Shahzad Textile Mills Limited reported a significant improvement in profitability for the nine months ended March 31, 2026, with net profit rising sharply compared with the same period last year.
According to the company’s unaudited financial statements, net profit for the nine-month period reached Rs208.15 million, compared with Rs62.85 million in the corresponding period of 2025. This represents an increase of around 231% year-on-year.
The company’s earnings improvement was supported by stronger sales and a substantial increase in gross profit. Sales for the nine months rose to Rs9.44 billion, up from Rs8.53 billion a year earlier. At the same time, gross profit increased to Rs802.54 million from Rs521.57 million, reflecting a notable improvement in the company’s profitability at the gross level.
Operating performance also strengthened considerably. Shahzad Textile Mills recorded an operating profit of Rs352.98 million during the nine months, compared with Rs155.43 million in the same period last year.
Finance costs declined to Rs76.34 million from Rs106.44 million, providing additional support to the bottom line. The company also reported other income of Rs79.53 million during the period.
Profit before taxation stood at Rs315.45 million, compared with Rs156.12 million in the corresponding period. After taxation, net profit reached Rs208.15 million.
The improvement was also reflected in earnings per share. Basic EPS increased to Rs11.58, compared with Rs3.50 in the same period last year.
Quarterly performance
For the quarter ended March 31, 2026, Shahzad Textile Mills reported sales of Rs3.25 billion, compared with Rs3.06 billion in the same quarter of 2025. Gross profit increased to Rs298.03 million from Rs247.97 million.
Quarterly operating profit rose to Rs155.94 million, compared with Rs127.13 million a year earlier. However, net profit remained broadly stable at Rs82.71 million, compared with Rs81.70 million in the same quarter of 2025.
Quarterly EPS stood at Rs4.60, against Rs4.55 a year earlier.
Balance sheet and cash position
The company’s total equity increased to Rs3.74 billion as of March 31, 2026, compared with Rs3.53 billion at June 30, 2025. Unappropriated profit rose to Rs2.34 billion from Rs2.12 billion during the period.
Cash and bank balances also improved, reaching approximately Rs486.66 million at the end of March 2026, compared with Rs386.23 million at June 30, 2025.
The cash-flow statement shows that the company generated Rs33.72 million in net cash from operating activities during the quarter, while financing activities generated Rs109.00 million.
Overall, Shahzad Textile Mills’ nine-month results point to a marked recovery in profitability, with higher sales, stronger gross and operating margins, lower finance costs and improved earnings per share contributing to the sharp rise in bottom-line earnings.
The financial statements were presented as unaudited, and the company stated that its quarterly report for the period ended March 31, 2026 would be transmitted separately through PUCARS.
