Karachi, August 18, 2026: Fecto Cement Limited has reported a notable improvement in its bottom line for the financial year ended June 30, 2026, with profit after taxation rising to Rs663.36 million from Rs608.69 million a year earlier.

According to the company’s financial results submitted to the Pakistan Stock Exchange, the company’s earnings increased by around 9% year-on-year, while earnings per share improved to Rs13.22 from Rs12.14 in the previous financial year.

Sales climb to Rs12.5 billion

Fecto Cement’s sales increased substantially during the year, reaching Rs12.50 billion compared with Rs11.10 billion in FY2025.

However, the rise in revenue was accompanied by higher production and operating costs. Cost of sales increased to Rs11.19 billion from Rs9.26 billion, resulting in gross profit of Rs1.30 billion, compared with Rs1.83 billion in the preceding year.

The company’s operating profit consequently declined to Rs474.68 million from Rs1.01 billion.

Lower finance costs provide support

Despite pressure at the operating level, Fecto Cement benefited from a significant reduction in finance costs. Finance costs fell to Rs107.86 million during FY2026 from Rs172.19 million in FY2025.

The company also recorded a share of profit from its associate amounting to Rs41.04 million, compared with a loss of Rs60.96 million in the previous year. Other income also increased sharply to Rs363.48 million from Rs142.27 million.

As a result, profit before taxation stood at Rs853.51 million, compared with Rs1.09 billion a year earlier.

Profit after tax improves

Lower taxation helped the company post higher net earnings despite weaker operating profitability. Taxation amounted to Rs190.15 million during FY2026, compared with Rs479.38 million in FY2025.

Following taxation and a levy of Rs25.69 million, Fecto Cement reported profit after tax of Rs663.36 million, up from Rs608.69 million.

The company’s basic and diluted earnings per share consequently increased to Rs13.22 from Rs12.14.

Rs4 per share cash dividend recommended

The Board of Directors has recommended a cash dividend of Rs4 per share for the year ended June 30, 2026. No bonus shares or right shares have been recommended.

Fecto Cement has also announced that its 45th Annual General Meeting will be held on October 26, 2026, in Karachi. The company’s share transfer books will remain closed from October 16 to October 26, 2026, subject to the terms stated in the company’s announcement.

A mixed year for Fecto Cement

Fecto Cement’s FY2026 results present a mixed picture. The company managed to grow sales and improve its bottom-line earnings, but higher costs weighed heavily on gross and operating profits.

At the same time, lower finance costs, stronger other income, an improved contribution from the associate and a reduced tax burden helped the company deliver higher net profit.

For shareholders, the proposed Rs4 per share cash dividend provides an additional positive development as the company closes another financial year with improved earnings.