KARACHI: Service Industries Limited (PSX: SRVI) has reported a remarkable increase in profitability for the first quarter ended March 31, 2026, with unconsolidated profit after tax climbing more than eight times year-on-year, supported by a sharp rise in other income despite a decline in net sales. The company’s Board of Directors approved the first-quarter financial statements in its meeting held on April 28, 2026, and did not announce any cash dividend, bonus shares, or right shares.
According to the financial results, the company posted an unconsolidated profit after tax of Rs532.3 million during the quarter, compared to Rs64.9 million in the corresponding period last year. Earnings per share (EPS) improved significantly to Rs11.33, up from Rs1.38 a year earlier.
Net revenue, however, declined sharply to Rs1.31 billion, down from Rs2.45 billion recorded in the same quarter of 2025. Despite lower sales, gross profit increased to Rs213.1 million from Rs190.2 million, reflecting improved gross margins.
A major contributor to the earnings growth was a substantial increase in other income, which surged to Rs903.5 million compared with Rs432.9 million in the corresponding quarter last year. This helped operating profit rise to Rs885.7 million, while finance costs declined to Rs262.3 million from Rs376.3 million, further supporting the bottom line.
On a consolidated basis, Service Industries reported an even stronger performance. Consolidated profit after tax rose to Rs5.05 billion, compared with Rs1.69 billion in the same period last year. Profit attributable to the shareholders of the holding company stood at Rs3.02 billion, translating into consolidated earnings per share of Rs64.17, up from Rs26.60 in the corresponding quarter of FY2025.
The company stated that no cash dividend, bonus shares, or right shares were recommended alongside the quarterly results. The detailed quarterly report for the period ended March 31, 2026, will be circulated separately through the Pakistan Unified Corporate Action Reporting System (PUCARS).
