Unilever Pakistan’s net profit declines in Q1 2025

April 24, 2025 (MLN): Unilever Pakistan Foods Limited (PSX: UPFL) has reported a profit after tax of Rs1.67 billion for the three months ended March 31, 2025, reflecting a decline of 8.14% compared to Rs1.82bn in the same period last year.

The company’s earnings per share (EPS) stood at Rs262.60, down from Rs285.87 in the corresponding quarter of 2024.

Despite the dip in profitability, UPFL delivered solid top-line growth, with sales increasing by 19.54% year-on-year to Rs10.47bn, up from Rs8.76bn.

The cost of sales also rose by 20.86% to Rs6.47bn, in line with increased production and input costs. However, this was offset by a 17.47% increase in gross profit, which reached Rs4bn during the quarter.

Operating expenses, including distribution, administrative, and other charges, rose slightly by 4.73% to Rs1.55bn.

Meanwhile, other income fell sharply by 51.14%, declining to Rs320.6 million from Rs656.1m, which moderated the growth in operating profitability.

As a result, profit before operations stood at Rs2.77bn, up 7.33% from Rs2.58bn in the same period last year.

On the financial side, the company recorded a finance cost of Rs32.4m, compared to finance income of Rs4.5m in Q1 2024, reflecting a shift in cash and debt position.

Tax expenses rose significantly by 44.37% to Rs1.06bn, compared to Rs735.9m last year, further impacting net earnings.

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