Karachi: Security Papers Limited (PSX: SEPL) has announced its financial results for the year ended June 30, 2026, reporting a decline in annual profitability while rewarding shareholders with a generous final cash dividend of Rs. 9.00 per share (90%). The announcement was made following the company’s Board of Directors meeting held on July 30, 2026.
The company posted a net profit of Rs. 907.16 million for FY2026, down from Rs. 1.52 billion recorded in the previous year, reflecting a year-on-year decline of approximately 40.5%. Earnings per share (EPS) also fell to Rs. 15.31, compared to Rs. 25.72 in FY2025.
Revenue from contracts with customers stood at Rs. 7.31 billion, compared with Rs. 7.87 billion a year earlier. Gross profit declined to Rs. 1.59 billion from Rs. 2.20 billion, as lower sales and reduced other income weighed on the company’s financial performance. Profit before taxation also decreased to Rs. 1.60 billion, compared with Rs. 2.41 billion in the previous year.
Despite the lower earnings, the Board recommended a final cash dividend of Rs. 9.00 per share, equivalent to 90%, for the financial year ended June 30, 2026. The entitlement will be paid to shareholders whose names appear in the register of members on September 18, 2026. The company’s share transfer books will remain closed from September 19 to September 25, 2026 (both days inclusive).
On the balance sheet, Security Papers Limited reported total assets of Rs. 12.11 billion, up from Rs. 11.35 billion a year earlier, while shareholders’ equity increased to Rs. 9.38 billion from Rs. 9.00 billion, reflecting the company’s continued financial strength despite lower annual earnings.
The company also generated Rs. 1.24 billion in net cash from operating activities during the year. However, substantial investments in property, plant and equipment and other investing activities resulted in an overall decline in cash and cash equivalents, which stood at Rs. 770.35 million at year-end compared with Rs. 1.15 billion a year earlier.
In a separate corporate announcement, Security Papers Limited informed shareholders that Mr. Yasir Ali Quraishi, Company Secretary and Chief Legal Officer, has resigned and will cease to hold the position effective from the close of business on August 12, 2026. The company also confirmed that its Annual General Meeting (AGM) will be held on September 25, 2026, in Karachi.
