended March 31, 2026, posting a profit for the period of Rs2.31bn compared to a loss of Rs284.52m in the corresponding period last year.

The company's basic and diluted earnings per share (EPS) recovered strongly to Rs3.89, reversing a loss per share of Rs0.55 in 9MFY25, reflecting exceptional value accretion for shareholders during the period.

SEARL's revenue posted a 33.61% year-on-year increase, rising to Rs29.39bn from Rs21.99bn.

Cost of sales grew at a more contained pace of 21.94% to Rs13.72bn, well below the revenue growth rate. This allowed gross profit to expand by a strong 45.83% to Rs15.67bn from Rs10.74bn.

Distribution costs rose 41.93% to Rs8.71bn while administrative expenses moderated by 20.48% to Rs1.50bn, providing meaningful relief.

Other operating expenses, however, surged more than tenfold to Rs390.15m from Rs34.38m, adding considerable pressure.

The combined effect still resulted in profit from operations nearly doubling to Rs5.41bn from Rs2.97bn.

Finance costs declined significantly by 53.09% to Rs827.78m from Rs1.76bn, providing a substantial tailwind. Profit before levies and income tax consequently stood at Rs4.58bn, nearly quadrupling from Rs1.21bn in 9MFY25.

With levies entirely absent in the current period against Rs79.92m in the prior year, profit before income tax reached Rs4.58bn, more than quadrupling from Rs1.13bn.

Taxation rose more than tenfold to Rs2.27bn from Rs198.89m, reflecting the significantly higher taxable profit base. Profit from continuing operations stood at Rs2.31bn, up from Rs926.24m.

Notably, a loss from discontinued operations of Rs1.21bn that had weighed heavily on the prior year result was entirely absent in 9MFY26, emerging as a critical base-effect contributor to the overall turnaround.

After accounting for all items, The Searle Company Limited closed the nine-month period with a profit for the period of Rs2.31bn, a decisive reversal from the loss of Rs284.52m reported in the corresponding period of last year.

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