KARACHI: Security Papers Limited (PSX: SEPL) has announced a net profit of Rs631.4 million for the nine months ended March 31, 2026, reflecting a decline of nearly 43% compared to the Rs1.10 billion earned during the corresponding period last year. The company shared its financial results following a meeting of its Board of Directors held on April 29, 2026.
The board did not recommend any cash dividend, bonus shares, or right shares for the period under review.
According to the company’s financial statements, revenue from contracts with customers stood at Rs5.32 billion, down from Rs5.83 billion recorded in the same period of the previous year. As a result, gross profit declined to Rs1.17 billion from Rs1.60 billion a year earlier. Lower sales, coupled with reduced other income and higher tax expenses, weighed on the company’s bottom line despite controlled finance costs.
For the third quarter alone, Security Papers posted a profit after tax of Rs129.6 million, compared with Rs298.7 million in the corresponding quarter last year. Quarterly earnings per share (EPS) came in at Rs2.19, while nine-month EPS stood at Rs10.66, down from Rs18.58 in the same period of FY2025.
On the balance sheet, the company’s total assets stood at Rs11.11 billion as of March 31, 2026, compared with Rs11.35 billion at the end of June 2025. Total equity improved slightly to Rs9.01 billion, supported by retained earnings despite dividend payments made during the period.
Meanwhile, cash generated from operating activities remained positive at Rs81.6 million, although significantly lower than the Rs643.4 million generated in the same period last year. Cash and cash equivalents at the end of the reporting period stood at Rs337.1 million.
The latest results indicate that while Security Papers remained profitable during the first nine months of FY2026, the company experienced pressure on both revenue and profitability amid a challenging operating environment. Investors will likely monitor the company’s performance in the final quarter of the fiscal year for signs of earnings recovery.
