Nimir Resins Limited has reported a significant improvement in profitability for the nine months ended March 31, 2026, with net profit rising by around 24% year-on-year, supported by stronger sales and gross profit.

According to the company’s unaudited financial results, Nimir Resins posted a net profit of Rs242.36 million during the nine-month period, compared with Rs196.07 million in the corresponding period of the previous year. Earnings per share also improved to Rs1.71, from Rs1.39 a year earlier.

Sales and gross profit improve

The company’s sales increased to Rs10.76 billion during the nine months ended March 2026, compared with Rs8.35 billion in the same period last year. After accounting for sales tax, net sales reached Rs9.08 billion, up from Rs7.03 billion.

The stronger revenue translated into higher gross profit, which rose to Rs1.01 billion from Rs774.51 million. Operating profit also increased substantially to Rs732.36 million, compared with Rs561.23 million in the previous year.

Quarterly performance also remains strong

Nimir Resins delivered a solid performance in the third quarter alone. Sales for the quarter reached approximately Rs3.79 billion, compared with Rs2.69 billion in March 2025, while net sales increased to Rs3.20 billion from Rs2.26 billion.

Quarterly gross profit climbed to Rs412.17 million, compared with Rs248.08 million a year earlier. Net profit for the quarter stood at Rs80.37 million, up from Rs61.61 million, while quarterly earnings per share improved to Rs0.57 from Rs0.44.

Balance sheet expands

The company’s financial position also strengthened during the period. Total assets stood at approximately Rs7.40 billion as of March 31, 2026, compared with Rs6.78 billion at June 30, 2025.

Total equity increased to Rs3.65 billion, from Rs3.41 billion, reflecting the addition of the period’s profit to accumulated reserves.

Cash flow remains an area to watch

Despite the improvement in earnings, the company reported net cash used in operating activities of Rs105 million during the nine months, compared with cash generated of Rs138.40 million in the corresponding period last year.

Investing activities also resulted in a net cash outflow of approximately Rs145.47 million. Financing activities, however, generated around Rs263.20 million, mainly reflecting an increase in short-term borrowings. Cash and cash equivalents stood at Rs165.07 million at March 31, 2026, compared with Rs160.44 million a year earlier.

No dividend announced

Alongside the financial results, the Board of Directors recommended no cash dividend, bonus shares or right shares for the period. The unaudited financial statements were approved at the board meeting held on April 23, 2026.

Overall, Nimir Resins’ nine-month results show a notable improvement in revenue, gross profit, operating profit and bottom-line earnings. The company’s stronger sales performance has translated into higher profitability, although its operating cash flow and increased reliance on short-term borrowing will remain important areas for investors to monitor.