International Industries Limited (IIL) delivered a strong financial performance during the nine months ended March 31, 2026, with consolidated profit after tax rising sharply to Rs2.58 billion, compared with Rs975.82 million in the same period last year.
The company’s consolidated revenue from contracts with customers increased to Rs87.23 billion during the nine-month period, up from Rs63.34 billion a year earlier. This represents growth of around 38%, while gross profit climbed to Rs9.97 billion from Rs6.03 billion.
Operating profit also improved substantially, reaching Rs5.63 billion, compared with Rs3.12 billion in the corresponding period of 2025. The financial statements show that the company also benefited from a significant increase in its share of profit from an equity-accounted investee, which rose to Rs994.44 million from Rs49.19 million.
After taxation, consolidated profit stood at Rs2.58 billion, against Rs975.82 million previously. Of this amount, Rs1.53 billion was attributable to owners of the holding company, while Rs1.05 billion was attributable to non-controlling interests. Earnings per share increased to Rs11.61, compared with Rs4.11 in the same nine-month period of 2025.
Third-Quarter Performance
IIL also maintained year-on-year growth during the third quarter. Consolidated revenue for the quarter reached Rs30.48 billion, compared with Rs19.63 billion in the same quarter last year. Gross profit increased to Rs3.46 billion from Rs2.21 billion.
Consolidated profit after tax for the quarter rose to Rs795.71 million, compared with Rs744.10 million a year earlier. Profit attributable to owners of the holding company, however, stood at Rs449.14 million compared with Rs542.82 million in the corresponding quarter.
Standalone Results Also Improve
At the standalone company level, IIL reported profit after tax of Rs1.21 billion for the nine months ended March 31, 2026, compared with Rs807.34 million in the same period last year. Standalone revenue rose to Rs21.65 billion from Rs18.66 billion, while earnings per share increased to Rs9.18 from Rs6.12.
The company’s standalone financial position also remained substantial, with total assets of Rs31.86 billion and shareholders’ equity of Rs20.08 billion as of March 31, 2026.
Dividend and Shareholder Returns
IIL’s statement of changes in equity shows that the company paid a 40% final dividend, equivalent to Rs4 per share, for the year ended June 30, 2025. It also recorded an interim dividend of 20%, or Rs2 per share, for the year ending June 30, 2026.
Cash Flow Remains an Area to Watch
Despite the strong earnings performance, the consolidated cash-flow statement highlights a weaker operating cash position. Net cash used in operating activities stood at Rs9.18 billion during the nine months, compared with net cash generated of Rs5.67 billion in the previous year.
The company also reported net cash used in investing activities of Rs657 million, while financing activities generated net cash of approximately Rs4.41 billion. As a result, cash and cash equivalents stood at a negative Rs2.51 billion at March 31, 2026, compared with positive Rs3.13 billion a year earlier.
Overall, International Industries posted a notably stronger earnings performance in the nine months of FY2026, supported by higher revenue, improved gross and operating profits, and a substantial contribution from its equity-accounted investment. While the sharp improvement in profitability is encouraging, the deterioration in operating cash flow remains an important factor for investors to monitor going forward.
