Sitara Energy FY26 profit plunges 49% to Rs59m

October 05, 2026 (MLN): Profit for the year at Sitara Energy Limited (PSX: SEL) fell 49.21% year-on-year to Rs58.57m for the fiscal year ended June 30, 2026 (FY26), compared with Rs115.31m in FY25.

Basic and diluted earnings per share (EPS) declined 49.17% to Rs3.07 from Rs6.04 in the preceding year.

A sharp drop in other income and a heavier tax and levy burden outweighed a turnaround at the gross level, a near-elimination of other operating expenses and lower finance costs.

Net sales fell 55.33% to Rs79.05m from Rs176.99m in FY25. Cost of sales declined faster, by 70.21% to Rs64.01m from Rs214.84m, which turned the gross result into a gross profit of Rs15.05m, reversing a gross loss of Rs37.85m in the previous year.

Operating expenses were trimmed 4.59% to Rs66.50m from Rs69.70m. Other operating expenses plunged 97.12% to Rs2.27m from Rs78.75m.

Other income, however, dropped 52.54% to Rs171.17m from Rs360.66m, which weighed heavily on earnings.

Finance cost eased 12.00% to Rs47.45m from Rs53.93m.

As a result, profit before levies and income tax declined 41.88% to Rs69.99m from Rs120.43m.

Levies more than doubled, rising 111.21% to Rs4.57m from Rs2.16m, which pulled profit before income tax down 44.68% to Rs65.42m from Rs118.27m.

Provision for taxation also more than doubled, up 131.94% to Rs6.85m from Rs2.95m, taking the bottom-line decline to 49.21%.

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