Tariq Corporation Limited has announced its reviewed financial results for the half-year ended 31 March 2026, reporting improved operational performance, higher sugar production, and increased profitability despite challenging market conditions in the sugar industry.
During the reporting period, the company crushed 709,018 metric tons of sugarcane, compared with 662,775 metric tons in the corresponding period last year. Sugar production increased to 63,300 metric tons, while average sugar recovery improved from 8.65% to 8.92%, reflecting enhanced operational efficiency and better crop quality.
The company generated revenue of Rs. 9.76 billion during the first six months of FY2026, up from Rs. 8.75 billion in the same period last year. Gross profit rose significantly to Rs. 356.06 million compared with Rs. 227.19 million previously. Profit after taxation reached Rs. 55.11 million, representing a notable increase from Rs. 33.47 million recorded during the corresponding period of FY2025. Earnings per share improved to Rs. 0.83 from Rs. 0.51.
According to the Board of Directors, the company benefited from stronger sugarcane recoveries and improved working capital availability. Management also highlighted the positive impact of its efficiency improvement initiatives and balancing, modernization, and replacement (BMR) projects, which have enhanced the company’s operational capacity and productivity.
The sugar industry experienced a mixed environment during the season. While sugarcane yields and sucrose recoveries improved across many regions, increased production led to higher sugar inventories nationwide and downward pressure on market prices. The company noted that sugarcane prices remained elevated, ranging from approximately Rs. 400 to over Rs. 550 per maund, increasing procurement costs compared with the previous year.
Operations for the crushing season commenced on 12 November 2025 and continued for 118 days. Management reported that the season was approximately 12% longer than the previous year, supporting higher production volumes and stronger operational results.
Looking ahead, Tariq Corporation remains optimistic about market stabilization and future growth opportunities. The company expects national sugar demand to continue increasing and forecasts a further expansion in sugarcane cultivation. Internal surveys indicate that sugarcane acreage could increase by at least 10% next year as farmers continue to favor the crop due to attractive returns.
With improved production efficiency, stronger recoveries, and ongoing investment in operational enhancements, Tariq Corporation is well-positioned to capitalize on future opportunities while continuing to deliver value to shareholders, customers, and stakeholders.
