SPEL 1QFY27 profit surges 37%

October 23, 2026 (MLN): SPEL Limited (PSX: SPEL) reported a 37% surge in its net profit for the first quarter ended September 30, 2026 (1QFY27 / 3MFY27), reaching Rs357.36m compared to Rs261.61m in the corresponding period last year.

Reflecting this bottom-line growth, basic and diluted earnings per share (EPS) for the quarter expanded to Rs1.88, up from Rs1.38 in 1QFY26.

The primary catalyst driving the strong quarterly performance was a 25% expansion in net sales alongside a 26% surge in gross profit.

Net sales for the quarter rose to Rs2.94bn, up from Rs2.35bn in 1QFY26. Cost of sales increased 24% to Rs2.17bn, allowing gross profit to jump 26% to Rs767.86m compared to Rs607.47m in the prior-year period.

On the operational front, overheads were well-managed. Administrative expenses contracted 4% to Rs123.92m, offsetting a 49% increase in selling and distribution costs (Rs33.36m up from Rs22.35m).

Accounting for an impairment loss on financial assets of Rs5.69m, operating profit surged 33% to Rs604.89m.

Below the operating line, SPEL absorbed higher financial overheads, with finance costs increasing 31% to Rs21.60m (up from Rs16.51m in 1QFY26). Supported by "other income" of Rs30.46m and despite other charges of Rs48.28m, profit before taxation rose 32% to Rs565.46m.

The company recorded a corporate taxation charge of Rs208.10m for the quarter (up 25% from Rs166.77m in 1QFY26).

Backed by strong demand across its synthetic packaging and automotive components segments, alongside robust top-line growth and core margin expansion, SPEL Limited securely closed the three-month period with its net profit reaching Rs357.36m.

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